{"id":2023,"date":"2020-03-05T04:07:13","date_gmt":"2020-03-05T04:07:13","guid":{"rendered":"https:\/\/bschool.nus.edu.sg\/dean\/?p=2023"},"modified":"2020-03-05T04:07:13","modified_gmt":"2020-03-05T04:07:13","slug":"error-in-bilateral-data-set","status":"publish","type":"post","link":"https:\/\/bschool.nus.edu.sg\/dean\/2020\/03\/05\/error-in-bilateral-data-set\/","title":{"rendered":"Error in Bilateral Data Set"},"content":{"rendered":"

updated May 21, 2010<\/em><\/p>\n

Eileen Brooks has found a small error in a bilateral trade data set of mine; I thank her for pointing this out to me. In particular, the World Bank country income classifications have been slightly miscoded in a bilateral trade data set.<\/p>\n

The mistake was that\u00a0Gabon\u2019s IFS country code (646) was incorrectly replaced by Guinea-Bissau\u2019s country code (654) in the program generating the data.\u00a0\u00a0This means that\u00a0Gabon\u00a0is missing an income classification (it is in fact a middle-income country), while some of Guinea-Bissau\u2019s observations are classified as middle-income (it is in fact a low-income country).<\/p>\n

The consequences of this error are small in practice. This error affects two rows in table 4 of my paper \u201cDo We Really Know that the WTO Increases Trade?\u201d\u00a0\u00a0With the error, the relevant rows read:<\/p>\n\n\n\n\n\n\n
<\/td>\nBoth in GATT\/WTO<\/strong><\/td>\nOne in GATT\/WTO<\/strong><\/td>\nGSP<\/strong><\/td>\n<\/tr>\n
\u2026<\/strong><\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
Middle Income<\/strong><\/td>\n-.05<\/p>\n

(.06)<\/td>\n

-.03<\/p>\n

(.05)<\/td>\n

.93<\/p>\n

(.04)<\/td>\n<\/tr>\n

Low Income<\/strong><\/td>\n-.38<\/p>\n

(.08)<\/td>\n

-.37<\/p>\n

(.08)<\/td>\n

1.11<\/p>\n

(.05)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

With corrected data, the rows should read:<\/p>\n\n\n\n\n\n\n
<\/td>\nBoth in GATT\/WTO<\/strong><\/td>\nOne in GATT\/WTO<\/strong><\/td>\nGSP<\/strong><\/td>\n<\/tr>\n
\u2026<\/strong><\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
Middle Income<\/strong><\/td>\n-.05<\/p>\n

(.06)<\/td>\n

-.04<\/p>\n

(.05)<\/td>\n

.92<\/p>\n

(.04)<\/td>\n<\/tr>\n

Low Income<\/strong><\/td>\n-.38<\/p>\n

(.08)<\/td>\n

-.36<\/p>\n

(.08)<\/td>\n

1.11<\/p>\n

(.05)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n

The error also affects a single row of different tables in my paper \u201cWhich International Institutions Promote International Trade?\u201d\u00a0\u00a0With the error, the relevant rows of tables 2 and A5 respectively are:<\/p>\n

—————————————————–Coefficients———————————————-<\/p>\n\n\n\n\n\n
\u00a0<\/strong><\/td>\nBoth GATT<\/strong><\/p>\n

\/WTO<\/strong><\/td>\n

One GATT<\/strong><\/p>\n

\/WTO<\/strong><\/td>\n

Both<\/strong><\/p>\n

IMF<\/strong><\/td>\n

One<\/strong><\/p>\n

\u00a0IMF<\/strong><\/td>\n

Both OECD<\/strong><\/td>\nOne OECD<\/strong><\/td>\nRegional<\/strong><\/p>\n

FTA<\/strong><\/td>\n<\/tr>\n

\u2026<\/strong><\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
No Low-Income Countries<\/strong><\/td>\n.15<\/p>\n

(.07)<\/td>\n

.10<\/p>\n

(.06)<\/td>\n

-.43<\/p>\n

(.11)<\/td>\n

-.26<\/p>\n

(.11)<\/td>\n

.37<\/p>\n

(.08)<\/td>\n

.36<\/p>\n

(.05)<\/td>\n

1.15<\/p>\n

(.12)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n\n\n\n\n\n
\u00a0<\/strong><\/td>\nBoth GATT<\/strong><\/p>\n

\/WTO<\/strong><\/td>\n

One GATT<\/strong><\/p>\n

\/WTO<\/strong><\/td>\n

Both<\/strong><\/p>\n

IMF<\/strong><\/td>\n

One<\/strong><\/p>\n

\u00a0IMF<\/strong><\/td>\n

Both OECD<\/strong><\/td>\nOne OECD<\/strong><\/td>\nRegional<\/strong><\/p>\n

FTA<\/strong><\/td>\n<\/tr>\n

\u2026<\/strong><\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
No Low-Income Countries<\/strong><\/td>\n.17<\/p>\n

