Talk:Intra-industry trade

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Dr. Gabrisch's comment on this article[edit]

Dr. Gabrisch has reviewed this Wikipedia page, and provided us with the following comments to improve its quality:

About Nigel Grimwade's quotation: There are first and second generations of intra-industry trade theory. Second generation models include vertical and horizontal IIT. Vertical IIT, for example, is explained by Flam and Helpman, who developed a model with different factor endowments between countries. (Flam, H. – Helpman, E. (1987): Vertical Product Differentiation and North-South Trade. American Economic Review, 76(5): 810–822.). It would be useful to include this literature into the entry. I myself have written a piece of work on vertical IIT between the EU and central-east european countries discussion the neo-HO approach vs. the neo-Ricardian approach. There is more than one piece of work in the rich strand of the IIT literature in the 1990s and early 2000s that deals with vertical IIT from the perspective of factor endowment, and which is worth to be included into the references.

We hope Wikipedians on this talk page can take advantage of these comments and improve the quality of the article accordingly.

We believe Dr. Gabrisch has expertise on the topic of this article, since he has published relevant scholarly research:

Reference : Hubert Gabrisch, 2006. "Vertical Intra-industry Trade between EU and Accession Countries," IWH Discussion Papers 12, Halle Institute for Economic Research.

ExpertIdeasBot (talk) 16:11, 11 July 2016 (UTC)[reply]

Formula[edit]

A common formula for IIT is one minus the absolute value of exports minus imports divided by exports plus imports.

1- [abs(Exports-Imports)/(Exports+Imports)]

The closer the ratio is to 1 means the more intra-industry trade the country partakes in. The closer the ratio is to 0 means the less intra-industry trade the country partakes in. — Preceding unsigned comment added by 67.222.224.58 (talk) 08:02, 17 February 2020 (UTC)[reply]