Gravity model estimates of the spatial determinants of trade, migration, and trade-and-migration policies

Rebecca Freeman and John Lewis

Economics Letters, 2021, vol. 204, issue C

Abstract: Using a gravity model, we explore the effects of distance and borders on trade, migration, and trade-and-migration policies and document three key differences between trade and migration patterns in otherwise equivalent specifications. Regional trade (freedom-of-movement) agreements boost trade (migration) less (more) the more distant the country pairs. Distance effects on trade (migration) decrease (are unchanged) over time. International border effects on trade (migration) decrease (are unchanged) over time.

Keywords: Regional trade agreements; Freedom-of-movement agreements; Distance puzzle; Migration; Globalization (search for similar items in EconPapers)
JEL-codes: C23 F13 F16 F22 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:204:y:2021:i:c:s0165176521001506

DOI: 10.1016/j.econlet.2021.109873

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