The impact of Brexit uncertainties on international trade: Evidence from Belgium

This paper investigates the short-run effects of the uncertainties brought along with the Brexit referendum on the bilateral trade between Belgium and its main trading partners. I find that import and export markets have specific dynamics and react differently to changes in political uncertainty and economic variables. While import flows are more rigid and do not react to the uncertainties related to the Brexit referendum, export flows are more sensitive to this event. Consequently, I find that the instable environment created by the Brexit referendum leads to lower intensive margin of Belgian... Mehr ...