
The Contribution of Intra-Regional and Extra-Regional Trade to Growth
Evidence from the European Union
- Rossitza B. Wooster Tepa M. Banda Smile Dube
- 세종대학교 경제통합연구소
- Journal of Economic Integration
- 제23권 제1호
- 등재여부 : KCI등재
- 2008.03
- 161 - 182 (22 pages)
In this paper, we assess whether trade among member countries of a regional trade agreement (intra-regional trade) contributes more to output growth than trade with nonmember countries (extra-regional trade). We use Granger causality tests to evaluate the trade-growth relationship in 13 countries from the European Union and separately estimate the differential impact of the two kinds of trade on economic growth over the period 1980-2003. In addition to the basic influences of investment and population growth, we find that intra-regional trade has had a lesser impact on growth in output per capita than extra-regional trade by almost 30%.
Ⅰ. Introduction
Ⅱ. Background
Ⅲ. Data
Ⅳ. Empirical Framework
Ⅴ. Empirical Results
Ⅵ. Concluding Remarks