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Revisiting Border Effects to Trade Across Canadian Provinces from the Internal Trade-Migration Nexus

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  • Zaman, Mustafa Rafat

    (Bangladesh)

Abstract

In this paper, I study how interprovincial migration impacts interprovincial trade in the wake of several provincial agreements and re-examine the extent and pattern of interprovincial trade barriers in Canada. For estimation, I use a migration augmented gravity model of trade and panel data on interprovincial trade and migration flows during 2000-2016. I find that while most agreements increased trade in goods and services respectively, albeit to different extents, between member provinces, others did not. I also find that the interprovincial barriers to trade are remarkably smaller than have been previously estimated and that the barriers are larger for trade in services than goods. However, over the last two decades in Canada trade barriers have decreased by 17 percent for services but increased by 52 percent for goods flows across provinces.

Suggested Citation

  • Zaman, Mustafa Rafat, 2024. "Revisiting Border Effects to Trade Across Canadian Provinces from the Internal Trade-Migration Nexus," Journal of Economic Development, The Economic Research Institute, Chung-Ang University, vol. 49(3), pages 133-147, September.
    • Handle: RePEc:ris:jecdev:0096
    as

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    References listed on IDEAS

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    More about this item

    Keywords

    Interprovincial Trade; Interprovincial Trade Barriers; Interprovincial Migration; Gravity Model;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration
    • F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers

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