Abstract. The concept of a country's competitiveness still does not have a clear and straightforward meaning and remains ambiguous. Different economists stress various aspects of the
In this paper I construct gravity model for Lithuania and analyse pandemic-related changes of Lithuania’s goods export. Results suggest that pandemic resulted in a decreased export of aircraft, railway products, meat and preparations of cereals and milk. Positive influence was registered for beverages and spirits, tobacco, furniture, electric appliances, fuels, vehicles and medical and pharmaceutical products. I find that Lithuania’s export of products of higher complexity was more often affected positively by the pandemic. Results show positive influence of the pandemic for Lithuania’s export to countries of higher economic complexity and the ones having stronger trade relations with Lithu-ania. There was no relationship between the effects of the pandemic and the size of the destination countries.
In this paper I apply the gravity model to analyse structural changes of Lithuania’s export during the first pandemic year. Lithuania was selected as a case of a small open economy with relatively high numbers of Covid-19 cases, on one hand, and a rather small decrease of its GDP growth in 2020, on the other. The research aims to fill the gap in the current literature by investigating heterogeneity in the goods export in terms of both product groups and export destinations. I also analyse whether the importance of distance and other export determining factors changed during the pandemic year. Results suggest that Lithuania’s export is resilient to economic shocks. Although the effects of Covid-19 were heterogeneous, the pandemic year had only a negligible impact on Lithuania’s export structure. The influence of distance or other export determinants on Lithuania’s export structure did not change during 2020.
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