Currency unions and trade what is the impact of the euro on trade in the euro area?

The aim of this study is to estimate the effect of the euro on trade within the euro area. This has been a relevant question for European politicians ever since the launch of the common currency was agreed on in the Maastricht Treaty in 1992. To analyse the topic the gravity model of international t...

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Päätekijä: Tykkyläinen, Jasse
Muut tekijät: Jyväskylän yliopiston kauppakorkeakoulu, Jyväskylä University School of Business and Economics, Taloustieteet, University of Jyväskylä, Jyväskylän yliopisto
Aineistotyyppi: Kandityö
Kieli:eng
Julkaistu: 2012
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Linkit: https://jyx.jyu.fi/handle/123456789/38243
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author Tykkyläinen, Jasse
author2 Jyväskylän yliopiston kauppakorkeakoulu Jyväskylä University School of Business and Economics Taloustieteet University of Jyväskylä Jyväskylän yliopisto
author_facet Tykkyläinen, Jasse Jyväskylän yliopiston kauppakorkeakoulu Jyväskylä University School of Business and Economics Taloustieteet University of Jyväskylä Jyväskylän yliopisto Tykkyläinen, Jasse Jyväskylän yliopiston kauppakorkeakoulu Jyväskylä University School of Business and Economics Taloustieteet University of Jyväskylä Jyväskylän yliopisto
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description The aim of this study is to estimate the effect of the euro on trade within the euro area. This has been a relevant question for European politicians ever since the launch of the common currency was agreed on in the Maastricht Treaty in 1992. To analyse the topic the gravity model of international trade augmented with several dummy variables is employed using panel data of 29 developed countries between 1995 and 2010. The estimated aggregate trade effect on the euro zone reaches 10 % in the most preferred regression and is comparable with earlier estimates. However, there is considerable variation in the results when different sample sizes are used. This could be a sign of omitted variable bias that requires further in-depth analysis. Moreover, to help decision-makers correctly estimate the costs and benefits of the common currency additional research on trade effects in individual countries is desirable.
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spellingShingle Tykkyläinen, Jasse Currency unions and trade : what is the impact of the euro on trade in the euro area? euro area international trade gravity model monetary union Rose effect Kansantaloustiede
title Currency unions and trade : what is the impact of the euro on trade in the euro area?
title_full Currency unions and trade : what is the impact of the euro on trade in the euro area?
title_fullStr Currency unions and trade : what is the impact of the euro on trade in the euro area? Currency unions and trade : what is the impact of the euro on trade in the euro area?
title_full_unstemmed Currency unions and trade : what is the impact of the euro on trade in the euro area? Currency unions and trade : what is the impact of the euro on trade in the euro area?
title_short Currency unions and trade
title_sort currency unions and trade what is the impact of the euro on trade in the euro area
title_sub what is the impact of the euro on trade in the euro area?
title_txtP Currency unions and trade : what is the impact of the euro on trade in the euro area?
topic euro area international trade gravity model monetary union Rose effect Kansantaloustiede
topic_facet Kansantaloustiede Rose effect euro area gravity model international trade monetary union
url https://jyx.jyu.fi/handle/123456789/38243 http://www.urn.fi/URN:NBN:fi:jyu-201207192108
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