Non-gravity trade

Markus Brueckner (), Ngo Long and Joaquin Vespignani
Additional contact information
Markus Brueckner: Research School of Economics, Australian National University, https://www.cbe.anu.edu.au/about/staff-directory/?profile=Markus-Brueckner
Authors registered in the RePEc Author Service: Markus Brueckner

No 2020-04, Working Papers from University of Tasmania, Tasmanian School of Business and Economics

Abstract: This paper examines the relationship between countries’ bilateral trade with the United States that is not due to gravity (non-gravity trade) and the distribution of income within countries. In countries where only a small share of the population are educated, an increase in non-gravity trade is associated with a significant increase in income inequality. As education of the population increases the correlation between non-gravity trade and income inequality becomes smaller. Non-gravity trade has no significant effect on income inequality in countries that are world leaders in education.

Keywords: non-gravity trade; inequality; education (search for similar items in EconPapers)
JEL-codes: E2 F1 (search for similar items in EconPapers)
Pages: 17 pages
Date: 2020
New Economics Papers: this item is included in nep-int and nep-mac
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Published by the University of Tasmania. Discussion paper 2020-04

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Related works:
Working Paper: Non-Gravity Trade (2020)
Working Paper: Non-gravity trade (2020)
Working Paper: Non-Gravity Trade (2020)
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