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http://hdl.handle.net/10419/20680
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| Title: | | North-South Technology Diffusion, Regional Integration, and the Dynamics of the ?Natural Trading Partners? Hypothesis  |
| Authors: | | Schiff, Maurice Wang, Yanling |
| Issue Date: | | 2004 |
| Series/Report no.: | | IZA Discussion paper series 1384 |
| Abstract: | | Based on static analysis, a number of studies argue that forming a RTA is more likely to raise welfare if member countries are ?natural trading partners,? while other studies claim the opposite. This paper considers the argument from a dynamic viewpoint by examining the impact of trade with Japan, North America and the EU on technology diffusion and TFP in Korea, Mexico and Poland. Using industry-level data, we show that i) technology diffusion and productivity gains tend to be regional: Korea (Mexico) (Poland) benefits mainly from trade with Japan (North America) (the EU); and ii) the dynamic version of the ?natural trading partners? hypothesis seems to hold for Korea and Mexico though not necessarily for Poland. |
| Subjects: | | North-South technology diffusion productivity regional integration natural trading partners Korea Mexico Poland |
| JEL: | | O39 F15 F13 F02 F43 |
| Document Type: | | Working Paper |
| Appears in Collections: | | IZA Discussion Papers, Forschungsinstitut zur Zukunft der Arbeit (IZA)
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