Competitiveness and External Trade Performance of the French Manufacturing Industry
December 1, 1995
More Formats on IMF eLibrary
Order a Print CopyDisclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate
Summary
This paper provides an assessment of competitiveness and external trade performance of the French manufacturing industry during the 1980s and early 1990s. The first part of the paper reviews developments in a broad range of competitiveness indicators. The analysis indicates that the manufacturing sector appears to have maintained its competitive position in recent years. The second part discusses developments in export market shares. The third part estimates a vector error correction model relating the trade ratio to relative unit labor costs, domestic and foreign demand, and nonprice competitiveness. Variance decompositions suggest that fluctuations in price and nonprice competitiveness account for about two-fifths of fluctuations in manufacturing trade flows.
Subject: Competition, Economic sectors, Export performance, Exports, Financial markets, International trade, Labor, Labor costs, Manufacturing
Keywords: Competition, competitiveness index, competitiveness indicator, cost competitiveness matter, Export performance, Exports, import penetration, labor cost, Labor costs, Manufacturing, price competitiveness, trade performance, trade ratio, WP
Pages:
42
Volume:
1995
DOI:
Issue:
137
Series:
Working Paper No. 1995/137
Stock No:
WPIEA1371995
ISBN:
9781451855869
ISSN:
1018-5941
