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Exploring the geographical bias of manufactured exports in MERCOSUR

Author

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  • Fernando Delbianco
  • Andrés Fioriti
  • Germán González

Abstract

We propose a novel approach to understand the industrialization pattern of MERCOSUR countries during the last 60 years. We perform an index to measure the geographical bias of manufactured exports between the region and the world and show that regional trade agreements allowed MERCOSUR countries to decrease de bias and increase competitiveness. However, we show that in recent years the bias deepened in favor of exporting to the region a higher proportion of manufactured goods. Our main result is that these economies present a U-shape geographical bias in manufactured exports associated with a bimodal distribution of breaks. Furthermore, we observe that the 1980 and 2000s were the most relevant periods for defining the region trends.

Suggested Citation

  • Fernando Delbianco & Andrés Fioriti & Germán González, 2020. "Exploring the geographical bias of manufactured exports in MERCOSUR," Asociación Argentina de Economía Política: Working Papers 4339, Asociación Argentina de Economía Política.
    • Handle: RePEc:aep:anales:4339
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    More about this item

    Keywords

    Economic integration; MERCOSUR; Industrialization; Intraindustry trade; exports;
    All these keywords.

    JEL classification:

    • F1 - International Economics - - Trade
    • F10 - International Economics - - Trade - - - General
    • F15 - International Economics - - Trade - - - Economic Integration
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O54 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean

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