In this paper we use a gravity model in order to estimate the magnitude of potential trade flows between Greece and nine Balkan countries. We adopt a two stage approach. At the first stage the coefficients of the gravity model for the implemented trade between Greece and thirty trade partners...

There is a large literature on the effect of exchange rate arrangements on trade. The monetary policy used in the floating exchange rate regime, however, is usually ignored and unidentified in the empirical studies. This makes the effect of alternative monetary policy regimes on trade remains...