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A new method for measuring trade potential from border effects is developed and applied to manufactured trade between the old 15 European Union (EU) members and 12 Central and East European (CEE) economies. Border effects are estimated with a theoretically compatible trade specification and much...
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The impact of globalization in terms of bilateral trade is a renowned theoretical underpinning in the literature. Nevertheless, testing a trade integration model of bilateral trade is not sufficiently well estimated with the Bayesian approach to provide pragmatic evidence of trade integration...
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