Abstract

Nuno Carlos Leitão

 This study analyses the determinants of United State’s intra-industry trade (IIT) applied to the agriculture sector. The results indicate that IIT in this sector is a negative role of the difference in GDP per capita between U S. and its trade partners. This is according to the literature; that is, countries with similar demands will trade similar products. Statistically strong evidence is also found that this trade is influenced by the economic dimension between trading partners. The foreign direct investment inflows have a positive influence on U.S. bilateral IIT.