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http://hdl.handle.net/10071/14916
acessibilidade
Title: Trade protectionism and intra-industry trade: a USA - EU comparison
Authors: Ferreira-Lopes, A.
Sousa, C.
Carvalho, H.
Crespo, N.
Keywords: Trade policy
Customs tariff
USA
EU
Intra-industry trade
Cluster analysis
Issue Date: 2017
Publisher: Sciedu Press
Abstract: The aim of this work is to find patterns for products included in the customs tariffs of the USA and the EU (composed of over 5000 products disaggregated at the 6 digit-level) which share similarities, defined by a set of international trade variables, namely the index of revealed comparative advantages (RCA), the Grubel-Lloyd index, and other indicators of international trade. There is a strand in the literature advancing a theory that links the degree of intra-industry trade with the level of protectionism. In order to test this theory we use cluster analysis as a method of data analysis and the Grubel-Lloyd index as a classification variable between groups. For each of the analyzed regions we obtain four different groups. Thereafter each of these four clusters are further characterized with the help of the other international trade indicators and the tariffs. Finally, we establish a comparison between the two regions by examining possible differences and similarities. The results show a significant difference in the tariffs applied between the USA and the EU, with the USA presenting a lower level of protectionism. Additionally, the results for the USA show a positive relationship between the degree of intra-industry trade and a lower level of protectionism, while for the EU the results are not conclusive.
Peer reviewed: yes
URI: http://hdl.handle.net/10071/14916
DOI: 10.5430/rwe.v8n2p88
ISSN: 1923-3981
Ciência-IUL: https://ciencia.iscte-iul.pt/id/ci-pub-44108
Appears in Collections:CIES-RI - Artigos em revista científica internacional com arbitragem científica
BRU-RI - Artigos em revistas científicas internacionais com arbitragem científica

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