Abstract

This work attempts to create a gravity model of the virtual water trade with

the presence of large quantities of zero trade flow observations. The measured

trade flows are the virtual water content of the crop commodities maize, rice,

and wheat, separated by green, blue, and grey virtual water content. The

model was fit using the Poisson pseudo-maximum likelihood (PPML)

estimator as supported by recent literature. The analysis resulted in no

definite conclusions about the gravity model or PPML as a method of fit.

Results of the modeling produce several errors conflicting with previously

established knowledge about gravity models and encourage further

investigation into methods of modeling the virtual water trade.

Advisor

Frazier, Marian

Department

Mathematics

Keywords

Virtual water, gravity model, water scarcity, agricultural trade

Publication Date

2019

Degree Granted

Bachelor of Arts

Document Type

Senior Independent Study Thesis

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© Copyright 2019 Hope Hunter