OWNERSHIP, INTRA-INDUSTRY TRADE AND FACTOR INTENSITIES: THE CASE OF POLAND 1993-2002

This paper investigates the association between intra-industry trade (IIT) for foreign, private domestic and public domestic companies in Poland and the size of multinational activity measured by the stock of FDI. Using a unique database on imports and exports from companies in Poland 1993-2002 divided along three ownership types, the paper finds in a pooled regression model a positive association between the size of foreign presence and the level of IIT for foreign-owned companies, but no significant spill-over effects from foreign presence to the level and development of IIT for private and public domestic companies. A negative IIT growth for private and public companies and a small positive growth for foreign-owned companies in science-based industries indicate that advanced technological spill-over effects to the Polish economy are still in their infancy.