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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,...
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This paper examines the FDI flows towards two regions in the periphery of Europe: the Central and Eastern European … countries (CEECs) and the countries of Southern Europe. We investigate whether evidence exists for FDI diversion from Southern … Europe to the CEECs. A cursory observation of recent FDI trends might give rise to such claims of diversion. On the basis of …
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