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In the wake of the global crisis : evidence from a new quarterly database of export competitiveness

Author

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  • Gaulier, Guillaume
  • Santoni, Gianluca
  • Taglioni, Daria
  • Zignago, Soledad

Abstract

Over the past two decades, international trade has become a privileged engine of growth for much of the developing world. With the global economy evolving continuously and rapidly, countries must pay close attention to their positioning on the map of global trade and production. Within this framework, countries must also become aware of how they fare relative to competitors and to their past export performance. Of particular importance is the extent to which their performance is driven by exporter own supply-side capacity as opposed to external or compositional factors, including product and geographical specialization and how these trends compare across countries. This paper describes a new initiative that uses quarterly data for 2005q1-2013q1 to compute comparable indicators of export performance for 228 countries and territories. The database, the Export Competitiveness Database, reveals interesting patterns in trade performance. Export performance, stripped of compositional effects, was strongest for countries from the Asia and Pacific region, on average. Moreover, such performance was almost entirely driven by exporting country specific factors, with changes reflecting growth in volume rather than price developments. All emerging and developing regions have, on average, improved export performance. The indicators in the database trace the legacy of supply-side capacity and the overall export performance of the double-dip recession in the euro area. An illustrative set of results suggests that the paper's measure of competitiveness correlates to a country's nominal and real effective exchange rate, factors that are commonly perceived as important determinants of competitiveness.

Suggested Citation

  • Gaulier, Guillaume & Santoni, Gianluca & Taglioni, Daria & Zignago, Soledad, 2013. "In the wake of the global crisis : evidence from a new quarterly database of export competitiveness," Policy Research Working Paper Series 6733, The World Bank.
  • Handle: RePEc:wbk:wbrwps:6733
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    References listed on IDEAS

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    Cited by:

    1. Canuto, Otaviano & Cavallari, Matheus & Reis, Jose Guilherme, 2013. "Brazilian exports : climbing down a competitiveness cliff," Policy Research Working Paper Series 6302, The World Bank.
    2. Igor Lebrun & Esther Perez Ruiz, 2014. "Demand Patterns in France, Germany, and Belgium; Can We Explain the Differences?," IMF Working Papers 14/165, International Monetary Fund.
    3. Thomas Farole & Megha Mukim, 2013. "Manufacturing Export Competitiveness in Kenya : A Policy Note on Revitalizing and Diversifying Kenya's Manufacturing Sector," World Bank Other Operational Studies 16993, The World Bank.
    4. Andrew J Tiffin, 2014. "European Productivity, Innovation and Competitiveness; The Case of Italy," IMF Working Papers 14/79, International Monetary Fund.
    5. International Monetary Fund, 2016. "Argentina; Selected Issues," IMF Staff Country Reports 16/347, International Monetary Fund.
    6. World Bank, 2015. "How to Sustain Export Dynamism by Reducing Duality in the Dominican Republic
      [Cómo mantener el dinamismo exportador en la República Dominicana : un diagnóstico del Banco Mundial sobre competitivida
      ," World Bank Other Operational Studies 21685, The World Bank.
    7. Canuto, Otaviano & Cavallari, Matheus & Reis, José Guilherme, 2013. "The Brazilian Competitiveness Cliff," World Bank - Economic Premise, The World Bank, issue 105, pages 1-8, February.
    8. G. Gaulier & W. Steingress & S. Zignago, 2016. "The role of China in the trade slowdown," Rue de la Banque, Banque de France, issue 30, september.
    9. Lionel Fontagné & Gianluca Santoni, 2017. "Value Added in Motion: Determinants of Value Added Location within the EU," Development Working Papers 424, Centro Studi Luca d'Agliano, University of Milano, revised 24 Feb 2017.
    10. Françoise Lemoine & Sandra Poncet & Deniz Ünal & Clément Cassé, 2015. "L’usine du monde au ralenti ou le changement de régime du commerce extérieur chinois," Working Papers 2015-04, CEPII research center.
    11. Igor Lebrun & Esther Pérez Ruiz, 2015. "Demand patterns in France, Germany and Belgium: Can We Explain the Differences?," EcoMod2015 8314, EcoMod.

    More about this item

    Keywords

    Currencies and Exchange Rates; Markets and Market Access; E-Business; Economic Theory&Research; Emerging Markets;

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F40 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - General
    • C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation

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