Are Africa's Currency Unions Good for Trade&quest
Charalambos Tsangarides,
Pierre Ewenczyk,
Michal Hulej and
Mahvash Qureshi
IMF Staff Papers, 2009, vol. 56, issue 4, 876-918
Abstract:
This paper explores and quantifies several aspects of the performance of Africa's currency unions. It benchmarks Africa's experience with that of the world using an augmented version of the gravity model and applying a comprehensive set of robustness checks. The empirical findings suggest that membership in a currency union should benefit Africa as much as it does the rest of the world. In addition, for both samples, we find evidence that (1) there is a significant currency union trade-generating effect; (2) currency unions are associated with trade creation and increased price comovements among member countries; and (3) the duration of currency union membership matters for trade: longer duration brings about greater benefits, and vice versa, however with some diminishing returns.
Date: 2009
References: Add references at CitEc
Citations: View citations in EconPapers (9)
Downloads: (external link)
http://www.palgrave-journals.com/imfsp/journal/v56/n4/pdf/imfsp200827a.pdf Link to full text PDF (application/pdf)
http://www.palgrave-journals.com/imfsp/journal/v56/n4/full/imfsp200827a.html Link to full text HTML (text/html)
Access to full text is restricted to subscribers.
Related works:
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:pal:imfstp:v:56:y:2009:i:4:p:876-918
Ordering information: This journal article can be ordered from
http://www.springer. ... cs/journal/41308/PS2
Access Statistics for this article
More articles in IMF Staff Papers from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().