The estimation of intra-industry trade in South Africa

This article uses recently released data to analyse the nature of trade between South Africa and the world. Two variations of the Grubel-Lloyd index are calculated, and they reveal that South Africa has predictably low levels of intra-industry trade among the primary product chapters, as well as low overall levels of intra-industry trade. It is only in certain manufacturing chapters (eg clothing and textiles) that the level of intra-industry trade is generally higher. There is, however, a very definite upward trend in the overall level of intra-industry trade manifested at all levels.     

Trade liberalisation,structural adjustment and intra-industry trade: A note

Conclusions This note reports tests of the relationship between trade liberalisation and the levels of intra-industry trade, and between levels of IIT and structural adjustment in response to trade liberalisation. It has used a new approach by focussing on the impact of changes in protection on (i) changes in IIT, and (ii) differences in structural adjustment over time in high-IIT and low-IIT sectors.     

North American trade liberalization and intra-industry trade

Zusammenfassung Handelsliberalisierung in Nordamerika und der intra-industrielle Handel. - Der Verfasser untersucht die Handelsbeziehungen zwischen Mexiko und den Vereinigten Staaten in den 80er Jahren und vergleicht sie mit den Handelsbeziehungen zwischen Kanada und den USA im gleichen Zeitraum. Er stellt fest, da? der intra-industrielle Handel in den Beziehungen zwischen Mexiko und den USA an Bedeutung gewonnen hat, was vermutlich auf die zunehmende Handelsliberalisierung Mexikos zurückzuführen ist. In der Tat waren in den sp?ten 80er Jahren die relativen Niveaus des intra-industriellen Handels ?hnlich hoch, wenn man die bilateralen Handelsstr?me zwischen Mexiko und den USA mit denen zwischen Kanada und den USA vergleicht.

---

Résumé La libération des échanges nord-américains et les échanges intra-industriels.- Dans cette étude l'auteur examine les tendances du commerce bilatéral entre le Mexique et les Etats Unis pendant les années quatre-vingts. Il les compare aux tendances du commerce bilatéral entre le Canada et les Etats Unis pendant la même période. Il trouve que les échanges intra-industriels sont particulièrement augmenté en ce qui concerne le commerce entre le Mexique et les Etats Unis. Cela montre que la libéralisation commerciale prend place principalement de la part du Mexique. En effet dans les années quatre-vingts, les niveaux relatives des échanges intra-industriels ont été assez similaires si l’on compare les échanges bilatéraux entre le Mexique et les Etats Unis d’une part et le Canada et les Etats Unis d'autre part.

---

Resumen La liberalizatión del comercio en América del Norte y el comercio intrasectorial. - En este trabajo se examina el perfil del comercio bilateral entre México y los EE UU en los a?os ochenta y se lo compara con el perfil del comercio bilateral entre el Canadá y los EE UU en el mismo período. Se encuentra que la importancia del comercio intrasectorial aumentó en el comercio entre México y los EE UU durante el periodo estudiado, reflejando ante todo avances en la liberalizatión del comercio por parte de México. En efecto, hacia fines de los a?os ochenta, los niveles relativos de comercio intrasectorial eran bastante similares en ambos casos, México-EE UU y Canadá-EE UU.

     

Entrepreneurship and intra-industry trade

Entrepreneurship and Intra-Industry Trade. — The paper introduces entrepreneurs into the theories of intra-industry trade and investigates the role of a country ’s “entrepreneurship” in international trade. It is shown that therelative entrepreneurship between countries determines the terms of trade but the welfare effects are not obvious. Among other things, it is found that (1) an increase in exports improves the terms of trade and (2) an increase in country size is not always beneficial.     

East-west intra-industry trade dynamics

Conclusions Trade liberalization, integration and catching-up with the developed countries are often associated with an increase in intra-industry trade. We showed in the literature survey that the reduction of trade barriers is associated with the growth of intra-industry trade. We currently observe that the trade of the selected EU countries (Austria, Germany, Italy, Sweden and the Netherlands) with the CEECs (Czech Republic, Hungary, Poland, Romania, Slovakia, and Slovenia) follows this pattern as well. However, the increase of intra-industry trade is not uniform, but reflects different patterns of integration and progress of industrial restructuring.     

Static and dynamic measurement of intra-industry trade and adjustment: A geometric reappraisal

Static and Dynamic Measurement of Intra-Industry Trade and Adjustment: A Geometric Reappraisal. — The principal analytical device used is an industry “trade box” that allows the authors to geometrically examine changes in intra-industry trade (ITT), total trade (TT), net trade (NT) and the Grubel and Lloyd (GL) index as a result of movements in trade points. The authors propose an approach to measure changes in both the absolute and relative valuesof ITTand NT with respect to changes inTT. Their methodology highlights a number of weaknesses with the existing literature on marginalIIT and provides a methodology that can be applied to investigate adjustment implications of changing patterns and levels of intra-industry trade.     

