Trade Agreements Reshape Global Trade Patterns, Clustering Nations
The study looked at whether trade deals and economic unions make countries trade more with each other. They used a model to see if being part of these agreements changed how much countries traded with each other. They found that countries trade more if they are members of these agreements. The study also showed that countries tend to trade more with partners that are closer to them geographically. Overall, being in trade deals and unions can create clusters of countries trading with each other.