∼IN(0,σ
2
xi
) (5)
where x
i
denotes real exports of services of the ith category; P
xi
denotes the dollar export
price of … the dollar export
price of aggregate services, and θ
i
(L)=
null
x
P
j=0
θ
ij
L
j
(i>0). The long-run income elasticity is …-linear one; see Goldstein and Khan (1985) and
Marquez (2002).
3
Having estimated the long-run elasticities across export …