India in the Global and Regional Trade: Determinants of Aggregate and Bilateral Trade Flows and Firmsâ€™ Decision to Export
AbstractThis paper contributes to two strands of literature on empirical models of trade flows and trade policy. The first and the older strand is that of gravity models of bilateral trade flows going back to Hans Linneman (1966) and Tinbergen (1962) and its recent applications, particularly by Adams et al (2003) and De Rosa (2007) in analyzing the impact of Preferential Trade Agreements (PTAs). The focus is on applying the gravity model to analyze Indiaâ€™s trade flows (exports and imports) with its trading partners around the world and to examine the impact of various PTAs in which India or its trading partner or both are members. [Working Paper No. 232]
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PTAs/RTAs; Non-discriminatory trade liberalisation; Gravity model; Intrabloc trade effect; Trade diversion; Trade creation; Firm heterogeneity; Probability of exporting; Export performance; Logit; Probit; Fixed effect; Random effect; Tobit model; firm-specific effect; sunk cost; Hazard model;
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