Purpose – The purpose of this paper is to examine the export, import, and total trade determinants using reduced form equations for six Pacific Island countries (PICs) with an institutional focus. Design/methodology/approach – A fixed effects model, controlling for AR(1) errors, using panel...

Purpose – The purpose of this paper is to explore the two issues of regional trade agreements (RTAs) and the new theory of international trade and draw conclusions for Pacific Island countries (PICs). The authors provide a deeper conceptual treatment of the consequences of RTAs and analyse the...