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Short Run Gravity
To reserve a time to meet with the speaker, please register at the following form:
docs.google.com/spreadsheets/d/1lrD2lGFNblfIUbNq47EgXe6YQIi64gJ0Byj-JTJUbOM/edit#gid=0
Abstract:
Short run gravity is a geometric weighted average of long run gravity and fixed bilateral capacity. As bilateral capacities become efficient, trade flows approach their long run gravity values. The model features (i) joint trade costs rising in bilateral and multilateral trade, (ii) tractable short and long run models of the extensive margin, and (iii) a structural ratio of short run to long run trade elasticities equal to a micro-founded buyers’ incidence elasticity. Results suggest an incidence elasticity around 1/4 for manufacturing trade during globalization 1988-2006. Inference combines short run gravity with two plausible dynamic specifications of capacity adjustment.
Date:
10 October 2017, 14:30
Venue:
Manor Road Building, Manor Road OX1 3UQ
Venue Details:
Seminar Room A
Speaker:
James Anderson (Boston College)
Part of:
International Trade Seminar
Booking required?:
Not required
Audience:
Members of the University only
Editors:
Erin Saunders,
Anne Pouliquen
