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The New Regionalism: Causes and Consequences

Scott Baier (), Jeffrey Bergstrand () and Peter Egger ()

Economie Internationale, 2007, issue 109, 9-29

Abstract: We address three themes on the New Regionalism. First, the prominent analogy to a “spaghetti bowl” of economic integration agreements (EIAs) should be replaced by reference to a « market » for EIAs. We suggest a systematic economic framework for analyzing « competitive liberalization » of governments in a static, long-run context. Second, we address why ex post measurements of the average (treatment) effects of EIAs on trade seem so « small ». Third, after addressing evidence for long-run determinants of competitive liberalization, we discuss how one might conceptualize the process by which governments select into EIAs over time, that is, the growth of regionalism.

Keywords: Trade; gravity equation; Free Trade Agreements; international trade; gravity model; international trade models and databases (search for similar items in EconPapers)
JEL-codes: F10 F13 F15 (search for similar items in EconPapers)
Date: 2007
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