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Derivation of econometric estimable functions of intra-trade industry: the case of the Norwegian intra-continental import trade pattern

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  • Yohannes Yebabe Tesfay
  • Per Bjarte Solibakke

Abstract

This paper evaluates the item-based Norwegian intra-continental trade pattern. The paper derives the best linear unbiased estimator (BLUE) of estimable functions of the two-stage non-full rank hierarchical linear econometric model for the analysis of the intra-continental variations of the yearly Norwegian import expenditures for the period 1988-2014. The result confirms that the intra-Europe, item-based trade pattern of the Norwegian import trade is characterised as very stable, standardised and predictable. However, most of the items of import from the other continents show lack of stability and predictability. The result implies that efforts by governments (or firms) for trade stability have little effects.

Suggested Citation

  • Yohannes Yebabe Tesfay & Per Bjarte Solibakke, 2017. "Derivation of econometric estimable functions of intra-trade industry: the case of the Norwegian intra-continental import trade pattern," International Journal of Computational Economics and Econometrics, Inderscience Enterprises Ltd, vol. 7(4), pages 411-442.
    • Handle: RePEc:ids:ijcome:v:7:y:2017:i:4:p:411-442
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