Border trade

About: Border trade is a research topic. Over the lifetime, 258 publications have been published within this topic receiving 3106 citations.

Africa's Silk Road: China and India's New Economic Frontier

Abstract: As illustrated in Africa's Silk Road: China and India's New Economic Frontier, the new South-South economic relations present real opportunities-as well as challenges-to African countries. They also highlight the need for complementary reforms by China and India to support more vigorous African development. In analyzing Africa's intensifying relationships with China and India, Africa's Silk Road examines the trends to date and considers the implications of these developments for the economic future of the African continent. The diagnosis cautions that the opportunities engendered by China and India's trade and investment with Africa will not necessarily be converted into growth and poverty reduction in the region. A critical finding of the study is that it is not just the quantity of these trade and investment flows that matters-it is also the quality of the overall commercial relationships underlying as well as shaping these flows. This paper contains the following headings: connecting two continents; performance and patterns of African-Asian trade and investment flows; challenges at the border - Africa and Asia's trade and investment policies; behind-the-border constraints on African-Asian trade and investment flows; between-the-border factors in African-Asian trade and investment; and investment-trade linkages in African-Asian commerce - scale, integration, and production networks.

Intra-industry specialization in a multi-country and multi-industry framework

Abstract: The paper tests alternative hypotheses as to the factors determining the extent of intra-industry trade, defined as the share of this trade in total trade, in a multi-country, and multi-industry framework. The empirical results show that the extent of intra-industry trade in a particular industry between any two countries depends on the characteristics of the industry and the countries concerned. The explanatory power of the regressions for the entire group of countries exporting manufactured goods, as well as for trade among the developed countries, is relatively high and practically all the hypotheses concerning the impact of industry trade are supported by the empirical results. Lower coefficients of determination have been obtained for trade between developed and developing countries and for trade among developing countries, but the estimates generally support the hypotheses put forward in the paper in these cases also.

The determinants of intra-industry specialization in United States trade

Abstract: This paper attempts to explain the determinants of intra-industry specialization in the United States by reference to industry as well as country characteristics. It is shown that the extent of intra-industry trade is positively correlated with product differentiation, marketing costs, the variability of profit rates, and offshore procurement, and it is negatively correlated with economies of scale, industrial concentration, foreign direct investment, and transportation costs. It is further shown that intra-industry specialization in U.S. trade with individual countries is positively correlated with the extent of trade orientation in these countries, and it is negatively correlated with inequalities in per capita incomes and total GNP and with distance between the U.S. and the individual countries.

Trade integration in East Asia : the Role of China and production networks

Abstract: Production networks have been at the heart of the recent growth in trade among East Asian countries. Fragmentation trade, reflected mainly in the trade in parts and components, is expanding more rapidly than the conventional trade in final goods. This is mainly due to the relatively more favorable policy setting for international production, agglomeration benefits arising from the early entry into this new form of specialization, considerable intercountry wage differentials in the region, lower trade and transport costs, and specialization in products exhibiting increasing returns to scale. The economic integration of China has deepened production fragmentation in East Asia, countering fears of crowding out other countries for international specialization. International production fragmentation in East Asia has intensified intraregional trade but has depended heavily on extraregional trade in final goods. While production networks centered on China have contributed significantly to growth in East Asia, they also breed vulnerabilities. They have not automatically led to technology spillovers and have led to an extreme interdependence across East Asian countries.