Export Market Integration in the European Union

Journal of Applied Economics, Vol. 7, No. 2, pp. 271-301, November 2004

Posted: 28 Feb 2005

See all articles by Salvador Gil-Pareja

Salvador Gil-Pareja

University of Valencia - Department of Economics

Simon Sosvilla-Rivero

UCM Institute for Economic Analysis

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Abstract

This paper examines the degree and recent evolution (1988-2001) of export-price dispersion among European Union countries. It also explores the effect of exchange rates on export-price dispersion by reviewing the experience of some European countries that participated in the exchange rate stability zone. The results indicate that export-price dispersion across European Union countries was usually lower than across OECD countries. Moreover, although there is little evidence of convergence, this is stronger across European Union countries. Finally, even though price dispersion was often lower across European Union countries where exchange rates have been relatively stable than across countries with relatively volatile exchange rates, exchange-rate stability has not significantly contributed to export-price convergence across participating countries over the sample period.

Keywords: export market integration, European Union, exchange rates

JEL Classification: F15, F30

Suggested Citation

Gil-Pareja, Salvador and Sosvilla-Rivero, Simon, Export Market Integration in the European Union. Journal of Applied Economics, Vol. 7, No. 2, pp. 271-301, November 2004. Available at SSRN: https://ssrn.com/abstract=673422

Salvador Gil-Pareja (Contact Author)

University of Valencia - Department of Economics ( email )

Av. dels Tarongers s/n
46071 Valencia
Spain
+34 96 382 83 49 (Phone)

Simon Sosvilla-Rivero

UCM Institute for Economic Analysis ( email )

Carretera de Humera s/n
Madrid, Madrid 28223
Spain
+34913932626 (Phone)

HOME PAGE: http://www.ucm.es/info/ecocuan/ssr/

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