Growth Effects of Regional Integration Agreements
AbstractDuring the 1990’s the world experienced a new wave of regional integration agreements (RIAs) that reached unprecedented proportions. In the presence of economies of scale or extent-of-the market effects RIAs may have positive growth effects. I introduce a new measure of regional integration by interacting country membership to a RIA and the partners’ share of world GDP, which allows capturing differentiated effects depending on the size of the partners. Results indicate that RIAs have exerted positive effects on growth. In addition, I find that North-North agreements have significant growth effects; South-South agreements have ambiguous effects depending on the size of the countries joining them, and that there is no clear answer for North-South agreements.
Download InfoIf 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.
Bibliographic InfoPaper provided by Central Bank of Chile in its series Working Papers Central Bank of Chile with number 278.
Date of creation: Dec 2004
Date of revision:
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-12-20 (All new papers)
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.:
- William Easterly, 1989.
"Policy Distortions, Size of Government, and Growth,"
NBER Working Papers
3214, National Bureau of Economic Research, Inc.
- Easterly, William R., 1989. "Policy distortions, size of government, and growth," Policy Research Working Paper Series 344, The World Bank.
- Easterly, William, 2001. " The Lost Decades: Developing Countries' Stagnation in Spite of Policy Reform 1980-1998," Journal of Economic Growth, Springer, vol. 6(2), pages 135-57, June.
- Alberto F. Ades & Edward L. Glaeser, 1999.
"Evidence On Growth, Increasing Returns, And The Extent Of The Market,"
The Quarterly Journal of Economics,
MIT Press, vol. 114(3), pages 1025-1045, August.
- Alberto F. Ades & Edward L. Glaeser, 1994. "Evidence on Growth, Increasing Returns and the Extent of the Market," NBER Working Papers 4714, National Bureau of Economic Research, Inc.
- Magnus Henrekson & Johan Torstensson & Rasha Torstensson,, .
"Growth Effects of European Integration,"
96/1, University of Nottingham, CREDIT.
- Henrekson, Magnus & Torstensson, Johan & Torstensson, Rasha, 1995. "Growth Effects of European Integration," Working Paper Series 439, Research Institute of Industrial Economics.
- Henrekson, Magnus & Torstensson, Rasha, 1996. "Growth Effects of European Integration," CEPR Discussion Papers 1465, C.E.P.R. Discussion Papers.
- Levine, Ross & Renelt, David, 1992.
"A Sensitivity Analysis of Cross-Country Growth Regressions,"
American Economic Review,
American Economic Association, vol. 82(4), pages 942-63, September.
- Levine, Ross & Renelt, David, 1991. "A sensitivity analysis of cross-country growth regressions," Policy Research Working Paper Series 609, The World Bank.
- Venables, Anthony J., 1999. "Regional integration agreements - a force for convergence or divergence?," Policy Research Working Paper Series 2260, The World Bank.
- Richard Baldwin, 1989. "The Growth Effects of 1992," NBER Working Papers 3119, National Bureau of Economic Research, Inc.
- Uwe Walz, 1997. "Dynamic Effects of Economic Integration: A Survey," Open Economies Review, Springer, vol. 8(3), pages 309-326, July.
- Athanasios Vamvakidis, 1999. "Regional Trade Agreements or Broad Liberalization: Which Path Leads to Faster Growth?," IMF Staff Papers, Palgrave Macmillan, vol. 46(1), pages 3.
- Easterly, William & Levine, Ross, 1998. "Troubles with the Neighbours: Africa's Problem, Africa's Opportunity," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 7(1), pages 120-42, March.
- Agustin Carstens, 2004. "Making Regional Economic Integration Work," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 43(4), pages 335-352.
- Medvedev, Denis, 2012. "Beyond Trade: The Impact of Preferential Trade Agreements on FDI Inflows," World Development, Elsevier, vol. 40(1), pages 49-61.
- Medvedev, Denis, 2006. "Beyond trade : the impact of preferential trade agreements on foreign direct investment inflows," Policy Research Working Paper Series 4065, The World Bank.
- World Bank, 2005. "Colombia : Country Economic Memorandum, The Foundations for Competitiveness," World Bank Other Operational Studies 8807, The World Bank.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Claudio Sepulveda).
If references are entirely missing, you can add them using this form.