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Title:Regional integration and trade costs in South Asia PDF Logo
Authors:Banik, Nilanjan
Gilbert, John
Issue Date:2008
Series/Report no.:ADBI working paper series 127
Abstract:Until now, the value of inter-country trade within South Asian nations has been low. While similarities in the exports profiles can be seen as a reason for this low value of trade, it might not be a valid one, especially given the presence of growing South Asian income. The intraindustry trade theory suggests that complementarity might actually increase trade in the presence of a rising income. There may be other important factors such as trade costs. Using an augmented gravity model in a panel framework, we try to identify the components of trade costs that might have resulted in lower inter-country South Asian trade.
Document Type:Working Paper
Appears in Collections:ADBI Working Paper Series, Asian Development Bank Institute (ADBI)

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