POLI 441 Lecture Notes - Lecture 15: Absorptive Capacity, Instrumental Variable, Free Trade

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It"s not just about the others (alleviating pd) Other possibilities: we could imagine de jure membership, but the lack of de facto membership, ex. When china entered the wto, the us pushed for their membership - this was when the. You"d like to do this because of spillover effects that aren"t measurable (obviously, this isn"t possible; but this is what we"re trying to model/get at) Is there a negative effect on trade due to bad behavior: the value of the institution appears to come from the very constraints it imposes, more a domestic story than and international one. Analogy: selection bias: one of the main forms of endogeneity is selection - you get selected into the sample for nonrandom reasons, occurs when the sample under examination is not randomly selected. Imagine that rich countries are more likely to enter wto (first 23 countries of the gatt are largely.

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