Determinants Of Intra Industry Trade Of Laos With 10 ASEAN Trading Partners

This article is to study on Determinants of Intra-Industry Trade of Laos with Ten(10)ASEAN countries;the purpose of this thesis is to investigate general conditions and Determinants of Intra-Industry Trade in ASEAN.The methodology of this research comprises descriptive and quantitative statistics using panel data for a period of fourteen(14)years from 2001-2014,of Ten(10)ASEAN members and this study used an econometric model to analyze Panel Regression.The findings of this research were that,average Intra-Industry Trade of ASEAN increased in each year and only decreased in some year.This indicated in a period under review that Intra-Industry Trade averages of ASEAN were parallel to 0.84,0.83,0.85,0.87,0.78 and 0.76 respectively,of which the total average of ITT parallels to 0.84.The results of Pattern analysis demonstrated that the determinants of Intra-Industry Trade of ASEAN comprised of Common Language,Old ASEAN members,Gross Domestic Product and the share of manufactured exports in total merchandise exports which these variables are positively associated with Intra-Industry Trade.Whereas Populations and country opening rate are negatively related and human Development Index does not affect Intra-Industry Trade in ASEAN.