@misc{10481/31580,
year = {2012},
url = {http://hdl.handle.net/10481/31580},
abstract = {In this paper we present new evidence on the euro effect on trade. We use a data set containing all bilateral combinations in a panel of 26 OECD countries during the period 1967-2008. From a methodological point of view, we implement a new generation of tests that allow solving some of the problems derived from the non-stationary nature of the data. To this aim we apply panel tests that account for the presence of cross-section dependence as well as discontinuities in the non-stationary panel data. We test for cointegration between the variables using panel cointegration tests, especially the ones proposed by Banerjee and Carrióni- Silvestre (2010). We also efficiently estimate the long-run relationships using the CUP-BC and CUP-FM estimators proposed in Bai et al. (2009). We argue that, after controlling for cross-section dependence and deterministic trends and breaks in trade integration, the euro appears to generate lower trade effects than predicted in previous studies.},
organization = {Financing from Spanish MICINN [ECO2011-30260-C03-01, ECO2008-05908-C02-01 and 02/ECON and SEJ2007-62081 (E. Gómez)]. M. Camarero and C. Tamarit are members of INTECO research group funded by Generalitat Valenciana,
project PROMETEO/2009/098.},
publisher = {Universidad de Granada. Departamento de Teoría e Historia Económica},
keywords = {Gravity models},
keywords = {Trade},
keywords = {Panel cointegration},
keywords = {Common factors},
keywords = {Structural breaks},
keywords = {Cross-section dependence},
title = {The euro impact on trade: long run evidence with structural breaks},
author = {Camarero, Mariam and Gómez-Herrera, Estrella and Tamarit, Cecilio},
}