Bilateral trade: a study on SAARC countries
AbstractThis research paper offers a selective survey of gravity equation in the International Trade. Gravity equation was first introduced in the Sixties as a purely empirical proposition to explain bilateral trade flow. The data was taken from the SAARC countries to evaluate the factors affecting the bilateral trade volume. The variables that impact on trade volume are studied in this thesis, as in : Transport Cost, Inflation, Exchange Rate, GDP, population, Tariff and distance by using multiple linear regressions. The results of transport cost, inflation, exchange rate, GDP and distance has the significant impact on the bilateral trade, whereas tariff and population have insignificant values.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 36158.
Date of creation: 2009
Date of revision:
Publication status: Published in South Asian Journal of Management Sciences 2.3(2009): pp. 15-21
Bilateral Trade; SAARC countries;
Find related papers by JEL classification:
- A1 - General Economics and Teaching - - General Economics
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Bergstrand, Jeffrey H, 1985. "The Gravity Equation in International Trade: Some Microeconomic Foundations and Empirical Evidence," The Review of Economics and Statistics, MIT Press, vol. 67(3), pages 474-81, August.
- Sanso, Marcos & Cuairan, Rogelio & Sanz, Fernando, 1993. "Bilateral Trade Flows, the Gravity Equation, and Functional Form," The Review of Economics and Statistics, MIT Press, vol. 75(2), pages 266-75, May.
- Natalia T. Tamirisa, 1999.
"Exchange and Capital Controls as Barriers to Trade,"
IMF Staff Papers,
Palgrave Macmillan, vol. 46(1), pages 4.
- Natalia T. Tamirisa, 1998. "Exchange and Capital Controls As Barriers to Trade," IMF Working Papers 98/81, International Monetary Fund.
- Guedae Cho & Ian M. Sheldon & Steve McCorriston, 2002. "Exchange Rate Uncertainty and Agricultural Trade," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, Agricultural and Applied Economics Association, vol. 84(4), pages 931-942.
- Alan C. Stockman, 1981.
"Effects of Inflation on the Pattern of International Trade,"
NBER Working Papers
0713, National Bureau of Economic Research, Inc.
- Alan C. Stockman, 1985. "Effects of Inflation on the Pattern of International Trade," Canadian Journal of Economics, Canadian Economics Association, Canadian Economics Association, vol. 18(3), pages 587-601, August.
- Robert C. Feenstra & James R. Markusen & Andrew K. Rose, 2001. "Using the gravity equation to differentiate among alternative theories of trade," Canadian Journal of Economics, Canadian Economics Association, Canadian Economics Association, vol. 34(2), pages 430-447, May.
- Udo Broll & Bernhard Eckwert, 1999. "Exchange Rate Volatility and International Trade," Southern Economic Journal, Southern Economic Association, vol. 66(1), pages 178-185, July.
- Michele Fratianni, 2007.
"The Gravity Equation in International Trade,"
Working Papers, Indiana University, Kelley School of Business, Department of Business Economics and Public Policy
2007-17, Indiana University, Kelley School of Business, Department of Business Economics and Public Policy.
- Michele FRATIANNI, 2007. "The Gravity Equation in International Trade," Working Papers, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali 307, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ekkehart Schlicht).
If references are entirely missing, you can add them using this form.