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Announcement Effects from Voluntary Partnership Agreements - A Gravity Model Approach

The effects on trade from negotiating and entering voluntary partnership agreement is estimated using forest product trade data from 2000 to 2014 on countries in the Forest Law Enforcement, Governance and Trade (FLEGT) licensing process. Gravity model framework is used and the result shows that beginning negotiations lead to an export drop by approximately 0.6 percent and is relatively stable the