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European Enlargement and Agro‐Food Trade

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  • Štefan Bojnec
  • Imre Fertő

Abstract

This paper investigates the level, composition, and differences in the dynamics of revealed comparative advantage and trade specialization patterns of the 12 new member states (NMS‐12) as part of the enlarged European Union 27 countries (EU‐27). The NMS‐12 are classified into four country groups: the Baltic States, the CEFTA‐5, and the Mediterranean and the Balkan regions. The empirical analysis employs a regression framework, a duration analysis, Markov transition probability matrices, and mobility indices. Trade increases with the EU enlargement and so does revealed comparative advantage in agro‐food products. There are catching‐up difficulties, as indicated by revealed comparative advantage, in higher added‐value processed products. Le présent article examine le degré, la composition et les différences de la dynamique des avantages comparatifs révélés ainsi que les caractéristiques de la spécialisation du commerce des douze nouveaux pays membres (NPM‐12) de l'Union européenne élargie (UE–27). Les 12 nouveaux pays membres sont divisés en quatre groupes: les États baltiques, les cinq pays membres de l'ALECE, la région de la Méditerranée et la région des Balkans. L'analyse empirique utilise un modèle de régression, une analyse de durée, des matrices de probabilités des transitions (Markov) et des indices de mobilité. Les échanges augmentent avec l'élargissement de l'UE tout comme les avantages comparatifs révélés des produits agroalimentaires. On observe des difficultés de rattrapage, comme l'indique l'avantage comparatif révélé, dans le cas des produits transformés à forte valeur ajoutée.

Suggested Citation

  • Štefan Bojnec & Imre Fertő, 2008. "European Enlargement and Agro‐Food Trade," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 56(4), pages 563-579, December.
  • Handle: RePEc:bla:canjag:v:56:y:2008:i:4:p:563-579
    DOI: 10.1111/j.1744-7976.2008.00148.x
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