TY  - JOUR
AU  - Estevadeordal,Antoni
AU  - Frantz,Brian
AU  - Taylor,Alan M.
TI  - The Rise and Fall of World Trade, 1870-1939
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 9318
PY  - 2002
Y2  - November 2002
UR  - http://www.nber.org/papers/w9318
L1  - http://www.nber.org/papers/w9318.pdf
N1  - Author contact info:
Antoni Estevadeordal
Integration and Trade Sector
Inter-American Development Bank
1300 New York Avenue, N.W.
Washington, D.C. 20577
E-Mail: ANTONIE@IADB.ORG

Alan M. Taylor
Department of Economics
University of Virginia
Monroe Hall
Charlottesville, VA 22903
Fax: (434) 982-2904
E-Mail: alan.m.taylor@virginia.edu
AB  - Measured by the ratio of trade to output, the period 1870 1913 marked the birth of the first era of trade globalization and the period 1914 39 its death. What caused the boom and bust? We use an augmented gravity model to examine the gold standard, tariffs, and transport costs as determinants of trade. Until 1913 the rise of the gold standard and the fall in transport costs were the main trade-creating forces. As of 1929 the reversal was driven by higher transport costs. In the 1930s, the final collapse of the gold standard drove trade volumes even lower.
ER  -