Trade flows revisited: further evidence on globalisation

We consider the relative effects of globalisation and regionalism in the context of recent developments in the world economy. We extend and advance the work of Chortareas and Pelagidis using the recently updated Penn World Tables data. This allows consideration of the recent 'golden era' of globalisation, great moderation and the 'Washington consensus'. We produce evidence that corroborates the findings of Chortareas and Pelagidis. We find, however, that in the 1990s and in the new millennium globalisation dynamics outpace regionalism. Nevertheless, regionalism displays resilience and in a potential de-globalisation context it is more likely to dominate over globalism. Copyright The Author 2011. Published by Oxford University Press on behalf of the Cambridge Political Economy Society. All rights reserved., Oxford University Press.