Trade bloc formation in inter-war Japan. A gravity model analysis

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Abstract

The purpose of this paper is to discuss the trading system in the inter-war period concerning the Japanese Empire by means of border effect analysis in the gravity model. The results show sizeable and steadily increasing trading bloc border effects from the 1910s through the 1930s. This sizeable border effect might have resulted from many possible factors: trade diversion and creation due to increased protectionism and industrialisation in Korea and Formosa, certain political factors, and Japanese migration to Korea and Formosa, which contributed to a 52% increase of bloc border effects in mainland Japan. J. Japanese Int. Economies 21 (2) (2007) 214-236.

Original languageEnglish
Pages (from-to)214-236
Number of pages23
JournalJournal of The Japanese and International Economies
Volume21
Issue number2
DOIs
Publication statusPublished - 2007 Jun 1
Externally publishedYes

Keywords

  • Bloc border effect
  • Gravity model
  • Migration
  • Trade blocs
  • Trade diversion and creation

ASJC Scopus subject areas

  • Finance
  • Economics and Econometrics
  • Political Science and International Relations

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