industry compuetitiveness-The role of regional distance-sensitive input sharing(The israeli-Arab Case)

摘要

This study offfers a method to estimate how the availability of distance-sensitive inputs affects industrial performance of neighboring countries.It hsow that replacing either distant foreign input suppliers or inefficient local ones wikth neighboring suppliers could enhance the competitiveness of specific industries within a country.Whereas the suggested method could be generalized for any type of regional trade liberalizaiton,we focus on the case of removing trade barriers between former non-trading neighboring countries.More specifically,thecase of regional distance-sensitive input sharing between Israel and three of its Arab neighbors(Egypt,Jordan,and Syria) is demonstrated.