Showing 1 - 10 of 6,404
To study the effect of the euro on international goods trade one typically estimates a panel model for the level of … euro is only present at the end of the sample, this may have led to an upward bias in existing euro estimates to help … have different effects across country-pairs. Data on industrialized countries over 1967-2002 show the existing euro effects …
Persistent link: https://www.econbiz.de/10011334328
How do trade costs affect international trade? This paper offers a new approach. We rely on a flexible gravity equation that predicts variable trade cost elasticities, both across and within country pairs. We apply this framework to the effect of currency unions on international trade. While we...
Persistent link: https://www.econbiz.de/10012912676
This paper reconsiders recent empirical evidence found by Andrew Rose that countries adopting a common currency will triple their bilateral trade. We find that this large estimated effect is due to estimation bias arising from missing and/or misspecified time-invariant factors, rather than to...
Persistent link: https://www.econbiz.de/10014128477
This paper provides an update of de Nardis and Vicarelli (2003) estimates of the euro effect on trade integration of … consistent with the already tight trade links characterizing the economies that embraced the euro and with the possibility that …
Persistent link: https://www.econbiz.de/10014051496
Existing studies on the impact of the euro on goods trade report increments between 5% and 40%. These estimates are … trends over time for the euro countries, and that this leads to an upward bias in the estimated euro effect. To correct for … shrinks the estimated euro impact to 3% …
Persistent link: https://www.econbiz.de/10014069171
A major economic reason for the introduction of the euro was its supposedly positive effect on intra-EMU trade …. Existing studies examine this suspicion indirectly using non-EMU data and report ambiguous results. We estimate the euro … euro has significantly increased trade, with an effect of 4% in the first year and cumulating to around 40% in the long …
Persistent link: https://www.econbiz.de/10011327839
Mitgliedern der Währungsunion ist. Bei der Aufnahme weiterer Mitglieder in die EURO-Zone sind sowohl realwirtschaftliche als auch … determine the members of the EURO zone. The Maastricht criteria suffer from two weaknesses: neither do they reflect sufficiently … sectors (tradeables, non-tradeables) in the respective member countries. In the light of the forthcoming widening of the EURO …
Persistent link: https://www.econbiz.de/10010508238
Empirical research on the gravity model of international trade in the wake of Rose (2000) affirms that currency union formation doubles or triples trade. However, currency unions could also be established precisely because trade among their members was already high. In OLS estimation, this would...
Persistent link: https://www.econbiz.de/10012727925
The Brexit issue has caused much concern regarding the future economic scenario of Europe in particular and the world in general. There are several reasons for Brexit. One of them is that the very nature of Monetary Unions is its rigidity. The 'one size fits all' yardstick won't apply to many...
Persistent link: https://www.econbiz.de/10012956687
Objective: The objective of the article is to determine which exchange rate regime provides higher bilateral trade: fixed rate or currency union. Research Design & Methods: An index was designed based on variables commonly recognised as those that might affect the value of bilateral trade and...
Persistent link: https://www.econbiz.de/10012520004