Financial Development, Trade Costs and Bilateral Trade Flows: Connecting the Nexus in ECOWAS

The objective of this research is to determine the influence of the main factors that affect bilateral trade between Ecuador and Germany through the application of a gravity model, seeking to answer the question: how does the bilateral trade flows between Ecuador and Germany affect the size of their economies and the costs of trade? To solve it, an analysis of the bilateral trade flows between Ecuador and Germany in relation to the GDP of each country and the trade costs generated will be carried out. The study covers the period 2002 - 2017 and the information was obtained from official data bases of both countries and the United Nations. For the calculations, the linear regression using least squares was used with the software Microsoft Excel. The findings make it possible to show that Ecuador’s GDP is the most influential factor in bilateral trade flows, while Germany’s GDP has an opposite effect to that expected, decreasing trade when the GDP increases. Likewise, it is determined that, although total trade flows decrease with increasing trade costs, Ecuadorian imports do not decrease in this increase.

Download Full-text

Temporary Migration and Bilateral Trade Flows

World Economy ◽

10.1111/j.1467-9701.2009.01167.x ◽

2009 ◽

Vol 32 (5) ◽

pp. 735-753 ◽

Cited By ~ 27

Author(s):

Marion Jansen ◽

Roberta Piermartini

Keyword(s):

Bilateral Trade ◽

Trade Flows ◽

Temporary Migration ◽

Bilateral Trade Flows

Download Full-text

Reconfiguring maritime networks due to the Belt and Road Initiative: impact on bilateral trade flows

Maritime Economics & Logistics ◽

10.1057/s41278-021-00192-9 ◽

2021 ◽

Author(s):

Naima Saeed ◽

Kevin Cullinane ◽

Victor Gekara ◽

Prem Chhetri

Keyword(s):

Bilateral Trade ◽

Trade Flows ◽

Belt And Road Initiative ◽

Maritime Networks ◽

Bilateral Trade Flows ◽

Belt And Road ◽

The Belt And Road

Download Full-text

Determinants of Bilateral Trade Flows

The Journal of Business ◽

10.1086/296358 ◽

1986 ◽

Vol 59 (4) ◽

pp. 623 ◽

Cited By ~ 55

Author(s):

Rajendra K. Srivastava ◽

Robert T. Green

Keyword(s):

Bilateral Trade ◽

Trade Flows ◽

Bilateral Trade Flows

Download Full-text

The Formation of AFTA and Trade Diversion: Evidence from China’s Agricultural Exports

International Studies Review ◽

10.1163/2667078x-01701002 ◽

2016 ◽

Vol 17 (1) ◽

pp. 25-36

Author(s):

Nguyen Khanh Doanh ◽

Jeehoon Lee ◽

Yoon Heo

Keyword(s):

Panel Data ◽

Free Trade Agreement ◽

Bilateral Trade ◽

Trade Agreement ◽

Trade Diversion ◽

Trade Flows ◽

Agricultural Products ◽

Agricultural Exports ◽

Trading Partners ◽

Bilateral Trade Flows

This study analyzes the impacts of the formation of AFTA (ASEAN Free Trade Agreement) on China’s agricultural exports. The Hausman-Taylor analysis is applied to panel data collected from China and its 68 trading partners from 1993–2012. Our major findings areas follows. First, the discrimination in tariffs imposed by AFTA diverts trade in agricultural products from China toward AFTA’s member countries. Second, at the sectoral level, the trade diversion effects of AFTA’s formation on China’s exports are significant in the case of beverage and tobacco industries. AFTA and China need to focus more on diversifying and differentiating their farming products. To gain better access to AFTA’s market, more investment in research and development activities is recommended as a cure for Chinese farmers. Moreover, this study implies that more efforts in reducing tariff and non-tariff barriers to further liberalize trade between China and AFTA could enhance their bilateral trade flows.

Download Full-text