Does English proficiency promote international trade?

Cristina Strango, Mihai Mutascu and Scott W. Hegerty

International Economics, 2025, vol. 183, issue C

Abstract: This study examines the impact of English proficiency on international trade using panel ARDL models with data from 105 countries spanning the period from 2011 to 2023. The findings reveal that English proficiency facilitates long-term growth in trade volumes by reducing transaction costs and enhancing global market access. However, its effects on trade balances are mixed, with regions such as Europe and Latin America experiencing negative associations, while Asia and the Middle East benefit from export-driven gains. In contrast, minimal long-term impact is observed in Africa due to linguistic diversity and structural challenges. The study highlights regional and contextual differences, emphasizing the importance of tailored policies to maximize trade benefits.

Keywords: English proficiency; International trade; Factors; World disparities (search for similar items in EconPapers)
JEL-codes: C23 F10 Z13 (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:inteco:v:183:y:2025:i:c:s2110701725000514

DOI: 10.1016/j.inteco.2025.100628

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