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Back to the future: Gravity at sixty

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  • Anderson, James E.

Abstract

This essay travels back from its origin to the future with gravity. The return to (what we would now call) gravity’s non-parametric origin in Tinbergen (1962) takes a clue forward to improved non-parametric practice. In between, gravity became a structural parametric object widely used for policy projections and other counterfactuals. Non-parametric gravity described in Anderson (2023) leads to sufficient statistics for trade frictions, derived from the observable difference in welfare cost per unit in the observed and the observable as-if-frictionless equilibria. Relative resistance so defined is an origin for a renewed Tinbergen strategy of investigating trade friction determinants.

Suggested Citation

  • Anderson, James E., 2024. "Back to the future: Gravity at sixty," European Economic Review, Elsevier, vol. 161(C).
    • Handle: RePEc:eee:eecrev:v:161:y:2024:i:c:s0014292123002738
    DOI: 10.1016/j.euroecorev.2023.104645
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