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Economics of climate change: gravitational models of trade and applied models of spatial econometrics

Abstract

This proposal makes feasible the visit of prof. Sandy Dall'Erba at the Department of Ecoonomics of the University of São Paulo. Prof. Sandy is a renowned researcher, a full professor at the College of Agricultural, Consumer and Environmental Sciences (ACES) at the University of Illinois at Urbana-Champaign and a world reference in gravitational models and models of spatial econometrics applied to climate change issues. In addition, prof. Sandy is also the current director of the REAL (Regional Economics Applications Laboratory), an important center of studies in regional economics, that has received and helped to train several researchers, including many Brazilians. The prof. Sandy will hold a variety of activities (seminar, conference, discussion board, working meeting to develop a new joint research project between the Department of Economics of USP and ACES/UIUC) focusing on the Economics of Climate Change, and gravitational and econometric space models applied to understand the impact of extreme events (e.g. drought) on economic variables. Among the objectives of this proposal are: a) to present new research topics in the Economics of Climate Change, Gravitational Models of Trade, and Applied Models of Spatial Econometrics, such as spatial models of differences in differences and models considering endogenous neighborhood matrices; b) strengthen cooperation ties with prof. Sandy Dall'Erba that will be materialized in the implantation of future research projects between the researcher and researchers of the University of São Paulo; and; c) contribute to the internationalization of research and academic exchange. The proposal is justified by presenting to the Brazilian public the research agenda in Climate Change Economics that integrates gravitational models and spatial econometric models, integrating the research developed internationally with the Brazilian works. (AU)

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