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Trading Partners and Trading Volumes: Implementing the Helpman-Melitz-Rubinstein Model Empirically

João Santos Silva () and Silvana Tenreyro ()

CEP Discussion Papers from Centre for Economic Performance, LSE

Abstract: Helpman, Melitz, and Rubinstein (2008)-HMR-present a rich theoretical model to study the determinants of bilateral trade flows across countries. The model is then empirically implemented through a two-stage estimation procedure. This note seeks to clarify some econometric aspects of the estimation approach used by HMR and explore the consequences of possible departures from the maintained distributional assumptions.

Keywords: Gravity equation; Heteroskedasticity; Jensens inequality (search for similar items in EconPapers)
JEL-codes: C13 C50 F10 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-int
Date: 2009-06
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http://cep.lse.ac.uk/pubs/download/dp0935.pdf (application/pdf)

Related works:
Journal Article: Trading Partners and Trading Volumes: Implementing the Helpman–Melitz–Rubinstein Model Empirically (2015) Downloads
Working Paper: Trading partners and trading volumes: implementing the Helpman-Melitz-Rubinstein model empirically (2013) Downloads
Working Paper: Trading partners and trading volumes: implementing the Helpman-Melitz-Rubinstein model empirically (2009) Downloads
Working Paper: Trading Partners and Trading Volumes:Implementing the Helpman-Melitz-Rubinstein Model Empirically (2008) Downloads
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