Abstract
While previous research has shown that industries with high-scale economies more frequently have low rather than high intra-industry trade shares, this study provides strong support for other predictions of modern trade models. Industries with high-scale economies more frequently have high rather than low export and import shares. A finding that high-scale economies is associated with low net export shares may be due to the role scale economies play in generating both high industry export and import shares. Theoretical and empirical studies should focus attention on relationships among scale economies, trade flows and net exports.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.