A globally consistent framework for reliability-based trade statistics reconciliation in the presence of an entrepôt

This paper develops a mathematical programming model to reconcile trade statistics subject to a set of global consistency conditions in the presence of an entrepôt. Initial data reliability serves a key function for governing the magnitude of adjustment. Through a two-stage optimization procedure, t...

Full description

Saved in:
Bibliographic Details
Published in:China economic review 2010-03, Vol.21 (1), p.161-189
Main Authors: Wang, Zhi, Gehlhar, Mark, Yao, Shunli
Format: Article
Language:English
Subjects:
Data reliability
Entrepôt trade
Global consistency
Trade statistics reconciliation
Trade statistics reconciliation Entrepot trade Data reliability Global consistency
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:This paper develops a mathematical programming model to reconcile trade statistics subject to a set of global consistency conditions in the presence of an entrepôt. Initial data reliability serves a key function for governing the magnitude of adjustment. Through a two-stage optimization procedure, the adjusted trade statistics are achieved as solutions to a system of simultaneous equations that minimize a quadratic penalty function. As an empirical illustration, the model is applied to reconcile the 2004 trade statistics reported by China, Hong Kong and their major trading partners, initialized with detailed estimates of bilateral trade flows, re-export markups, cif/ fob ratios and data reliability indexes.
ISSN:1043-951X
1873-7781
DOI:10.1016/j.chieco.2009.12.003