Asymmetric Globalization and Specialization

Cheng-Te Lee and Deng-Shing Huang ()
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Cheng-Te Lee: Department of International Trade, Chinese Culture University, Taiwan
Deng-Shing Huang: Institute of Economics, Academia Sinica, Taipei, Taiwan, https://www.econ.sinica.edu.tw/

No 17-A004, IEAS Working Paper : academic research from Institute of Economics, Academia Sinica, Taipei, Taiwan

Abstract: This paper constructs a theoretical framework to analyze the impact of international openness of the relatively big globalizers on specialization. In contrast to the conventional positive effect of market size on specialization, we show market expansion induced by asymmetric globalization may decrease the level of specialization in terms of components. In addition, the number of components produced in the big globalizers may also decrease, a case distinct from the conventional home-market effects. JEL Calssification: F12, L11

Keywords: global market size; asymmetric globalization; specialization; home market effects (search for similar items in EconPapers)
Pages: 15 pages
Date: 2017-02
New Economics Papers: this item is included in nep-int
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Citations: View citations in EconPapers (2)

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