In this paper we look at similarity and convergence between the EU and four of the so-called ”accession countries” of Central and Eastern Europe in terms of trade patterns. We analyse the trade patterns of the Central and Eastern European countries by comparing them to those of the current members of the EU. In particular, this paper focuses on countries’ specialization as suppliers for the EU market. We evaluate the appropriateness of different classes of similarity indices, using rank correlation index and two distance metrics, the Euclidean index and the Bray-Curtis index. We examine the evolution of similarity along time - from 1989 to 2000 - considering both self-similarity (how the export structure of a EU member-to-be has changed with respect to the beginning of the transition process) and EU-similarity (if and how the export structure of a EU member-to-be has changed with respect to the EU export structure). Finally, we examine how the process of integration with the EU and its reflection in the increased relevance of processed trade influenced the CEECs’ current pattern of specialization.
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Paper provided by CESPRI, Centre for Research on Innovation and Internationalisation, Universita' Bocconi, Milano, Italy in its series CESPRI Working Papers with number
148.
Length: 42 pages Date of creation: Jul 2003 Date of revision:
Jul 2003 Handle: RePEc:cri:cespri:wp148
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Find related papers by JEL classification: F3 - International Economics - - International Finance F42 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - International Policy Coordination and Transmission
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