Author = Rezaei, Javad
Number of Articles: 1
The Effect of Financial Development on Trade in Acceded Countries to the WTO: A Comparision of total Trade and Trade in Services
Volume 13, Issue 51, Winter 2014, Pages 151-161
Mohammad Rasti, Javad Rezaei
Abstract Based on the literature on the relationship between financial development and trade, this paper examines the effect of financial development on both trade and trade in services in acceded countries to the WTO. By using a panel data method for the period of 1985 to 2006, the results indicate that financial development has a positive effect on total trade in acceded countries; therefore, it shows that financial development is a determinant factor of trade development and policy in these countries. On the other hand, financial development has a negative effect on trade in services.