The long-run decline in the share of agricultural and food products in international trade: a gravity equation approach to its causes |
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| Authors: | Raú l Serrano Vicente Pinilla |
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| Institution: | 1. Faculty of Economics and Business Studies, Department of Business Administration , Universidad de Zaragoza , Gran Via 4, Zaragoza 50005, Spain raser@unizar.es;3. Faculty of Economics, Department of Applied Economics and Economic History , Universidad de Zaragoza , Gran Via 4, Zaragoza 50005, Spain |
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| Abstract: | The objective of this study is to determine the causes of the loss of share of agricultural products and food in international trade. The article compares, using a gravity model, the impact of various factors upon bilateral trade in agricultural products, in manufactures and in total trade, between 1963 and 2000 for a representative sample of 40 countries. The results clearly demonstrate how the low demand elasticity for agricultural products and food, the high degree of protectionism to which they were subjected and their meagre share in intra-industrial trade are the principal causes of their relatively slow growth. |
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| Keywords: | agri-food trade international trade gravity model second globalization |
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