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Linder hypothesis revisited

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  • Changkyu Choi

Abstract

Linder posed a hypothesis in 1961 that the closer the preference structure between two countries is, the bigger the trade volume becomes. The empirical results using pooled trade data from 63 countries for 1970, 1980, 1990, and 1992 are in support of the Linder hypothesis. It is also found that the Linder hypothesis gained strength in the 1990s. Recent globalization may have strengthened the Linder hypothesis.

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File URL: http://www.informaworld.com/openurl?genre=article&doi=10.1080/13504850110111234&magic=repec&7C&7C8674ECAB8BB840C6AD35DC6213A474B5
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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Applied Economics Letters.

Volume (Year): 9 (2002)
Issue (Month): 9 ()
Pages: 601-605

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Handle: RePEc:taf:apeclt:v:9:y:2002:i:9:p:601-605

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Cited by:
  1. Kiyong Keum, 2010. "Tourism flows and trade theory: a panel data analysis with the gravity model," The Annals of Regional Science, Springer, vol. 44(3), pages 541-557, June.
  2. Claudia Bernasconi, 2013. "Similarity of income distributions and the extensive and intensive margin of bilateral trade flows," ECON - Working Papers 115, Department of Economics - University of Zurich.
  3. Dhakal, Dharmendra & Pradhan, Gyan & Upadhyaya, Kamal P., 2011. "ÔÇťAnother Empirical Look at the Theory of Overlapping Demands - Un altro sguardo empirico alla teoria delle overlapping demands," Economia Internazionale / International Economics, Camera di Commercio di Genova, vol. 64(1), pages 103-113.

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