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The Effect of Domestic Regulation on Services Trade Revisited

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Author Info
Cyrille Schwellnus

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Abstract

This paper uses the previously unexploited Eurostat ITS dataset and the latest release of the OECD Product Market Regulation indicators to reevaluate the effect of domestic regulation on cross border services trade. The empirical analysis is guided by recent theoretical advances in the theoretical derivation of the gravity equation which allows to avoid common sources of bias in previous studies. Once these common sources of bias are eliminated, the support for the claim that the domestic level of regulation reduces services trade is weakened.

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Publisher Info
Paper provided by CEPII research center in its series Working Papers with number 2007-08.

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Date of creation: May 2007
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Handle: RePEc:cii:cepidt:2007-08

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Related research
Keywords: International trade; services; gravity model; regulation;

Find related papers by JEL classification:
F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
F15 - International Economics - - Trade - - - Economic Integration
L80 - Industrial Organization - - Industry Studies: Services - - - General

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This page was last updated on 2009-11-18.

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