Euro Adoption and Export: A Case Study of the Czech Republic, Slovakia and Old EU Member States

Oliver Polyák

Prague Economic Papers, 2016, vol. 2016, issue 4, 427-444

Abstract: The present paper is focussed on the impact of introducing the common European currency on export performance. Our objective is to explore the impact of introducing the common European currency on the export performance of Slovakia in comparison to the Czech Republic and the old EU member states. Our findings suggest that the export performance and other export-related indicators evolved largely in parallel in both countries. Positive trade effects brought about by the introduction of the euro are rather moderate - up to 5%. The results to some extent do confirm the existence of the so called "Rose effect" - the effect that two countries sharing the same currency trade more than they would otherwise.

Keywords: Slovakia; export; euro adoption; Czech Republic; competitiveness (search for similar items in EconPapers)
JEL-codes: F14 F15 (search for similar items in EconPapers)
Date: 2016
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DOI: 10.18267/j.pep.568

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