Search results for "GRAVITY MODEL"
showing 10 items of 54 documents
The euro impact on trade. Long run evidence with structural breaks
2012
In this paper we present new evidence on the euro effect on trade. We use a data set containing all bilateral combinations in a panel of 26 OECD countries during the period 1967-2008. From a methodological point of view, we implement a new generation of tests that allow solving some of the problems derived from the non-stationary nature of the data. To this aim we apply panel tests that account for the presence of cross-section dependence as well as discontinuities in the non-stationary panel data. We test for cointegration between the variables using panel cointegration tests, especially the ones proposed by Banerjee and Carrióni- Silvestre (2010). We also efficiently estimate the long-run…
Currency unions and trade : what is the impact of the euro on trade in the euro area?
2012
The aim of this study is to estimate the effect of the euro on trade within the euro area. This has been a relevant question for European politicians ever since the launch of the common currency was agreed on in the Maastricht Treaty in 1992. To analyse the topic the gravity model of international trade augmented with several dummy variables is employed using panel data of 29 developed countries between 1995 and 2010. The estimated aggregate trade effect on the euro zone reaches 10 % in the most preferred regression and is comparable with earlier estimates. However, there is considerable variation in the results when different sample sizes are used. This could be a sign of omitted variable …
Do foreign workers reduce trade barriers? Microeconomic evidence
2015
This paper provides evidence that foreign workers reduce firms' trade costs and thus increase the probability that firms export. This informs both the literature on trade costs and the microeconomic literature on firms' export behaviour. We identify the nationality of each worker in a large sample of German establishments, and relate this to the exporting behaviour of these establishments. We allow for the possible endogeneity of an establishment's workforce by instrumenting the share of foreign workers with the regional distribution of foreign workers in the wider labour market. We find a significant effect of worker nationality on exporting which is not driven by the industrial, occupatio…
Tidal gravity observations at Mt. Etna and Stromboli: Results concerning the modeled and observed tidal factors
2009
Continuous gravity observations performed in the last few years, both at Mt. Etna and Stromboli, have prompted the need to improve the tidal analysis in order to acquire the best corrected data for the detection of volcano related signals. On Mt. Etna, the sites are very close to each other and the expected tidal factor differences are negligible. It is thus useful to unify the tidal analysis results of the different data sets in a unique tidal model. This tidal model, which can be independently confirmed by a modeling of the tidal parameters based on the elastic response of the Earth to tidal forces and the computation of the ocean tides effects on gravity, is very useful for the precise t…
Competitiveness and interregional as well as international trade: The case of Catalonia
2010
Recent years have seen a surge of interest among industrial organization economists in using data on international trade flows as windows into competitiveness. For countries that are at least mid sized (e g., Spain), interregional trade tends to be as large as or significantly larger than international trade. The case of Catalonia, a Spanish region, illustrates how ignoring interregional flows can lead to erroneous inferences about a region's external competitiveness. Accounting for Catalonia's interregional as well as international flows shifts what is generally assessed to be a chronic trade deficit in goods into a surplus and changes diagnoses of which Catalan sectors generate external s…
Pull factors for university students’ mobility: a gravity model approach
2020
Migration phenomena are characterised by flows that are typically multilateral. Often an outgoing flow corresponds to one or more incoming flows, which counterbalances it. When the balance is negative, socio-economic problems can arise. Italy has been afflicted for years by a particular type of unilateral migration: student mobility. Thousands of students leave the South to study in the Centre-North, driven by the better socio-economic conditions of those areas, and by more prosperous job prospects. Since this flow is not followed by a return one, nor by other incoming flows, the historical, socio-economic gap between North and South is widened. Taking advantage of the big dataset concernin…
EMU and trade: A PPML re‐assessment with intra‐national trade flows
2020
This paper examines the EMU effect on trade for the eleven early joiners and Greece relying for the first time on data that include both international and intra‐national trade flows, in line with all the microfoundations of the structural gravity model of trade. We find that the overall EMU impact on trade is positive between its members and, specially, for trade between members and non‐members. Interestingly, we further show that the effect of the EMU on bilateral trade remarkably differs across countries. For Ireland, Belgium–Luxembourg, Spain, Portugal and Austria, we find robust evidence that EMU has boosted trade both with other members and with third countries, while for Finland, Fran…
Model uncertainty and variable selection: an application to the modelization of FDI determinants in Europe
2019
Las últimas décadas han visto un interés cada vez mayor en la IED, y un debate creciente sobre su modelización en términos de las variables consideradas como sus determinantes, la especificación del modelo y los métodos de estimación del modelo de gravedad de la IED. Esto se debe a la incertidumbre que rodea tanto las teorías como los enfoques empíricos de la IED. Esta Tesis doctoral tiene como objetivo contribuir a la literatura mediante la investigación de las fuerzas impulsoras de las actividades de las EMNs hacia y desde los países europeos, tanto a nivel regional como nacional, abordando los problemas de selección de variables e incertidumbre del modelo que se enfrentan al modelizar la…
The importance of the Logistics Performance Index in international trade
2014
Logistics and transport increasingly play a pivotal role in international trade relations. The Logistics Performance Index (LPI) analyses differences between countries in terms of customs procedures, logistics costs and the quality of the infrastructure for overland and maritime transport. The aim of this article is to analyse the impact that each of these components has on trade in emerging economies using a gravity model. Furthermore, the study also attempts to detect possible advances in logistics in developing countries, which are grouped into five regions (Africa, South America, Far East, Middle East and Eastern Europe) by comparing the first LPI data published in 2007 with the most re…
Correspondence between modified gravity and general relativity with scalar fields
2018
We describe a novel procedure to map the field equations of nonlinear Ricci-based metric-affine theories of gravity, coupled to scalar matter described by a given Lagrangian, into the field equations of General Relativity coupled to a different scalar field Lagrangian. Our analysis considers examples with a single and $N$ real scalar fields, described either by canonical Lagrangians or by generalized functions of the kinetic and potential terms. In particular, we consider several explicit examples involving $f(R)$ theories and the Eddington-inspired Born-Infeld gravity model, coupled to different scalar field Lagrangians. We show how the nonlinearities of the gravitational sector of these t…