Gravity of Covid-19

Masood, Amjad and Ahmed, Junaid and Martínez-Zarzoso, Inmaculada (2021): Gravity of Covid-19.

Abstract

In this study, we analyze the impact of the Covid-19 pandemic on bilateral trade using monthly data from January to June 2020. Imports of the OECD member states are analysed using a structural gravity model of trade estimated with the Poisson pseudo maximum likelihood estimator. The analysis is conducted for total imports and for fruit and vegetables. Our findings show a significantly negative impact of the pandemic on both import measures, which is more pronounced for the perishable goods than for aggregate imports.

• Item Type: MPRA Paper
• Language: English
• Keywords: Covid-19; Bilateral Trade; Structural Gravity; PPML; OECD
• Subjects: F - International Economics > F1 - Trade; F - International Economics > F1 - Trade > F14 - Empirical Studies of Trade

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