The aim of the paper is to compare different approximations of multilateral trade-resistance in the gravity model and the influence of their use on estimation results for models of EU-trade. Three synthetic variables: for bilateral trade costs, exporter’s and importer’s remoteness...

International economic sanctions are a recurring feature of political interactions. This paper provides, through a gravity model approach, an estimation of the impact of sanctions on international trade. The study reports panel estimates between the US and 49 target countries over the period...

The gravity model of trade is utilized to assess the impact of disintegration on trade. The analysis is based on three recent disintegration episodes involving the former Soviet Union, Yugoslavia and Czechoslovakia. The results point to a very strong home bias around the time of disintegration,...

Rose (2004) showed that the WTO or its predecessor, the GATT, did not promote trade, based on conventional econometric analysis of gravity-type equations of trade. We argue that conclusions regarding the GATT/WTO trade effect based on gravity-type equations are arbitrary and subject to...

Rose (2004) showed that the WTO or its predecessor, the GATT, did not promote trade, based on conventional econometric analysis of gravity-type equations of trade. We argue that conclusions regarding the GATT/WTO trade effect based on gravity-type equations are arbitrary and subject to...

This paper proposes to reexamine the trade effect of GATT/WTO based on non-parametric econometric techniques. Our estimation framework uses the simplest gravity model that explains bilateral trade volumes with country sizes and trade resistance, without imposing parametric assumptions typically...

Macroeconomic determinants of FDI are seldom analyzed from the perspective of source countries, priority being given to host country characteristics. In a gravity set-up, we show that output volatility of source country has a significant adverse impact on FDI flowing to developing economies that...

This paper empirically explores small and medium enterprises export intensity dynamics in Argentina, over the 2004-2011 period, and its decomposition by regions and technology sectors. Evidence is presented about general determinants of the export intensity, defined as the exported share of...

We address three themes on the New Regionalism. First, the prominent analogy to a “spaghetti bowl” of economic integration agreements (EIAs) should be replaced by reference to a « market » for EIAs. We suggest a systematic economic framework for analyzing « competitive...

The goal of this paper is to determine one of the consequences of accession of the Czech Republic to the European Monetary Union. The gravity equation is used to estimate the impact of exchange rate volatility and currency unions on international trade. Model's variables include GDPs per capita...