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GTAP Resource #1216

"Short-Run and Long-Run Industry-Level Estimates of U.S. Armington Elasticities"
by Gallaway, Michael, Christine Mcdaniel and Sandra A. Rivera

The Armington substitution elasticity is a key parameter for trade-policy analysis. We estimate short- and long-run Armington elasticities for 309 manufacturing industries at the four-digit Standard Industrial Classification (SIC) level over the period 1989-1995. Our estimation results offer a comprehensive, disaggregated, and up-to-date set of Armington elasticities. On average, long-run estimates are approximately two times larger than the short-run estimates, which is important since long-run estimates are more appropriate for most trade-policy analysis. Also, statistically significant differences exist within most three-digit SIC categories, which highlights the importance of estimation at a disaggregated level.

Resource Details (Export Citation) GTAP Keywords
Category: Other
Status: Published
By/In: North American Journal of Economics and Finance, vol14, pp.49-68
Date: 2003
Created: (4/17/2003)
Updated: Bacou, M. (2/25/2004)
Visits: 2,184
- North America

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