The International Trade Network in Space and Time

32 Pages Posted: 12 Oct 2012

See all articles by Angela Abbate

Angela Abbate

European University Institute - Economics Department (ECO)

Luca De Benedictis

Università degli Studi di Macerata - Department of Economics and Law

Giorgio Fagiolo

Scuola Superiore Sant'Anna di Pisa - Laboratory of Economics and Management (LEM)

Lucia Tajoli

Politecnico di Milano - Dipartimento di Ingegneria Gestionale

Date Written: October 11, 2012

Abstract

This paper studies how the structure of the International Trade Network (ITN) changes in geographical space and along time. We employ geographical distance between countries in the world to filter the links in the ITN, building a sequence of sub-networks, each one featuring trade links occurring at similar distance. We then test if the topological properties of ITN subnetworks change as distance increases. We find that distance strongly impacts, in non-linear ways, the topology of the ITN. We show that the ITN is disassortative at long distances while it is assortative at short ones. Similarly, the main determinant of the overall high ITN clustering level are triangular trade triples between geographically close countries. This means that trade partnership choices are differentiated over different distance ranges. Such evidence robustly arises over time and after one controls for the economic size and income of trading partners.

Keywords: International Trade, Network Analysis, Distance

JEL Classification: C02, F10, F14

Suggested Citation

Abbate, Angela and De Benedictis, Luca and Fagiolo, Giorgio and Tajoli, Lucia, The International Trade Network in Space and Time (October 11, 2012). Available at SSRN: https://ssrn.com/abstract=2160377 or http://dx.doi.org/10.2139/ssrn.2160377

Angela Abbate

European University Institute - Economics Department (ECO) ( email )

Villa San Paolo
Via della Piazzuola 43
50133 Florence
Italy

Luca De Benedictis

Università degli Studi di Macerata - Department of Economics and Law ( email )

Via Crescimbeni 14
Macerata, MC 62100
Italy

HOME PAGE: http://docenti.unimc.it/luca.debenedictis

Giorgio Fagiolo (Contact Author)

Scuola Superiore Sant'Anna di Pisa - Laboratory of Economics and Management (LEM) ( email )

Piazza Martiri della Liberta', 33-I-56127
Pisa
Italy

Lucia Tajoli

Politecnico di Milano - Dipartimento di Ingegneria Gestionale ( email )

via Lambruschini 4b
Milan, 20156
Italy
++390223992752 (Phone)

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