Quality of government and regional trade: evidence from European Union regions

Javier Barbero, Giovanni Mandras, Ernesto Rodriguez-Crespo and Andrés Rodríguez-Pose

Regional Studies, 2021, vol. 55, issue 7, 1240-1251

Abstract: Using a novel database of regional trade flows between 267 European regions for 2013, this paper examines how government quality affects trade between European Union (EU) regions. The results of a structural gravity cross-sectional analysis of trade show that trade across EU regions is highly influenced by differences in regional government quality. This influence varies by both sector of economic activity and the level of economic development of the region. The results indicate that if the less developed regions of the EU want to engage in greater interregional trade, improving their institutional quality is a must.

Date: 2021
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Working Paper: Quality of government and regional trade: Evidence from European Union regions (2021)
Working Paper: Quality of government and regional trade: Evidence from European Union regions (2021)
Working Paper: Quality of government and regional trade: evidence from European Union regions (2021)
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Persistent link: https://EconPapers.repec.org/RePEc:taf:regstd:v:55:y:2021:i:7:p:1240-1251

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DOI: 10.1080/00343404.2021.1873934

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