We acknowledge financial support from the “Agricultural Trade Agreements (TRADEAG)” (Specific Targeted Research Project, contract 513666) and the “New Issues in Agricultural, Food and Bio-Energy Trade (AGFOODTRADE)” (Small and Medium-Scale Focused Research Project, grant agreement 212036) research projects, funded by the European Commission. We thank an anonymous referee for helpful comments.
Reciprocal Trade Agreements in Gravity Models: A Meta-Analysis
Article first published online: 15 JAN 2010
© 2010 Blackwell Publishing Ltd
Review of International Economics
Volume 18, Issue 1, pages 63–80, February 2010
How to Cite
Cipollina, M. and Salvatici, L. (2010), Reciprocal Trade Agreements in Gravity Models: A Meta-Analysis. Review of International Economics, 18: 63–80. doi: 10.1111/j.1467-9396.2009.00877.x
- Issue published online: 15 JAN 2010
- Article first published online: 15 JAN 2010
The gravity model is a workhorse tool applicable in a wide range of empirical fields. It is regularly used to estimate the impact of reciprocal trade agreements (RTAs) on trade flows between partners. The studies report very different estimates since there is a significant difference in datasets, sample sizes, and independent variables. This paper combines, explains, and summarizes a large number of results using a meta-analysis approach. We provide pooled estimates, obtained from fixed and random effects models of the RTAs’ effect size on bilateral trade: the hypothesis that there is no effect of RTAs on trade is robustly rejected at standard significance levels. The information collected on each estimate allows us to test the sensitivity of the results to alternative specifications and differences in the control variables considered, as well as the impact of the publication selection process.