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Regionalization and Home Bias: The Case of Canada

Author

Listed:
  • Ceglowski, Janet

    (Bryn Mawr College)

Abstract

The bilateral trade flows between Canada and the US have grown rapidly in the 1990s. Are they evidence of an emerging North American trading bloc? A gravity model of trade finds that while economic size and proximity can explain much of the substantial trade between Canada and the US, the US bias in Canada’s merchandise trade has grown since the formation of the Canada-US Free Trade Area. The rise in the US bias reflects an emerging gap between Canada's home bias relative to the US and its home bias relative to the other major industrial countries.

Suggested Citation

  • Ceglowski, Janet, 2000. "Regionalization and Home Bias: The Case of Canada," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 15, pages 548-564.
    • Handle: RePEc:ris:integr:0145
    as

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    More about this item

    Keywords

    Canada; United States; Trade; Integration;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration

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