We explore the geo-strategic determinants of bilateral trade flows between the USA and the rest of the world. We develop a three-party model of security and trade patterns and use data on military assistance and troop deployments over the 1950-2009 period to validate its predictions. We find that security assistance has significant, positive impacts on the shares of bilateral trade between the USA and the recipient country, results that are robust to issues of reverse causality and hold across different sectors.
Bove, V., Elia, L., Sekeris, P. (2014). US Security Strategy and the Gains from Bilateral Trade. REVIEW OF INTERNATIONAL ECONOMICS, 22(5), 863-885 [10.1111/roie.12141].
US Security Strategy and the Gains from Bilateral Trade
Elia, L;
2014
Abstract
We explore the geo-strategic determinants of bilateral trade flows between the USA and the rest of the world. We develop a three-party model of security and trade patterns and use data on military assistance and troop deployments over the 1950-2009 period to validate its predictions. We find that security assistance has significant, positive impacts on the shares of bilateral trade between the USA and the recipient country, results that are robust to issues of reverse causality and hold across different sectors.
| File | Dimensione | Formato | |
|---|---|---|---|
|
Bove-2014-RevIntEco-VoR.pdf
Solo gestori archivio
Tipologia di allegato:
Publisher’s Version (Version of Record, VoR)
Licenza:
Tutti i diritti riservati
Dimensione
240.29 kB
Formato
Adobe PDF
|
240.29 kB | Adobe PDF | Visualizza/Apri Richiedi una copia |
I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
