Intra-industry Trade, Knowledge and Adjustment Costs

Marginal Intra - industry Trade and Adjustment Costs in Labour Market

The objective of this study is to provide some empirical evidences on the existence of labor market adjustments according to smooth adjustment hypothesis (SAH) under the impact of intra-industry trade (IIT) considering the Portuguese case over a time span between 1995 and 2006. The main methodological issue of this study consists in showing that it is preferable to use the GMM-System approach w...

Marginal Intra-Industry Trade and Adjustment Costs: The Australian Experience

East-Asian Export Growth, Intra-Industry Trade and Adjustment*

This paper investigates the structure East Asian trade flows over the high-growth period of 1970-1996. Data for Korea, Malaysia, Indonesia and the Philippines are analysed, using measures of static intra-industry trade (Grubel-Lloyd index) and of dynamic (marginal) intra-industry trade. Inferences drawn from those results are based on the “smooth adjustment hypothesis”, according to which intra...

Export Growth of Nafta Members, Intra- Industry Trade and Adjustment

This paper looks at the issue of labour market adjustment in the context of expanded international trade of NAFTA economies both within the region and more generally. The study focuses on the period 1990-1998, a time-frame which covers several years prior to and after the formation of NAFTA. Trade flows of the member countries are analysed using measures of static intra-industry trade (IIT) and...

Intra-industry Trade as an Indicator of Labor Market Adjustment

INTRA-INDUSTRY TRADE AS AN INDICATOR OF LABOR MARKET ADJUSTMENT A growing body of recent empirical research uses measures of change in intra-industry trade as indicators of labor market adjustment. In this paper, we argue that the theoretical foundations for this work are problematic. To make this argument we develop a simple model with both interand intra-industry trade and adjustment. We defi...