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Please use this identifier to cite or link to this item: http://hdl.handle.net/10481/31562

Title: Comparing alternative methods to estimate gravity models of bilateral trade
Authors: Gómez-Herrera, Estrella
Issue Date: 2010
Abstract: The gravity equation has been traditionally used to predict trade flows across countries. However, several problems related with its empirical application still remain unsolved. In this paper, I provide a survey of the recent literature concerning the specification and estimation methods of this equation. In addition, I compare the performance of two widely extended estimators, panel OLS and Poisson Pseudo Maximum Likelihood (PPML), for a dataset covering 80% of world trade.
Publisher: Universidad de Granada. Departamento de Teoría e Historia Económica
Series/Report no.: The Papers;10/05
Keywords: International trade
Gravity model
Estimation methods
URI: http://hdl.handle.net/10481/31562
Rights : Creative Commons Attribution-NonCommercial-NoDerivs 3.0 License
Citation: Gómez-Herrera, E. Comparing alternative methods to estimate gravity models of bilateral trade. Universidad de Granada. Departamento de Teoría e Historia Económica (2010). (The Papers; 10/05). [http://hdl.handle.net/10481/31562]
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