IDEAS home Printed from https://ideas.repec.org/p/ris/drxlwp/2024_011.html
   My bibliography  Save this paper

Does the WTO Promote Trade? A Meta-analysis

Author

Listed:
  • Campos, Rodolfo

    (Banco de España)

  • Larch, Mario

    (University of Bayreuth)

  • Timini, Jacopo

    (Banco de España)

  • Vidal, Elena

    (Banco de España)

  • Yotov, Yoto

    (Drexel University)

Abstract

The World Trade Organization (WTO) and its predecessor, the General Agreement on Tariffs and Trade (GATT), are key institutions of the multilateral trading system. While the WTO is expected to promote trade by reducing tariffs and non-tariff barriers, existing estimates of its effect on trade vary widely in magnitude, sign, and significance. We collect 2,547 estimates from 71 papers and apply meta-analysis techniques to conduct a systematic quantitative review of the literature, complementing it with established advances in gravity models to obtain estimates of the WTO's impact on trade. The meta-analysis shows that, on average, the literature finds a significant and positive trade effect of the WTO, although the estimates depend strongly on study characteristics. Moreover, we find no evidence of publication bias. Our structural gravity estimates confirm these findings: the WTO increases trade. However, the effects are heterogeneous across sectors and income levels of trading partners.

Suggested Citation

  • Campos, Rodolfo & Larch, Mario & Timini, Jacopo & Vidal, Elena & Yotov, Yoto, 2024. "Does the WTO Promote Trade? A Meta-analysis," School of Economics Working Paper Series 2024-11, LeBow College of Business, Drexel University.
    • Handle: RePEc:ris:drxlwp:2024_011
    as

    Download full text from publisher

    File URL: https://drive.google.com/file/d/157k1PMotQrryqZKwgwoPvTA2Z74-twBv/view?usp=sharing
    File Function: Full text
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    World Trade Organization trade; gravity model; meta-analysis;
    All these keywords.

    JEL classification:

    • C83 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Survey Methods; Sampling Methods
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:drxlwp:2024_011. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Richard C. Barnett (email available below). General contact details of provider: https://edirc.repec.org/data/cbdreus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.