Whither the Gains from European Economic Integration?

Italianer, Alexander

doi:10.2307/3502355

Cited by 12 publications

(17 citation statements)

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“…12. Other studies of European integration also find support for the hypothesis that integration led to growth; see, for example, Baldwin and Seghezza (1996), Coe and Moghadam (1993), Italianer (1994), and Kokko (1994). 13.…”

Section: Discussionmentioning

confidence: 85%

International Integration and Growth: A Survey and Empirical Investigation

Haveman

Lei

Netz

2001

Review Development Economics

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The authors attempt a comprehensive assessment of different forms of international integration on growth. In particular, the paper considers the impact of trade flows, of inward foreign direct investment, of preferential treatment of less-developed countries, and of membership in trade blocs. Results confirm that general openness and foreign direct investment into a country do lead to increased growth; that membership in a trade bloc facilitates growth; and that the variation in income in the trade bloc also encourages more rapid growth among member countries.

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Section: Discussionmentioning

confidence: 85%

International Integration and Growth: A Survey and Empirical Investigation

Haveman

Lei

Netz

2001

Review Development Economics

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“…With respect to trade and growth, Bassanini et al (2001) conclude that an increase in trade exposure is associated with an increase in steadystate output per capita for a sample of 21 OECD countries between 1971 and 1998. Italianer (1994) found that trade based proxies for integration increased per capita output growth by 0.3 percentage points in six EU countries between 1961 and 1992. Similarly, Alcalá and Ciccone (2003) found that an increase in real openness (total trade measured in purchasing power parities relative to GDP) from the 25 th to 75 th percentile was associated with a 0.8 percent increase in the annual growth rate.…”

Section: Resultsmentioning

confidence: 99%

“…Previous literature provides mixed evidence regarding the contribution of integration on economic growth. For example, studies of the European Union show that regional integration and its effects on trade and growth have been positive in some analyses (Italianer, 1994;Henrekson et al, 1997), while in others, EU membership appears insignificant in explaining GDP growth rates (Landau, 1995;Vamvakidis, 1999;Vanhoudt, 1999).…”

Section: Introductionmentioning

confidence: 99%

The Contribution of Intra-Regional and Extra-Regional Trade to Growth: Evidence from the European Union

Wooster¹,

Banda²,

Dube³

2008

JEI

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In this paper, we assess whether trade among member countries of a regional trade agreement (intra-regional trade) contributes more to output growth than trade with nonmember countries (extra-regional trade). We use Granger causality tests to evaluate the trade-growth relationship in 13 countries from the European Union and separately estimate the differential impact of the two kinds of trade on economic growth over the period 1980-2003. In addition to the basic influences of investment and population growth, we find that intra-regional trade has had a lesser impact on growth in output per capita than extra-regional trade by almost 30%.• JEL classification: F13, F43, C33 *Corresponding address: Rossitza B. Wooster;

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“…• Italianer (1994) regressed GDP growth on capital, labor, and trade-based proxies for integration among EC-6 and EC-12 countries for 1961-92. He found significant positive effects of integration on growth, suggesting that growing trade had contributed to growing GDP.…”

Section: Studies Of the Growth Effects Of European Integrationmentioning

confidence: 99%

EU Expansion and EU Growth

Deardorff

Stern

2004

The Past, Present and Future of the European Union

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Almost from its inception as the European Economic Community, the European Union has excited the hope if not the expectation that it would generate dynamic gains from trade, including perhaps a permanent increase in the rates of growth of participating countries. This paper examines the empirical evidence relating to this issue and then interprets the economic performance of the EU countries in terms of a simple theoretical model of economic integration with increasing returns to scale. The paper concludes that evidence for increased long-run growth rates of the EU countries is weak, and that what may have happened instead is that countries have benefited asymmetrically from the formation and the later expansion of the EU. Benefits of economic integration appear to accrue-in the form of temporarily higher growth rates leading to higher levels of per capita income-first to large countries and then to some smaller countries that entered the arrangement relatively early.

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Whither the Gains from European Economic Integration?

Cited by 12 publications

References 0 publications

International Integration and Growth: A Survey and Empirical Investigation

International Integration and Growth: A Survey and Empirical Investigation

The Contribution of Intra-Regional and Extra-Regional Trade to Growth: Evidence from the European Union

EU Expansion and EU Growth

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