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Output Convergence and International Trade: Time-Series and Fuzzy Clustering Evidence for New Zealand and her Trading Partners, 1950 - 1992

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  • David EA Giles
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    Abstract

    Using historical time-series data, we test for convergence and common trends in real per capita output for New Zealand and her four major trading partners. Both bivariate and multivariate time-series methods are used, and we also implement the fuzzy c-means clustering algorithm as a new method for detecting convergence. The results of our time-series analysis accord with earlier studies - we find limited evidence of (only bivariate) convergence, but ample evidence of a small number of common trends. In contrast, our fuzzy clustering analysis reveals very strong evidence of a particular form of output convergence when the five trading countries are considered as a group.

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    Bibliographic Info

    Article provided by Taylor & Francis Journals in its journal The Journal of International Trade & Economic Development.

    Volume (Year): 14 (2005)
    Issue (Month): 1 ()
    Pages: 93-114

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    Handle: RePEc:taf:jitecd:v:14:y:2005:i:1:p:93-114

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    Related research

    Keywords: Economic growth; international trade; convergence; common trends; cointegration; fuzzy sets; pattern recognition; fuzzy c-means algorithm;

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    1. Переводим научные статьи с английского нk
      by andyceo in Andyceo's Words on 2008-09-18 21:13:00
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    Cited by:
    1. David E. A. Giles & Chad Stroomer, 2003. "Does Trade Openness Affect the Speed of Output Convergence? Some Empirical Evidence," Econometrics Working Papers 0307, Department of Economics, University of Victoria.
    2. Chad Stroomer & David E.A. Giles, 2003. "Income Convergence and trade Openness: Fuzzy Clustering and Time Series Evidence," Econometrics Working Papers 0304, Department of Economics, University of Victoria.
    3. David E.A. Giles & Hui Feng, 2003. "Testing For Convergence in Output and in 'Well-Being' in Industrialized Countries," Econometrics Working Papers 0302, Department of Economics, University of Victoria.

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