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Do Free Trade Agreements Increase Australian Trade: An Application of Poisson Pseudo Maximum Likelihood Estimator?
Journal of East-West Business Pub Date : 2019-12-02 , DOI: 10.1080/10669868.2019.1685056
Krishna P. Timsina 1, 2 , Richard J. Culas 3
Affiliation  

Abstract This article examines the effects of Australia's free trade agreements on trade creation and export diversion of the total as well as sectoral trade. The empirical analysis implemented through Poisson pseudo maximum likelihood estimator with time and country-specific effects. Results showed the standard gravity variables are highly significant with the expected signs. Overall, the trade creation effects were greater than intra-block export diversion effects of FTAs on Australia’s total trade. The trade creation effects of FTAs on the agricultural sector seems higher than the nonagricultural sector in Australia after deducting intra-block export diversion effects in the respective sectors.

中文翻译:

自由贸易协定会增加澳大利亚贸易吗:泊松伪最大似然估计器的应用?

摘要本文探讨了澳大利亚的自由贸易协定对贸易创造,总和部门贸易转移的影响。通过具有时间和特定国家影响的Poisson伪最大似然估计器实施的实证分析。结果表明,标准重力变量与预期符号高度相关。总体而言,贸易创造效应大于自由贸易区对澳大利亚总贸易的块内出口转移效应。自由贸易协定对农业部门的贸易创造影响似乎要比澳大利亚的非农业部门高,这要归功于各个部门的跨区出口转移效应。
更新日期:2019-12-02
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