THE EVOLUTION OF DIRECT BACKWARD AND FORWARD LINKAGES IN THE ROMANIAN ECONOMY

Nela Steliac ()
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Nela Steliac: "Babes-Bolyai" University of Cluj-Napoca, 400084, Romania

European Journal of Accounting, Finance & Business, 2024, vol. 12, issue 2, 11-19

Abstract: After the 1989 Revolution, a number of significant structural economic changes took place in Romania. The country's GDP has grown considerably, especially after 2007. This paper analyses the structural changes in Romania's economy using the Input-Output model over the period 1996-2021. Using this model the strongest and weakest technological dependencies and sectoral influences were identified. In this respect, technical input coefficients for backward linkages and technical output coefficients for forward linkages were calculated. The results of the analysis revealed that industry is the largest consumer and supplier. In second place are construction in terms of inputs and agriculture in terms of outputs. The strongest backward linkages are between industrial branches and between construction and industry. The weakest backward linkages occur between agriculture and construction and vice versa, and between services and agriculture. The strongest forward linkages are between agriculture and industry respectively between industrial branches, while the weakest forward linkages exist between agriculture and construction and between construction and agriculture.

Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:scm:ejafbu:v:12:y:2024:i:2:p:11-19

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