Gravity equations have been used for more than 50 years to estimate ex post the partial effects of trade costs on international trade flows, and the well-known - and traditionally presumed exogenous - "trade-cost elasticity" plays a central role in computing general equilibrium trade-flow and...

Despite widespread anecdotal evidence that lower trade barriers increase international trade, there is little firm quantitative evidence of the ‘trade-cost elasticity’ of trade flows, one of the two key aggregate statistics that have recently been identified as sufficient to quantify the...

We investigate the effect of trade integration on interstate military conflict. Our empirical analysis, based on a large panel data set of 243,225 country-pair observations from 1950 to 2000, confirms that an increase in bilateral trade interdependence significantly promotes peace. It also...

We investigate the effect of trade integration on interstate military conflict. Our empirical analysis, based on a large panel data set of 243,225 country‐pair observations from 1950 to 2000, confirms that an increase in bilateral trade interdependence significantly promotes peace. It also...