Journal Title
Title of Journal: Asia Eur J
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Abbravation: Asia Europe Journal
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Publisher
Springer Berlin Heidelberg
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Authors: Sangeeta Khorana Nicholas Perdikis William A Kerr
Publish Date: 2014/12/24
Volume: 13, Issue: 1, Pages: 41-55
Abstract
Economies of scale are an alternative source of growth particularly at a time when countries are suffering from global economic malaise The proposed EUIndia free trade agreement holds substantial promise as this will create a combined market of over one and a half billion and generate economies of scale from intraindustry trade which are likely to be concentrated in manufactured products such as chemicals machinery and transport equipment Bold action is needed on the part of politicians in both the EU and India to successfully negotiate the agreement given that this will enable both countries to reap the efficiency gains of global economies of scale provide a significant competitive advantage over other major economies and deliver the necessary spur to shake both the EU and India out of their current economic stagnation
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