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Logistics infrastructure and export survival in European Union countries

Author

Listed:
  • Kemal Türkcan

    (Akdeniz University)

  • Socrates Kraido Majune

    (University of Nairobi)

Abstract

This study investigates the effects of logistics performance on export survival using a sample of 28 European Union (EU-28) exporters and 70 importers for the 2005–2017 period. We find that the mean duration of EU-28 exports is 2.37 years. Furthermore, the duration is two months longer when partners have higher than average levels of Logistics Performance Index (LPI). Estimates from the discrete-time logit model with random effects indicate that improvements in logistics performance in both the exporting and importing country significantly increase the survival of EU-28 exports. We also find that the “hard” logistics of importers have a greater impact on the duration of EU-28 exports than do those of exporters. Conversely, the “soft” logistics of exporters have a greater effect on the duration of EU-28 exports than do those of importers.

Suggested Citation

  • Kemal Türkcan & Socrates Kraido Majune, 2022. "Logistics infrastructure and export survival in European Union countries," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 49(2), pages 509-535, May.
    • Handle: RePEc:kap:empiri:v:49:y:2022:i:2:d:10.1007_s10663-021-09527-4
    DOI: 10.1007/s10663-021-09527-4
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    More about this item

    Keywords

    Export duration; Export survival; Discrete-time models; Logistics infrastructure; European Union;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration
    • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe

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