The gains from variety in the European Union

Mohler, Lukas and Seitz, Michael (2009): The gains from variety in the European Union.

Abstract

In this paper, we apply the methodology developed by Feenstra (1994) and Broda and Weinstein (2006) to estimate the gains from imported variety for the 27 countries of the European Union using Eurostat data from the period of 1999 to 2008. Our results show that newer and smaller member states exhibit high gains from newly imported varieties.

• Item Type: MPRA Paper
• Language: English
• Keywords: Welfare gains from trade; Trade in variety; European Union
• Subjects: F - International Economics > F1 - Trade > F12 - Models of Trade with Imperfect Competition and Scale Economies ; Fragmentation; F - International Economics > F1 - Trade > F14 - Empirical Studies of Trade

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