The objective of this study is to investigate international trade patterns in man-made fiber industries using extended technology model. Hufbauer (1966) suggested the technology gap theory to explain man-made fiber industries. In his theory, a country where technical innovation occurs will export to other countries until innovation occurs in these countries. An innovating country with large production facilities can maintain its export advantage through economies of scale. Once the production technique is known, low wage countries can take export advantage due to low production costs. The extended technology model in this study includes domestic textile production to find the linkage effect between fiber export and textile production.
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