Please use this identifier to cite or link to this item: http://hdl.handle.net/11718/17295
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dc.contributor.authorRamakrishnan, Anjali
dc.contributor.authorVarma, Poornima
dc.date.accessioned2016-01-08T06:22:45Z
dc.date.available2016-01-08T06:22:45Z
dc.date.copyright2014
dc.date.issued2014
dc.identifier.citationRamakrishnan, A., & Varma, P. (2014). Do free trade agreements promote intra–industry trade? The case of India and its FTAs. International Journal of Trade and Global Markets, 7(2), 129-144.en_US
dc.identifier.issn1742-7541
dc.identifier.urihttp://hdl.handle.net/11718/17295
dc.description.abstractThe paper examines the role of free trade agreements (FTAs) in promoting intra–industry trade (IIT) between India and its selected FTAs - Association of South East Asian Nations (ASEAN), South Asian Free Trade Agreement (SAFTA) and Sri Lanka. IIT is evident for India's trade with Sri Lanka and Singapore whereas the same is low for other countries. Even the observed IIT is mostly in the form of vertical IIT (VIIT). The results based on fixed effects model using gravity equation shows that the FTAs have a significant impact in promoting IIT. This can be attributed to the high levels of VIIT observed after trade agreements are signed. The negative and significant GDP difference confirms the hypothesis of an inverse relationship between the level of IIT and the differences in development of the trading economies. If countries within an FTA are with different levels of development, then the resultant trade would mainly exhibit an inter–industry structure thus indicating possibilities of greater resource adjustment costs.en_US
dc.language.isoenen_US
dc.publisherInderscience Enterprises Ltd.en_US
dc.subjectIntra–industry structureen_US
dc.subjectFTAsen_US
dc.subjectFree trade agreementsen_US
dc.subjectVertical intra industry tradeen_US
dc.subjectHorizontal intra industry tradeen_US
dc.titleDo free trade agreements promote intra–industry trade? the case of India and its FTAsen_US
dc.typeArticleen_US
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