TY - BOOK ID - 84542016 TI - The Missing Globalization Puzzle AU - Bhavnani, Rikhil. AU - Tamirisa, Natalia. AU - Subramanian, Arvind. AU - Coe, David. PY - 2002 SN - 1462334725 1452707812 1282110756 9786613803634 1451903766 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Econometrics KW - Exports and Imports KW - Globalization KW - Trade: General KW - Economic Integration KW - Trade Policy KW - International Trade Organizations KW - Econometric Modeling: General KW - Globalization: General KW - International economics KW - Econometrics & economic statistics KW - Gravity models KW - Plurilateral trade KW - Trade liberalization KW - Trade agreements KW - Econometric analysis KW - International trade KW - Econometric models KW - Commercial policy KW - Commercial treaties KW - United States UR - https://www.unicat.be/uniCat?func=search&query=sysid:84542016 AB - The failure of declining trade-related costs to be reflected in estimates of the standard gravity model of bilateral trade might be called the "missing globalization puzzle." This puzzle is most apparent in the estimated distance coefficients found in the literature, which show no evidence of declining in absolute value over time. In contrast, we find evidence of globalization, on both cross-section and panel data, reflected in a variety of measures of geography. Our estimation procedure is consistent with recent theoretical developments that emphasize the importance of relative costs for determining bilateral trade patterns. But the main reason our findings differ from previous studies is our nonlinear specification, which has a number of advantages over the standard log-linear specification. ER -