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Gravity-type model of Czech agricultural export

Author

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  • M. Ševela

    (Mendel University of Agriculture and Forestry, Brno, Czech Republic)

Abstract

The article concentrates on the application of gravity-type model to explain the volume of agro-exports from the Czech Republic. The multiplicative exponential function of the appropriate explanatory variables is used to describe the bilateral trade flows. Gross national product, gross national product per capita and geographical distance between the capitals of economies proved statistically significant. From regression analysis of the transformed data, there is apparent the positive correlation between the export volume of the commodity group 0 - Food and live animals SITC, rev.3 and gross national income. On the contrary, the negative correlation is between the agro-export volume and gross national income per capita and geographical distance as well. The built model is significant at the 5% level and explains more than 75% of dependent variable variance.

Suggested Citation

  • M. Ševela, 2002. "Gravity-type model of Czech agricultural export," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 48(10), pages 463-466.
    • Handle: RePEc:caa:jnlage:v:48:y:2002:i:10:id:5353-agricecon
    DOI: 10.17221/5353-AGRICECON
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    References listed on IDEAS

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    1. repec:exe:wpaper:00/04 is not listed on IDEAS
    2. repec:fth:exetec:00/04 is not listed on IDEAS
    3. 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 474-481, August.
    4. World Bank, 2002. "World Development Indicators 2002," World Bank Publications - Books, The World Bank Group, number 13921, April.
    5. Porojan, A., 2000. "Trade Flows and Spatial Effects: The Gravity Model Revisited," Discussion Papers 0004, University of Exeter, Department of Economics.
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    Cited by:

    1. Nazir Muhammad Abdullahi & Olufemi Adewale Aluko & Xuexi Huo, 2021. "Determinants, efficiency and potential of agri-food exports from Nigeria to the EU: Evidence from the stochastic frontier gravity model," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 67(8), pages 337-349.
    2. Richard Frensch & Jan Hanousek & Evžen Kočenda, 2013. "Obchod s fiskálními statky v Evropské unii: Analýza za pomoci gravitačního modelu [Trade with Final Goods in European Union: A Gravity Model Approach]," Politická ekonomie, Prague University of Economics and Business, vol. 2013(6), pages 715-734.
    3. Vu, Hanh Thi & Doan, Hung Quang, 2013. "Vietnamese rice exports: Do large destination markets stimulate?," MPRA Paper 63891, University Library of Munich, Germany, revised Sep 2013.
    4. So Yeon LEE & Song Soo LIM, 2014. "Determinants of the Korean agricultural trade with the LDCs and the OECD countries," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 60(3), pages 110-122.
    5. Cantore, Nicola & Canavari, Maurizio & Pignatti, Erika, 2008. "Organic certification systems and international trading of agricultural products in gravity models," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6159, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

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