Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/53715
Authors: 
Banik, Nilanjan
Gilbert, John
Year of Publication: 
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.
JEL: 
C32
F02
F15
Document Type: 
Working Paper

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