C. van Marrewijk
- Comparative advantage, the rank-size rule, and Zipf's law
- Number of pages
- onbekend: Afdeling Algemene Economie
- Document type
- Working paper
- Faculty of Economics and Business (FEB)
- Amsterdam School of Economics Research Institute (ASE-RI)
Using a comprehensive international trade data set we investigate empirical regularities known as Zipf's Law or the rank-size rule for the distribution of the interaction between countries as measured by revealed comparative advantage. Using the recently developed estimator by Gabaix and Ibragimov (2007) we find strong evidence in favor of the rank-size rule along the time, country, and sector dimension for three different levels of data aggregation. The estimated Pareto exponents that characterize the distribution of revealed comparative advantage are stable over time but differ across countries and sectors. These differences are related empirically to country and sector characteristics, including population size, GDP, and factor intensities.
If you believe that digital publication of certain material infringes any of your rights or (privacy) interests, please let the Library know, stating your reasons. In case of a legitimate complaint, the Library will make the material inaccessible and/or remove it from the website. Please Ask the Library, or send a letter to: Library of the University of Amsterdam, Secretariat, Singel 425, 1012 WP Amsterdam, The Netherlands. You will be contacted as soon as possible.