수입수요; 외연영역; 새로운 상품; 소득탄력성; import demand; extensive margin; new goods; income elasticity
경제연구, v.32, no.2, pp.221 - 248
It is well-known that income elasticities in the standard import demand equation may be over-estimated because of the omission of new goods. Following this line of reasoning, this paper suggests an import demand equation that incorporates the extensive margin and then estimates the effect of new goods on income elasticities. This paper shows that income elasticities are upward biased by approximately 115% when the effects of new goods are not taken into account, using Korean export data. This paper proposes a new sophisticated import demand equation that is useful for estimating un-biased income elasticities.