TY  - JOUR
AU  - Anderson,James E.
AU  - Yotov,Yoto V.
TI  - The Changing Incidence of Geography
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 14423
PY  - 2008
Y2  - October 2008
UR  - http://www.nber.org/papers/w14423
L1  - http://www.nber.org/papers/w14423.pdf
N1  - Author contact info:
James E. Anderson
Department of Economics
Boston College
Chestnut Hill, MA 02467
Tel: 617/552-3691
Fax: 617/552-2308
E-Mail: james.anderson.1@bc.edu

Yoto V. Yotov
Drexel University
LeBow College of Business
Department of Economics and International Business
Matheson Hall, Suite 503-C
Philadelphia, PA 19104
E-Mail: yotov@drexel.edu
AB  - The incidence of bilateral trade costs is calculated here using neglected properties of the structural gravity model, disaggregated by commodity and region, and re-aggregated into forms useful for economic geography. For Canada's provinces, 1992- 2003, incidence is on average some five times higher for sellers than for buyers. Sellers' incidence falls over time due to specialization, despite constant gravity coefficients. This previously unrecognized globalizing force drives big reductions in 'constructed home bias', the disproportionate predicted share of local trade; and large but varying gains in real GDP.
ER  -