Measuring marginal intra-industry trade

Measuring Marginal Intra-Industry Trade. — Trade liberalisation and adjustment: how important is intra-industry trade? This paper focuses on the appropriate measurement of intra-industry trade as indicator of structural adjustment costs. It is argued that existing dynamic versions of the Grubel-Lloyd index reflect horizontal trade only and classify vertical intra-industry trade with inter-industry trade. The paper proposes a method to distinguish between horizontal and vertical trade and applies these techniques to emerging trade between the EU and the economies of central and eastern Europe.     

Collusive intra-industry trade in identical commodities

Collusive Intra-Industry Trade in Identical Commodities. — A homogenous-goods Cournot model with two countries and two firms is analyzed. Firms may collude by monopolizing their domestic markets, but they may also engage in collusive intra-industry trade. It turns out that, though such trade is costly because of transportation costs, firms might indeed trade since this enlarges the scope of successful collusion. Hence, intra-industry trade in homogenous goods is not a reliable indicator of competition.     

How important is intra-industry trade in trade growth?

Empirical work on intra-industry trade (IIT) is almost 30 years old. Initial research sought to identify if IIT was a significant share of total trade (TT). The Grubel-Lloyd (GL) index was widely used for this purpose. Interest has since shifted to the changing importance of IITover time. Using movements in the GL index to infer the importance of IIT over time is not only vague, but can be misleading. In this article, we measure the contributions of growth in net trade (NT) and IIT to the growth in TT. To understand changes in IIT over time, we also derive the contributions of imports and exports to the growth in TT, NT, and IIT. All our formulas are illustrated with data for 205 Australian manufacturing industries.     

International intra-industry trade of China

International Intra-Industry Trade of China. — The purpose of this paper is to measure the extent of the international intra-industry trade of China, and to test empirically various country-specific and industry-specific hypotheses concerning the determinants of vertical and horizonal intra-industry trade between China and her major trading partners. It is revealed that China has possessed the prerequisite of intra-industry trade and that China’s intra-industry trade follows similar patterns of those in developed countries as China is moving towards a market-oriented economy. F14, O53     

中印制成品产业内贸易分析

本文通过对中印制成品产业内贸易的分析发现,首先,从静态的产业内贸易水平的考察来看,中印制成品主要是以产业间贸易的模式为主。其次,从动态产业内贸易水平的考察来看,中印的贸易增长主要是以产业间贸易为主要特征的。另外值得一提的是,对于边际产业内贸易指数不能纠正贸易不平衡性的问题也需要进一步的研究,以便找到更能真实反映边际产业内贸易的指标体系。     

中印制成品产业内贸易分析

本文通过对中印制成品产业内贸易的分析发现,首先,从静态的产业内贸易水平的考察来看,中印制成品主要是以产业间贸易的模式为主.其次,从动态产业内贸易水平的考察来看,中印的贸易增长主要是以产业问贸易为主要特征的.另外值得一提的是,对于边际产业内贸易指数不能纠正贸易不平衡性的问题也需要进一步的研究,以便找到更能真实反映边际产业内贸易的指标体系.     

Reciprocity in trade relations between South Africa and Europe

This article sets out the arguments, from South Africa's perspective, for a free trade agreement (FTA) with Europe. It argues against signing the Lome Convention. These arguments have more force if the right kind of FTA can be negotiated, because the greater the benefit South Africa derives from such an agreement, the more the credibility of domestic economic policies will be enhanced. Some requirements for the ‘right’ type of FTA are discussed.     

Patterns and determinants of intra-industry trade in Asia

Intra-industry trade (IIT) has gained in importance across Asia as a result of the rapid growth of Asian economies and their key role in the international fragmentation of production. This paper examines the level of IIT for 22 countries in East, Southeast, South, and Central Asia in 2003. IIT is measured as a multilateral trade-weighted index and is reported for ten different categories of goods in the primary and secondary sectors. In addition, the determinants of IIT are investigated using a Tobit regression model. The results indicate that ASEAN and the high-income countries in East Asia exhibit the highest levels of IIT, followed closely by China and India. R&D spending, openness, and a higher share of manufactured exports were found to promote IIT, while geographical distance and the difference in economic size had an adverse effect, especially for manufactured goods. The ASEAN free trade area was most prominently associated with IIT across all SITC categories. Central and South Asian regional trade agreements had a positive influence on IIT in primary products.     

