Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/2690 
Year of Publication: 
2002
Series/Report no.: 
Kiel Working Paper No. 1088
Publisher: 
Kiel Institute of World Economics (IfW), Kiel
Abstract: 
The analysis of Baltic regional trade patterns reveals that during the nineties the Baltic states made significant progress to integrate into the Western European division of labour although a significant share of (transit) trade with Russia remained. In view of this development, history seems to matter with respect to the interwar period and the period of Soviet occupation. In addition, a trade entropy analysis and gravity model estimates show that European integration of the Baltic states has a regional centre of gravity located in the Baltic Sea region. The Baltic trade flows increasingly follow the gravitational forces that generally shape trade relations, while regional integration is still much more important than it is normally the case.
Subjects: 
regional integration
gravity model
Baltic trade patterns
Eastern enlargement
JEL: 
F15
N74
F14
Document Type: 
Working Paper

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