Trade specialisation patterns: the case of Russia

Bernardina Algieri

No 19/2004, BOFIT Discussion Papers from Bank of Finland Institute for Emerging Economies (BOFIT)

Abstract: This paper considers trade specialisation in Russia, examining changes in trade patterns at the sectoral level over the transition period.Trade based on inter-industry specialisation and intra-industry trade (IIT) are empirically distinguished using the Aquino and Grubel- Lloyd indices.The Aquino index is applied to measure the degree of inter-industry specialisation by sector, while the Grubel-Lloyd index is used to establish the level of IIT between industries.The empirical results support recent trade theory, which predicts an increasing level of intra-industry trade with liberalisation processes.They also suggest how inter- and intra-industry trade coexist.The final econometric estimation of the factor content of Russia's exports (specialisation in resource-intensive products) supports the index analysis.

Date: 2004
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:bofitp:bdp2004_019

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