By Leroy, Werner
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Additional resources for Principles of Financial Economics Leroy and Werner
Sample text
The Economics of Preferential Trade Agreements (Washington, DC: American Enterprise Institute and AEI Press), 1–78. , and C. Guillemineau (2006), ‘Determinants of Business Cycle Synchronisation across Euro Area Countries’, Working Paper no. 587, European Central Bank, Frankfurt. Campa, J. , and L. S. Goldberg (1997), ‘The Evolving External Orientation of Manufacturing Industries: Evidence from Four Countries’, Federal Reserve Bank of New York Economic Policy Review, 3, 2, 53–81. , S. P. Dimelis and T.
Whiteman (2003), ‘International Business Cycles: World, Religion, and Country-specific Factors’, American Economic Review, 93, 4, 1216–39. Leamer, E. E. (2006), ‘A Flat World, a Level Playing Field, a Small World after all, or None of the Above? Review of Thomas L. Friedman, The World is Flat’, Journal of Economic Literature, 45, 1, 83–126. , and K. ’, North American Journal of Economics and Finance, 17, 3, 283–301. Lumsdaine, R. , and E. S. Prasad (2003), ‘Identifying the Common Component in International Economic Fluctuations: A New Approach’, Economic Journal, 113, January, 101–27.
4) FTAs: membership of and participation in a free trade agreement (such as 28 M. Bussière and B. 6 In more formal terms, the following gravity equation was estimated, in which all the variables included are defined in logarithms: Tijt ¼ ij þ t þ 1 yijt þ 2 dij þ 3 qit þ 4 qjt þ K X k Zijkt þ "ijt k¼1 Tijt is the magnitude of bilateral trade between country i and country j at time t (in real US dollar terms); yijt corresponds to the sum of yit and yjt, which stand for the (real) GDP in country i and country j, respectively, at time t; dij is the distance variable; and Zk is a dummy variable for country pairs sharing a common language or a common border, having a common history or being members of the same free trade areas, as outlined above.