We show that the countries of the former Austro-Hungarian monarchy trade significantly more with one another in the aftermath of the collapse of the Iron Curtain than predicted by a standard gravity model. This trade surplus declines linearly and monotonically over time. We argue that these...

The European Neighbourhood Policy (ENP) set an additional objective for the Southern Mediterranean Countries (SMCs): the prospect of 'a stake in the internal market'. The launch of this new policy has been the occasion for a revival of empirical studies aimed at assessing the impact of the...

This is the first paper that analyzes for a global sample of countries how trade agreements that include technology-related provisions impact exports of goods, and how this impact differs depending on the technology content of the goods. It includes estimations of a structural gravity model for...

Recent work by Anderson and van Wincoop (2003) establishes an empirical modeling strategy which takes full account of the structural, non-(log-)linear impact of trade barriers on trade in new trade theory models. Structural new trade theory models have never been used to evaluate and quantify...

The analysis of Baltic trade statistics and gravity estimates reveal that Estonia, Latvia and Lithuania have rapidly integrated into the international division of labour with a distinct EU focus. The Baltic States have taken a road towards the EU common market which pays particular attention to...

International trade ows reveal strong persistence over time. This paper is concerned with the role of trade agreements in this persistent environment. The data reveal a high level of heterogeneity of the trade- creating effect along the trade volume and per-capita income distributions. If...

This paper tests for one mechanism that can explain the existence of a language barrier to trade. Specifically, I ask if those industries that require more cross-border communication in order to export their products trade more between Canadian provinces that know the other's language(s). I find...