## Intra-Industry Trade of Arab Countries: An Indicator of Potential Competitiveness

_IMF Working Papers, April 1, 1997_

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## Bibliographic details
- Authors: Peter J Kunzel, Oleh Havrylyshyn
- Published: April 1, 1997
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781451973167.001

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### Summary and objective
- Recent and ongoing agreements to liberalize trade between the European Union (EU) and Arab countries raise the question of how Arab countries will fare in a more competitive environment.
- The paper uses the Grubel-Lloyd intra-industry trade (IIT) index as an indicator of the degree of industrial specialization to study Arab countries’ ability to compete in a more open trade setting.
- Conclusion stated: increased specialization has been achieved over the last decade in Arab countries, but IIT remains low not only in absolute terms, but even in a cross-country comparison, when normalized for the level of development.

### Methodology
- Indicator used: Grubel-Lloyd intra-industry trade (IIT) index.
- Comparative approach: cross-country comparison with normalization for the level of development.
- Timeframe emphasized: changes observed “over the last decade” prior to publication.

### Key findings
- Increased industrial specialization occurred in Arab countries over the last decade.
- Despite increased specialization, intra-industry trade (IIT) remains low in absolute terms.
- IIT remains low even after normalization for the level of development in cross-country comparisons.

### Thematic relevance and subjects
- Economic sectors
- Exports
- International trade
- Manufacturing
- National accounts
- Personal income
- Trade balance
- Trade liberalization

### Keywords highlighted by the paper
- Exports
- Global
- IIT determinant
- IIT index
- IIT indices
- IIT level
- IIT regression
- industry trade
- Manufacturing
- Personal income
- Trade balance
- Trade liberalization
- Western Hemisphere
- WP

### Publication and document specifics
- Pages: 26
- Volume: 1997
- Issue: 047
- Series: Working Paper No. 1997/047
- Stock No: WPIEA0471997
- ISBN: 9781451973167
- ISSN: 1018-5941
- DOI: https://doi.org/10.5089/9781451973167.001
- Publication date: April 1, 1997
- Authors: Peter J Kunzel, Oleh Havrylyshyn

*Peter J Kunzel and Oleh Havrylyshyn, "Intra-Industry Trade of Arab Countries: An Indicator of Potential Competitiveness", IMF Working Papers 1997, 047 (1997).*

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_Source: https://www.imf.org/en/publications/wp/issues/2016/12/30/intra-industry-trade-of-arab-countries-an-indicator-of-potential-competitiveness-2169_