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| Author: | Ghosh, S. Yamarik, S. |
| Title: | Are regional trading arrangements trade creating? An application of extreme bounds analysis |
| Journal: | Journal of International Economics
2004 : JUL, VOL. 63:2, p. 369-395 |
| Index terms: | Trade Models |
| Language: | eng |
| Abstract: | This study uses extreme bounds analysis to test the robustness of the hypothesis that regional trading arrangements (RTAs) are trade creating (hereafter as: tr-creg). The results show that the trade creation effect of most RTAs is fragile. Using a least squares estimator where all weight is attached to the sampling distribution, eight or more of the 12 RTAs considered are found to be tr-creg. |
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