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The nature and significance of intra-industry trade

Author

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  • Roy J. Ruffin

Abstract

In this article, Roy Ruffin gives an overview of intra-industry trade for the generalist. Intra-industry trade represents international trade within industries rather than between industries. Such trade is more beneficial than inter-industry trade because it stimulates innovation and exploits economies of scale. Moreover, since productive factors do not switch from one industry to another, but only within industries, intra-industry trade is less disruptive than inter-industry trade.

Suggested Citation

  • Roy J. Ruffin, 1999. "The nature and significance of intra-industry trade," Economic and Financial Policy Review, Federal Reserve Bank of Dallas, issue Q IV, pages 2-9.
  • Handle: RePEc:fip:fedder:y:1999:i:qiv:p:2-9
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    File URL: http://www.dallasfed.org/assets/documents/research/efr/1999/efr9904a.pdf
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    Citations

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    Cited by:

    1. Michael Benarroch & James Gaisford, 2014. "Intra-industry Trade Liberalization and the Environment," Review of International Economics, Wiley Blackwell, vol. 22(5), pages 886-904, November.
    2. repec:eee:jeeman:v:83:y:2017:i:c:p:50-67 is not listed on IDEAS
    3. Thomas M Fullerton Jr & Richard L Sprinkle & Roberto Tinajero, 2004. "El Paso Customs District Cross-Border Trade Flows," International Trade 0406001, EconWPA.
    4. Haroon Mumtaz & Özlem Oomen & Jian Wang, 2006. "Exchange rate pass-through into UK import prices," Bank of England working papers 312, Bank of England.
    5. Manuel Ramos Francia & Daniel Chiquiar, 2004. "Bilateral Trade and Business Cycle Synchronization: Evidence from Mexico and United States Manufacturing Industries," Working Papers 2004-05, Banco de México.
    6. Guglielmo Maria Caporale & Christophe Rault & Robert Sova & Anamaria Sova, 2009. "Trade Specialisation and Economic Convergence: Evidence from Two Eastern European Countries," Discussion Papers of DIW Berlin 875, DIW Berlin, German Institute for Economic Research.
    7. Roy, Jayjit, 2017. "On the environmental consequences of intra-industry trade," Journal of Environmental Economics and Management, Elsevier, vol. 83(C), pages 50-67.

    More about this item

    Keywords

    Trade ; Industries;

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