The successful literature about gravitational models stresses that bilateral trade flows among countries is influenced by GDP factors and transaction costs. In other words the mass of bilateral trade would be related to the typical demand-supply factors which explain the quantity of traded goods...

The successful literature about gravitational models stresses that bilateral trade flows among countries is influenced by GDP factors and transaction costs. In other words the mass of bilateral trade would be related to the typical demand-supply factors which explain the quantity of traded goods...