Income-Related Biases in International Trade: What Do Trademark Registration Data Tell Us?

30 Pages Posted: 20 Apr 2016

See all articles by Carsten Fink

Carsten Fink

World Bank - Development Research Group (DECRG)

Beata Smarzynska Javorcik

University of Oxford - Department of Economics; World Bank - Development Research Group (DECRG); Centre for Economic Policy Research (CEPR)

Mariana Spatareanu

Rutgers University Department of Economics and Division of Global Affairs

Date Written: October 2003

Abstract

Economists have long recognized that richer countries trade more among themselves than with poorer economies due to a closer match of exporter supply structures and importer preferences. In the literature, the closeness of supply and demand has traditionally been determined by the quality of products - as expressed in the so-called Linder hypothesis. This paper examines an extension of the Linder hypothesis by also considering the extent of horizontal product differentiation as another determinant of the closeness of supply and demand. The empirical analysis employs information on international trademark registrations to test whether richer countries import more from countries whose exports are of higher quality and exhibit a greater degree of product differentiation. The results lend support to the hypothesis in most consumer goods sectors but not in intermediate goods sectors.

This paper - a product of Trade, Development Research Group - is part of a larger effort in the group to examine the economic impact of protecting intellectual property rights in developing countries.

Suggested Citation

Fink, Carsten and Javorcik, Beata Smarzynska and Spatareanu, Mariana, Income-Related Biases in International Trade: What Do Trademark Registration Data Tell Us? (October 2003). Available at SSRN: https://ssrn.com/abstract=636569

Carsten Fink (Contact Author)

World Bank - Development Research Group (DECRG) ( email )

1818 H. Street, N.W.
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Beata Smarzynska Javorcik

University of Oxford - Department of Economics ( email )

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Oxford
United Kingdom

World Bank - Development Research Group (DECRG) ( email )

1818 H. Street, N.W.
MSN3-311
Washington, DC 20433
United States
202-458-8485 (Phone)
202-522-1159 (Fax)

HOME PAGE: http://econ.worldbank.org/staff/bjavorcik

Centre for Economic Policy Research (CEPR)

London
United Kingdom

Mariana Spatareanu

Rutgers University Department of Economics and Division of Global Affairs ( email )

360 ML King Jr. Blvd.
Newark, NJ 07102
United States
973 353 5249 (Phone)
973 353 5819 (Fax)

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