Seminar International Economics: Using the gravity model for policy analysis
Instructors: Andrea LassmannShortname: HS Micro
Course No.: 03.897.1949
Course Type: Hauptseminar
Requirements / organisational issues
Prerequisites: Students should have an intermediate level in international economics and an interest in learning advanced empirical techniques (in R or Stata) that we apply on a remote server. Basic knowledge of the gravity model is an advantage but not required. This seminar is not suited for first-semester students.Contents
Course Objectives: This course evolves around the gravity model of trade. After this course, you will be able to understand and explain patterns in international trade, and analyze how they are affected by trade policy.In this course, we discuss the theory of the gravity model of trade and learn to use state-of-the-art empirical estimators and appropriate data to estimate the effect of trade policy on bilateral trade patterns. Motivated students can employ counterfactual policy experiments to test the effect of hypothetical policies. You could consider questions such as:
• What is the effect of tariffs or particular regional trade agreements on international trade?
• What is the effect of deep trade agreements on international trade?
• What is the effect of imposing sanctions on international trade?
• What is the effect of shutting down USMCA on international trade and countries’ GDPs?
• What is the effect of Mercosur on international trade and countries’ GDPs?
Grading: Presentation (50%): Each seminar participant will present the idea and results from their policy experiment. I am happy to provide personal feedback on your presentation. Attendance of all presentations is mandatory. Seminar paper (50%): Students draft a policy report that should not exceed 5 pages including references. This report is non-technical and based on your counterfactual policy experiment. A final version should be submitted to the above email address by July 10, 2026 (midnight). Please follow the course objectives. Your report needs to fulfil all formal requirements (in particular, regarding citation). Successful students will receive 6 ECTS. Exhaustive information will be provided during our first meeting.
Additional information
Please discuss your questions and progress during my (virtual) office hour!Dates
| Date (Day of the week) | Time | Location |
|---|---|---|
| 04/22/2026 (Wednesday) | 16:15 - 17:45 | 00 311 HS VI 1121 - Haus Recht und Wirtschaft II |
| 06/17/2026 (Wednesday) | 09:00 - 18:00 | 01 130 RW 6 1226 - Haus Recht und Wirtschaft I |