## The gravity equation in international trade |

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87 pages matching **international trade** in this book

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### Contents

THE GRAVITY EQUATION IN INTERNATIONAL TRADE | 6 |

PRICES EXCHANGE RATES AND PURCHASING POWER | 54 |

THE GRAVITY EQUATION AND COMMODITY COMPOSITION | 102 |

3 other sections not shown

### Common terms and phrases

adjacent aggregate price indexes aggregate trade flows analysis assumption capital accumulation capital stock capital-intensive changes Chapter coefficient signs country i's cross price elasticity cross-section disaggregated trade flows domestic effect elasticity of export empirical results equilibrium model exogenous exporter and importer F-statistics factor endowment GDP deflator impact importer income Importer Population importer's population importing country income and population increase international trade interpretation K/L intensities higher labor-intensive lagged tradeables price Linnemann's manufactures trade flows migration national income natural logarithms negative nonmanufactures nontradeables prices null hypothesis one-tailed test output population elasticity population variables potential export supply potential import demand predicted price elasticity production protrade purchasing power parity regressions relative prices respectively Rybczynski Theorem scale economies indexes Section suggests t-statistics tariff variables terms of trade theoretical trade theory tradeable goods prices tradeables and nontradeables traditional gravity equation two-good typical gravity equation U.S. dollar Variable Coefficients