Journal of Global Economics

Horizontal versus Vertical R&D Spillovers and Trade Flows in Differentiated Products in the Case of Tunisia

Abstract

Bel Hadj Tarek

This paper aims to analyze the impact of horizontal (intra-industry) and vertical (inter-industry) R&D spillovers on trade flows in differentiated products and hence, on the pattern of international trade. We consider that such approach presents a high added value both theoretically and empirically seen that the horizontal and vertical nature of R&D spillovers has not been studied enough in the literature on the one hand, and on the other hand, the integration of product differentiation into our analysis as a potential vector of competitive advantages and generator of a favorable competitive position.