Does the measurement of intra-industry trade matter?

Gullstrand, Joakim

doi:10.1007/bf02707747

Cited by 36 publications

(24 citation statements)

References 14 publications

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“…Fontagné and Freudenberg (1997) and Greenaway et al (1995) separate vertically differentiated products from horizontally differentiated products by the use of a dispersion factor of 15 or 25%. In order to evaluate the robustness of the results, Greenaway et al (1995), Aturupane et al (1999), Durkin and Krygier (2000), Gullstrand (2002a), Mora (2002) and Crespo and Fontoura (2004) conduct a regression analysis for both dispersion factors and find that the results are not particularly sensitive as regards the chosen dispersion factor. See Nielsen and Lüthje (2002) and Lüthje (2003) for a further discussion of this method.…”

Section: Measurement Of Intra-industry Tradementioning

confidence: 99%

Driving forces of vertical intra-industry trade in Europe 1996–2005

Jensen

Lüthje

2009

Rev World Econ

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A common feature in the empirical literature of intra-industry trade is the analysis of trade between a given reference country and a set of partners. This article differs from previous studies by examining the bilateral trade among all trading partners within a set of partners. Using a panel data approach, we find that differences in factor endowments seem not to be important as a driving force behind vertical intra-industry trade for European countries over the chosen period. More important driving forces are production size, geographical proximity, average income per capita and income distribution overlap.

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Section: Measurement Of Intra-industry Tradementioning

confidence: 99%

Driving forces of vertical intra-industry trade in Europe 1996–2005

Jensen

Lüthje

2009

Rev World Econ

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“…If goods are differentiated by their appearance or horizontal distinctions, we are dealing with what is known as horizontal intra-industry trade. If goods are differentiated by quality and numerical distinctions, the phenomenon is called vertical intra-industry trade (Gullstrand, 2002). This type of trade is distinct from inter-industry trade.…”

Section: Methodsmentioning

confidence: 99%

Assessing the Factors Associated With Iran’s Intra-Industry Trade in Pharmaceuticals

Yusefzadeh¹,

Hadian²,

Gorji³

et al. 2015

GJHS

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Background:Pharmaceutical industry is a sensitive and profitable industry. If this industry wants to survive, it should be able to compete well in international markets. So, study of Iran’s intra-industry trade (IIT) in pharmaceuticals is essential in order to identify competitiveness potential of country and boost export capability in the global arena.Methods:This study assessed the factors associated with Iran’s intra-industry trade in pharmaceuticals with the rest of the world during the 2001–2012 periods using seasonal time series data at the four-digit SITC level. The data was collected from Iran’s pharmaceutical Statistics, World Bank and International Trade Center. Finally, we discussed a number of important policy recommendations to increase Iran’s IIT in pharmaceuticals.Results:The findings indicated that economies of scale, market structure and degree of economic development had a significantly positive impact on Iran’s intra-industry trade in pharmaceuticals and tariff trade barriers were negatively related to IIT. Product differentiation and technological advancement didn’t have the expected signs. In addition, we found that Iran’s IIT in pharmaceuticals have shown an increasing trend during the study period. Thus, the composition of Iran trade in pharmaceuticals has changed from inter-industry trade to intra-industry trade.Conclusions:In order to get more prepared for integration into the global economy, the development of Iran’s IIT in pharmaceuticals should be given priority. Therefore, paying attention to IIT could have an important role in serving pharmaceutical companies in relation to pharmaceutical trade.

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“…industry and country characteristics associated with IIT may differ depending on the type of product differentiation. The GHM approach has been employed by Greenaway et al (1995), numerous country studies in Brül-hart and Hine (1999), Greenway et al (1999) and in more recent studies by Aturupane et al (1999), Hu and Ma (1999), Celi (1999), Blanes and Martin (2000), and Gullstrand (2002). The European Commission (1996) and Fontagne et al (1998) use the FF approach while the two are compared in Crespo and Fontoura (2004).…”

Section: Introductionmentioning

confidence: 97%