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Competitiveness of the Trade of the Czech Republic in the Process of Globalisation

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  • Marek Rojíček
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    Abstract

    Economic globalisation can be defined as growing interdependence of financial and goods and services markets in the international scale. The important part of globalisation form supranational corporations, which are reaction on the rising competitiveness and need for strategic alliances. The more open is the economy, the more important are the effects of globalisation on the goods and capital flows. This is the case of the Czech Republic, which is vitally dependent on the successful export performance. The export performance is relatively specialized concerning its product and territorial structure. In the period after EU accession the intensity of international cooperation grew rapidly in all the Central European countries, which is mostly the result of the huge FDI inflow at the beginning of the decade. Generally the process of globalisation has its positive and negative effects. For the Czech Republic the positive aspects of globalisation prevail due to its geographical location, qualified and cheap labour force and EU membership.

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    Bibliographic Info

    Article provided by University of Economics, Prague in its journal Politická ekonomie.

    Volume (Year): 2010 (2010)
    Issue (Month): 2 ()
    Pages: 147-165

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    Handle: RePEc:prg:jnlpol:v:2010:y:2010:i:2:id:724:p:147-165

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    Related research

    Keywords: transaction costs; structure of trade; high-tech products; globalisation; fragmentation of value chain; competitiveness;

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    References

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    1. David H. Romer & Jeffrey A. Frankel, 1999. "Does Trade Cause Growth?," American Economic Review, American Economic Association, vol. 89(3), pages 379-399, June.
    2. David Hummels & Dana Rapoport & Kei-Mu Yi, 1998. "Vertical specialization and the changing nature of world trade," Economic Policy Review, Federal Reserve Bank of New York, issue Jun, pages 79-99.
    3. Raphael Bergoeing & Timothy J. Kehoe & Vanessa Strauss-Kahn & Kei-Mu Yi, 2004. "Why is manufacturing trade rising even as manufacturing output is falling?," Working Papers 04-4, Federal Reserve Bank of Philadelphia.
    4. Peter Kunzel & Oli Havrylyshyn, 1997. "Intra-Industry Trade of Arab Countries," IMF Working Papers 97/47, International Monetary Fund.
    5. Kei-Mu Yi, 2000. "Can vertical specialization explain the growth of world trade?," Staff Reports 96, Federal Reserve Bank of New York.
    6. Leamer, E.E., 1995. "The Heckscher-Ohlin Model in Theory and Practice," Princeton Studies in International Economics 77, International Economics Section, Departement of Economics Princeton University,.
    7. Ronald W. Jones, 2000. "Globalization and the Theory of Input Trade," MIT Press Books, The MIT Press, edition 1, volume 1, number 026210086x, December.
    8. Martin Srholec, 2005. "High-tech exports from developing countries: A symptom of technology spurts or statistical illusion?," Working Papers on Innovation Studies 20051215, Centre for Technology, Innovation and Culture, University of Oslo.
    9. Zbigniew Matkowski & Mariusz Próchniak, 2007. "Economic Convergence Between the CEE-8 and the European Union," Eastern European Economics, M.E. Sharpe, Inc., vol. 45(1), pages 59-76, February.
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