Bilateral intra-industry trade flows and intellectual property rights protections: further evidence from the United Kingdom

Haslifah M. Hasim, Nasser Al-Mawali, Debojyoti Das

Research output: Contribution to journalArticle

1 Citation (Scopus)
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Abstract

This paper investigates the relationship between the United Kingdom's (hereafter referred as UK) bilateral intra-industry trade (IIT) and foreign intellectual property rights (IPRs) protections. The empirical investigation is based on pooled UK data and benefits from the theoretical distinction between horizontal and vertical IIT. It also estimates a gravity equation for international trade using both fixed and random effects models. We then extend the analysis by employing the GMM system for dynamic panel models. The principal findings suggest that the UK's IIT is stimulated when the level of a trading partner's IPRs and its imitative ability are considered jointly. However, when IPRs and imitation abilities are considered separately, their disparate effects are not an important factor in determining UK IIT flows.

Original languageEnglish
Pages (from-to)431-442
Number of pages12
JournalJournal of International Trade and Economic Development
Volume27
Issue number4
Early online date7 Nov 2017
DOIs
Publication statusPublished - 19 May 2018

Keywords

  • intellectual property rights
  • international trade
  • Intra-industry trade

ASJC Scopus subject areas

  • Geography, Planning and Development
  • Development
  • Aerospace Engineering

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