DP1003 Comparative Advantage and Likely Trade Pattern of the CEECs

Author(s): László Halpern
Publication Date: September 1994
Keyword(s): Central and Eastern Europe, Comparative Advantage, Foreign Direct Investment
JEL(s): F14, P52
Programme Areas: International Trade and Regional Economics
Link to this Page: cepr.org/active/publications/discussion_papers/dp.php?dpno=1003

The paper investigates the comparative advantage of Central and East European Countries (CEECs) through the analysis of commodity patterns of foreign trade. Due to rapid changes in production and trade structures the revealed comparative advantage may reflect both the old and the emerging capacities. Hence, outward processing trade, labour cost, human capital and foreign direct investment are also treated to assess the likely future trade pattern.