Product Varieties, Extensive and Intensive Margins of Trade: Evidence From Canada
Using disaggregated data at the HS ten-digit level, this paper computes Canada’s intensive and extensive margins in the U.S. market with reference to the Rest of the World, the European Union, China, and Japan. The empirical findings for the 1992-2012 period show that Canada’s intensive margin declined with reference to the Rest of the World, the European Union, and China. The evidence also demonstrates that percentage changes in the intensive margin dominate percentage changes in Canada’s relative market share in the United States, especially during the Great Recession. The paper also examines export varieties from Canada and selected countries.
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Volume (Year): 14 (2014)
Issue (Month): 2 ()
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