Spatial distribution of exporters only recently has attracted the attention of researchers, while the location of economic activity as such has been subject of profound analysis for a long time. Regions have become more open and thus vulnerable to external shocks. Nevertheless, the increase in the number of exporters in the population of firms is one of the top priorities of regions' economic policy agenda, as it improves competitiveness and overall productivity. Literature overview shows an important gap, which is insufficient consideration of the role of ownership, as regards the determinants of the spatial distribution of exporters. The study identifies the differences between the determinants of spatial location of foreign-owned exporters (FOEs) and domestic-owned exporters (DOEs), in particular the role of metropolis, the proximity to infrastructure and the consequences of historical factors and thus the path dependency. The FOEs and DOEs differ in their location preferences. In particular, our results indicate that FOEs pay more attention to proximity to infrastructure and are more susceptible to the presence of agglomeration externalities in the vicinity of metropolitan areas. In addition, historical factors affect the spatial distribution of exporters, especially if the interaction of path dependency and infrastructure endowment is introduced.
We use the small open economy concept to identify the determinants of region's exports at a NUTS-2 level for Poland and Spain over the period 2005-2015. Research Design & Methods: We apply the Prais-Winsten method for Panel Corrected Standard Errors (PCSE) on a data panel allowing for heteroskedasticity and autocorrelation estimating a model of regional exports for a joint sample of Polish and Spanish NUTS-2 regions. Findings: We identify a number of factors which statistically significantly determine exports arising from Polish and Spanish regions. These factors are classified into the following main groups: factor conditions, FDI, infrastructure, market conditions, remoteness and geography, spatial agglomeration and technological knowledge base. Implications & Recommendations: By going beyond national trade statistics, we provide evidence which can be used at the regional level to increase participation of regions in the world economy. Political decisions which are taken at the regional level seem to matter. Contribution & Value Added: This paper combines scientific knowledge from several perspectives: international economics and international business, as well as regional science. We believe that an interdisciplinary approach is necessary to increase the knowledge which goes beyond nations, while not focusing on firms, as units of analysis.
The aim of this paper is to present the spatial distribution of openness to foreign trade assessed at the local level (LAU 1,poviats) in Poland, between 2005 and 2012, with particular reference to its two determinants: activity of foreign-owned enterprises (FOEs) and functioning of special economic zones (SEZs). With the use of data from different sources, including the foreign trade statistics for the Polish regions, constituting a set of indicators on openness to foreign trade, we deliberate on the determinants and the character of regional openness, as well as the quality of the proxies used in order to assess their spatial distribution. Our results indicate high regional dissimilarities in terms of export activity, correlated with the broader picture of regional inequalities. The role of FOEs has been crucial in determining the spatial distribution of exports. As regards the SEZs, their sole contribution increased significantly during the time span. In the times of the world financial crisis, the export performance diversity of poviats increased temporarily but diminished afterwards.
Most of the empirical studies in the literature on intra-industry trade and on the factors affecting trade are performed on the country level. Countries, however, differ in terms of granularity and internal heterogeneity at the regional level. This internal differentiation in terms of intra industry (IIT) patterns, which could affect countries' overall trade pattern, is thus not typically taken into account. In contrast, in the present study -using a unique dataset -we conduct an analysis at the level of NUTS2 regions of two large EU Member States (Poland and Spain) of similar size, level of development, a number of regions and the extent of international regional diversity. This allows drawing more thorough and robust conclusions, as regards the nature of IIT and its determinants. IIT is measured at the 4-digit level of products CN classification. We first describe the overall pattern of IIT for regions, and then empirically identify the determinants of overall IIT as well as its horizontal and vertical components in trade the Spanish and Polish NUTS-2 regions with all existing trade partners on bilateral basis over the period 2005-2014. In order to obtain unbiased results, we utilise a novel empirical approach -a semi-mixed effect model, estimated with the Poisson Pseudo Maximum Likelihood estimator.We estimate the models jointly for all Spanish and Polish regions and then disjointly in a comparative manner -in order to identify incongruities of reaction to various factors investigated. These include both traditional factors, postulated by the standard theoretical models, as well as a number of factors related to the regional dimension of our analysis such as regional path dependence, quality of regional institutions or the core or peripheral nature of reporting region. The study contributes significantly to the analysis of determinants of IIT. We go beyond the traditional approach to IIT analysis (focused on countries). By treating regions as small open economies, participating in international trade, we are able to show new, interesting aspects of IIT and its determinants.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.