Work

Trading borders: the importance of interregional integration and economy size for the impact of secession

Year: 2025

Type: article

Abstract: This paper analyses the impact of secession on the ‘seceding’ and ‘successor’ regions. A two-regions computable general equilibrium model is initially calibrated to a set of synthetic datasets where the regions only differ in relative size and trade integration. Using the case of two identical regions as a benchmark we show how relative size and trade integration determine the relative impact on both regions. This framework is used to explore three European case studies, the UK, Spain and Italy, demonstrating how, although always detrimental for both regions, trade integration and relative size explain the economic impacts of new trade borders.

Source: Regional Studies

DOI: 10.1080/00343404.2025.2461756

Authors: Gioele Figus, Peter McGregor, Stuart McIntyre, Graeme Roy

Institutions: University of Strathclyde, University of Glasgow

Language: English

Topic: Political Systems and Governance

Subfield: Political Science and International Relations

Field: Social Sciences

Domain: Social Sciences

Open Access status: hybrid

Funder: Economic and Social Research Council

Award: Centre for Inclusive Trade Policy