Final published version
Research output: Contribution to Journal/Magazine › Journal article › peer-review
Research output: Contribution to Journal/Magazine › Journal article › peer-review
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TY - JOUR
T1 - Trade integration and business cycle convergence
T2 - is the relation robust across time and space?
AU - Abbott, Andrew James
AU - Easaw, Joshy
AU - Xing, Tao
PY - 2008/6/1
Y1 - 2008/6/1
N2 - In this paper we investigate the relationship between trade intensity and the business cycle correlation using a panel data set taken from 24 countries over the period 1959–2003. Most previous studies did not account for the possibility that the business cycle correlation may be influenced by unobservable country‐pair specific effects. Our estimates, using both fixed‐ and random‐effects methodologies, suggest that trade intensity and the business cycle correlation are positively related to one another. However, detailed investigation shows that this relationship exists mainly for the European countries.
AB - In this paper we investigate the relationship between trade intensity and the business cycle correlation using a panel data set taken from 24 countries over the period 1959–2003. Most previous studies did not account for the possibility that the business cycle correlation may be influenced by unobservable country‐pair specific effects. Our estimates, using both fixed‐ and random‐effects methodologies, suggest that trade intensity and the business cycle correlation are positively related to one another. However, detailed investigation shows that this relationship exists mainly for the European countries.
KW - Economic integration
KW - Trade Intensity
U2 - 10.1111/j.1467-9442.2008.00539.x
DO - 10.1111/j.1467-9442.2008.00539.x
M3 - Journal article
VL - 110
SP - 403
EP - 417
JO - The Scandinavian Journal of Economics
JF - The Scandinavian Journal of Economics
SN - 0347-0520
IS - 2
ER -