تحليل التجارة الخارجية في المملكة العربية السعودية باستخدام نموذج الجاذبية خلال الفترة 1984 - 2015 = Analysis of Foreign Trade in Saudi Arabia Using Gravity Model 1984 - 2015

2017 ◽  
Vol 10 (2) ◽  
pp. 137-169
Author(s):  
محمد عبد الكريم المرعي ◽  
عماد الدين أحمد المصبح
Keyword(s):  
Saudi Arabia ◽  
Foreign Trade ◽  
Gravity Model

Gravity Model of Croatian Regional Foreign Trade

2013 ◽  
Author(s):  
Ivo Družić ◽  
Maria Anić ◽  
Tomislav Sekur
Keyword(s):  
Foreign Trade ◽  
Gravity Model

scholarly journals A Panel Data Analysis of Jordan’s Foreign Trade: The Gravity Model Approach

2017 ◽  
Vol 10 (1) ◽  
pp. 204
Author(s):  
Ziad Mohammed Abu-Lila
Keyword(s):  
Foreign Trade ◽  
Gravity Model ◽  
Panel Data Analysis ◽  
Similarity Index ◽  
Factors Affecting ◽  
Dummy Variable ◽  
Bank Managers ◽  
Trading Partners ◽  
Trade Partner ◽  
Significant Factors

This study aims to identify the most important factors affecting the flow of Jordanian foreign trade, with its main trading partners for the period (1995-2016). To achieve this objective, the gravity model was adopted using a random effects model. The empirical findings show that Jordan’s foreign trade is positively determined by Jordan’s RGDP and dummy variable that used to capture the effect of a common border with Jordan. On the other side, distance and similarity index are found to be  significant factors in influencing Jordanian foreign trade negatively. Finally, the study found that the RGDP of trade partner and bilateral real exchange rate are not statistically significant. empirical evidence linking bank customers’ participation in financial ads to their attitude. Managerially, this study informs bank managers regarding effective management of financial advert contents in order to influence bank customer’s attitude towards financial adverts.

scholarly journals USAGE OF GRAVITY MODEL IN EVALUATING FOREIGN TRADE BETWEEN BOSNIA AND HERZEGOVINA AND MONTENEGRO AS MEMBERS OF CEFTA AGREEMENT 2006

2018 ◽  
Vol 12 (1) ◽  
pp. 143-159
Author(s):  
Ferhat Ćejvanović ◽  
Dragovan Miličević ◽  
Adnan Kamerić
Keyword(s):  
Foreign Trade ◽  
Gravity Model ◽  
Bosnia And Herzegovina

China’s foreign trade policy with OPEC member countries

2017 ◽  
Vol 10 (1) ◽  
pp. 61-81 ◽  
Author(s):  
Ehsan Rasoulinezhad
Keyword(s):  
Foreign Trade ◽  
Trade Policy ◽  
Gravity Model ◽  
Natural Resource ◽  
Bilateral Trade ◽  
Random Effect ◽  
Ordinary Least Squares ◽  
Foreign Trade Policy ◽  
Content Type ◽  
Opec Member

Purpose The purpose of this paper is to analyze specifications of the China’s foreign trade policy with Organization of the Petroleum Exporting Countries (OPEC) member countries. Design/methodology/approach The paper conducts three panel data estimations (fixed effect [FE], random effect [RE] and fully modified ordinary least squares [FMOLS]) based on the gravity model approach for bilateral trade patterns in natural resource and non-natural resource commodities between China and 13 OPEC members over the period of 1998-2014. Findings The findings reveal that the gravity equation fits the data reasonably well. The existence of long-term relationships between the bilateral trade flows and the main components of gravity model – GDP, income (GDP per capita), the difference in income, exchange rate, the openness level, distance and WTO membership – through the FE, RE and the FMOLS approaches was confirmed. The estimation results show that the trade pattern between China and OPEC member countries relies on the Heckscher–Ohlin theory, thus being explained by difference in factor endowments such as energy resources and technology. Originality/value To the best of the authors’ knowledge, this is the first attempt to examine the China’s foreign trade policy with the OPEC member countries through a gravity trade approach.

scholarly journals A GRAVITY MODEL OF TRADE TURNOVER BETWEEN UKRAINE AND THE EU

2018 ◽  
Vol 4 (4) ◽  
pp. 217-222
Author(s):  
Tetyana Melnyk ◽  
Nataliya Kalyuzhna ◽  
Kateryna Pugachevska
Keyword(s):  
Foreign Trade ◽  
Gravity Model ◽  
Purchasing Power Parity ◽  
Statistical Significance ◽  
Economic Cooperation ◽  
Institutional Factors ◽  
Trade Relations ◽  
Trade Turnover ◽  
The Impact ◽  
The Eu

