Event Title
Examination of Net Exports through the Use of Econometric Models
Faculty Sponsor
Jeff Summers
Location
Jereld R. Nicholson Library
Date
5-11-2012 3:00 PM
End Date
5-11-2012 4:30 PM
Subject Area
Economics (applied)
Description
The purpose of this paper is to estimate import and export demand of the United States using ordinary least squared regression on a time series data set from 1973-2011. The model being estimated encompasses variables to account for price, income, and trade agreements. The augmented Dicky-Fuller test is applied to test the time series properties of the variables. This paper finds a significant relationship between real U.S. exports, per capita income (per capita world GDP), and trade agreements (if signed NAFTA or not) but no significant relationship to real relative prices (exchange rate). We also find a significant relationship between U.S. real imports, per capita income (per capita U.S. GDP), and trade agreements (NAFTA), but no significant relationship to real relative prices (exchange rate).
Recommended Citation
Weinbender, Eric and Grant, Alex, "Examination of Net Exports through the Use of Econometric Models" (2012). Science and Social Sciences. Event. Submission 38.
https://digitalcommons.linfield.edu/studsymp_sci/2012/all/38
Examination of Net Exports through the Use of Econometric Models
Jereld R. Nicholson Library
The purpose of this paper is to estimate import and export demand of the United States using ordinary least squared regression on a time series data set from 1973-2011. The model being estimated encompasses variables to account for price, income, and trade agreements. The augmented Dicky-Fuller test is applied to test the time series properties of the variables. This paper finds a significant relationship between real U.S. exports, per capita income (per capita world GDP), and trade agreements (if signed NAFTA or not) but no significant relationship to real relative prices (exchange rate). We also find a significant relationship between U.S. real imports, per capita income (per capita U.S. GDP), and trade agreements (NAFTA), but no significant relationship to real relative prices (exchange rate).