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Modelling Inter-Regional Trade Flows: Data and Methodological Issues

  • d'Artis Kancs
  • Mark Thissen

The present paper proposes an improved estimation strategy for estimating inter-regional trade flows. Our estimation strategy is based on the parameter-free approach of Simini et al. (2012), which allows us to avoid concemptual inconsistencies, from which many previous estimation approaches suffer. Hence, our estimation strategy is particulalry suitable for for estimating trade flows in general equilibrium models which are implemented at the regional level.

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Paper provided by Economics and Econometrics Research Institute (EERI), Brussels in its series EERI Research Paper Series with number EERI RP 2013/09.

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Date of creation: 09 Sep 2013
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Handle: RePEc:eei:rpaper:eeri_rp_2013_09
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