
Scale Economies and International Trade in a Rapidly Growing Region
Scale Economies and International Trade in a Rapidly Growing Region
- Byron L. David Mitchell H. Kellman
- 세종대학교 경제통합연구소
- Journal of Economic Integration
- 제12권 제1호
- 등재여부 : KCI등재
- 1997.03
- 26 - 46 (21 pages)
Scale is universally acknowledged as important in the determination of national comparative advantage. Paradoxically, attempts to associate empirical measures of scale economies and international trade volume have proved largely inconclusive, and often have been found to sport the “wrong” sign. We examine the trade-scale nexus in the context of East Asian NICs and “Next-Tier” NICs whose economies and exports have grown especially rapidly since the mid-1960s. In a cross section context we replicate the negative correlations typically found in the literature. By combining time section and cross section analyses we demonstrate significant positive correlations in a dynamic context, finding that the smaller the country the greater the scale economy gains for any given population increase. (JEL Classification: F12)
Ⅰ. Scale Economies and International Trade
Ⅱ. Data Sources and Assumptions
Ⅲ. The Empirical Background
Ⅳ. Scale Economies and Country Size