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The Eurovision Song Contest, Preferences and European Trade

  • Kokko, Ari

    ()

    (Copenhagen Business School Department of International Economics and Management)

  • Gustavsson Tingvall, Patrik

    ()

    (The Ratio Institute)

Already Beckerman (1956) and Linder (1961) suggested that international trade is not determined by supply side factors alone – perceptions about foreign countries and country preferences matter. We explore the relation between exports, cultural distance, income differences and country preferences as revealed by voting in the European Song Contest. We conclude that preferences influence trade through several channels, and that results of the European Song Contest are a robust predictor of bilateral trade.

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Paper provided by The Ratio Institute in its series Ratio Working Papers with number 183.

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Length: 30 pages
Date of creation: 25 Jan 2012
Date of revision:
Handle: RePEc:hhs:ratioi:0183
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