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Technology and economic inequality effects on international trade


Granda Gayo, Inés and Fonfría Mesa, Antonio (2009) Technology and economic inequality effects on international trade. [ Working Papers; nº 02, 2009, ]


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The notion that technology plays a key role in explaining trade performed was supported in the last decades by many empirical studies. In this paper we use a different perspective trying to analyse the effects of technology and economic inequalities on international trade inequalities. The theoretical framework where we built our empirical analysis is the technological gap aproach. We considered eight European countries and 13 manufacture industries in the time period 1995-2002. We made a panel data model with a cross-sectional unit of analysis: the Euclidean distance among countries in each industry. We considered the Euclidian distance as a proxy of inequality among countries in each industry. We observed that technology and economic inequalities affect trade inequality and that the effect depends on the technological contend of each industry.

Resumen (otros idiomas)

Desde hace décadas, numerosos trabajos empíricos apoyan la hipótesis de que la tecnología juega un papel determinante en el comercio. En este documento se emplea una perspectiva diferente, tratando de analizar los efectos de las desigualdades tecnológicas y económicas sobre las desigualdades en el comercio internacional. Los fundamentos teóricos de este trabajo se encuentran en el enfoque del gap tecnológico. En el estudio se analizan ocho países europeos y trece ramas manufactureras, en el período temporal 1995-2002. Para el análisis se emplea un modelo de datos de panel, siendo la unidad de análisis de sección cruzada la distancia euclídea entre países en cada rama de actividad. Dicha distancia se emplea como aproximación a la desigualdad entre países en cada industria. Se observa que las desigualdades tecnológicas y económicas afectan a las desigualdades comerciales y que los efectos varían en función del contenido tecnológico de cada rama de actividad.

Item Type:Working Paper or Technical Report
Uncontrolled Keywords:Technology Inequality, Trade Inequality, Euclidean Distance, Technological Contend
Palabras clave (otros idiomas):Desigualdad tecnología, Desigualdad comercial, Distancia euclídea, Contenido tecnológico.
Subjects:Social sciences > Economics > World economy
Social sciences > Economics > Commerce
Series Name:Working Papers
ID Code:9674

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Deposited On:30 Nov 2009 08:45
Last Modified:26 Apr 2016 12:09

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