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The last 20 years have witnessed a substantial expansion in research studying firms in the global economy. This literature on “firms in trade” studies how firms, in particular the most productive and typically very large firms, self-select into exporting and shape the landscape of international trade and investment. These large firms in international trade are responsible for decisions that create linkages between major sectors of the world economy and affect the lives of billions of workers worldwide. One needs to look no further than some of the most well-known businesses to understand the importance of firms in shaping world trade flows. For example, Boeing, the largest exporter in the United States, exported $29 billion in 2009, or approximately 1.8 percent of total exports from the United States. 1 This number is more impressive when we consider that there are approximately 300 000 exporters in the United States …