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Czech Exports and German GDP: A Closer Look

Author

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  • Josef Taušer
  • Markéta Arltová
  • Pavel Žamberský

Abstract

This paper analyses the relation between Czech exports in goods and services and German GDP. In order to contribute to the current state of knowledge the analysis goes more into detail in terms of disaggregating the German GDP. Do Czech exports depend more on German domestic absorption, or is it, rather, German exports which determine Czech exports? Does the Czech Republic produce goods for German consumers or is it an ""outsourced"" supplier to German export channels, instead? Co-integration analysis and the analysis of the commodity structure of Czech exports to Germany are employed to address these questions. The indings of this research indicate that the relationship between Czech exports and German GDP is a very complex one. The Czech economy can be considered a part of German distribution channels, which serves as its specialized outsourced production capacity.

Suggested Citation

  • Josef Taušer & Markéta Arltová & Pavel Žamberský, 2015. "Czech Exports and German GDP: A Closer Look," Prague Economic Papers, Prague University of Economics and Business, vol. 2015(1), pages 17-37.
    • Handle: RePEc:prg:jnlpep:v:2015:y:2015:i:1:id:498:p:17-37
    DOI: 10.18267/j.pep.498
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    Cited by:

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    2. Adriana Grenčíková & Valentinas Navickas & Marcel Kordoš & Matej Húževka, 2021. "Slovak business environment development under the industry 4.0 and global pandemic outbreak issues," Entrepreneurship and Sustainability Issues, VsI Entrepreneurship and Sustainability Center, vol. 8(4), pages 164-179, June.
    3. František Obešlo, 2017. "Export and Import Functions (Empirical Analysis on the Example of the Czech Republic)," European Financial and Accounting Journal, Prague University of Economics and Business, vol. 2017(3), pages 5-15.

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    More about this item

    Keywords

    determinants of Czech exports; commodity structure of Czech exports; export concentration; co-integration analysis; ADL model; EC model;
    All these keywords.

    JEL classification:

    • C5 - Mathematical and Quantitative Methods - - Econometric Modeling
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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