Dimensions of Quality Upgrading: Evidence from Ceecs

26 Pages Posted: 8 Jan 2005

See all articles by Uwe Dulleck

Uwe Dulleck

University of Vienna - Department of Economics

Neil Foster-McGregor

UNU-MERIT

Robert Stehrer

Vienna Institute of International Economic Studies (WIIW)

Julia Woerz

Vienna Institute of International Economic Studies (WIIW); Tinbergen Institute Rotterdam (TIR)

Abstract

The impact of the Central and Eastern European (CEE) economies' trade integration with European markets on CEE trade structures has been studied extensively. These studies frequently observe a quality upgrading of CEE exports. In this paper we consider three dimensions of quality upgrading: upgrading across industries, upgrading across different quality segments within industries and, finally, product upgrading within quality segments inside industries. For the analysis we partition industries into quality segments based on EU-15 import unit values. The results for ten CEE countries (comprising the CEE-5, the Baltics and South East Europe) and thirteen industries suggest fundamental differences, both across country groups and across the three different notions of quality upgrading. The CEE-5 show no evidence of entering a 'low-quality trap' in all three dimensions. By contrast, while there is a general catching-up process across industries and inside quality segments, the second notion of low-quality specialization may be applicable within the high-tech industries to the performance for the Baltics and South East Europe as a group.

Suggested Citation

Dulleck, Uwe and Foster-McGregor, Neil and Stehrer, Robert and Woerz, Julia, Dimensions of Quality Upgrading: Evidence from Ceecs. Available at SSRN: https://ssrn.com/abstract=645145

Uwe Dulleck (Contact Author)

University of Vienna - Department of Economics ( email )

Bruennerstrasse 72
Vienna, A-1210
Austria
+43 1 4277 374 ext. 27 (Phone)
+43 1 4277 9374 (Fax)

Neil Foster-McGregor

UNU-MERIT ( email )

Keizer Karelplein 19
Maastricht, 6211TC
Netherlands

Robert Stehrer

Vienna Institute of International Economic Studies (WIIW) ( email )

A-1010 Vienna
Austria

Julia Woerz

Vienna Institute of International Economic Studies (WIIW) ( email )

A-1010 Vienna
Austria
+43 1 5336610 24 (Phone)
+43 1 5336610 50 (Fax)

HOME PAGE: http://www.wiiw.ac.at/e/staff_woerz.html

Tinbergen Institute Rotterdam (TIR)

P.O. Box 1738
3000 DR Rotterdam
Netherlands

HOME PAGE: http://www.tinbergen.nl/home.html

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