Intra-Industry Trade and FDI under Oligopoly Trade Patterns and Trade Policies

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Description

This paper describes the patterns of trade in an oligopolistic international market. In a two country model, firms which share common technology can become either national or multinational. In the latter case, they require asymmetric plant-specific fixed costs. As the production costs and market sizes of the countries converge, intra-industry trade and foreign direct investment (FDI) occur. Then the supply logistics of firms in each country are determined by the level of trade costs and the ease with which FDI can be undertaken. The effects of several trade policies are examined within the above context and the applicability of the model is demonstrated with examples from the Japanese automobile industry. (JEL Classifi-cation: F12, F23)

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Details 詳細情報について

  • CRID
    1050001338972043904
  • NII Article ID
    110004470337
  • NII Book ID
    AA10772967
  • HANDLE
    2115/5400
  • ISSN
    09164650
  • Text Lang
    en
  • Article Type
    departmental bulletin paper
  • Data Source
    • IRDB
    • CiNii Articles

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