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explores its predictions in an empirical analysis of the determinants of international vertical specialization as defined by an … regressed on a number of variables affecting the timeliness of delivery. It is found that vertical specialization is sensitive … barriers and various indicators of infrastructure vary between sectors. Vertical specialization in the electronics sector …
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specialization of production stages. While increased trade is likely to in-duce fragmentation when the number of firms is fixed, free …
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Fragmentation of the value-added-chain is modeled as the reaction of monopolistically competitive firms to the removal of barriers to trade and factor mobility in an integrated trading environment. Since fragmentation requires high-skilled labor, this form of globalization can induce labor...
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