TY - BOOK ID - 84540685 TI - Estimating Trade Equations from Aggregate Bilateral Data PY - 1999 SN - 1462347975 1452734119 1281345547 9786613779113 1451895976 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Exports and Imports KW - Foreign Exchange KW - Macroeconomics KW - Neoclassical Models of Trade KW - Models of Trade with Imperfect Competition and Scale Economies KW - Trade: Forecasting and Simulation KW - Trade: General KW - Price Level KW - Inflation KW - Deflation KW - Empirical Studies of Trade KW - Currency KW - Foreign exchange KW - International economics KW - Real exchange rates KW - Exports KW - Exchange rates KW - Export prices KW - Trade balance KW - Balance of trade UR - https://www.unicat.be/uniCat?func=search&query=sysid:84540685 AB - This paper uses bilateral data on 420 merchandise trade flows between 21 industrial countries are used to estimate standard trade equations. The data set of over 11,000 observations allows the underlying elasticities to be estimated with considerable precision. Remarkably, a single specification appears to explain behavior across these countries in spite of the large number of individual flows analyzed. The results indicate a powerful long-run effect from supply on exports. Also, the real exchange rate elasticity depends upon the behavior of third country exchange rates. There is evidence of pricing to market and of a J-curve. ER -