Preliminary communication

IMMIGRATION-TRADE LINKS: EVIDENCE FROM PORTUGAL

Horácio C. Faustino
João Peixoto

Abstract

This article tests the relation between immigration and Portuguese bilateral trade, considering the twenty-seven European partners (EU27). Using a static and dynamic panel data analysis, the results show that the stock of immigrants has a positive effect on Portuguese exports, imports and bilateral intra-industry trade (IIT). These results suggest that immigration affects all types of trade in a positive way. The findings also suggest that the increase of immigrant entrepreneurs reinforce the positive effect on exports and on IIT. The dynamic results confirm the positive effect of the immigration stock on horizontal and vertical IIT.

Keywords

Gravity model; Immigration; Immigration skills; Immigrant entrepreneurs; Intra-industry trade

Hrčak ID:

104014

URI

https://hrcak.srce.hr/104014

Publication date:

1.3.2013.

Article data in other languages: croatian

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