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Please use this identifier to cite or link to this item: http://hdl.handle.net/10400.5/2536

Title: Determinants of Vertical Intra-Industry Trade in the Automobile Manufacturing Sector: globalization and fragmentation
Authors: Leitão, Nuno Carlos
Faustino, Horácio C.
Yoshida, Yushi
Keywords: VIIT
intermediate goods
automobile manufacturing industry
panel data
fragmentation
globalization
Issue Date: 2009
Publisher: ISEG – Departamento de Economia
Citation: Leitão, Nuno Carlos, Horácio C. Faustino e Yushi Yoshida. 2009. "Determinants of Vertical Intra-Industry Trade in the Automobile Manufacturing Sector: globalization and fragmentation". Instituto Superior de Economia e Gestão - DE Working papers nº 6-2009/DE/SOCIUS
Series/Report no.: DE Working papers;nº 6-2009/DE/SOCIUS
Abstract: This paper examines the determinants of vertical intra-industry trade (VIIT) in the automobile components industry between Portugal and the European Union 27 (EU-27) and the BRIC countries (Brazil, Russia, India and China) during the period 1995-2006. Using a static and a dynamic panel data analysis, the results indicate that VIIT is a positive function of the difference in per-capita GDP between Portugal and its trading partners. Moreover, there is statistical evidence that geographical distance and proximity shared border influence this type of VIIT. Our results also confirm the hypothesis that trade increases if the transportation costs decrease and that there is a positive correlation between differences in endowments and VIIT.
URI: http://hdl.handle.net/10400.5/2536
ISSN: 0874-4548
Publisher version: http://aquila2.iseg.utl.pt/aquila/getFile.do?method=getFile&fileId=94461
Appears in Collections:SOCIUS - Documentos de Trabalho / SOCIUS - Working Papers
DE - Documentos de trabalho / Working Papers

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