The Determinants of Imports of Goods and Services in European Countries in the Period 2010-2019

ABSTRACT : We estimate the determinants of imports of goods and services in 27 European Countries in the period 2010-2019 using data from AMECO with a model of 37 variables. We perform Panel Data with Fixed Effects, Panel Data with Random Effects, Pooled OLS and WLS. We found that among others, the imports of goods and services are positively associated with “Gross National Disposable Income”, “Compensation of Employees: Total Economy”, “Net Saving: Private Sector”, “Labour Share in Total Factor Productivity”. Results also show that the imports of goods and services are negatively associated, among others, with “Exports of Goods and Services at Current Prices”, “Harmonised Consumer Price Index”, “Gross Capital Formation at Current Prices: Total Economy”, “Final Consumption Expenditure of General Government at Current Prices”.

KEYWORDS: Trade Policies; Empirical Studies on Trade; International Growth of Open Economies; International Institutional Arrangements; Economic Impacts of Globalization.
JEL CODE: F13; F14; F43; F55; F6.