We explore a 3 x 3 Competitive Ricardian Model (CRM) in two scenarios multiple import tariffs and a customs union. We fully characterise the equilibrium under both. Starting from a tariff distorted situation, we find that when a customs union is formed there is an increase in trade flows among...

This paper formulates an empirical model to estimate the impact of endogenous new RTA membership on trade structure. The likelihood of new RTA membership is influenced by economic fundamentals such as country size, factor endowments and trade and investment costs. In a sample of country-pairs...