Lombaerde, Philippe De ORCID: 0000-0002-6546-6771, Naeher, Dominik ORCID: 0000-0002-7535-6891 and Saber, Takfarinas ORCID: 0000-0003-2958-7979 (2021) Regional integration clusters and optimum customs Unions: a machine-learning approach. Journal of Economic Integration, 36 (2). pp. 262-281. ISSN 1225-651X
Abstract
This paper proposes a new method to evaluate the composition of regional arrangements
focused on increasing intraregional trade and economic integration. In contrast to previous
studies which take the country composition of these arrangements as given, our method
uses a network clustering algorithm adapted from the machine learning literature to
identify, in a data-driven way, those groups of neighboring countries that are most
integrated with each other. Using the obtained landscape of regional integration clusters
(RICs) as benchmark, we then apply our method to critically assess the composition of
real-world customs unions. Our results indicate that there is considerable variation across
customs unions as to their distance to the RICs emerging from the clustering algorithm,
suggesting that some customs unions are relatively more driven by ‘natural’ economic
forces, as opposed to political considerations. Our results also point to several testable
hypotheses related to the geopolitical configuration of customs unions.
Metadata
Item Type: | Article (Published) |
---|---|
Refereed: | Yes |
Uncontrolled Keywords: | Regional Integration; Customs Union |
Subjects: | Computer Science > Machine learning |
DCU Faculties and Centres: | DCU Faculties and Schools > Faculty of Engineering and Computing > School of Computing Research Institutes and Centres > Lero: The Irish Software Engineering Research Centre |
Publisher: | Center for Economic Integration |
Official URL: | https://doi.org/10.11130%2Fjei.2021.36.2.262 |
Copyright Information: | © 2021 Journal of Economic Integration (CC BY-NC-ND) |
Funders: | Science Foundation Ireland grant 13/RC/2094_P2. |
ID Code: | 26122 |
Deposited On: | 16 Sep 2021 11:37 by Takfarinas Saber . Last Modified 16 Sep 2021 11:37 |
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