Is political compliance a precondition for healthy trade relations with China? The Chinese government frequently threatens that meetings between its trading partners' officials and the Dalai Lama will be met with animosity and ultimately harm trade ties with China. We run a gravity model of...

The gravity model of trade is utilized to assess the impact of disintegration on trade. The analysis is based on three recent disintegration episodes involving the firmer Soviet Union, Yugoslavia and Czechoslovakia. The results point to a very strong home bias around the time of disintegration,...

EU-TE trade is increasingly characterised by intra-industry trade. For some countries (Czech Republic), the share of intra-industry trade in total trade with the EU approaches 60 percent. The decomposition of intra-industry trade into horizontal and vertical shares reveals overwhelming vertical...

It has been alleged since its inception that the WTO Dispute Settlement (DS) mechanism is biased against developing countries, as manifested in e.g. allegedly too low rates of dispute initiation. To shed light on this issue, this study analyses the determinants of developing country...

Politicians travel extensively abroad, for various reasons. One purpose of external visits is to improve bilateral economic relations. In this paper, I examine the effect of state visits on international trade. I use a large data set covering the travel activities of the heads of state of...

This paper examines the trade policy response of Latin American governments to the rapid growth of China and India in world markets. To explain higher protection in sectors where a large share is imported from these countries, we extend the protection for sale' model to allow for different...

We estimate CO2 implicitly contained in traded commodities based on the GTAP 7 data: While net carbon imports into the industrialized countries amount to 15% of their total emissions, net carbon exports of the developing countries amount to 12% of their total emissions, and net carbon exports of...

As revealed by the trade intensity indices, India and the People's Republic of China have significant bilateral trade potential, which remains unexplored until now. These countries are presently negotiating for free trade arrangements among them based on their complementarities. This paper makes...

As a result of the current global financial crisis, in 2009 the world economy is likely to experience the largest contraction since World War II and the unemployment rate to reach historical highs in many countries. The fact that the current global crisis is originated from the U.S. and followed...

We document key features of the deepening economic relationship between Brazil and China. This is evident from sharply increased bilateral trade and foreign direct investment flows and also from enhanced cohesion of negotiating positions in international fora. Data presented show bilateral trade...