Adjustment,employment characteristics and intra-industry trade

Adjustment, Employment Characteristics and Intra-Industry Trade. — In this paper we use data on individual workers to investigate a number of dimensions of adjustment and relate these to trade. Specifically, we estimate the relative incidence of changes in workers’ employment status with regard to sector, firm, occupation and region. We relate the incidence of adjustment to a range of labour market characteristics and indicators of trade exposure. Our findings are not consistent with the notion that there is a systematic relationship between the type of trade expansion (inter- or intra-industry) and the type of employment adjustment (within or between industry adjustment) or that there is less labour market adjustment associated with intra- than inter-industry trade.     

Mobile entrepreneurship: Informal sector cross-border trade and street trade in South Africa

This article presents the results of a study on the participation of non-South Africans in the handicraft/curio sector of street trade in South Africa in informal sector cross-border trade. The findings provide an introduction to the largely unexplored phenomenon of informal sector cross-border trade between South Africa and neighbouring states and challenge some of the common myths about non-South African street traders which pervade public discourses around migration. The Southern African Development Community (SADC) is presently involved in prolonged and contentious negotiations to establish a free trade area for the region based on the SADC protocol on trade and development. At the same time, against a backdrop of anti-immigrant rhetoric, the South African government is developing a new migration policy. The article argues that informal cross-border entrepreneurs should not be disadvantaged by the renegotiation of regional trade agreements and the reformulation of South Africa's new migration policy.     

Recent trends in intra-industry trade and their implications for future trade liberalization

Zusammenfassung Jüngste Entwicklungen im intra-industriellen Handel und ihre Bedeutung für eine künftige Handelsliberalisierung. — In diesem Aufsatz wird untersucht, ob sich die Muster des intra-industriellen Handels (IIH) aus den sechziger und siebziger Jahren in den achtziger Jahren fortgesetzt haben. Es wird gefragt, ob der historische Nachkriegstrend in Richtung auf einen verst?rkten IIH umgekehrt wurde und — falls das der Fall war — weshalb. In der Analyse werden Daten aus 16 OECD-L?ndern für die Perioden 1970–1980 und 1975–1985 verwendet. Die Entwicklung des IIH scheint besonders für die Handelsabkommen relevant zu sein, bei denen die Partner erwarten, da\ die haupts?chlichen Handelsanpassungen innerhalb der Firmen und Industriezweige stattfinden und weniger zwischen den Industriezweigen. Zwei kürzlich abgeschlossene bilaterale Abkommen — zwischen Neuseeland und Australien und zwischen Kanada und den Vereinigten Staaten — beleuchten diese Fragestellung.

---

Résumé Les tendances récentes du commerce intra-industriel et leurs effets sur la libéralisation du commerce extérieur en futur. — Cette étude examine si les caractéristiques du commerce intra-industriel dans les années soixante et soixante-dix sont les mêmes comme dans les années quatre-vingt. Il est demandé si la tendance historique après la dernière guerre mondiale vers un commerce intra-industriel plus fort s’est changée et, si oui, quelles sont les causes d’une telle évolution. L’analyse compend des données de 16 pays de l’OCDE pour les années 1970–1980 et 1975–1985. Les tendances du commerce intra-industriel semblent être particulièrement importantes pour les accords du commerce en futur si les partenaires attendent que les ajustements primaires ont lieu plus en firmes et en industries qu’entre des secteurs industriels. Deux accords bilatéraux donnent un exemple récent: c’est l’accord entre la Nouvelle Zélande et l’Australie et celui entre le Canada et les Etats Unis.

---

Resumen Tendencias recientes en el comercio intrasectorial y sus implicaciones para una futura liberalización del comercio. — En este trabajo se investiga si el patrón de comercio intrasectorial (CIS) de la década del 60 y del 70 continué en los a?os 80. Se pregunta, si la tendencia histórica de la posguerra indicando un aumento del CIS se ha revertido, y, en caso de ser así, ?porqué? El análisis cubre datos para 16 países miembros de la OECD para dos periodos, 1970–1980 y 1975–1985. La tendencia del CIS parece ser particularmente relevante para futuros acuerdos comerciales en los cuales los participantes esperan que los ajustes primarios en el comercio tengan lugar dentro de las empresas y dentro de los sectores industriales, en vez de entre los sectores. Dos acuerdos bilaterales recientes, firmados entre Nueva Zelandia y Australia por un lado y entre Canadá y los EE.UU. por el otro, arrojan algo de luz sobre el tema.