Determining the conditions for further liberalization and the reality of long-term and effective trade and economic cooperation of Ukraine with the EU countries requires assessing the strength and probability of the influence of institutional factors. The possibility of taking into account the significance of institutional factors in the development of foreign trade relations creates a gravity modelling. Determination of gravitational principles of foreign trade actualizes the problem of developing the gravity model, which takes into account impact of institutional factors, contains the necessary and sufficient number of factors, and may be tested for adequacy based on statistical data. The purpose of the paper is to construct the gravity model taking into account the institutional conditions of trade and its empirical verification on the example of trade turnover between Ukraine and the EU. Methodology. Methods of statistical analysis and econometric modelling were used for constructing the gravity model, estimating its statistical significance and predictive ability. In the article, the necessity of taking into account the influence of institutional factors on the formation of the competitive status of the country in the sphere of international trade is substantiated. It is proved that, in conditions of increasing the contradictory nature of trade relations, the role of institutional gravity factors in foreign trade between states increases. The result of the article is the gravity model with such explanatory factors, as the gross domestic product of trade partners in purchasing power parity and the complex characteristic of “trade distance” between countries as an indicator of the influence of institutional factors on foreign trade relations. As a conclusion, it may be noted that the model is statistically significant, adequately describes the input data. The proposed model takes into account the presence of institutional factors of foreign trade, whose influence on the interstate trade and economic cooperation conditions is constantly increasing. Value/originality. The proposed results can be used for modelling and forecasting of foreign trade between trading partners, taking into account the impact of specific institutional factors on their foreign trade relations.

scholarly journals Gravity Model in Foreign Trade(Iraqi Dates as a Case Study)

2015 ◽  
Vol 1 (2) ◽  
pp. 19
Author(s):  
Basim Hazim Al-Badri
Keyword(s):  
Foreign Trade ◽  
Gravity Model

scholarly journals Diversification of Serbia's Export Markets - Potentials for Export to The Countries of Caspian Basin

2015 ◽  
Vol 53 (2) ◽  
pp. 278-297
Author(s):  
Nataša Stanojević ◽  
Ana Jovancai
Keyword(s):  
Foreign Trade ◽  
Gravity Model ◽  
Trade Deficit ◽  
Export Market ◽  
Caspian Basin ◽  
Export Markets ◽  
Key Features ◽  
Trade Gravity Model ◽  
Large Research ◽  
The Eu

Abstract Key features of the current foreign trade of Serbia are high and growing foreign trade deficit, and a small number of export partners. The fact that Serbia places its almost entire export on the markets of Italy, Germany and three former Yugoslavian countries implies the need for export diversification. Finding new or revitalizing former markets is vital for overcoming various weaknesses of Serbia’s foreign trade. Gravity model was used for establishing determinants of Serbia’s export and potential export directions. Coefficients of Serbia’s export, determined in a few earlier studies are based on the figures that were valid before the global economic crisis. As the export to the EU countries which are geographically closest to Serbia decreased during the crisis, it is assumed that the parameters have now changed and the factor of importance of geographical distance decreased. The obtained coefficients are then applied to the countries of the Caspian Basin. This is the region which, due to its numerous geographical and economic characteristics, is seen as an adequate export market, although its distance is relatively large. Research based on applying of gravity model has found that in some countries of the region, there is plenty of „space“ for Serbia’s exports.

scholarly journals An Empirical Sector-Specific Gravity Model for Hungarian International Trade

2015 ◽  
Vol 63 (6) ◽  
pp. 2145-2150
Author(s):  
Jana Šimáková ◽  
Daniel Stavárek
Keyword(s):  
International Trade ◽  
Exchange Rate ◽  
Foreign Trade ◽  
Gravity Model ◽  
Exchange Rate Volatility ◽  
Extended Model ◽  
Panel Data Regression ◽  
Trading Partners ◽  
Trade And Exchange ◽  
The Impact

This paper contributes to the economic literature on the impact of exchange rate volatility on Hungary’s foreign trade. Basic gravity model shows that trade volume between a pair of countries is an increasing function of their sizes (GDP) and a decreasing function of the distance between them. Additional factors included in extended model are population, dummy for common border and proxy for exchange rate volatility. The measure of exchange rate volatility is estimated by GARCH model. This paper explores relationship between trade and exchange rate uncertainty using quarterly data over the period 1999:1 – 2014:3. In order to obtain the objective result, we use the panel data regression for 10 sectors of Hungarian international trade based on SITC classification and six major trading partners (Austria, Germany, France, United Kingdom, Italy and Poland). The significant parameters obtained from panel regression demonstrate that bilateral exchange rate volatility leads to a decrease in Hungary’s foreign trade.

scholarly journals The Determinants of Turkey's Intra-Industry Trade with European Union Countries: The Gravity Model Results (1996-2013)

2015 ◽  
Author(s):  
Mustafa Kemal Değer ◽  
Muharrem Akın Doğanay ◽  
Osman Murat Telatar
Keyword(s):  
European Union ◽  
Foreign Trade ◽  
Gravity Model ◽  
Manufacturing Sector ◽  
Empirical Studies ◽  
Real Effective Exchange Rate ◽  
Foreign Direct Investments ◽  
Negative Effects ◽  
Industry Trade ◽  
Positive Effects

In recent years, structure of world trade is transformed to intra-industry trade (IIT) that is defined as the import and export of similar commodities. The transformation of foreign trade structure has led to increase either theoretical or empirical studies on IIT. A large part of the empirical studies on international trade deals with gravity model for explaining the determinants of foreign trade. According to gravity model, trade between countries, is affected negatively to the distance between them and positively to the size of the country. Similar statements can be used in terms of the determinants of IIT. Therefore, this study will be carried out determinants of IIT with using the gravity model. In this paper, determinants of intra-industry trade in manufacturing sectors between Turkey and European Union (EU) 15 countries will be estimated by panel data regression analysis in 1996-2013 periods. The results of this study indicate that market size and foreign direct investments have positive effects and distance between countries and real effective exchange rate have negative effects on Turkey’s manufacturing sector IIT with EU 15.

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