IDEAS home Printed from https://ideas.repec.org/p/ulr/wpaper/dt-11-08.html
   My bibliography  Save this paper

Integración regional : ¿el crecimiento económico a través de la diversificación de exportaciones?

Author

Listed:
  • Gabriela Mordecki

    () (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economia)

  • Matías Piaggio

    () (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economia)

Abstract

Regional integration is under discussion nowadays. In 1991, Argentina, Brazil, Paraguay and Uruguay created the MERCOSUR regional bloc, which was fully consolidated in 1995. The stabilization problems suffered by the region since 1999, asymmetry problems inside the bloc, the growth of commodities’ international prices and the country access to new markets, led Uruguay to re-discuss its international insertion, strengthening the idea of open regionalism. Uruguayan exports are little diversified, historically based on agricultural and basic products. This implied a poor export performance, concentrated in few products (commodities) with low technology and low-skilled labor. It also implied low dynamism and high volatility of exports income. Nevertheless, Uruguayan exports to the region (mainly Argentina and Brazil) have different characteristics from the ones destined to the rest of the world, especially, the high participation of manufactured exports without agricultural inputs. This paper analyses the determinants of Uruguayan manufactured exports without agricultural inputs to Argentina and Brazil (where they are principally destined). This was studied through a Vector Error Correction Model (VECM) including these exports to both countries, external demand and bilateral real exchange rates. The empirical analysis suggests that the external demand is the only determinant of this type of exports to the region, according to this model. This result implies that these exports depend only on Argentina and Brazil growth. Competitiveness seems not to be an important determinant for the performance of these exports to our neighbors.

Suggested Citation

  • Gabriela Mordecki & Matías Piaggio, 2008. "Integración regional : ¿el crecimiento económico a través de la diversificación de exportaciones?," Documentos de Trabajo (working papers) 08-11, Instituto de Economía - IECON.
  • Handle: RePEc:ulr:wpaper:dt-11-08
    as

    Download full text from publisher

    File URL: http://www.iecon.ccee.edu.uy/download.php?len=es&id=120&nbre=dt-11-08.pdf&ti=application/x-download&tc=Publicaciones
    Download Restriction: no

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Alvaro Brunini & Gabriela Mordecki & Lucía Ramírez, 2013. "Exports and real exchange rates in a small open economy," Documentos de Trabajo (working papers) 13-15, Instituto de Economía - IECON.

    More about this item

    Keywords

    Economic development; regional integration; competitiveness.;

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F15 - International Economics - - Trade - - - Economic Integration
    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ulr:wpaper:dt-11-08. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Andrés Dean). General contact details of provider: http://edirc.repec.org/data/ierauuy.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.