Specialization and openness to foreign trade in the European Union

Elisa Alvarez Lopez and Rafael Myro

Applied Economics Letters, 2005, vol. 12, issue 13, 805-810

Abstract: This study explores the relations between inter-industry specialization and openness to foreign competition in the European countries. By controlling for other variables influencing specialization, the study found a negative relationship between openness and inter-industry specialization, meaning that the closer the countries become in their degree of openness to trade, the closer are their industrial structures, as is expected from the Hecksher-Olhin-Vanek framework with equalization of factor prices. Nevertheless, control variables powerful influence specialization, claiming for a more complete theoretical framework.

Date: 2005
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Persistent link: https://EconPapers.repec.org/RePEc:taf:apeclt:v:12:y:2005:i:13:p:805-810

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DOI: 10.1080/13504850500363579

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