Institutions , trade policy and trade flows

  title={Institutions , trade policy and trade flows},
  author={Marion Jansen and Hildegunn Kyvik Nord{\aa}s},
This paper analyses to which extent domestic institutions affect trade flows. We use two complementary approaches, one focusing on the size of total trade flows and one focusing on bilateral trade patterns (gravity equation). Besides, we control for two other domestic policy variables: trade policy and domestic infrastructure. We find that the quality of institutions has a positive and significant impact on a country’s level of openness. Domestic tariffs have no statistically significant impact… CONTINUE READING


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