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Institutional quality as a barrier to trade

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  • Kristie Briggs

Abstract

Improvement of institutional quality abroad encourages new domestic firms to export to these countries, but has no effect on the volume of exports from incumbent firms. Thus, poor institutional quality acts as a barrier to the extensive margin of trade. As a result, policies that encourage the strengthening of foreign institutions coincide with national export initiatives such as the one launched by President Obama in 2010.

Suggested Citation

  • Kristie Briggs, 2013. "Institutional quality as a barrier to trade," Applied Economics Letters, Taylor & Francis Journals, vol. 20(16), pages 1453-1458, November.
    • Handle: RePEc:taf:apeclt:v:20:y:2013:i:16:p:1453-1458
    DOI: 10.1080/13504851.2013.826862
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    Cited by:

    1. Suadat Hussain Wani & Effat Yasmin, 2023. "India’s trade with South and Central Asia: an application of institution-based augmented gravity model," Future Business Journal, Springer, vol. 9(1), pages 1-12, December.
    2. Mamadou Bah & Henri Atangana Ondoa & Koffi Délali Kpognon, 2021. "Effects of governance quality on exports in Sub-Saharan Africa," International Economics, CEPII research center, issue 167, pages 1-14.
    3. Abdikarim Bashir Jama, 2020. "The Effect of Institutional Quality on Export performance of Middle East & North-Africa Region," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 4(1), pages 14-20, January.
    4. Nadine McCloud & Ajornie Taylor, 2022. "Does inflation targeting matter for international trade? A synthetic control analysis," Empirical Economics, Springer, vol. 63(5), pages 2427-2478, November.

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