THE IMPACT OF GATT ON INTERNATIONAL TRADE: EVIDENCE FROM STRUCTURAL BREAK ANALYSIS

Suleiman Abu-Bader () and Aamer Abu-Qarn ()

Applied Econometrics and International Development, 2008, vol. 8, issue 2, 23-36

Abstract: In this study we test for structural changes in international trade patterns of 77 countries over the post-WWII period, to examine if they experienced a substantial increase in their trade ratios following major GATT rounds such as the Kennedy Round, or after joining GATT. Our results show that trade ratios of most of these countries exhibited structural breaks in their time paths, however, most of the postbreak paths were below the extrapolated prebreak paths. Furthermore, while the significant break years coincided closely with major regional and international events such as the oil shocks of the 70s and the East-Asian financial crisis in 1997, they occurred far before or after the time of a country's accession to GATT or the time of the major GATT rounds.

Keywords: International Trade; Trade Liberalization; Structural Change; Oil Shocks; Kennedy Round; East Asia; Financial Crisis. (search for similar items in EconPapers)
JEL-codes: C22 F1 (search for similar items in EconPapers)
Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.usc.es/economet/reviews/aeid823.pdf
No.

Related works:
Working Paper: The Impact Of GATT On International Trade: Evidence From Structural Break Analysis (2007)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eaa:aeinde:v:8:y:2008:i:2_3

Ordering information: This journal article can be ordered from
http://www.usc.es/economet/info.htm

Access Statistics for this article

More articles in Applied Econometrics and International Development from Euro-American Association of Economic Development
Bibliographic data for series maintained by M. Carmen Guisan ().