A new industrial strategy for Europe - new indicators of the results of its implementation

• Authors: Oleg Krekhivskyi , Olena Salikhova

Abstracts

EN

This paper discusses the experiences resulting from EU’s adoption and implementation of a wide variety of policy measures in response to the COVID-19 crisis. These measures included stimulating the relocation and expansion of manufacturing to reduce vulnerability, depending on imports, ensuring the stability and development of industrial production. Using the example of the pharmaceutical industry in EU27 in the years 1995–2018, the study proposes and tests a new approach to assessing the consequences of relocation policies aimed at developing the local production potential, increasing the value added by activity, and expanding the share of local value added in industry exports. Specifically, the focus is on the formation of statistical analysis tools for assessing the changes of the specialisation and identifying the country's comparative advantages. The authors propose new indicators: RSP – coefficient of Revealed Specialisation of Production, CAVA – coefficient of Comparative Advantage in Value Added by Activity and EVA – coefficient of Comparative Advantages in the Domestic Value Added Exports. Additionally, formulas for their calculation are provided which allow the assessment of the position of Ukraine’s industries among a reference group, widening the ‘revealed comparative advantage’ concept. Finally, a test of the new methodology showed that it can be used to identify the comparative advantages of EU member states supported by state assistance programmes involving the implementation of business projects which aim to develop domestic production.

Keywords

EN

indicators; specialization; comparative advantage; industrial production; value added activity; export

• Publisher: Główny Urząd Statystyczny
• Journal: Statistics in Transition new series
• Year: 2023
• Volume: 24
• Issue: 1
• Pages: 213-228

Dates

published

2023

Contributors

author

Oleg Krekhivskyi

• Secretariat of Cabinet of Ministers of Ukraine

• https://orcid.org/000000024793851X

author

Olena Salikhova

• Institute for Economics and Forecasting of NAS of Ukraine

• https://orcid.org/0000000276696601

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Identifiers

DOI

10.59170/stattrans-2023-012

Biblioteka Nauki

10560480