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The Role of Intra-industry Trade in the World Economy

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  • W. Charles Sawyer

    ()
    (Department of Economics, Texas Christian University)

  • Richard Sprinkle

    ()
    (Department of Economics and Finance, University of Texas at El Paso)

Abstract

The concept that the world economy is becoming more integrated is now common place. Terms such as “globalization” or “internationalization” have been integrated into our everyday vocabulary. Over the last several decades, globalization has become a twoway street as goods flow more freely over national borders than any time in recent memory. International travel has gone from being a luxury for the privileged few to being common place for even the middle class in OECD countries. Trillions of dollars flow from one financial market to another every day and foreign direct investment (FDI) has become a large part of total investment in the world economy. Even labor moves among countries much more freely than was once the case.

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File URL: http://www.econ.tcu.edu/RePEc/tcu/wpaper/wp12-03.pdf
File Function: First version, 2012
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Bibliographic Info

Paper provided by Texas Christian University, Department of Economics in its series Working Papers with number 201203.

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Length: 170 pages
Date of creation: Mar 2012
Date of revision:
Handle: RePEc:tcu:wpaper:201203

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Web page: http://www.econ.tcu.edu/
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  1. World Bank, 2004. "World Development Indicators 2004," World Bank Publications, The World Bank, number 13890, February.
  2. Mahmudul Anam & Shin--Hwan Chiang, 2003. "Intraindustry Trade in Identical Products: a Portfolio Approach," Review of International Economics, Wiley Blackwell, vol. 11(1), pages 90-100, February.
  3. Krugman, Paul, 1980. "Scale Economies, Product Differentiation, and the Pattern of Trade," American Economic Review, American Economic Association, vol. 70(5), pages 950-59, December.
  4. Greenhut, Melvin L & Ohta, Hiroshi & Sailors, Joel, 1985. "Reverse Dumping: A Form of Spatial Price Discrimination," Journal of Industrial Economics, Wiley Blackwell, vol. 34(2), pages 167-81, December.
  5. Ethier, Wilfred J, 1982. "National and International Returns to Scale in the Modern Theory of International Trade," American Economic Review, American Economic Association, vol. 72(3), pages 389-405, June.
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