Is it possible to explain the performances of exports to emerging countries?

- "In an environment where domestic demand in OECD countries will be subdued and where growth in emerging countries is set to be brisk, it is important for OECD countries to export as much as possible to emerging countries (and commodity-exporting countries). We will therefore try to understand the differences between large OECD countries’ performances in terms of exports to emerging and commodity-exporting countries (looking only at exports makes it possible to neutralise the country size effect, as we will see)."
- "These performances may depend on:
• price-competitiveness;
• size of the manufacturing industry (which itself depends on other variables);
• innovation drive; level of product range and labour skills;
• determinants of the supply of goods: tax burden, productivity gains."
- "We show that the capacity to export to emerging and commodity-exporting countries (which is significant in Japan, Germany and the Netherlands, but very weak in Canada and Spain) is linked to cost-competitiveness, the R&D drive and the weight of capital goods and transport equipment in total exports, which represents the product range level of exports."

Natixis Flash Economics 402 20100820

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