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GTAP Resource #4284

"Heterogeneity of Goods and Methods of International Trade: Wholesale, Intra-Firm, or Arms-Length."
by Ferrantino, Michael, Darren Sheets and Danielle Trachtenberg

We look for evidence that heterogeneity of goods influences how the goods are traded internationally, whether via an intermediary in the form of a wholesaler, within the firm via intra firm trade, or at arms-length between firms. Making use of a unique data set of U.S. industries we find that trade among wholesalers is associated with homogenous goods, whereas intra-firm trade is associated with heterogeneous goods. These results are robust with respect to several different estimation methods.

Resource Details (Export Citation) GTAP Keywords
Category: GTAP Application
Status: Not published
Date: 2013
Created: Ferrantino, M. (7/23/2013)
Updated: Batta, G. (7/23/2013)
Visits: 1,176
- Foreign direct investment
- North America

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