TY  - JOUR
AU  - Glick,Reuven
AU  - Rose,Andrew K.
TI  - Does a Currency Union Affect Trade? The Time Series Evidence
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 8396
PY  - 2001
Y2  - July 2001
UR  - http://www.nber.org/papers/w8396
L1  - http://www.nber.org/papers/w8396.pdf
N1  - Author contact info:
Reuven Glick
Economic Research Department
Federal Reserve Bank of San Francisco
101 Market Street
San Francisco, CA  94105
Tel: 415/974-3184
Fax: 415/974-2168
E-Mail: reuven.Glick@sf.frb.org

Andrew K. Rose
Haas School of Business Administration
University of California, Berkeley
Berkeley, CA 94720-1900
Tel: 510/642-6609
Fax: 510/642-4700
E-Mail: arose@haas.berkeley.edu
AB  - Does leaving a currency union reduce international trade? We answer this question using a large annual panel data set covering 217 countries from 1948 through 1997. During this sample a large number of countries left currency unions; they experienced economically and statistically significant declines in bilateral trade, after accounting for other factors. Assuming symmetry, we estimate that a pair of countries that starts to use a common currency experiences a doubling in bilateral trade.
ER  -