Time zone differences as trade barriers
This paper estimates the impact of time zone differences between trading locations on trade costs and trade in general equilibrium. Using homogeneous bilateral trade data between US states and Canadian provinces, time zone differences are found to reduce bilateral trade by 11% on average, which amounts to about one-sixth of the international border effect between the US and Canada.
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References listed on IDEAS
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- James E. Anderson & Eric van Wincoop, 2003.
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Economics working papers
2012-10, Department of Economics, Johannes Kepler University Linz, Austria.
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- Elisabeth Christen, 2012. "Time zones matter: The impact of distance and time zones on services trade," FIW Working Paper series 090, FIW.
- Elisabeth Christen, 2012. "Time zones matter: The impact of distance and time zones on services trade," Working Papers 2012-14, Faculty of Economics and Statistics, University of Innsbruck.
- McCallum, John, 1995. "National Borders Matter: Canada-U.S. Regional Trade Patterns," American Economic Review, American Economic Association, vol. 85(3), pages 615-623, June.
- repec:ebl:ecbull:v:6:y:2006:i:15:p:1-10 is not listed on IDEAS
- Stein, Ernesto & Daude, Christian, 2007. "Longitude matters: Time zones and the location of foreign direct investment," Journal of International Economics, Elsevier, vol. 71(1), pages 96-112, March.
- Toru Kikuchi, 2006. "Time Zones, Outsourcing and Patterns of International Trade," Economics Bulletin, AccessEcon, vol. 6(15), pages 1-10.
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