Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/83433
Authors: 
Janda, Karel
Michalíková, Eva
Skuhrovec, Jiří
Year of Publication: 
2012
Series/Report no.: 
IES Working Paper 12/2012
Abstract: 
The topic of this paper is quite a novel one - it is one of few empirical academic papers dealing with export credit. Moreover, it is the first analysis of this kind which focuses on transition economies. The paper deals with export credit promotion in the Czech Republic. The development and structure of Czech trade and export support is presented first, followed by an econometric analysis of the gravity model of Czech trade. A panel of 160 countries in 1996-2008 is analyzed and two gravity models of exports for the Czech Republic are estimated, the static model by fixed effects (LSDV estimator) and the dynamic model by System GMM. Due to ambiguous conclusions we assume that the behavior of our explanatory variables is not uniform and our data set behaves as a mixture of countries with heterogeneous behavior. This means that traditional techniques of estimation which include all observations into one model do not give significant results. Thus, we use robust techniques of estimation that solve the problem of heterogeneous patterns in data sets. Out of several possibilities we use the Least Trimmed Squares estimator (LTS) with a leverage point. We show that guarantees are a significant factor that influences positively the volume of exports in the Czech Republic. Moreover, there exist more variables that a effect the size of exports in the Czech Republic. Market forces described by GDP, distance, political risk or gross fix capital formation are significant in our econometric model. We find that higher GDP, shorter distance or lower political risk have a positive impact on Czech exports.
Subjects: 
export
government promotion
gravity model
panel data
JEL: 
F14
G28
C23
Document Type: 
Working Paper
Appears in Collections:

Files in This Item:
File
Size
541.52 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.