Do We Really Know That the WTO Increases Trade? Revisited

Kim Myeong Hwan ()
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Kim Myeong Hwan: Indiana University-Purdue University Fort Wayne

Global Economy Journal, 2011, vol. 11, issue 2, 21

Abstract: In this study, we revisit a recent study that examined the role of GATT/WTO membership on trade flows. With this aim, we re-examine Rose (2004a)'s study and extend the data until 2007. Furthermore, we alternatively estimate the role of the organization, GATT/WTO, on trade by including more control variables that are believed to influence bilateral trade such as a defense pact (military alliance), military disputes, joint democracy and policy similarity. Empirical results clearly demonstrate that GATT/WTO membership does have a significant positive effect on trade.

Keywords: gravity model; GATT; WTO; trade promotion; liberalization (search for similar items in EconPapers)
Date: 2011
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DOI: 10.2202/1524-5861.1728

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