Intra-industry international trade and imperfect market

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Reference no: EM13376019

Intra-Industry International Trade: and Imperfect Market Structure

Standard trade theory is based on perfect competition, with constant returns to scale at the level of the individual firm and constant or increasing cost of expanding production at the level of the industry. Comparative advantage predicts that countries will trade with other countries that are different (the source of the comparative cost differences) and that each country will export some products and import other, quite different products. While much international trade conforms to these patterns, a substantial amount does not. Most obviously, industrialized countries trade a lot with each other, and in much of their trade each is exporting and importing similar products.

Develop a detail paper analyzing Intra-Industry International Trade. Your paper should be APA format and structured as follows

Cover page with a running head
Introduction

Economies of scale
Monopolistic competition and the Gravity Model of Trade
Global oligopoly (Strategic Trade Policy)
Agglomeration Economies (External Economies of Scale)
Case Study
Conclusions
References

Reference no: EM13376019

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