(.02)<\/td>\n

.02<\/p>\n

(.02)<\/td>\n

-.42<\/p>\n

(.04)<\/td>\n

-.18<\/p>\n

(.04)<\/td>\n

.84<\/p>\n

(.04)<\/td>\n

.34<\/p>\n

(.02)<\/td>\n

.67<\/p>\n

(.04)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n

With corrected data, the rows should read:<\/p>\n

—————————————————–Coefficients———————————————-<\/p>\n\n\n\n\n\n
\u00a0<\/strong><\/td>\nBoth GATT<\/strong><\/p>\n

\/WTO<\/strong><\/td>\n

One GATT<\/strong><\/p>\n

\/WTO<\/strong><\/td>\n

Both<\/strong><\/p>\n

IMF<\/strong><\/td>\n

One<\/strong><\/p>\n

\u00a0IMF<\/strong><\/td>\n

Both OECD<\/strong><\/td>\nOne OECD<\/strong><\/td>\nRegional<\/strong><\/p>\n

FTA<\/strong><\/td>\n<\/tr>\n

\u2026<\/strong><\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
No Low-Income Countries<\/strong><\/td>\n.14<\/p>\n

(.07)<\/td>\n

.09<\/p>\n

(.06)<\/td>\n

-.41<\/p>\n

(.11)<\/td>\n

-.24<\/p>\n

(.11)<\/td>\n

.36<\/p>\n

(.08)<\/td>\n

.35<\/p>\n

(.05)<\/td>\n

1.16<\/p>\n

(.12)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n\n\n\n\n\n
\u00a0<\/strong><\/td>\nBoth GATT<\/strong><\/p>\n

\/WTO<\/strong><\/td>\n

One GATT<\/strong><\/p>\n

\/WTO<\/strong><\/td>\n

Both<\/strong><\/p>\n

IMF<\/strong><\/td>\n

One<\/strong><\/p>\n

\u00a0IMF<\/strong><\/td>\n

Both OECD<\/strong><\/td>\nOne OECD<\/strong><\/td>\nRegional<\/strong><\/p>\n

FTA<\/strong><\/td>\n<\/tr>\n

\u2026<\/strong><\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/td>\n<\/tr>\n
No Low-Income Countries<\/strong><\/td>\n.16<\/p>\n

(.02)<\/td>\n

.01<\/p>\n

(.02)<\/td>\n

-.40<\/p>\n

(.04)<\/td>\n

-.17<\/p>\n

(.04)<\/td>\n

.84<\/p>\n

(.04)<\/td>\n

.34<\/p>\n

(.02)<\/td>\n

.66<\/p>\n

(.04)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

The data sets on the web have not been corrected, but the results in the papers have been.<\/p>\n

****<\/p>\n

On\u00a0Dec 15, 2003\u00a0Chris Pearce brought to my attention a potential issue associated with rebasing of GDP series between 1997 and 1998.\u00a0\u00a0This seems to make no difference to the final results (almost surely because of the year dummies), and has thus not been pursued further.\u00a0\u00a0Still, users are warned!\u00a0\u00a0I thank Chris for bringing this to my attention.<\/p>\n

*****<\/p>\n

On\u00a0May 2, 2005\u00a0Johnannes Voget alerted me to the fact that the Euro-zone countries are coded as custrict=0 for 1999 even though EMU technically began on\u00a0Jan 1, 1999.\u00a0\u00a0I like to date EMU from the introduction of the physical currency in 2002, since that\u2019s when prices switched over to the Euro.\u00a0\u00a0Still, be warned!\u00a0\u00a0Johannes also alerted me to that fact that\u00a0Luxembourg\u00a0enters the data set in 1997 but is incorrectly coded as not being a member of the EU.\u00a0\u00a0Apologies for this mistake; please be aware.\u00a0\u00a0I thank Johannes for his messages.<\/p>\n

*****<\/p>\n

On July 27, 2005 Ariell Reshef alerted me to the fact that Guyana and Suriname are coded as carib=1 (they are not in the Caribbean), while Jamaica and St. Lucia are coded carib=0 (they are).\u00a0\u00a0Thanks to him, and apologies.<\/p>\n

*****<\/p>\n

On October 21, 2005 Russell Hillberry alerted me to the fact that EFTA is not included in the RTAs (as noted in the paper, so this is a clarification rather than an error).\u00a0\u00a0Thanks to him.<\/p>\n

*****<\/p>\n

On June 30, 2008 Trang Tran alerted me to the facts that a) Rwanda was coded as a non-landlocked country is landlocked; and b) Syria was coded as landlocked but it has a 193km coastline (according to the CIA world factbook).\u00a0 Thanks!<\/p>\n

\u00a0*****<\/p>\n

On May 21, 2010 Yukihiro Kumeno alerted me to the fact that “join2” is often mis-coded as 1948 when cty1==112 (the UK).\u00a0 As always, my thanks and apologies.<\/p>\n

\u00a0*****<\/p>\n

To my knowledge, no other observations or variables are in error.<\/p>\n

I apologize for these mistakes, and again ask future users of my data sets to bring any problems to my attention.<\/p>\n","protected":false},"excerpt":{"rendered":"

updated May 21, 2010 Eileen Brooks has found a small error in a bilateral trade data set of mine; I thank her for pointing this out to me. In particular, the World Bank country income classifications have been slightly miscoded in a bilateral trade data set. 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