Bun, Maurice J. G.; Klaassen, Franc J. G. M. - In: Oxford Bulletin of Economics and Statistics 69 (2007) 4, pp. 473-496
Existing studies on the impact of the euro on goods trade report increments between 5% and 40%. These estimates are based on standard panel gravity models for the level of trade. We show that the residuals from these models exhibit upward trends over time for the euro countries, and that this...