The role of intra- And extra-regional agreements in trade flows- And case of the andean community of nations

Fairlie A.; Collantes E.; Castillo L. · Problemas del Desarrollo (2021) · DOI: 10.22201/iiec.20078951e.2021.204.69603

Resumen

The Andean Community of Nations (CAN), created in 1969, is a regional trade agreement designed to promote development in member countries via integration. Member countries have also signed extra-regional agreements. Fifty years after the creation of CAN, it is crucial to determine whether intra- and extra-regional agreements have played a fundamental role in member countries' trade flows, or whether other factors have significantly influenced these trade flows. This study estimates the augmented gravity model for the period 2000-2017. It found evidence that intra- and extra-regional agreements have not played a major role in CAN trade flows.

Instituciones: Pontificia Universidad Católica del Perú