India and the Dutch economy; stylised facts and prospects

Wim Suyker, P. Buitelaar and Henri de Groot

No 155, CPB Document from CPB Netherlands Bureau for Economic Policy Analysis

Abstract: India's impressive economic performance over the past few decades has had a positive net impact on the Dutch economy. Peculiar for India is its relatively strong position on the global markets for services. Imports of cheap Indian products have slightly improved Dutch households' purchasing power. Read also the accompanying press release.Increasing Indian exports did not have a noticeable impact on the pace of restructuring in the Netherlands. Nor did this development lead to a marked widening of Dutch wage differentials. Concerning global competition, Indian export products tend to be more complements than substitutes for Dutch export products. The large Indian market yields interesting investment opportunities for Dutch firms.Over the next few decades, the Indian economy is expected to continue its rapid expansion. Increasing trade with India will continue and is expected to enhance Dutch welfare in the upcoming years and will continue to be associated with modest increases in competition and continued restructuring on some markets.

JEL-codes: F14 F23 F40 F47 J31 O40 O57 (search for similar items in EconPapers)
Date: 2007-11
New Economics Papers: this item is included in nep-cwa and nep-int
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Citations: View citations in EconPapers (4)

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