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Pacific Islands' Bilateral Trade: The Role of Remoteness and of Transport Costs

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  • Lisa Borgatti

Abstract

Bilateral trade of geographically distant countries is likely to be negatively affected by the distance separating them from their trading partners and positively affected by their remoteness, defined as the average weighted distance between two countries with weights reflecting the absorptive capacity of the partner country. In presence of competitive transport costs, the effect of remoteness and distance is diluted.

Suggested Citation

  • Lisa Borgatti, 2007. "Pacific Islands' Bilateral Trade: The Role of Remoteness and of Transport Costs," WIDER Working Paper Series RP2007-21, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:rp2007-21
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    File URL: https://www.wider.unu.edu/sites/default/files/rp2007-21.pdf
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    Cited by:

    1. Anna Maria Pinna & Vania Licio, 2013. "Measuring insularity as a state of nature. Is there a case of bad geography," ERSA conference papers ersa13p706, European Regional Science Association.

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