Estimating the Euro Effects on Trade with Propensity Score Matching

@article{Chintrakarn2007EstimatingTE,
  title={Estimating the Euro Effects on Trade with Propensity Score Matching},
  author={P. Chintrakarn},
  journal={European Economics: Macroeconomics & Monetary Economics eJournal},
  year={2007}
}
  • P. Chintrakarn
  • Published 2007
  • Economics
  • European Economics: Macroeconomics & Monetary Economics eJournal
  • We investigate the effect of the euro on trade among EMU members. Using various semi-nonparametric methods based on matching, we find that the euro has a statistical and economic impact on trade. The results show that two countries sharing the euro currency trade somewhere between 9% and 14% more than other country-pairs. In addition, we find no evidence of trade diversion due to the euro. 
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