Naslov
Assessing the effects of trade facilitation: hard vs. soft infrastructure in Central and Eastern European member states (CEMS)

Autori
Zaninović, Petra Adelajda ; Zajc Kejžar, Katja

Vrsta, podvrsta i kategorija rada
Sažeci sa skupova, neobjavljeni rad, znanstveni

Skup
9th Economic and Business Review Conference & SEB LU Doctoral Conference 2020

Mjesto i datum
Ljubljana, Slovenija, 04.12.2020

Vrsta sudjelovanja
Predavanje

Vrsta recenzije
Recenziran

Ključne riječi
trade facilitation ; hard & soft infrastructure ; bilateral trade ; supply-chain trade ; gravity model

Sažetak
In this paper we investigate the effects of trade facilitation, namely hard and soft infrastructure on international trade. In our analysis we aim to assess the role that hard and soft infrastructure plays for trade, whereby distinguishing between traditional trade and supply-chain trade. Following the approach by Portugal Perez (2012) and Yadav (2014) we derive four aggregate indicators of trade facilitation where we measure hard infrastructure in terms of physical and ICT infrastructure, while soft infrastructure accounts for border efficiency and institutions efficiency. For traditional trade, we use bilateral trade data, available from World Trade Flows database. As a proxy variable for supply-chain trade we use TiVA indicators, mainly, domestic value added embodied in foreign final demand and foreign value added embodied in domestic final demand. We focus on trade between Central and Eastern European member states (CEMS) and EU-15 and trade between CEMS and extra EU in the period from 2007 to 2015. The empirical analysis is based on panel data regression analysis with an empirical model specification built on a gravity model and applied on both gross trade and trade in value added data. To deal with this issue of zero values we use the Poisson Maximum Likelihood Estimator, while to control for multilateral trade-resistance terms we include a reporter and partner fixed effects. The results of our gravity model estimation indicate that there is a statistically significant association between hard and soft infrastructure and trade, and that trade across supply chains respond most strongly to improvements in trade facilitation. Among all trade facilitation indicators, ICT and institutions efficiency has the largest impact on supply-chain trade.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

POVEZANOST RADA