%0 Journal Article
%T Vertical intra-industry trade and product quality: the case of South Korea, 1996¨C2003
%A Minsung Kang
%A Jeong-Dong Lee
%J Economics and Business Letters
%D 2012
%I Oviedo University Press
%X This paper contributes to empirical research of intra-industry trade, especially vertical intraindustry trade (VIIT), by two aspects. Firstly, we separate VIIT into higher-export-price VIITand lower-export-price VIIT. Secondly, we give attention to R&D and FDI stock in explaining VIIT determinants. Applied to panel data representing South Korea¡¯s bilateral trade with 15 OECD countries and Taiwan from 1996 through 2003, this alternative makes anintricate understanding of the VIIT determinants possible. Main empirical findings are that South Korea¡¯s R&D investments focus on price competitiveness while its inward FDI seeks efficiency and its outward FDI seeks a market in this period.
%K intra-industry trade (IIT)
%K vertical differentiation
%K R&D stock
%K FDI
%K panel data
%U http://www.unioviedo.es/reunido/index.php/EBL/article/download/9475/9470