Press Analysis of the Slovak Wine Exports by Gravity Model
Analysis of the Slovak Wine Exports by Gravity Model
The focus of the paper is to determine the tendency of development of
Slovak wine international trade. The objective of the article is to
identify barriers and positive stimulants of wine exports using the
gravity model. On the one hand, the basic determinants of gravity model
as GDP per capita, number of inhabitants in the import countries and the
distance between Slovakia and its business partners are considered as
the potential determinants for the Slovak wine export. On the other
hand, there are other factors used that come from papers with similar
topics and those are production of the domestic country, membership in
international and trade organizations, common characteristics of the
domestic country and its business partners. Based on the results of this
research, variability of dependent variable can be better explained by
model with cross-cutting nature than by the panel model. Significant
variables behave according to the general presumptions. Membership in
the EU, the OECD and the WTO were determined by the model as the factors
without significant influence on Slovak wine export. Common
characteristics, however, appeared to have positive impact on mutual
foreign trade. Furthermore, it was found out that the Slovak wine is
seen as an inferior good by the consumers.
Analysis of the Slovak Wine Exports by Gravity Model Analýza slovenského exportu vína využitím gravitačného modelu JUDINOVÁ, Eva - ZENTKOVÁ, Iveta
Analysis of the Slovak Wine Exports by Gravity Model