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The Euro‘s effect on trade

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  • Magdalena Vlahova-Veleva

Abstract

The aim of the present paper is to study the effects of euro adoption on the trade of goods and services. For this purpose, a panel regression model is estimated for the seven euro area Member States from Central, Eastern and Southern Europe that have most recently adopted the single currency. The studied period covers the years from 2003 to 2018. The results indicate that euro area membership led to an increase in both the exports (by 3.3%) and the imports (by 2.8%) of the selected countries and for the chosen time period. This paper contributes to the existing literature by empirically examining the effect of euro area membership on trade, by covering the newly joined Member States.

Suggested Citation

  • Magdalena Vlahova-Veleva, 2020. "The Euro‘s effect on trade," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 6, pages 26-45,46-65.
    • Handle: RePEc:bas:econth:y:2020:6:1:p:26-45,46-65
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    References listed on IDEAS

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    More about this item

    JEL classification:

    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F45 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Macroeconomic Issues of Monetary Unions

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