Trade Blocks and the Gravity Model: Evidence from Latin American Countries
AbstractWe apply the gravity model to examine the effects of the Andean Community and Mercosur on both intra-regional and intra-industrial trade in the period 1980-1997. After accounting for size and distance effects, the Andean Community preferential trade agreements had a significant effect on both the differentiated and reference products, in particular capital intensive goods. In contrast, Mercosur preferential trade agreements only had a positive effect on the capital intensive subcategory of the reference products.
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 University of Essex, Department of Economics in its series Economics Discussion Papers with number 542.
Date of creation: 13 Aug 2002
Date of revision:
Postal: Discussion Papers Administrator, Department of Economics, University of Essex, Wivenhoe Park, Colchester CO4 3SQ, U.K.
Other versions of this item:
- Carrillo-Tudela, Carlos & A Li, Carmen, 2004. "Trade Blocks and the Gravity Model: Evidence from Latin American Countries," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 19, pages 667-689.
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
- F15 - International Economics - - Trade - - - Economic Integration
This paper has been announced in the following NEP Reports:
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.:
- 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.
- Peter A. Petri, 1993. "The East Asian Trading Bloc: An Analytical History," NBER Chapters, in: Regionalism and Rivalry: Japan and the United States in Pacific Asia, pages 21-52 National Bureau of Economic Research, Inc.
- Havrylyshyn, Oli & Civan, Engin, 1985. "Intra-industry trade among developing countries," Journal of Development Economics, Elsevier, vol. 18(2-3), pages 253-271, August.
- Olarreaga, Marcelo & Soloaga, Isidro, 1998.
"Endogenous Tariff Formation: The Case of Mercosur,"
World Bank Economic Review,
World Bank Group, vol. 12(2), pages 297-320, May.
- Anderson, Kym & Norheim, Hege, 1993. "Is World Trade Becoming More Regionalized?," Review of International Economics, Wiley Blackwell, vol. 1(2), pages 91-109, June.
- Limao, Nuno & Venables, Anthony J., 1999. "Infrastructure, geographical disadvantage, and transport costs," Policy Research Working Paper Series 2257, The World Bank.
- Hallwood, Paul & Marsh, Ian W. & Scheibe, Jorg, 2006. "An assessment of the case for monetary union or official dollarization in five Latin American countries," Emerging Markets Review, Elsevier, vol. 7(1), pages 52-66, March.
- Cardamone, Paola, 2007.
"A Survey of the Assessments of the Effectiveness of Preferential Trade Agreements using Gravity Models,"
Economia Internazionale / International Economics,
Camera di Commercio di Genova, vol. 60(4), pages 421-473.
- Cardamone, Paola, 2007. "A survey of the assessments of the effectiveness of Preferential Trade Agreements using gravity models," Working Papers 7282, TRADEAG - Agricultural Trade Agreements.
- Nazia Gul & Hafiz M. Yasin, 2011. "The Trade Potential of Pakistan: An Application of the Gravity Model," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 16(1), pages 23-62, Jan-Jun.
- Paul Hallwood & Ian W. Marsh & Joerg Scheibe, 2004. "An Assessment of the Case for Monetary Union or Official Dollarization in Argentina, Brazil, Chile, Uruguay and Venezuela," Working papers 2004-13, University of Connecticut, Department of Economics.
- Letouzé, Emmanuel & Purser, Mark & Rodríguez, Francisco & Cummins, Matthew, 2009.
"Revisiting the Migration-Development Nexus: A Gravity Model Approach,"
19227, University Library of Munich, Germany.
- Emmanuel Letouzé & Mark Purser & Francisco Rodríguez & Matthew Cummins, 2009. "Revisiting the Migration-Development Nexus: A Gravity Model Approach," Human Development Research Papers (2009 to present) HDRP-2009-44, Human Development Report Office (HDRO), United Nations Development Programme (UNDP), revised Oct 2009.
- Konchyn, Vadym, 2006. "The Evolution of Ukrainian Economy: New Trade Theory Evidence," MPRA Paper 588, University Library of Munich, Germany, revised 07 Sep 2006.
- Buys, Piet & Deichmann, Uwe & Wheeler, David, 2006. "Road network upgrading and overland trade expansion in Sub-Saharan Africa," Policy Research Working Paper Series 4097, The World Bank.
- Vlontzos, George N. & Duquenne, Marie-Noelle, 2007. "Evolution of trade flows for sheep milk cheese: an empirical model for Greece," 105th Seminar, March 8-10, 2007, Bologna, Italy 7884, European Association of Agricultural Economists.
- Rojas, Gina E. Acosta & Calfat, Germán & Flôres Junior, Renato Galvão, 2005. "Trade and Infrastructure: evidences from the Andean Community," Economics Working Papers (Ensaios Economicos da EPGE) 580, FGV/EPGE Escola Brasileira de Economia e Finanças, Getulio Vargas Foundation (Brazil).
- Cortes, Maria, 2007. "Composition of Trade between Australia and Latin America: Gravity Model," Economics Working Papers wp07-19, School of Economics, University of Wollongong, NSW, Australia.
- Yeboah, Osei-Agyeman & Parker, S. Janine, 2009. "Impact of Expanded United States Sugar Imports from CAFTA Countries on the Ethanol Market," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46027, Southern Agricultural Economics Association.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Essex Economics Web Manager).
If references are entirely missing, you can add them using this form.