STRUCTURAL CHANGES IN INTERNATIONAL TRADE: INTER-INDUSTRY SHIFTS IN COMPARATIVE ADVANTAGE

Sorin Burnete
Additional contact information
Sorin Burnete: Lucian Blaga University of Sibiu, Romania

Studies in Business and Economics, 2012, vol. 7, issue 1, 40-48

Abstract: The contemporary industrial configuration centered on intra-firm trade and cross border commodity chains has made comparative advantage look like a rusty concept. Prior to globalization, shifts in comparative advantage would occur mainly across industries, causing clear-cut changes in countries’ specialization patterns. By contrast, when factors of production are allowed to move freely across national boundaries, the picture gets somewhat fuzzy: the comparative advantage concept requires a different approach that should take into account the increasing disintegration of production processes and spreading of economic activities across the globe. Due to their relatively high mobility and propensity for outsourcing, labor-intensive industries visibly epitomize this process, which is going on in many parts of the world, including Central and Eastern Europe.

Keywords: comparative advantage; labor-intensiveness; international specialization; outsourcing (search for similar items in EconPapers)
Date: 2012
References: Add references at CitEc
Citations:

Downloads: (external link)
http://eccsf.ulbsibiu.ro/RePEc/blg/journl/714burnete.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:blg:journl:v:7:y:2012:i:1:p:40-49

Access Statistics for this article

More articles in Studies in Business and Economics from Lucian Blaga University of Sibiu, Faculty of Economic Sciences Lucian Blaga University of Sibiu, Faculty of Economic Sciences Dumbravii Avenue, No 17, postal code 550324, Sibiu, Romania. Contact information at EDIRC.
Bibliographic data for series maintained by Mihaela Herciu ().