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Does international trade catch up with national trade of countries? Yes

Author

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  • Langhammer, Rolf J.

Abstract

The paper applies an index suggested by Jeffrey Frankel on how to measure the gap between the intensity of national versus international transactions of a country to more than 100 countries over four periods between 1990 and 2005. The gap stands for incomplete globalization. It is shown that the gap has steadily declined for most countries over the sample period irrespective of income levels. While larger economies are still less globalized than small economies, differences in domestic market size have become less important as a dividing linie between more and less globalized economies.

Suggested Citation

  • Langhammer, Rolf J., 2009. "Does international trade catch up with national trade of countries? Yes," Kiel Working Papers 1519, Kiel Institute for the World Economy (IfW Kiel).
    • Handle: RePEc:zbw:ifwkwp:1519
    as

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    File URL: https://www.econstor.eu/bitstream/10419/28348/1/600479927.PDF
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    References listed on IDEAS

    as
    1. Engel, Charles & Rogers, John H, 1996. "How Wide Is the Border?," American Economic Review, American Economic Association, vol. 86(5), pages 1112-1125, December.
    2. Jeffrey A. Frankel, 2000. "Globalization of the Economy," NBER Working Papers 7858, National Bureau of Economic Research, Inc.
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    More about this item

    Keywords

    Globalization; Market Integration; International Trade;
    All these keywords.

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration

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