Abstract
Since the early 2000s, border walls and fences have proliferated and become a global phenomenon with about a third of the countries having at least one wall or fence along its borders. Taking proper account for endogeneity, phasing-in effects and reverse causality, our gravity model for the years 1990–2017 (118 countries) finds a stronger trade-reducing impact of physical border protection structures ranging from 59% to 72%. This impact of physical border protection measures is non-monotonic: the immediate walls effect is insignificant but over the first 4 years after the creation of a wall, it starts to slash trade flows strongly and significantly.
Original language | English |
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Journal | Applied Economics |
Early online date | 30 Oct 2023 |
DOIs | |
Publication status | Published - 2023 |
Bibliographical note
JEL CLASSIFICATION: F10; F02; H56 - National Security and WarPublisher Copyright:
© 2023 The Author(s). Published by Informa UK Limited, trading as Taylor & Francis Group.