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In this paper, I reexamine the empirical relationship between trade openness andurban concentration. Using a panel data set of more than 110 countries for theperiod from 1970 through 2000, I find that previous results of a negativeassociation between trade openness and the size of a country's largest city are notrobust. More importantly, the openness-concentration link disappears completely,once reverse causality and the endogeneity of trade are accounted for. There is noevidence that trade liberalization significantly reduces urban concentration.Similarly, openness is insignificant if trade is instrumented by geographiccharacteristics.JEL classification: F15, R12