Purpose: The purpose of this paper is to investigate if distance is a friction to Pacific Island countries (PICs) trade with the USA. Design/methodology/approach: A gravity model is used to estimate trade flows using time-series cross-country data for period 1981-2005. Findings: The empirical findings utilizing panel data estimation procedures here provide confirmation that distance imposes significant regressive effect on PICs exports to the USA. Originality/value: This paper expresses the view that distance can impose regressive effects on PICs commodity exports to the USA.
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