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European integration and trade flows

Author: Röller, Lars-Hendrik ; Neven, Damien J.INSEAD Area: Economics and Political ScienceIn: European Economic Review, vol. 35, no. 6, August 1991 Language: EnglishDescription: p. 1295-1310.Type of document: INSEAD ArticleNote: Please ask the Library for this articleAbstract: The paper aims to assess the extent to which the four large European countries are already integrated. It studies trade flows in the manufacturing sector (disaggregated in 29 industries) for the period 1975-85 within the EC, and between EC members and the rest of the world. There is no strong evidence that integration has receded; rather it is tentatively concluded that intra-European integration has proceeded alongside integration with the rest of the world with the exception of the food industry. An econometric model is estimated which accounts for trade flows (within the EC and with the rest of the world). It is observed that non-tariff barriers hamper trade between Europe and the rest of the world significantly more than intra-European trade
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The paper aims to assess the extent to which the four large European countries are already integrated. It studies trade flows in the manufacturing sector (disaggregated in 29 industries) for the period 1975-85 within the EC, and between EC members and the rest of the world. There is no strong evidence that integration has receded; rather it is tentatively concluded that intra-European integration has proceeded alongside integration with the rest of the world with the exception of the food industry. An econometric model is estimated which accounts for trade flows (within the EC and with the rest of the world). It is observed that non-tariff barriers hamper trade between Europe and the rest of the world significantly more than intra-European trade

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