THE UNEVEN ROLES OF FTAS: SELECTION EFFECT OR “LEARNING” EFFECT?

Faqin Lin

Review of Applied Economics, 2012, vol. 08, issue 01

Abstract: Previous studies on the role of FTAs in promoting members’ international trade have usually focused on FTA premium, ignoring the difference between selection effects – trade developments before the formation of FTAs – and “learning” effects – trade growth after the formation of FTAs. This paper considers this difference, using a large bilateral trade panel comprising data covering more than 50 years from 178 countries. South–South FTAs and North– South FTAs are most related to the selection effect while North–North FTAs have a significant “learning” effect.

Keywords: International; Relations/Trade (search for similar items in EconPapers)
Date: 2012
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Related works:
Journal Article: The Uneven Roles of FTAs: Selection Effect or “Learning” Effect? (2012)
Working Paper: The Uneven Roles of FTAs: Selection Effect or "Learning" Effect? (2010)
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Persistent link: https://EconPapers.repec.org/RePEc:ags:reapec:264576

DOI: 10.22004/ag.econ.264576

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