Do We Really Know That the WTO Increases Trade?
Open accessAbstract
This paper estimates the effect on international trade of multilateral trade agreements—the World Trade Organization (WTO), its predecessor the General Agreement on Tariffs and Trade (GATT), and the Generalized System of Preferences (GSP) extended from rich countries to developing countries. I use a standard “gravity” model of bilateral merchandise trade and a large panel data set covering over 50 years and 175 countries. An extensive search reveals little evidence that countries joining or belonging to the GATT/WTO have different trade patterns from outsiders, though the GSP seems to have a strong effect.
The claims and statistics of this paper haven’t been checked yet.
Run the check — free, no account needed. It reads the open-access text and checks the sources it cites.
Integrity signals
Registry
Cites
Statistics
Claims the paper makes
The claims and statistics of this paper haven’t been checked yet.
Run the check — free, no account needed. It reads the open-access text and checks the sources it cites.
Claims other papers make about this one
Each is checked against this paper’s own text: does it say what the citing paper says it does?
The estimate of the impact of WTO becomes negligible in magnitude and not statistically significant in column (7).
“the estimate of the impact of WTO becomes negligible in magnitude and not statistically significant.”
From Estimating the effects of trade agreements: Lessons from 60 years of methods and data (2024) · cites this paper as Rose, 2004
Self-check
Percentages, sums and reported differences re-computed from the paper’s own numbers.
The self-check needs the paper’s full text.
Cites
No references could be resolved yet.
Research works printed but not linked: 9
- Alston, Richard M., J.R. Kearl, and Michael B. Vaughan (1992) "Is there a Consensus Among Economists in the 1990s?" American Economic Review 82-2, 203-209.
- Anderson, James and Eric van Wincoop (2002) "Gravity with Gravitas: A Solution to the Border Puzzle" forthcoming American Economic Review.
- Deardorff, Alan V. (1998) "Determinants of Bilateral Trade: Does Gravity Work in a Neoclassical World?" in The Regionalization of the World Economy (ed.: Jeffrey A. Frankel), Chicago: University Press.
- Glick, Reuven and Andrew K. Rose (2002) "Does a Currency Union affect Trade? The Time- Series Evidence" European Economic Review.
- Gourieroux, Christian and Alain Monfort (1981) "On the Problem of Missing Data in Linear Models" Review of Economic Studies XLVIII, 579-586.
- Griliches, Zvi (1986) "Economic Data Issues" in Handbook of Econometrics (vol. III, edited by Z. Griliches and M.D. Intriligator), Elsevier Science, Amsterdam, pp.1485-1495.
- Kearl, J.R., Clayne L. Pope, Gordon C. Whiting, and Larry T. Wimmer (1979) "A Confusion of Economists?" American Economic Review 69-2, 28-37.
- Little, Roderick J.A. (1992) "Regression with Missing X's: A Review" Journal of the American Statistical Association 87-420, 1227-1237.
- Pritchett, Lant (1996) "Measuring Outward Orientation in LDCs: Can it be done?" Journal of Development Economics 49-2, 307-335.
Cited by
Sorted by citations
Estimating Trade Flows: Trading Partners and Trading Volumes <sup>*</sup>
Helpman, E., Melitz, M., & Rubinstein, Y. (2008) · Quarterly Journal of Economics · doi:10.1162/qjec.2008.123.2.441 · Cited by 2,436 · see citing works
The erosion of colonial trade linkages after independence
Head, K., Mayer, T., & Ries, J. (2010) · Journal of International Economics · doi:10.1016/j.jinteco.2010.01.002 · Cited by 1,089 · see citing works
Kyoto and Carbon Leakage: An Empirical Analysis of the Carbon Content of Bilateral Trade
Aichele, R., & Felbermayr, G. (2015) · Review of Economics and Statistics · doi:10.1162/rest_a_00438 · Cited by 378 · see citing works
Kyoto and the carbon footprint of nations
Aichele, R., & Felbermayr, G. (2012) · Journal of Environmental Economics and Management · doi:10.1016/j.jeem.2011.10.005 · Cited by 329 · see citing works
Estimating the effects of trade agreements: Lessons from 60 years of methods and data
Larch, M., & Yotov, Y. V. (2024) · The World Economy · doi:10.1111/twec.13569 · Cited by 56 · see citing works
- Authors
- Rose, A. K.
- Affiliations
- Center for Economic and Policy Research (US)
- Corresponding author
- Rose, Andrew K
- ORCID
- Rose, Andrew K
- Venue
- American Economic Review
- Publisher
- American Economic Association
- Published
- 2004-02-01
- Volume
- 94
- Issue
- 1
- Pages
- 98-114
- ISSN
- 0002-8282 (ISSN-L)
- OpenAlex
- W3122371890
- Cited by
- 1,481
- References
- 0
- Citations by year
- 2026: 28 · 2025: 37 · 2024: 46 · 2023: 40 · 2022: 42 · 2021: 58 · 2020: 71 · 2019: 39 · 2018: 59 · 2017: 51 · 2016: 52 · 2015: 91 · 2014: 88 · 2013: 74 · 2012: 89
- FWCI
- 118.65
- Type
- journal article
- Language
- en
- Open access
- green
- papers.nber.org
- Locations
- American Economic Review (publishedVersion)
- RePEc: Research Papers in Economics (submittedVersion)
- OpenGrey (Institut de l'Information Scientifique et Technique) (submittedVersion)
- Cadmus - EUI Research Repository (European University Institute) (submittedVersion, public-domain)
- Topics
- Social Sciences › Economics, Econometrics and Finance › General Economics, Econometrics and Finance › Global trade and economics
- Social Sciences › Political Science and International Relations › World Trade Organization Law
- Social Sciences › Business, Management and Accounting › Strategy and Management › Global Trade and Competitiveness
- Keywords
- World Trade Organization, General Agreement on Tariffs and Trade, Generalized System of Preferences, multilateral trade agreements, international trade effects, gravity model of trade, developing countries, trade liberalization
About these checks
Registry, retraction, Cites and statistics results are computed, not judged, with one exception: a printed reference that no index lists is read once by a model before it counts as a citation error. Claims are extracted by a model and kept only when their quote appears verbatim in the text; each cited source is then checked, with a model’s help, for whether it says what the claim relies on. Those verdicts can be wrong — read the claim’s quote and the cited source before relying on one.
Statistics and arithmetic are recomputed, not judged.
Confidence bands are shown only for fields calibrated on our annotated test set. None is calibrated yet, so no band is shown.
What counts as a claim ›How we measure confidence ›How we check this ›
Are you an author, or do you see a problem with this page? Request a review