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Analysis of Export Competitiveness of Gwangyang Port Using Constant Market Shares Analysis, Shift-share Analysis, and Comparative Advantage (Disadvantage) by Countries  

Mo, Soo-Won (목포대학교 무역학과)
Publication Information
Journal of Korea Port Economic Association / v.33, no.3, 2017 , pp. 91-104 More about this Journal
Abstract
This paper examines the export structure of Gwangyang Port and evaluates its comparative advantage from 2005 to 2016 using the Comparative Advantage by Countries (CAC) index. It is found that: (i) Gwangyang Port has a comparative advantage in HS 39 and HS 28, an unstable comparative advantage in HS 29 but a comparative disadvantage in HS 72; and (ii) 4 items have the common features of losing their comparative advantage. Constant market share analysis allows one to evaluate why the exports of one region may grow faster than world exports. This consists of the commodity composition effect, the scale effect, and the competitive effect. Constant market share analysis shows that the commodity composition effect influences exports negatively while the scale effect does exports positively. Shift-share analysis can help evaluate the change in a region's performance relative to the nation over a given period of time. The result indicates that HS 28 has not only favorable industrial mix effect but high competitive share effect, while HS 29 has unfavorable industrial mix effect as well as low competitive share effect. This paper also reveals that industrial mix effect of HS 39 is positive but its competitive share effect is negative, whereas the former is negative but the latter is positive in case of HS 29.
Keywords
Constant Market Share; Comparative Advantage by Country; Shift-share Analysis;
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