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Exploring European Regional Trade

Author

Listed:
  • Marta A. Santamaría
  • Jaume Ventura
  • Uğur Yeşilbayraktar

Abstract

We use the new dataset of trade flows across 269 European regions in 24 countries constructed in Santamaría et al. (2020) to systematically explore for the first time trade patterns within and across country borders. We focus on the differences between home trade, country trade and foreign trade. We document the following facts: (i) European regional trade has a strong home and country bias, (ii) geographic distance and national borders are important determinants of regional trade, but cannot explain the strong regional home bias and (iii) the home bias is heterogeneous across regions and seems to be driven by political regional borders.

Suggested Citation

  • Marta A. Santamaría & Jaume Ventura & Uğur Yeşilbayraktar, 2023. "Exploring European Regional Trade," NBER Working Papers 31037, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:31037
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    Cited by:

    1. Rodolfo G. Campos & Benedikt Heid & Jacopo Timini, 2024. "The economic consequences of geopolitical fragmentation: Evidence from the Cold War," Papers 2404.03508, arXiv.org.
    2. Hanna Adam & Mario Larch & Jordi Paniagua, 2023. "Spain, Split and Talk: Quantifying Regional Independence," CESifo Working Paper Series 10742, CESifo.

    More about this item

    JEL classification:

    • F0 - International Economics - - General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration

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