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Factor Intensity and the Changing Commodity Composition of U.S. Agricultural Trade

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  • Lee, Chinkook
  • Robinson, Michelle

Abstract

This report uses the 1977 and the recently released 1982 national Input-Output (I/O) accounts of the U.S. economy to examine factor intensities and associated patterns of U.S. agricultural trade. U.S. agricultural exports were found to be more land-intensive than U.S. agricultural imports. However, the commodity composition of these exports tends to change as the income of importing countries changes. Furthermore, the more similar the countries that import from the United States are, in terms of economic factors, and the higher their incomes, the greater the likelihood of intra-industry, or two-way, trade in high-value commodities such as meat products and fruits and vegetables.

Suggested Citation

  • Lee, Chinkook & Robinson, Michelle, 1994. "Factor Intensity and the Changing Commodity Composition of U.S. Agricultural Trade," Agricultural Economic Reports 308285, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uerser:308285
    DOI: 10.22004/ag.econ.308285
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    References listed on IDEAS

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    1. James R. Markusen, 2021. "Explaining the Volume of Trade: An Eclectic Approach," World Scientific Book Chapters, in: BROADENING TRADE THEORY Incorporating Market Realities into Traditional Models, chapter 9, pages 177-186, World Scientific Publishing Co. Pte. Ltd..
    2. Krugman, Paul, 1980. "Scale Economies, Product Differentiation, and the Pattern of Trade," American Economic Review, American Economic Association, vol. 70(5), pages 950-959, December.
    3. Unknown, 1991. "Foreign Agricultural Trade of the United States January/February 1991," Foreign Agricultural Trade of the United States (FATUS) 154694, United States Department of Agriculture, Economic Research Service.
    4. Unknown, 1983. "Foreign Agricultural Trade of the United States, May/June 1983," Foreign Agricultural Trade of the United States (FATUS) 153418, United States Department of Agriculture, Economic Research Service.
    5. Steve McCorriston & Ian M. Sheldon, 1991. "Intra-Industry Trade and Specialization in Processed Agricultural Products: The Case of the US and the EC," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 13(2), pages 173-184.
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    Cited by:

    1. Fuller, Frank Harland, 1996. "The location of marginal production for value-added and intermediate goods: optimal policies and trade volumes," ISU General Staff Papers 1996010108000012147, Iowa State University, Department of Economics.

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