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Authors: Caetano, José
Galego, Aurora
Keywords: Intra-industry Trade
European Union enlargement
Panel data
Issue Date: 2007
Publisher: Association of Economic Universities of South and Eastern Europe and the Black Sea Region(ASECU)
Citation: Caetano, José and Aurora Galego(2007),"In Search for the Determinants of Intra-Industry Trade Within an Enlarged Europe", South-Eastern Europe Journal of Economics, 2, 163-183
Abstract: In this paper we characterise the dynamics of trade among Central and Eastern European Countries (CEEC) and the EU using several methodologies that evaluate the type of trade and price-quality ranges. The analysis shows a significant decline in inter-industrial trade and an increasing specialisation in vertical intraindustry trade (IIT). Moreover, we found substantial differences in the unit values of exported and imported goods, which suggest that the increasing weight of IIT in the EU-CEEC trade did not result from a convergence on the factorial contents of the traded goods. Using a panel data approach we also identify the determinants of both vertical and horizontal IIT. The results suggest that there are some differences in the determinants of these types of trade, although both seem to have a statistically significant relationship with a country’s size and foreign direct investment.
ISSN: 1109-8597
Type: article
Appears in Collections:ECN - Publicações - Artigos em Revistas Internacionais Com Arbitragem Científica
CEFAGE - Publicações - Artigos em Revistas Internacionais Com Arbitragem Científica

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