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Robin Visser
''Diplomatic representation, service exports and goods exports''
( 2018, Vol. 38 No.2 )
This research note analyses the effect of diplomatic representations on service and goods exports. Using a gravity model for 2002 and 2003, the results of the Poisson pseudo-maximum likelihood and instrumental variables estimations show that diplomatic representation positively and significantly affects service exports and goods exports. The average effect is larger for service exports than for goods exports, but a Chow test suggests there is no difference between the coefficients. Diplomatic representation affects exports in travel, transport and communication services but not in government, personal and business services.
Keywords: diplomatic representation, service exports, goods exports, gravity model
JEL: F1 - Trade: General
F5 - International Relations and International Political Economy: General
Manuscript Received : Jan 28 2018 Manuscript Accepted : Apr 28 2018

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