Marimoutou, Vêlayoudom; Peguin, Denis; … - In: Economics Bulletin 29 (2009) 2, pp. 1139-1155
In this paper, we address the problem of the role of the distance between trading partners by assuming the variability of coefficients in a standard gravity model. The distance can be interpreted as an indicator of the cost of entry in a market (a fixed cost): the greater the distance, the...