Trade, di¤usion e¤ects and European integration : a sectoral approach
نویسنده
چکیده
It is generally admitting that specialization and integration do not evolved in the same direction. The analysis of sectoral production in European countries in this paper shows the contrary. Simulation of cross spectrum functions and panel estimation of cointegration relationship between sectoral GDP show that spillover e¤ects of trade are important within a country but also between countries with intra-industry trade and also with inter-industry trade. The level of this last externality explains that the relationship between economic integration and specialization can be positive in Europe.
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