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Reconsidering Adjustment Costs of the Association Agreement. The Case of Hungarian Food Industry

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  • Ferto, Imre

Abstract

The structure of Hungary'’s food trade expansion over the transition period 1995-2003 and its implications for labour-market adjustment is examined. An econometric analysis of trade and employment data suggests that changes in domestic consumption and productivity have significant influence on employment changes. Market concentration has strong positive and significant effects, while FDI has no influence on the employment changes. Our results do not provide clear support for the smooth-adjustment hypothesis of intra-industry trade. However, our results should be interpreted only with care due to sensitivity on the choice of period and lag structure.

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Bibliographic Info

Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2006 Annual meeting, July 23-26, Long Beach, CA with number 21037.

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Date of creation: 2006
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Handle: RePEc:ags:aaea06:21037

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Keywords: Agribusiness;

References

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  1. Joaquín Oliveras & Inés Terra, 1997. "Marginal intra-industry trade index: The period and aggregation choice," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 133(1), pages 170-178, March.
  2. Henderson, Dennis R. & Sheldon, Ian M. & Pick, Daniel H., 1996. "International Commerce In Processed Foods: Patterns And Curiosities," Working Papers 51211, International Agricultural Trade Research Consortium.
  3. Marius Brülhart & Robert J. R. Elliott,, . "Adjustment to the European Single Market: Inferences from Intra-Industry Trade Patterns," Discussion Papers 96/15, University of Nottingham, CREDIT.
  4. Marius Brulhart & Michael Thorpe, 2000. "Intra-industry trade and adjustment in Malaysia: puzzling evidence," Applied Economics Letters, Taylor & Francis Journals, vol. 7(11), pages 729-733.
  5. A.K.M. Azhar & R.J.R. Elliott & C.R. Milner,, . "Static and Dynamic Measurement of Intra-Industry Trade and Adjustment: A Geometric Reappraisal," Discussion Papers 97/13, University of Nottingham, CREDIT.
  6. Qasmi, Bashir A. & Fausti, Scott W., 1999. "Nafta Intra Industry Trade In Agricultural Food Products," 1999 Annual Meeting, July 11-14, 1999, Fargo, ND 35689, Western Agricultural Economics Association.
  7. Jayant Menon & Peter Dixon, 1997. "Intra-industry versus inter-industry trade: Relevance for adjustment costs," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 133(1), pages 164-169, March.
  8. Levkovych, Inna & Luka, Oksana, 2005. "Intra-Industry Trade in Agricultural and Food Products: The Case of Ukraine," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24632, European Association of Agricultural Economists.
  9. Y. Kandogan, 2003. "Reconsidering the adjustment costs of the Europe agreements," Applied Economics Letters, Taylor & Francis Journals, vol. 10(2), pages 63-68.
  10. Neary, J Peter, 1985. "Theory and Policy of Adjustment in an Open Economy," CEPR Discussion Papers 61, C.E.P.R. Discussion Papers.
  11. Abdul Azhar & Robert Elliott, 2003. "On the measurement of trade-induced adjustment," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 139(3), pages 419-439, September.
  12. Ferto, Imre & Hubbard, Lionel J., 2001. "Intra-Industry Trade In Agri-Food Products Between Hungary And The Eu," 2001 Annual meeting, August 5-8, Chicago, IL 20450, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  13. Marius Brülhart & Robert Elliott, 2002. "Labour-market effects of intra-industry trade: Evidence for the United Kingdom," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 138(2), pages 207-228, June.
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