Technology, Trade Structure and Economic Integration - An examination of Intra-Nordic, Nordic-EC and Intra-EC trade 1961-1987

This paper discusses the impact of economic integration on production and trade in high-tech goods. The theoretical evidence is considered in section 2. The remaining part of the paper presents an empirical analysis of this relationship for two groups of countries, the Nordic countries and the EC, between 1961 and 1987. A positive impact of integration on trade in high-tech goods may be found for the Nordic countries in 1960s and early 1970s. There is no evidence of a similar relationship for the EC. This supports the view that countries with small differences in culture and language are more likely than others to experience a positive impact of integration on trade and production in high-tech goods.