Arbeitspapier
Heterogeneity and the Distance Puzzle
This paper shows that reduced heterogeneity of exporter-specific goods can provide a direct explanation of the distance puzzle. Using COMTRADE 4-digit bilateral trade data we find that the elasticity of trade to distance has increased by 8% from 1962 to 2009. Theoretical foundations of the gravity equation indicate that the distance coefficient is the product of the elasticity of trade costs to distance and a measure of heterogeneity, e.g. the substitution elasticity between exporter-specific goods in the Armington framework. This parameter has increased by at least 12-29% from 1962 to 2009. The evolution of the distance coefficient is thus compatible with a 4-16% reduction in the elasticity of trade costs to distance.
- Sprache
-
Englisch
- Erschienen in
-
Series: FIW Working Paper ; No. 95
- Klassifikation
-
Wirtschaft
Economic Integration
Economic History: Transport, International and Domestic Trade, Energy, Technology, and Other Services: General, International, or Comparative
- Thema
-
gravity equation
distance puzzle
trade elasticity
trade costs
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Archanskaia, Elizaveta
Daudin, Guillaume
- Ereignis
-
Veröffentlichung
- (wer)
-
FIW - Research Centre International Economics
- (wo)
-
Vienna
- (wann)
-
2012
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:43 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Archanskaia, Elizaveta
- Daudin, Guillaume
- FIW - Research Centre International Economics
Entstanden
- 2012
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