The Gravity Equation in International Trade |
Contents
CONCLUSION | 4 |
THE GRAVITY EQUATION IN INTERNATIONAL TRADE | 6 |
METHODOLOGY | 33 |
23 other sections not shown
Common terms and phrases
240 observations adjacent aggregate price indexes aggregate trade flows analysis assumption average behavioral capital accumulation capital-intensive changes Chapter coefficient estimates coefficient signs commodity arbitrage commodity groups cost country i's cross-section denote significance disaggregated trade flows domestic elasticity of export empirical results equilibrium model exchange rate exogenous exporter and importer exporter's income exporter's population factor endowment firms GDP deflator impact importer income Importer Population Importer PT)-1 Importer Tariff importing country income and population income elasticity increase international trade interpretation K-intensive labor-intensive Linnemann's manufactures trade flows migration natural logarithms negative nonmanufactures nontradeables prices null hypothesis one-tailed test output parentheses population coefficient population elasticity population variables potential export supply potential import demand predicted price elasticity production protrade regressions relative prices respectively Rybczynski Theorem Section SITC suggests t-statistics tariff variables terms of trade theoretical trade theory tradeables and nontradeables typical gravity equation U.S. dollar