The Mistreated Model: A Reply
This paper addresses the issues raised by Johnston et al. (2003) in relation to the spatial econometric treatment of the gravity model of trade in Porojan (2001). We show that the findings reported there are robust to alternative specifications. Furthermore, we indicate that the proposed formulation takes spatial effects into account while separating the impact of distance from far away trading partners from the 'neighborhood effect,' particularly within regional trading blocs. Copyright Kluwer Academic Publishers 2003
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- Jeffrey A. Frankel & Ernesto Stein & Shang-Jin Wei, 1998.
"Continental Trading Blocs: Are They Natural or Supernatural?,"
in: The Regionalization of the World Economy, pages 91-120
National Bureau of Economic Research, Inc.
- Jeffrey A. Frankel & Ernesto Stein & Shang-Jin Wei, 1993. "Continental Trading Blocs: Are They Natural, or Super-Natural?," NBER Working Papers 4588, National Bureau of Economic Research, Inc.
- A. Porojan, 2001. "Trade Flows and Spatial Effects: The Gravity Model Revisited," Open Economies Review, Springer, vol. 12(3), pages 265-280, July.
- Ron Johnston & Les Hepple & Tony Hoare & Kelvyn Jones & Paul Plummer, 2003. "The Mistreated Model: Some Technical Comments on Porojan's Paper on 'Trade Flows and Spatial Effects'," Open Economies Review, Springer, vol. 14(1), pages 11-14, January.
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