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Conceptual and Measurement Issues
Comparative Advantage in a MultiProduct
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4-digit adjustment AY/P Balassa bilateral trade capita income capital endowment variable capital intensity Chapter CN CN CN coefficient of determination common borders comparative advantage determinants of intra-industry developed and developing developed country group developing countries deviations differentiated products dummy variables economic economies of scale estimating equation explained explanatory power explanatory variables export equations extent of intra-industry factor endowments factor intensities Heckscher-Ohlin theory highly significant statistically human capital endowment hypotheses index of intra-industry industry characteristics industry trade intercountry differences intra intra-industry specialization intra-industry trade LAFTA logit measure of capital negatively correlated offshore assembly one-pass pair of countries Pattern of Specialization percent level physical and human physical capital positively correlated procedure product differentiation ratio regression coefficients regression equation residuals results obtained SITC Specialization in Manufactured statistically significant Table tested trade among developed trade between developed trade in manufactured U.S. data utilizing variance weighted least squares zero observations