TY  - JOUR
AU  - Huang,Hui
AU  - Whalley,John
TI  - The Use of Literature Based Elasticity Estimates in Calibrated Models of Trade-Wage Decompositions: A Calibmetric Approach
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 10137
PY  - 2003
Y2  - December 2003
UR  - http://www.nber.org/papers/w10137
L1  - http://www.nber.org/papers/w10137.pdf
N1  - Author contact info:
Hui Huang
University of Western Ontario
E-Mail: hhuang@uwo.ca

John Whalley
Department of Economics
Social Science Centre
University of Western Ontario
London, ON N6A 5C2
CANADA
Tel: 519/661-3509
Fax: 519/661-3666
E-Mail: jwhalley@uwo.ca
AB  - How to best utilize the wide range of estimates of elasticities that characterize econometric literature when using calibrated models is the issue we address here through a blending of econometrics and calibration into calibmetrics. Econometrically generated literature based elasticity parameters are typically used in calibrated models a very simple manner, appealing to a single value. Here we explicitly incorporate the full range of values of elasticities yielded by econometric studies in both the calibration procedure employed and the uses made of a calibrated model. This is important because the ranges for such values can be large. This allows us to assess how uncertainty in exogenously specified parameter values affects the performance of calibrated models, and how much added information is obtained by using the full range of literature estimates of key parameters in calibration.
ER  -