The Extensive Margin of International Trade in a Transition Economy: The Case of Mongolia

2021 ◽  
Author(s):  
Chingunjav Amarsanaa ◽  
Yoshinori Kurokawa
Keyword(s):  
International Trade ◽  
Transition Economy ◽  
Extensive Margin

Book Reviews

2011 ◽  
Vol 49 (3) ◽  
pp. 747-749
Keyword(s):  
International Trade ◽  
Product Variety ◽  
University Of California ◽  
Extensive Margin ◽  
Columbia University ◽  
Consumer Benefits ◽  
Export Variety ◽  
The University ◽  
Extensive Margin Of Trade

David E. Weinstein of Columbia University reviews “Product Variety and the Gains from International Trade” by Robert C. Feenstra. The EconLit Abstract of the reviewed work begins “Explores the methods that have been developed to measure the product variety of imports and exports in international trade and the gains from trade due to product variety. Discusses consumer benefits from import variety; producer benefits from export variety; the extensive margin of trade and country productivity; and product variety and the measurement of real gross domestic product. Feenstra is Professor of Economics and C. Bryan Cameron Distinguished Chair in International Economics at the University of California, Davis. Index.”

WHAT MATTERS FOR THE EXTENSIVE AND INTENSIVE MARGINS OF INTERNATIONAL TRADE? EVIDENCE FROM KOREAN EXPORTS

2012 ◽  
Vol 57 (03) ◽  
pp. 1250018 ◽  
Author(s):  
KICHUN KANG
Keyword(s):  
International Trade ◽  
Price Index ◽  
External Environment ◽  
Export Promotion ◽  
Extensive Margin ◽  
Suggested Model ◽  
Intensive Margin ◽  
Quantity Index ◽  
Extensive And Intensive Margins ◽  
What Matters

Recently, there has been increased interest in the distinction between the extensive margin (EM) and the intensive margin (IM) of international trade. Between 1988 and 2006, the growth of the EMs and IMs of Korean exports has been diverse across its destinations. This paper links each component of the trade value (EM, IM, price index and quantity index) to factors that have been identified as trade determinants in the suggested model. This paper finds that the destination GDP, distance, tariffs, language, existence of an export promotion agency (EPA), local infrastructure and import procedures have an effect on the EMs and IMs of Korea's exports, and the effect works largely through the IM. This paper examines the external environment that shapes the contributions of each of these margins of a country's exports.

A Literature Survey on Extensive and Intensive Margins in International Trade

2021 ◽  
pp. 124-136
Author(s):  
Burcu Berke
Keyword(s):  
International Trade ◽  
Foreign Trade ◽  
Literature Survey ◽  
Export Growth ◽  
Global Trade ◽  
Extensive Margin ◽  
Exporting Firms ◽  
Trade Relations ◽  
Extensive And Intensive Margins ◽  
Trade Partners

Products and firms are homogeneous in traditional foreign trade theories; products show no horizontal or vertical differentiation. It is observed that growth in exports is only related to an increase in export quantity and that this is not decomposed into margins. Since Melitz's work, there has been an increase in studies that decompose the firms' heterogeneity and export growth in foreign trade into extensive and intensive margins. The concepts are addressed in the literature known as “new-new” foreign trade theories which include extensive margins, the number of exporting firms, the number of new trade partners, and the volume or variety of exported products. In brief, the growth of global trade is the result of new trade relations (extensive margin) or a rise in existing trade relations (intensive margin). As one of the rapidly developing trade theories in international economics, the main purpose of this study is to conduct a literature survey on the extensive and intensive margins of export growth.

scholarly journals Distorted Gravity: The Intensive and Extensive Margins of International Trade

2008 ◽  
Vol 98 (4) ◽  
pp. 1707-1721 ◽  
Author(s):  
Thomas Chaney
Keyword(s):  
International Trade ◽  
Simple Model ◽  
Firm Heterogeneity ◽  
Trade Flows ◽  
Elasticity Of Substitution ◽  
Extensive Margin ◽  
Trade Barriers ◽  
Intensive Margin ◽  
The Impact

By considering a model with identical firms, Krugman (1980) predicts that a higher elasticity of substitution between goods magnifies the impact of trade barriers on trade flows. In this paper, I introduce firm heterogeneity in a simple model of international trade. I prove that the extensive margin and the intensive margin are affected by the elasticity of substitution in exact opposite directions. When the distribution of productivity across firms is Pareto, the predictions of the Krugman model with representative firms are overturned: the impact of trade barriers on trade flows is dampened by the elasticity of substitution, and not magnified. (JEL F12, F13)

INVESTMENT LIBERALIZATION, CREDIT CONSTRAINTS, AND INTERNATIONAL TRADE

2021 ◽  
pp. 2150004
Author(s):  
TINGTING XIONG ◽  
HAO SUN
Keyword(s):  
International Trade ◽  
Credit Constraints ◽  
Developed Countries ◽  
Extensive Margin ◽  
Bilateral Investment Treaties ◽  
Intensive Margin ◽  
External Finance ◽  
Investment Liberalization ◽  
Manufacturing Sectors ◽  
Robust Evidence

This paper investigates the effect of bilateral investment treaties (BITs) on the extensive and intensive product margins of exports in sectors with different credit constraints. The model in this paper demonstrates that such investment liberalization increases the extensive product margin by lowering the variable costs of selling abroad, while it decreases the intensive product margin by lowering both the fixed investment costs and the variable costs. Moreover, the effects of investment liberalization are stronger in financially more vulnerable sectors. Using a detailed dataset of 190 countries and 27 manufacturing sectors from 1988 to 2006, this paper furnishes robust evidence that BITs increase the extensive margin of exports from developed countries and decrease the intensive margin of exports. It further shows that BITs decrease the intensive margin of exports from developed countries more in the sectors that are more dependent on external finance. Similarly, the intensive margin of exports from developed countries in low tangibility sectors falls by 11.81% because of BITs, while the intensive margin in high tangibility sectors is quite stable with BITs.

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