Production Integration in the European Union

Arbeitspapier

Measured by trade in intermediate inputs, economic integration has increased between 2000 and 2014 between members of the European Union and even more with non-members. Integration is negatively related to economic size and positively to the number of years as a member. Germany is the largest hub in the production network and the centre of gravity has moved eastward. Older member states are increasingly exporting service inputs and new member states primary and manufacturing inputs. Wages are increasing faster in countries with low initial wages, indicating wage convergence as a result of production integration.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: CESifo Working Paper ; No. 6944

Classification and Topics

• Classification: Wirtschaft ; General Aggregative Models: General ; Trade: General ; Economic Impacts of Globalization: General ; Wage Level and Structure; Wage Differentials
• Subject: global value chains ; economic integration ; input-output models ; wage convergence

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Nordström, Hakan ; Flam, Harry
• Event: Veröffentlichung
• (who): Center for Economic Studies and ifo Institute (CESifo)
• (where): Munich
• (when): 2018

Further information

• Handle: http://hdl.handle.net/10419/176963
• Last update: 10.03.2025, 11:43 AM CET