What Separates Us? Sources of Resistance to Globalization

Keith Head and Thierry Mayer

Working Papers from CEPII research center

Abstract: With increasing sophistication, economists have been estimating gravity equations for five decades. Robust evidence shows that borders and distance impede trade by much more than tariffs or transport costs can explain. We therefore advocate investigation of other sources of resistance, despite the greater difficult involved in measuring and modeling them. From our selective review of recent findings, a unifying explanation emerges. A legacy of historical isolation and conflict forged a world economy in which neither tastes nor information are homogeneously distributed. Cultural difference and inadequate information manifest themselves most strongly at national borders and over distance.

Keywords: Globalization; Gravity; Cultural differences (search for similar items in EconPapers)
JEL-codes: F10 (search for similar items in EconPapers)
Date: 2013-09
New Economics Papers: this item is included in nep-geo, nep-his and nep-int
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Citations: View citations in EconPapers (151)

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Related works:
Journal Article: What separates us? Sources of resistance to globalization (2013)
Working Paper: What separates us? Sources of resistance to globalization (2013)
Working Paper: What Separates Us? Sources of Resistance to Globalization (2013)
Working Paper: What Separates Us? Sources of Resistance to Globalization (2013)
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Persistent link: https://EconPapers.repec.org/RePEc:cii:cepidt:2013-26

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