Europeanization vs. Globalization? A deeper look into income and employment embodied in intra-European trade

Production processes are nowadays increasingly global, implying interdependent structures linking goods, processes and countries. Traditional economic blocks and sectoral intra-country linkages coexist with increasing worldwide dependencies. Recent literature supports the hypothesis of a new globalization process taking place in the late 1990s and the 21st century, centred on the consolidation of increasingly competitive macro-regions at a global level, with a growing specialization of countries within them. We propose a multiregional input-output (MRIO) model of the European Union (EU) to analyse whether the generation of employment and income in Europe in recent decades can be defined as a process that is mainly regional or global (involving countries within the region versus countries outside Europe). Our results show that intra-EU trade is an important factor contributing to income and employment growth, more oriented to intermediate inputs, in the same way as extra-EU trade, despite the fact that some European countries are more specialized in final goods, mainly driven by high-income EU countries.

BOLEA Lucía;  DUARTE Rosa;  JARNE Gloria;  MARSCHINSKI Robert;  RUEDA CANTUCHE Jose;  SÁNCHEZ-CHÓLIZ Julio;  SARASA Cristina; 

2020-01-28

UNIV HUELVA, SERV PUBLICACIONES

JRC109141

1576-0162 (online),   

http://uhu.es/publicaciones/ojs/index.php/REM/article/view/3922,    https://publications.jrc.ec.europa.eu/repository/handle/JRC109141,