With the decline in trade costs, the importance of distance has declined over time. If so, this would be a boon for countries located far from the main centers of economic activity. The authors examine the evolution of countries' distance of trade (DOT) from 1962-2000. They find that the DOT falls over time for the average country in the world, and that the number of countries with declining DOT is close to double those with increasing DOT. Thus...
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2004/02/03
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2010/07/01
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On the geography of trade: distance is alive and well
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real per capita income