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single market and the euro -- The economics of the single market (Harry Flam) -- Factor movements : FDI (Bent Sørensen …, Carolina Villegas-Sanchez) -- The euro as an international currency (Agnès Bénassy Quéré) -- Monetary and fiscal policy -- The … common currency : more complicated than it seems (Charles Wyplosz) -- Design failures in the euro area : can they be fixed …
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Based on the gravity model by Baier and Bergstrand (2001), we use a static and dynamic panel approach to estimate the determinants of the growth of intra-EU trade from 1960 to 2000. The results suggest that income growth was the major force, accounting for approximately two-thirds of total...
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