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The Shift‑Share Analysis technique and the International wine markets Abstract


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https://doi.org/10.12706/itea.2019.019

Authors: F.J. Cervera y R. Compés
Issue: 116-1 (71-87)
Topic: Agricultural Economics
Keywords: Shift‑Share Analysis, International wine trade, wine competitiveness, wine exports
Summary:

The globalization of wine markets, with the emergence of new players offering and demanding wine and a greater competition, has increased the interest in analysing international wine trade, looking for new tools to better understand the performance of the trade flows of wine. This article examines the possibilities of Shift‑Share Analysis —a classic technique that has evolved to overcome the limitations of the traditional model without losing the attributes that have made it popular among researchers in many fields of the economy— to explain the evolution of world wine exports.
The classic model and two models derived from it —Constant Market Share and econometric model Shift‑Share— are applied to the wine exports of the eleven major world exporting countries to the largest import markets between the years 2000 and 2015. The aim is first, to check the consistency of the results between the three models and, second, if possible, to determine the sources of variation of exports in each of the cases analysed.
The analysis shows that, in general, the three models give disparate and even contradictory results, which limits their undifferentiated application. The results of New Zealand constitute an exception; apart from being the best the outcome across alternative models are consistent. The results for Spain are globally positive, but the competitiveness factor is different depending on the model used.

Citation:

Cervera FJ y Compés R (2020). La técnica de análisis Shift‑Share y los mercados internacionales del vino. ITEA‑Información Técnica Económica Agraria 116(1): 71‑87. https://doi.org/10.12706/itea.2019.019

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