Globalization, Fragmentation and Intra-Firm trade
What are the theoretical determinants of intra-firm trade between identical countries? This paper focuses on firm and sectorial characteristics to state that this pattern of trade can be associated to low level of intermediate goods trade costs compared with those on final goods and markups imposed by upstream local producers, and multinational firms' technological structure such that scale economies are at the firm-level for downstream sector and plant-level for upstream one.
|Date of creation:||29 Aug 2002|
|Date of revision:|
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