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Literally Littoral: Landlockedness, Trade and the South American Cluster

Cagaanan, Christian LU (2011) EKHR21 20111
Department of Economic History
Abstract
Bolivia and Paraguay are the only two landlocked developing countries located in the Western Hemisphere. Their favourable location in the middle of the continent and healthy trade relationships with their neighbours is counterweighed by the increased transport burden they incur that makes them less competitive compared to similarly sized coastal economies. This paper calculates the effects of landlockedness in the South American cluster. Using a two stage regression analysis with a gravity model of trade, the estimation includes 155 countries with panel data over the time period 1995-2009. This paper reveals that despite the much advocated phrase ʻdeath of distanceʼ, some aspects exacerbated by geographical landlockedness, notably the... (More)
Bolivia and Paraguay are the only two landlocked developing countries located in the Western Hemisphere. Their favourable location in the middle of the continent and healthy trade relationships with their neighbours is counterweighed by the increased transport burden they incur that makes them less competitive compared to similarly sized coastal economies. This paper calculates the effects of landlockedness in the South American cluster. Using a two stage regression analysis with a gravity model of trade, the estimation includes 155 countries with panel data over the time period 1995-2009. This paper reveals that despite the much advocated phrase ʻdeath of distanceʼ, some aspects exacerbated by geographical landlockedness, notably the border crossing issue, could be considered as a contributing factor as to why landlocked countries seem to still remain distant and thus struggle to keep up with the rest of the coastal economies. (Less)
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author
Cagaanan, Christian LU
supervisor
organization
course
EKHR21 20111
year
type
H1 - Master's Degree (One Year)
subject
keywords
Landlockedness, trade, Bolivia, Paraguay
language
English
id
2063081
date added to LUP
2011-09-19 13:28:32
date last changed
2011-09-19 13:28:32
@misc{2063081,
  abstract     = {Bolivia and Paraguay are the only two landlocked developing countries located in the Western Hemisphere. Their favourable location in the middle of the continent and healthy trade relationships with their neighbours is counterweighed by the increased transport burden they incur that makes them less competitive compared to similarly sized coastal economies. This paper calculates the effects of landlockedness in the South American cluster. Using a two stage regression analysis with a gravity model of trade, the estimation includes 155 countries with panel data over the time period 1995-2009. This paper reveals that despite the much advocated phrase ʻdeath of distanceʼ, some aspects exacerbated by geographical landlockedness, notably the border crossing issue, could be considered as a contributing factor as to why landlocked countries seem to still remain distant and thus struggle to keep up with the rest of the coastal economies.},
  author       = {Cagaanan, Christian},
  keyword      = {Landlockedness,trade,Bolivia,Paraguay},
  language     = {eng},
  note         = {Student Paper},
  title        = {Literally Littoral: Landlockedness, Trade and the South American Cluster},
  year         = {2011},
}