Country-specific Determinants of Intra Industry Trade Types of Agricultural Sector in Selected Developing Countries

Saeed Rasekhi and Shideh Shojaee
Additional contact information
Saeed Rasekhi: Associate Professor of Economics, University of Mazandaran, Babolsar, Iran
Shideh Shojaee: M.A. in Economics, the University of Mazandaran, Babolsar, Iran

Iranian Economic Review (IER), 2012, vol. 17, issue 1, 85-99

Abstract: Regarding few studies of intra industry trade in the agricultural sector, this study have examined country-specific determinants of intra industry trade of agriculture in selected developing countries by using panel technique for trade data at 6-digit level of HS classification over time period 2001-2007. By employing Greenaway, Hine and Milner and Fontagné and Freudenberg approaches we’ve first divided intra industry trade into its types that is horizontal and vertical ones. Then, based on theoretical and empirical studies, we’ve estimated determinants of the types of intra industry trade. Overall and based on the results, it seems that the level of development and growth (Human development index) has a significant positive effect on intra industry trade of agriculture in countries under study. Also, the revealed comparative advantage has a significant positive effect on vertical intra industry trade and a significant negative effect on the horizontal intra industry trade in agricultural commodity groups. However, there is no definite result on the effect of exchange rate and trade openness.

Keywords: Intra Industry Trade Types; Revealed Comparative Advantage; Human Development; Exchange Rate; Agricultural Sector; Developing Countries. (search for similar items in EconPapers)
Date: 2012
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
ftp://80.66.179.253/eut/journl/20121-5.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:eut:journl:v:17:y:2012:i:1:p:85

Access Statistics for this article

Iranian Economic Review (IER) is currently edited by Dr.Hossien Abbasinejad

More articles in Iranian Economic Review (IER) from Faculty of Economics,University of Tehran.Tehran,Iran Contact information at EDIRC.
Bibliographic data for series maintained by [z.rahimalipour] ().