Intra-Industry Trade: The Korean Experience

Abstract

The purpose of this paper is to investigate the structure and determinants of intraindustry trade (IIT) in Korea. The results conform to what may be expected under the theory of IIT. In particular, it shows that as capital stock increased more rapidly than labor, Korea's IIT shifted towards more capital intensive sectors. It also supports the theoretical proposition that the determinants of 11T for final goods are not different from those for intermediate goods. [F12]

Fabric Trade: An Industry in Crisis

“…Bergstrand, 1983;Kim, 1992). This finding supports the previous studies that have shown trade barriers to be associated with the level of intra-industry trade (i.e.…”

“…x ijk = vector of explanatory variables; i = commodity group; j = country1; k = country 2 a = vector of coefficients This transformation has been used in other intra-industry trade analyses (See Pieri, Rama & Venturini, 1997;Kim, 1992;Christodoulou, 1992;Lee & Lee, 1993;and Stone & Lee, 1995. ) STATISTICAL ANALYSIS Nonlinear regression analysis was used to determine the statistically significant factors that affect the level of intra-industry trade in the fabric industry between the United States and the 92 countries in this study.…”

“…) STATISTICAL ANALYSIS Nonlinear regression analysis was used to determine the statistically significant factors that affect the level of intra-industry trade in the fabric industry between the United States and the 92 countries in this study. Previous empirical studies have used nonlinear regression for explanatory intra-industry trade analyses (Lee & Lee, 1993;Kim, 1992;Stone & Lee, 1995;Christodoulou, 1992). The general goal of nonlinear regression analyses is to find a model that closely resembles linear behavior, thus reducing parameter bias and variance problems.…”

“…Hirschberg, Sheldon & Dayton, 1994;Kim, 1992;Stone & Lee, 1995;and Kind, 1999). Hirschberg, Sheldon & Dayton, 1994;Kim, 1992;Stone & Lee, 1995;and Kind, 1999).…”