Power and the Governance of Global Trade: From the GATT to the WTO

Methodological Appendix

155 Methodological Appendix This methodological appendix presents information from the quantitative analyses in chapters 3 and 4. For chapter 3, the baseline model, a description of the variables, and the countries included in the analysis are reported. The baseline model and a description of the variables are also reported for chapter 4, as well as the countries defined as Standing Members, Early Adopters, and Later Entrants according to the four classifications of WTO membership. Chapter 3 Baseline Model: Log(IMPijt) = α + β1 Log(GDPi* GDPj)t + β2 Log(GDPPCi* GDPPCj)t + β3 Log(Distance)ijt + β4 Log(Areai*Areaj)t + β5 (Land Contiguity)ijt + β6 (Landlocked)ijt + β7 (Island)ijt + β8 (Common Language)ijt + β9 (Common Colonizer)ijt + β10 (Colony)ijt + β11 (Currency Union)ijt + β12 (RTA)ijt + β13 (GSP)ijt + β14 (Both_GATT)ijt + β15 (One_GATT)ijt + ∑tδtYeart + εijt Dependent Variable • Log(IMPijt): natural log of the dollar amount (U.S.) of each country’s imports from the other in a given year. There are two observations per country pair in a given year: country a’s imports from country b 156 METHODOLOGICAL APPENDIX and, conversely, country b’s imports from country a. Data were obtained from the Direction of Trade Statistics (DOTS) of the International Monetary Fund. We use the U.S. consumer price index (CPI) to deflate these and convert them to constant dollars (CPI for Urban Consumers, all items; 1982–1984 = 100, from www.economy.com/freelunch). Independent Variables • Log(GDPi* GDPj)t: natural log of the product of the two countries’ GDP in year t in constant (1984) U.S. dollars. • Log(GDPPCi* GDPPCj)t: natural log of the product of the two countries’ per capita GDP (GDPPC) in year t in constant (1984) U.S. dollars. • Log(Distance)ijt: natural log of the great-circle distance between countries i and j. • Log(Areai*Areaj)t: natural log of the product of the land areas (in square kilometers) of the two countries. • Land Contiguityijt: dummy variable that equals one if the two countries share a land border and zero otherwise. • Landlockedijt: number of landlocked countries within the dyad: 0, 1, or 2. • Islandijt: number of island countries within the dyad: 0, 1, or 2. • Common Languageijt: dummy variable that equals one if the two countries share a common language and zero otherwise. • Common Colonizerijt: dummy variable that equals one if countries i and j are former colonies of the same country and zero otherwise. • Colonyijt: dummy variable that equals one if either country was ever a colony of the other and zero otherwise. • Currency Unionijt: dummy variable that equals one if the two countries in the dyad share the same currency in year t. • RTAijt: dummy variable that equals one if the two countries in the dyad belong to the same regional trade agreement (RTA) in year t. • GSPijt: dummy variable that equals one if one country grants preferences to the other, in year t, under the Generalized System of Preferences, agreements negotiated under the auspices of the United Nations Conference on Trade and Development (UNCTAD). • Both_GATTijt: dummy variable that equals one if both countries in the dyad are GATT members in year t. • One_GATTijt: dummy variable that equals one if one country in the dyad is a GATT member in year t. • ∑tδtYeart: year fixed effects, or dummy variables for t-1 years. METHODOLOGICAL APPENDIX 157 Algeria Angola Antigua & Barbuda Argentina Australia Austria Bahamas Bahrain Bangladesh Barbados Belize Benin Bolivia Botswana Brazil Bulgaria Burkina Faso Burundi Cameroon Canada Cape Verde Central African Republic Chad Chile China Colombia Comoros Congo, Democratic Republic of Costa Rica Côte d’Ivoire Cyprus Denmark Djibouti Dominica Dominican Republic Ecuador Egypt El Salvador Equatorial Guinea Ethiopia Fiji Finland France Gabon Gambia Georgia Germany Ghana Greece Grenada Guatemala Guinea Guinea-Bissau Guyana Haiti Honduras Hungary Iceland India Indonesia Iran Iraq Ireland Israel Italy Jamaica Japan Jordan Kenya Korea, Republic of Kuwait Lao People’s Democratic Republic Latvia Lesotho Liberia Libya Lithuania Madagascar Malawi Malaysia Maldives Mali Malta Mauritania Mauritius Mexico Mongolia Morocco Mozambique Myanmar Namibia Nepal Netherlands New Zealand Nicaragua Niger Nigeria Norway Oman Pakistan Panama Papua New Guinea Paraguay Peru Philippines Poland Portugal Romania Rwanda Samoa Saudi Arabia Senegal Seychelles Sierra Leone Singapore Solomon Islands Somalia South Africa Spain Sri Lanka St. Kitts & Nevis St. Lucia Sudan Suriname Swaziland Sweden Switzerland Syria Tanzania Thailand Trinidad & Tobago Tunisia Turkey Uganda United Arab Emirates United Kingdom United States Uruguay Vanuatu...