Trade agreements and subnational income of border regions
研究了贸易协定对拥有国际边界的次国家级地区人均收入的影响,发现贸易协定能补偿边境地区的潜在收入劣势,有助于解释和缓解区域不平等。
Abstract This paper analyses the differential effect of trade agreements on income per capita of subnational regions with international borders. We construct an extensive panel dataset covering 1350 regions in 86 countries worldwide between 1950 and 2017. Our results show that trade agreements are positively associated with income per capita of regions sharing contiguous borders with trading partners, relative to regions sharing borders with countries with whom no trade agreements exist. For border regions, the positive relationship of trade agreements and regional income roughly compensates potential income disadvantages of having international borders. These insights help in explaining and mitigating regional inequalities.