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Spatial markets and the potential for economic integration between Canadian and U.S. regions.
- Source :
-
Papers in Regional Science . 2002, Vol. 81 Issue 1, p99. 22p. 2 Charts. - Publication Year :
- 2002
-
Abstract
- The potential for further economic integration among Canadian and American regions is measured by comparing province-to-state trade with state-to-state trade, where the latter is used as a benchmark of integration. To accomplish this, an attraction constrained gravity model is derived from micro foundations and estimated. The analysis demonstrates that after controlling for variations in output, distance, wages, productivity, and localization economies, the border remains a significant barrier to trade, although much less than previous estimates of the border effect using internal Canadian trade as a benchmark. The model's results also indicate that the border's influence varies across sectors, and the influence appears to be, in part, related to the presence of tariff and non-tariff barriers. [ABSTRACT FROM AUTHOR]
- Subjects :
- *INTERNATIONAL economic integration
*INTERNATIONAL economic relations
Subjects
Details
- Language :
- English
- ISSN :
- 10568190
- Volume :
- 81
- Issue :
- 1
- Database :
- Academic Search Index
- Journal :
- Papers in Regional Science
- Publication Type :
- Academic Journal
- Accession number :
- 6079199