The Baltic States' integration into the European division of labour

Claus-Friedrich Laaser and Klaus Schrader

No 1234, Kiel Working Papers from Kiel Institute for the World Economy (IfW Kiel)

Abstract: The analysis of Baltic trade statistics and gravity estimates reveal that Estonia, Latvia and Lithuania have rapidly integrated into the international division of labour with a distinct EU focus. The Baltic States have taken a road towards the EU common market which pays particular attention to close trade relations with their immediate neighbours in the Baltic Sea Region. The Baltic Sea obviously serves as a major integrating device for these countries. At the same time the Baltic States, although being no longer integrated into the former intra-Soviet division of labour, have not abandoned their contacts to the Soviet successor states altogether. Accordingly, they still have the potential to serve as a gateway from Europe to the CIS markets.

Keywords: Eastern enlargement; Regional integration; Gravity model; Baltic trade patterns (search for similar items in EconPapers)
JEL-codes: F14 F15 N74 (search for similar items in EconPapers)
Date: 2004
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Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:zbw:ifwkwp:1234

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