Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
10477408 | Journal of International Economics | 2005 | 18 Pages |
Abstract
Communication costs are frequently cited as an important determinant of trade costs. We test this relationship by incorporating alternative measures of communication costs in a model of bilateral trade. We find that international variations in communication costs indeed have a significant influence on trade patterns. Furthermore, estimates using disaggregated data reveal that communication costs are more important for trade in differentiated products than for trade in homogenous products.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Carsten Fink, Aaditya Mattoo, Ileana Cristina Neagu,