Showing 1 - 10 of 2,662
We show how to use commuting flows to infer the spatial distribution of income within a city. A simple workplace choice … model predicts a gravity equation for commuting flows whose destination fixed effects correspond to wages. We implement this … data, yet achieves comparable predictive power. We show that hartals (transportation strikes) in Dhaka reduce commuting …
Persistent link: https://www.econbiz.de/10012482731
Exporting firms often enter foreign markets that are similar to previous export destinations. We develop a dynamic model in which a firm's exports in a market may depend on how similar the market is to the firm's home country (gravity) and to its previous export destinations (extended gravity)....
Persistent link: https://www.econbiz.de/10012458748
A gravity model is used to assess the separate effects of exchange rate volatility and currency unions on international trade. The panel data set used includes bilateral observations for five years spanning 1970 through 1990 for 186 countries. In this data set, there are over one hundred...
Persistent link: https://www.econbiz.de/10012471350
Predicting agricultural trade patterns is critical to decision making in the public and private domains, especially in the current context of trade disputes among major economies. Focusing on seven major agricultural commodities with a long history of trade, this study employed data-driven and...
Persistent link: https://www.econbiz.de/10012481734
We measure the role of firm heterogeneity in counterfactual predictions of monopolistic competition trade models without parametric restrictions on the distribution of firm fundamentals. We show that two bilateral elasticity functions are sufficient to nonparametrically compute the...
Persistent link: https://www.econbiz.de/10012482300
Almost Ideal gravity associates zero trade flows with variable and fixed trade cost variation in a flexible demand system. Latent trade shares between non-partners are inferred from the Tobit estimator applied to trade among 75 countries and 25 sectors in 2006. Latent Trade Bias (LTB) is the...
Persistent link: https://www.econbiz.de/10012482496
gravity into recent practice has led to a richer and more accurate estimation and interpretation of the spatial relations …
Persistent link: https://www.econbiz.de/10012462081
The effects of geography and productivity on the global pattern of production are captured here in a specific factors gravity model. Simple enough for sharp results, the model is yet rich enough to contain the high dimensional productivity frictions in production and distribution of a many...
Persistent link: https://www.econbiz.de/10012464007
In this paper, we show that inequality is an important determinant of import demand, in that it augments the standard gravity model in a significant way. We interpret this result with the aid of a model in which tastes are nonhomothetic. Classification of products, based on the correlation...
Persistent link: https://www.econbiz.de/10012467890
This paper studies empirically the effects of financial crises on international trade. The major findings are that banking crises had a negative impact on imports but a positive impact on exports in the short term, whereas currency crises decreased imports in the short term and stimulated...
Persistent link: https://www.econbiz.de/10012468522