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South-South Trade in Manufactures: Current Performance and Obstacles for Growth

Author

Listed:
  • Omar S. Dahi

    (School of Social Science, Hampshire College, Amherst, MA 01002, odahi@hampshire.edu)

  • Firat Demir

    (Department of Economics, University of Oklahoma, Norman, OK 73019, fdemir@ou.edu)

Abstract

The last two decades have witnessed resurgence in South-South trade, investment, and regional integration. This article examines trade performance in total and technology-and-skill-intensive manufactures for a sample of twenty-eight developing countries with both developed (South-North) and other developing (South-South) countries. Previous studies and our sample data show that South-South trade in manufactures is characterized by higher capital and skill-intensive factor content relative to South-North trade, with major implications for development in the South, including the possibility of dynamic gains through learning by exporting, technological externalities, allocative efficiencies, and scale economies. The article concludes by discussing obstacles to increasing South-South trade and possibilities for future research on the topic.

Suggested Citation

  • Omar S. Dahi & Firat Demir, 2008. "South-South Trade in Manufactures: Current Performance and Obstacles for Growth," Review of Radical Political Economics, Union for Radical Political Economics, vol. 40(3), pages 266-275, September.
    • Handle: RePEc:sae:reorpe:v:40:y:2008:i:3:p:266-275
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    Citations

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    Cited by:

    1. Bernhardt, Thomas, 2014. "How promising is South-South trade as a contributor to economic development in Asia and South America? Insights from estimating income elasticities of import demand," MPRA Paper 56413, University Library of Munich, Germany.
    2. Bernhardt, Thomas, 2016. "South-South trade and South-North trade: which contributes more to development in Asia and South America? Insights from estimating income elasticities of import demand," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), April.
    3. Torrecillas, Celia & Fernández, Sara & García-García, Claudia, 2023. "Drivers to increase eco-efficiencies in Uruguay, Peru, and Panama," Energy Policy, Elsevier, vol. 183(C).

    More about this item

    Keywords

    South-South trade; industrial development;

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