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Gross Exports Versus Value Added Exports: Determinants And Policy Implications For Manufacturing Sectors In Selected Cee Countries

Author

Listed:
  • Magdalena Olczyk

    (Gdansk University of Technology, Gdansk, Poland)

  • Aleksandra Kordalska

    (Gdansk University of Technology, Gdansk, Poland)

Abstract

The main objective of this paper is to assess the impact of selected determinants on both exports in value added and exports in gross terms for seven CEE economies, based on 13 manufacturing subsectors and for the period 1995-2011. The results of the analysis show a substantial decrease in domestic value added in a majority of the countries, especially in medium-high- and high-tech industries. For the seven CEE countries the impact of the main determinants (except vertical specialisation) are fairly similar when exports are measured in value added or in gross terms. The results indicate a greater impact of labour productivity and highly skilled employees on generating domestic value added in the manufacturing sector. CEE countries do not achieve comparative advantages of a capital-intensive nature in exports of manufactured products. Additionally, manufacturing in CEE countries does not serve a ‘carrier function’ for services to contribute to a country’s export performance.

Suggested Citation

  • Magdalena Olczyk & Aleksandra Kordalska, 2016. "Gross Exports Versus Value Added Exports: Determinants And Policy Implications For Manufacturing Sectors In Selected Cee Countries," GUT FME Working Paper Series A 40, Faculty of Management and Economics, Gdansk University of Technology.
  • Handle: RePEc:gdk:wpaper:40
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    References listed on IDEAS

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    Cited by:

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    2. Biswajit Banerjee & Juraj Zeman, 2020. "Determinants of Global Value Chain Participation: Cross-country Analysis," Working and Discussion Papers WP 1/2020, Research Department, National Bank of Slovakia.
    3. Liu, Bin & Zhang, Lei & Sun, Jide & Wang, Dedong & Liu, Chunlu & Luther, Mark & Xu, Youquan, 2020. "Analysis and comparison of embodied energies in gross exports of the construction sector by means of their value-added origins," Energy, Elsevier, vol. 191(C).
    4. Aleksandra Parteka & Joanna Wolszczak-Derlacz, 2017. "Workers, Firms and Task Heterogeneity in International Trade Analysis: An Example of Wage Effects of Trade Within GVC," Entrepreneurial Business and Economics Review, Centre for Strategic and International Entrepreneurship at the Cracow University of Economics., vol. 5(2), pages 9-25.
    5. Aleksandra Parteka & Joanna Wolszczak-Derlacz, 2019. "Global Value Chains and Wages: Multi-Country Evidence from Linked Worker-Industry Data," Open Economies Review, Springer, vol. 30(3), pages 505-539, July.
    6. Zhelyu Vladimirov, 2018. "Discussing Innovation Policy Biases in the New EU Member States," Economic Studies journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 5, pages 3-26.
    7. Aleksandra Kordalska & Magdalena Olczyk, 2018. "CEE Trade in Services: Value-Added Versus Gross Terms Approaches," Eastern European Economics, Taylor & Francis Journals, vol. 56(4), pages 269-291, July.
    8. Françoise Okah Efogo, 2020. "Does trade in services improve African participation in global value chains?," African Development Review, African Development Bank, vol. 32(4), pages 758-772, December.
    9. Carmen Díaz-Mora & Rosario Gandoy & Belén González-Díaz, 2018. "Looking into global value chains: influence of foreign services on export performance," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 154(4), pages 785-814, November.

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    More about this item

    Keywords

    gross exports; value added exports; CEE economies; manufacturing;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F40 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - General
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General

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