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Much Ado About Nothing? A Quantitative Analysis of Transatlantic Trade Liberalization

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  • Pflüger, Michael Paul
  • Krebs, Oliver

Abstract

This paper explores the quantitative consequences of transatlantic trade liberalization envisioned in a Transatlantic Trade and Investment Partnership (TTIP) between the United States and the European Union. Our key innovation is to base our estimate on a new quantitative trade model with an associated recent technique which is far more parsimonious and has a far tighter connection between theory and data than previous approaches. We make use of the recently established detailed World Input Output Database (WIOD). This allows us to take input-output linkages pertaining among industries into account. We also explore the consequences of labor mobility across the countries of the European Union.

Suggested Citation

  • Pflüger, Michael Paul & Krebs, Oliver, 2015. "Much Ado About Nothing? A Quantitative Analysis of Transatlantic Trade Liberalization," VfS Annual Conference 2015 (Muenster): Economic Development - Theory and Policy 113025, Verein für Socialpolitik / German Economic Association.
    • Handle: RePEc:zbw:vfsc15:113025
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    2. Gabriel Felbermayr, 2016. "Economic Analysis of TTIP," ifo Working Paper Series 215, ifo Institute - Leibniz Institute for Economic Research at the University of Munich.
    3. Aichele Rahel & Felbermayr Gabriel J. & Heiland Inga, 2016. "TTIP and Intra-European Trade: Boon or Bane?," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 236(6), pages 639-664, December.
    4. Berger, Marius & Boockmann, Bernhard & Felbermayr, Gabriel & Klempt, Charlotte & Koch, Andreas & Kohler, Wilhelm K. & Lerch, Christian & Neuhäusler, Peter & Rammer, Christian, 2017. "Strukturanalyse und Perspektiven des Wirtschaftsstandortes Baden-Württemberg im nationalen und internationalen Vergleich. Abschlussbericht," ZEW Expertises, ZEW - Leibniz Centre for European Economic Research, number 172787.
    5. Timo Walter, 2022. "Trade and welfare effects of a potential free trade agreement between Japan and the United States," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 158(4), pages 1199-1230, November.
    6. Oliver Krebs, 2018. "RIOTs in Germany – Constructing an interregional input-output table for Germany," Working Papers 182, Bavarian Graduate Program in Economics (BGPE).
    7. Walter, Timo, 2018. "Trade and welfare effects of a potential free trade agreement between Japan and the United States," Hohenheim Discussion Papers in Business, Economics and Social Sciences 16-2018, University of Hohenheim, Faculty of Business, Economics and Social Sciences.
    8. Oliver Krebs, 2018. "Shocking Germany – A spatial analysis of German regional labor markets," Working Papers 183, Bavarian Graduate Program in Economics (BGPE).

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    More about this item

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • F20 - International Economics - - International Factor Movements and International Business - - - General

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