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Journal of Economic Integration 2005 September;20(3) :604-612.
Aggregation and Applied Trade Theory

Henry Thompson 

Auburn University
Copyright ©2005 Journal of Economic Integration
The influence of data aggregation on applied trade theory may not be generally appreciated. Aggregation can have a direct impact on the direction of trade, factor intensity, factor abundance, factor substitution, product differentiation, and intra-industry trade. This paper develops some propositions for applied trade theorists on the effects of aggregation.

JEL Classification
F10: General
F11: Neoclassical Models of Trade
F12: Models of Trade with Imperfect Competition and Scale Economies
Keywords: Aggregation | Applied trade theory | Homogeneous | Heterogeneous | Intra-industry trade
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