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Time Zones and Periodic Intra-Industry Trade

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  • Kikuchi, Toru
  • Marjit, Sugata

Abstract

An important source of trade with time zone differences is related to the “coincidence in time” aspect of service transactions. Trade across different time zones is gainful when fulfilling nighttime demand in one time zone by utilizing daytime supply in another time zone. This note emphasizes that, due to communications revolutions, new versions of periodic intra-industry trade based on the differences in time zones emerge.

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File URL: http://mpra.ub.uni-muenchen.de/24473/
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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 24473.

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Date of creation: Jul 2010
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Handle: RePEc:pra:mprapa:24473

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Keywords: Communications Nteworks; Time Zone Differences; Periodic Intra-Industry Trade;

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  1. Marjit, Sugata, 2007. "Trade theory and the role of time zones," International Review of Economics & Finance, Elsevier, vol. 16(2), pages 153-160.
  2. Chou, Chien-fu & Shy, Oz, 1990. "Network effects without network externalities," International Journal of Industrial Organization, Elsevier, vol. 8(2), pages 259-270, June.
  3. Van Long, Ngo & Riezman, Raymond & Soubeyran, Antoine, 2005. "Fragmentation and services," The North American Journal of Economics and Finance, Elsevier, vol. 16(1), pages 137-152, March.
  4. Stein, Ernesto & Daude, Christian, 2007. "Longitude matters: Time zones and the location of foreign direct investment," Journal of International Economics, Elsevier, vol. 71(1), pages 96-112, March.
  5. Toru Kikuchi, 2009. "Time Zones as a Source of Comparative Advantage," Review of International Economics, Wiley Blackwell, vol. 17(5), pages 961-968, November.
  6. Jones, Ronald & Kierzkowski, Henryk & Lurong, Chen, 2005. "What does evidence tell us about fragmentation and outsourcing?," International Review of Economics & Finance, Elsevier, vol. 14(3), pages 305-316.
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Cited by:
  1. Elisabeth Christen, 2012. "Time zones matter: The impact of distance and time zones on services trade," Working Papers 2012-14, Faculty of Economics and Statistics, University of Innsbruck.

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