The Origins of Spatial Interaction

Wolfgang Keller and Carol Shiue ()

No 10069, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Geography shapes economic outcomes in a major way. This paper uses spatial empirical methods to detect and analyze trade patterns in a historical data set on Chinese rice prices. Our results suggest that spatial features were important for the expansion of interregional trade. Geography dictates, first, over what distances trade was possible in different regions, because the costs of ship transport were considerably below those for land transport. Spatial features also influence the direction in which a trading network is expanding. Moreover, our analysis captures the impact of new trade routes both within and outside the trading areas. We also discuss the long-run implications this might have.

JEL-codes: N5 N7 (search for similar items in EconPapers)
Date: 2003-11
New Economics Papers: this item is included in nep-ure
Note: DAE ITI
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Published as Keller, Wolfgang & Shiue, Carol H., 2007. "The origin of spatial interaction," Journal of Econometrics, Elsevier, vol. 140(1), pages 304-332, September.

Downloads: (external link)
http://www.nber.org/papers/w10069.pdf (application/pdf)

Related works:
Journal Article: The origin of spatial interaction (2007)
Working Paper: The Origins of Spatial Interaction (2003)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nbr:nberwo:10069

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w10069

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().