Economists have a long argue that institutions and implementation of good governance are important for economic growth. The main objective of this research is to demonstrate that one of positive institutions effects is its ability to mitigate the negative effect of economic vulnerability linked to terms of trade fluctuations on economic growth. The impact of the economic vulnerability and imple...

The Canadian economy has been a net recipient of foreign direct investment (FDI). The free-trade agreements (FTA and NAFTA) have had to attract more inward FDI. This study examines the determinants of foreign direct investment (FDI) between Canada and EU15, Brazil and Japan in the period 1995-2007. The purpose of this paper is to analyze the impact of variables, such as, market size, labour cos...

Researchers typically assume that economic openness increases volatility. But the conventional empirical shorthand for economic openness (trade as a share of overall income) fails to account for crucial distinctions in the way that states trade. States that are deeply incorporated into the core of the international trading network have very different experiences than states at the periphery wit...

I examine the dynamic relationship between patenting, total factor productivity and openness to trade for a sample of twelve OECD countries from 1978 to 2004. Applying a technology-industry concordance to sort patents by sector, I study the sectoral shifts within countries throughout this period using a mathematical decomposition from international trade theory, constant market share analysis. ...

This paper explores heterogeneity in the openness-productivity growth relationship, specifically whether the productivity payoffs from openness or trade liberalisation are conditioned by the quality of a country’s institutions and the extent of natural barriers. The paper endogenously searches for the type of heterogeneity; what variable might be used to capture the heterogeneity and with what ...

The study investigates the causal link between trade openness and economic growth for four South Asian countries for period 1972-1985 and 1986-2007 to examine the scenario before and after the implementation of SAARC. Panel cointegration and FMOLS techniques are employed for short run and long run estimates. In 1972-85 short run unidirectional causality from GDP to openness is found whereas, in...