Abstract
Tests of the Empirical Classification of Horizontal and Vertical IntraIndustry Trade. — Using longitudinal data this paper shows the separation of international trade in (a) inter-industry trade, (b) horizontal intra-industry trade, and (c) vertical intra-industry trade used in the empirical trade literature to be non-stable at the individual product level. The high level of vertical intra-industry trade mentioned in the empirical literature probably covers up many products shifting between e.g. vertical and horizontal intra-industry trade. The paper therefore questions the work of the last decade in the measurement of intra-industry trade.
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Nielsen, J.UM., Lüthje, T. Tests of the empirical classification of horizontal and vertical intra-industry trade. Weltwirtschaftliches Archiv 138, 587–604 (2002). https://doi.org/10.1007/BF02707653
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DOI: https://doi.org/10.1007/BF02707653