Spillover effects of Germany's final demand on Southern Europe

Journal article (2018)

Authors

Oliver Picek Vienna University of Economics and Business
E. Schröder Economics of Technology and Innovation - TPM
Research Group
Economics of Technology and Innovation (TPM) (TU Delft)
Copyright: © 2018 Oliver Picek, E. Schröder
DOI: https://doi.org/10.1111/twec.12635
Effects External Adjustment Euro area Global value chains Input-output analysis Macroeconomic imbalances Spillover
More Info
expand_more

Published Date

2018

Language

English

Faculty

Technology, Policy and Management

Department

Values Technology and Innovation

Research Group

Economics of Technology and Innovation

Abstract

We use data from the World Input-Output Database to fit a closed multiregional input-output model in order to estimate the size of spillover effects of Germany's final demand on GDP, employment and the trade balance in Southern European countries. We find that spillover effects are rather small. Germany alone will hardly make a significant contribution to the external adjustment process in the European South.