The effects of economic sanctions on trade : new evidence from apanel PPML gravity approach
Journal: University writing server of the University of Hohenheim (University of Hohenheim)
Year: 2018

Economic sanctions are a popular diplomatic tool for countries to enforce political demands abroad or to punish non-complying countries. There is an ongoing debate in the literature about whether this tool is effective in reaching these goals. This paper looks at the consequences of sanctions for bilateral trade values between 1987 and 2005. In order to quantify the direct effects of sanctions on the trade flows between countries I use PPML as well as several other econometric specifications to