International Integration and Growth: A Survey and Empirical Investigation

Jon D. Haveman, Vivian Lei and Janet S. Netz

Review of Development Economics, 2001, vol. 5, issue 2, 289-311

Abstract: The authors attempt a comprehensive assessment of different forms of international integration on growth. In particular, the paper considers the impact of trade flows, of inward foreign direct investment, of preferential treatment of less‐developed countries, and of membership in trade blocs. Results confirm that general openness and foreign direct investment into a country do lead to increased growth; that membership in a trade bloc facilitates growth; and that the variation in income in the trade bloc also encourages more rapid growth among member countries.

Date: 2001
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