Arbeitspapier

The cost of sanctions: Estimating lost trade with gravity

Economic sanctions are a frequently used tool of foreign policy. Constraining trade flows towards or from the target country is supposed to coerce its government into changing certain policies. However, sanctions constitute an obstacle to trade, thereby affecting flows of all countries, including those of sanctioning countries themselves. I gauge the global impact of three recent sanctions regimes using a structural gravity framework and quantify the "lost trade" in a general equilibrium counterfactual exercise. Each of the episodes, sanctions against Iran, Russia and Myanmar, are instructive in their own way, due to the different nature of bilateral trade and severity of measures applied.

Sprache
Englisch

Erschienen in
Series: Kiel Working Paper ; No. 2093

Klassifikation
Wirtschaft
International Conflicts; Negotiations; Sanctions
Empirical Studies of Trade
Trade Policy; International Trade Organizations
National Security; Economic Nationalism
Thema
sanctions
embargo
General equilibrium counterfactuals
foreign policy

Ereignis
Geistige Schöpfung
(wer)
Hinz, Julian
Ereignis
Veröffentlichung
(wer)
Kiel Institute for the World Economy (IfW)
(wo)
Kiel
(wann)
2017

Handle
Letzte Aktualisierung
10.03.2025, 11:42 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Hinz, Julian
  • Kiel Institute for the World Economy (IfW)

Entstanden

  • 2017

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