Intra‐industry trade (IIT) is the simultaneous import and export of goods within the same industry. This paper updates previous work on Australian intra‐industry trade and explores the determinants of IIT. It is the first Australian study to pool time series and cross‐sectional data for...

In the run‐up to the 1992 single‐market deadline, there were concerns that inter‐industry adjustment pressures among EU member countries would increase. Such expectations were due partly to a perceived reversal of the post‐Second World War growth in intra‐industry trade (IIT). Finds...

This paper studies strategic R&D policy with endogenous timing of firms’ moves within a two‐period framework. Within this framework the government can make a policy commitment only in the second period due to an information lag vis‐à‐vis the firms. The firms can, if they choose, make...

Former socialist economies, as they are trying to engage in a process of transition from state socialism towards forms of a market economy, and as they are trying to open themselves up to international trade, find that extreme social tensions accompany this process which go right to the heart of...

This essay sheds light on the problems arising from trade between asymmetric countries, particularly when associated with a different degree of power. At present, when the importance of external trade is clearly increasing and different countries of different size, wealth and stage of economic...

A simple two‐sector general equilibrium model is developed to show how the phenomenon of negative value‐added occurs in the protected sector, when the intermediate input is an exportable of the country. Previously, it has been shown in a partial analysis that the production loss of negative...

Immiserizing growth is impossible when the growing country follows ationally optimal policies and the growth stimulates no foreign reaction. However, this solution may leave other nations with sub‐optimal policies, and it may lead to a global misallocation of resources. It is demonstrated that...

Voluntary export restraints (VERs) have been widely used in recent years. VERs may be applied on a quantity or a ratio basis. A simple on‐equivalence between volume and ratio VERs is noted and potential political economy aspects are commented on.

Increasing protection in the world economy, especially in industrialised countries since the 1970s has increased the costs of restricting international trade. It is shown that in West Germany under inter‐industry specialisation the short‐run burden of protection is shared nearly equally by...