FDI and Intra-industry Trade in the Automotive Industry in the New EU Member States-Reference-Cited by-同舟云学术

FDI and Intra-industry Trade in the Automotive Industry in the New EU Member States

Published:2016-12-01 Issue:1 Volume:52 Page:23-42
ISSN:2299-9701
Container-title:International Journal of Management and Economics
language:en
Short-container-title:

Author:

Ambroziak Łukasz¹

Affiliation:

1. Warsaw School of Economics, Warsaw, Poland

Abstract

Abstract This paper investigates the extent to which foreign direct investment (FDI) influenced intra-industry trade (IIT) in automotive products in six New EU Member States (the Czech Republic, Hungary, Poland, Romania, Slovakia and Slovenia) in the 1995–2014 period. Changes in IIT intensity are analysed using the Grubel-Lloyd indices. To examine the IIT pattern, IIT indices are divided into two types of trade: IIT in vertically differentiated products (low and high quality VIIT) and IIT in horizontally differentiated products (HIIT). The research indicates that IIT in automotive products allowed manufacturers and consumers from the new EU Member States to benefit more from international trade. FDI inflow to the automotive sector of the NMS has been a key factor shaping IIT in automotive products.

Publisher

Walter de Gruyter GmbH

Reference34 articles.

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