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- W2783145663 abstract "The focus is on cross-sectional dependence in panel trade flow models. We propose alternative specifications for modeling time-invariant factors such as sociocultural indicator variables, e.g., common language and currency. These are typically treated as a source of heterogeneity that is eliminated using fixed effects transformations, but we find evidence of cross-sectional dependence after eliminating country-specific and time-specific effects. These findings suggest use of alternative simultaneous dependence model specifications that accommodate cross-sectional dependence, which we set forth along with Bayesian estimation methods. Ignoring cross-sectional dependence implies biased estimates from panel trade flow models that rely on fixed effects." @default.
- W2783145663 created "2018-01-26" @default.
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- W2783145663 date "2019-04-25" @default.
- W2783145663 modified "2023-10-08" @default.
- W2783145663 title "Cross-sectional dependence model specifications in a static trade panel data setting" @default.
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- W2783145663 doi "https://doi.org/10.1007/s10109-019-00298-y" @default.
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