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Intra-firm trade and product contractibility (Long Version)

Bernard, Andrew B. and Redding, Stephen (2010) Intra-firm trade and product contractibility (Long Version). CEP Discussion Papers (CEPDP0978). Centre for Economic Performance, London School of Economics and Political Science, London, UK.

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Abstract

This paper examines the determinants of intra-firm trade in U.S. imports using detailed countryproductdata. We create a new measure of product contractibility based on the degree ofintermediation in international trade for the product. We find important roles for the interaction ofcountry and product characteristics in determining intra-firm trade shares. Intra-firm trade is high forproducts with low levels of contractability sourced from countries with weak governance, for skillintensiveproducts from skill-scarce countries, and for capital-intensive products from capitalabundantcountries.

Item Type: Monograph (Report)
Official URL: http://cep.lse.ac.uk
Additional Information: © 2010 The Authors
Divisions: Centre for Economic Performance
Subjects: H Social Sciences > HD Industries. Land use. Labor
JEL classification: F - International Economics > F1 - Trade > F10 - General
F - International Economics > F2 - International Factor Movements and International Business > F23 - Multinational Firms; International Business
L - Industrial Organization > L1 - Market Structure, Firm Strategy, and Market Performance > L14 - Transactional Relationships; Contracts and Reputation; Networks
L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior > L23 - Organization of Production
Sets: Collections > Economists Online
Research centres and groups > Centre for Economic Performance (CEP)
Date Deposited: 28 Feb 2013 12:20
Last Modified: 13 Apr 2019 23:01
URI: http://eprints.lse.ac.uk/id/eprint/48899

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