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Trade and Convergence Among Countries

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  • Ben-David, Dan

Abstract

This paper examines the relationship between trade and income convergence by focusing on groups of countries comprising major trade partners. The majority of these groups exhibited significant convergence. Furthermore, a comparison of the trade-based groups with different, randomly selected, country groupings shows that the former were more likely to exhibit convergence than the latter. Finally, there is evidence that the magnitude of growth in trade is related to the degree of the income convergence among countries.

Suggested Citation

  • Ben-David, Dan, 1995. "Trade and Convergence Among Countries," CEPR Discussion Papers 1126, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:1126
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    References listed on IDEAS

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    More about this item

    Keywords

    Economic Growth; Income Convergence; International Trade;
    All these keywords.

    JEL classification:

    • F1 - International Economics - - Trade
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • O5 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies

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