Dallas Fed Looks at Effects of Monetary Policy Shocks and Benefits Of Intra-Industry Trade.

DALLAS, Jan. 20 /PRNewswire/ -- The benefits of intra-industry trade and the effect of monetary policy shocks on output are explored in depth in the fourth-quarter 1999 issue of Economic and Financial Review, published by the Federal Reserve Bank of Dallas.

In "The Nature and Significance of Intra-Industry Trade," Dallas Fed research associate Roy J. Ruffin finds such trade more beneficial than inter- industry trade because it stimulates innovation and exploits economies of scale. Ruffin, an economics professor at the University of Houston, adds that since productive…