IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this article

Historical trade integration: globalization and the distance puzzle in the long twentieth century

Listed author(s):
  • Samuel Standaert

    ()

    (Department of Economics, Ghent University)

  • Stijn Ronsse

    ()

    (Department of Economics, Ghent University)

  • Benjamin Vandermarliere

    ()

    (Department of Physics and Astronomy, Ghent University)

Registered author(s):

    In times of ongoing globalization, the notion of geographic neutrality expects the impact of distance on trade to become ever more irrelevant. However, over the last three decades a wide range of studies has found an increase in the importance of distance during the second half of the twentieth century. This paper tries to reframe this discussion by characterizing the effect of distance over a broader historical point of view. To make maximal use of the available data, we use a state-space model to construct a bilateral index of historical trade integration. Our index doubles to quadruples yearly data availability before 1950, allowing us to expand the period of analysis to 1880–2011. This implies that the importance of distance as a determinant of the changing trade pattern can be analyzed for both globalization waves. In line with O’Rourke (Politics and trade: lessons from past globalisations. Technical Report, Bruegel, 2009) and Jacks et al. (J Int Econ 83(2):185–201, 2011), we find that the first wave was marked by a strong, continuing decrease in the effect of distance. Initially, the second globalization wave started out similarly, but from the 1960s onward the importance of distance starts increasing. Nevertheless, this change is dwarfed by the strong decrease preceding it.

    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://dx.doi.org/10.1007/s11698-015-0130-5
    Download Restriction: Access to full text is restricted to journal 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.

    Article provided by Association Française de Cliométrie (AFC) in its journal Cliometrica, Journal of Historical Economics and Econometric History.

    Volume (Year): 10 (2016)
    Issue (Month): 2 (may)
    Pages: 225-250

    as
    in new window

    Handle: RePEc:afc:cliome:v:10:y:2016:i:2:p:225-250
    Contact details of provider: Web page: http://www.cliometrie.org

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

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

    When requesting a correction, please mention this item's handle: RePEc:afc:cliome:v:10:y:2016:i:2:p:225-250. 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: ()

    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.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.