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Trade Effects of the Europe Agreements

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Author Info
Julia Spies ()
Helena Marques ()

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Abstract

The eastern enlargement of the European Union (EU) brought and will bring full membership to countries whose trade barriers with the EU had to a large extent already been removed under Free Trade Agreements (FTAs) during the 1990s. We employ a theory-based new version of a gravity equation, whose specification allows for an assessment of the impact of the arrangements on extra- and intra-group imports. We find robust evidence that the agreements have substantially increased intra-group trade, in the case of the Czech and Slovak Republic at the expense of the Rest of the World (ROW).

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Publisher Info
Paper provided by Department of Economics, University of Hohenheim, Germany in its series Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim with number 274/2006.

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Date of creation: 2006
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Handle: RePEc:hoh:hohdip:274

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Related research
Keywords: Free Trade Agreements; Gravity equation; Central and Eastern Europe; Panel data;

Find related papers by JEL classification:
F15 - International Economics - - Trade - - - Economic Integration
C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data

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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.:
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    Other versions:
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  3. Luca De Benedictis & Roberta De Santis & Claudio Vicarelli, 2005. "Hub-and-Spoke or else? Free trade agreements in the 'enlarged' European Union," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 2(2), pages 245-260, December. [Downloadable!]
    Other versions:
  4. Melitz, Jacques, 2007. "North, South and distance in the gravity model," European Economic Review, Elsevier, vol. 51(4), pages 971-991, May. [Downloadable!] (restricted)
    Other versions:
  5. Kimberly A. Clausing, 2001. "Trade creation and trade diversion in the Canada - United States Free Trade Agreement," Canadian Journal of Economics, Canadian Economics Association, vol. 34(3), pages 677-696, August. [Downloadable!] (restricted)
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    Other versions:
  7. 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.
    Other versions:
  8. Richard E. Baldwin, 2006. "The euro's trade effect," Working Paper Series 594, European Central Bank. [Downloadable!]
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  12. Claus-Friedrich Laaser & Klaus Schrader, 2002. "European Integration and Changing Trade Patterns: The Case of the Baltic States," Kiel Working Papers 1088, Kiel Institute for the World Economy. [Downloadable!]
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    Other versions:
  14. Limao, Nuno & Venables, Anthony J., 1999. "Infrastructure, geographical disadvantage, and transport costs," Policy Research Working Paper Series 2257, The World Bank. [Downloadable!]
  15. Jeffrey A. Frankel & Shang-Jin Wei, 1998. "Open Regionalism in a World of Continental Trade Blocs," IMF Working Papers 98/10, International Monetary Fund.
    Other versions:
  16. 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. [Downloadable!] (restricted)
  17. Theodora Kosma & Antonis Adam & James McHugh, 2003. "Trade Liberalization Strategies: What Could South Eastern Europe Learn From CEFTA and BFTA?," IMF Working Papers 03/239, International Monetary Fund. [Downloadable!]
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Cited by:
(explanations, 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.)

  1. Mitze, Timo & Alecke, Björn & Untiedt, Gerhard, 2008. "Trade, FDI and Cross-Variable Linkages: A German (Macro-)Regional Perspective," MPRA Paper 12245, University Library of Munich, Germany. [Downloadable!]
  2. Roberta De Santis & Claudio Vicarelli, 2007. "The ``Deeper" and the ``Wider" EU Strategies of Trade Integration: An Empirical Evaluation of EU Common Commercial Policy Effects," Global Economy Journal, International Trade and Finance Association, vol. 7(4), pages 4. [Downloadable!]
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