Intra-Arab Trade: Is it Too Little?

21 Pages Posted: 30 Jan 2006

See all articles by Hassan Al-Atrash

Hassan Al-Atrash

International Monetary Fund (IMF)

Tarik Yousef

Georgetown University - Edmund A. Walsh School of Foreign Service (SFS)

Date Written: January 2000

Abstract

This paper estimates a gravity model to address the issue of whether intra-Arab trade is too little. Although gravity models have been extensively used to measure bilateral trade among countries, they have - to the best of our knowledge - never been used to measure intra-Arab trade. Our results suggest that intra-Arab trade and Arab trade with the rest of the world are lower than what would be predicted by the gravity equation, suggesting considerable scope for regional - as well as multilateral - integration. The results also suggest that intra-GCC and intra-Maghreb trade are relatively low while the Mashreq countries exhibit a higher level of intragroup trade.

Keywords: Arab countries, gravity model, trade

JEL Classification: C1, F1, O4

Suggested Citation

Al-Atrash, Hassan and Yousef, Tarik, Intra-Arab Trade: Is it Too Little? (January 2000). IMF Working Paper No. 00/10. Available at SSRN: https://ssrn.com/abstract=879328

Hassan Al-Atrash (Contact Author)

International Monetary Fund (IMF) ( email )

700 19th Street NW
Washington, DC 20431
United States

Tarik Yousef

Georgetown University - Edmund A. Walsh School of Foreign Service (SFS) ( email )

Washington, DC 20057
United States
202-687-0347 (Phone)
202-687-7001 (Fax)

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