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What Can Support Cross-Border Cooperation in the Blue Economy? Lessons from Blue Sector Performance Analysis in Estonia and Finland

Author

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  • Maryna Tverdostup

    (Vienna Institute for International Economic Studies (wiiw), 1060 Vienna, Austria
    School of Economics and Business Administration, University of Tartu, 51009 Tartu, Estonia)

  • Tiiu Paas

    (School of Economics and Business Administration, University of Tartu, 51009 Tartu, Estonia)

  • Mariia Chebotareva

    (School of Economics and Business Administration, University of Tartu, 51009 Tartu, Estonia
    School of Natural Sciences and Health, Tallinn University, 10120 Tallinn, Estonia)

Abstract

Cross-border cooperation creates possibilities for improving the economic performance of the economies of different countries and allows for the efficient use of resources by considering sector-specific conditions for cooperation. The objective of this paper is to provide a methodological framework for analysing the economic performance of selected blue sectors, suggesting additional information for the development of cross-border cooperation in two neighbouring countries: Estonia and Finland. The analysis of the economic performance of the selected blue sectors relies on the Amadeus database for both countries, the implementation of Data Envelopment Analysis (DEA), and the calculation of partial productivity measures. The results of the study show that, on average, blue sectors report good performance indicators in coastal regions, but there are also some signs of imperfect efficiency. The common pattern of imperfectly efficient blue sectors in both countries is due to an excess of some fixed assets, which convey extra costs for business activities and, to some extent, generate excessive environmental pressures. The special nature of a shared blue economic area between Estonia and Finland stipulates close cross-border cooperation as an important tool to improve the performance of the imperfectly efficient sectors through shared “best practice” operations, technologies, and infrastructures. However, the lack of appropriate cross-border statistical data restricts analytical opportunities and the development of policy recommendations.

Suggested Citation

  • Maryna Tverdostup & Tiiu Paas & Mariia Chebotareva, 2022. "What Can Support Cross-Border Cooperation in the Blue Economy? Lessons from Blue Sector Performance Analysis in Estonia and Finland," Sustainability, MDPI, vol. 14(3), pages 1-17, February.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:3:p:1817-:d:742616
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