Competitiveness Indicators: A Theoretical and Empirical Assessment

Ian Marsh () and Stephen Tokarick

No 1994/029, IMF Working Papers from International Monetary Fund

Abstract: This paper discusses five indicators of competitiveness: real exchange rates based on consumer price indices, export unit values of manufacturing goods, the relative price of traded to nontraded goods, normalized unit labor costs in manufacturing, and the ratio of normalized unit labor costs to value-added deflators in manufacturing. It discusses how each of these measures is associated with changes in a country’s balance of trade in goods and nonfactor services and examines the relationship among these indicators. It then examines the empirical performance of three of the indicators in terms of their ability to explain trade flows.

Keywords: WP; export unit value; traded goods; factor service; goods market; exportable goods; price terms; nominal exchange rate; index computed using consumer price indices; Consumer price indexes; Real exchange rates; Labor costs; Real effective exchange rates; Exports (search for similar items in EconPapers)
Pages: 52
Date: 1994-03-01
References: Add references at CitEc
Citations: View citations in EconPapers (24)

Downloads: (external link)
http://www.imf.org/external/pubs/cat/longres.aspx?sk=1114 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:imf:imfwpa:1994/029

Ordering information: This working paper can be ordered from
http://www.imf.org/external/pubs/pubs/ord_info.htm

Access Statistics for this paper

More papers in IMF Working Papers from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Akshay Modi ().