Economics, Econometrics and Finance
5 years ago

Free Trade Agreements Decrease International Trade Volume for Vietnam.

The Central Asian Review of Economics and Policy
Do Free Trade Agreements Affect International Trade Volume? An Empirical Analysis for Vietnam
Nguyen Thi Ngoc Mien, Nguyen Thi Thu Ha

Paper Summary

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Free Trade Agreements (FTAs) can impact how much countries trade with each other. A study on Vietnam from 2005 to 2015 found that FTAs may actually decrease trade volume between Vietnam and its partners. This goes against what some other studies have suggested. The researchers used a gravity model to analyze trade patterns and factors like income and distance.