Advanced Search
MyIDEAS: Login

Algeria’s Trade with GAFTA Countries: A Synthetic Control Approach

Contents:

Author Info

  • Amr Hosny

    ()

Abstract

Arab countries signed the Greater Arab Free Trade Area (GAFTA) agreement in 1998, while Algeria only joined in 2005. In this study, I investigate the counterfactual trade that Algeria would have had with its GAFTA trade partners had it joined the agreement in 1998. I employ synthetic control methods (SCM) in the context of the gravity approach to international trade to estimate this counterfactual outcome. The SCM creates the synthetic control unit based on a weighted average of the past characteristics and trade realizations of the countries that signed the GAFTA agreement and compares the counterfactual trade outcome against the actual outcome of the treated unit, Algeria in our case. Estimation results indicate that Algeria’s trade with nine GAFTA countries, covering more than 96 % of Algeria’s pre-treatment trade, would have improved if Algeria had signed the agreement in 1998. Copyright Springer-Verlag 2012

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://hdl.handle.net/10.1007/s11300-012-0228-4
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Bibliographic Info

Article provided by Springer in its journal Transition Studies Review.

Volume (Year): 19 (2012)
Issue (Month): 1 (September)
Pages: 35-42

as in new window
Handle: RePEc:spr:trstrv:v:19:y:2012:i:1:p:35-42

Contact details of provider:
Web page: http://www.springerlink.com/link.asp?id=112913

Order Information:
Web: http://link.springer.de/orders.htm

Related research

Keywords: GAFTA; Regional economic integration; Synthetic control methods; Treatment effect; Gravity equation; C21; F15;

Find related papers by JEL classification:

References

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Andreas Billmeier & Tommaso Nannicini, 2007. "Trade Openness and Growth," IMF Working Papers 07/156, International Monetary Fund.
  2. Alberto Abadie & Javier Gardeazabal, 2003. "The Economic Costs of Conflict: A Case Study of the Basque Country," American Economic Review, American Economic Association, vol. 93(1), pages 113-132, March.
  3. Abadie, Alberto & Diamond, Alexis & Hainmueller, Jens, 2010. "Synthetic Control Methods for Comparative Case Studies: Estimating the Effect of California’s Tobacco Control Program," Journal of the American Statistical Association, American Statistical Association, vol. 105(490), pages 493-505.
  4. Soloaga, Isidro & Alan Wintersb, L., 2001. "Regionalism in the nineties: what effect on trade?," The North American Journal of Economics and Finance, Elsevier, vol. 12(1), pages 1-29, March.
  5. Tamim Bayoumi & Barry J. Eichengreen, 1995. "Is Regionalism Simply a Diversion? Evidence from the Evolution of the EC and EFTA," IMF Working Papers 95/109, International Monetary Fund.
  6. Robert C. Feenstra & James R. Markusen & Andrew K. Rose, 2001. "Using the gravity equation to differentiate among alternative theories of trade," Canadian Journal of Economics, Canadian Economics Association, vol. 34(2), pages 430-447, May.
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:spr:trstrv:v:19:y:2012:i:1:p:35-42. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Guenther Eichhorn) or (Christopher F Baum).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.