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The role of endowments, technology and size in international trade: new evidence from product-level data

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  • Pham, Cong S.
  • Ulubasoglu, Mehmet A.

Abstract

Using product-level trade data, we empirically investigate the export patterns of more than 150 countries in their exports to the USA, Brazil, India, and Japan. We document strong evidence that exporters specialize according to their relative factor endowments, technology, and economic size. More developed, capital abundant countries are found to export products of higher unit values and a wider range of products to developed, emerging and developing markets. More developed, economically larger, and technologically advanced countries are also the major exporters of new products, spanning a wide range of product categories with high unit values. Our findings provide important insights into the macro phenomenon that a large proportion of the global trade takes place among developed economies, and that the latter are also major exporters to developing markets.
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Suggested Citation

  • Pham, Cong S. & Ulubasoglu, Mehmet A., 2013. "The role of endowments, technology and size in international trade: new evidence from product-level data," Working Papers eco_2013_8, Deakin University, Department of Economics.
    • Handle: RePEc:dkn:econwp:eco_2013_8
    DOI: 10.1080/09638199.2015.1126625
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    Cited by:

    1. is not listed on IDEAS
    2. Jacopo Timini, 2018. "The drivers of Italian exports and product market entry: 1862-1913 (Updated August 2020)," Working Papers 1836, Banco de España, revised Aug 2020.

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