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Impact of COVID-19 on the trade of goods and services in Spain

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  • Asier Minondo

Abstract

Purpose - This paper aims to analyze the impact of COVID-19 on the trade of goods and services in Spain. Design/methodology/approach - This paper uses monthly trade data at the product, region and firm level. Findings - The COVID-19 crisis has led to the sharpest collapse in the Spanish trade of goods and services in recent decades. The containment measures adopted to arrest the spread of the virus have caused an especially intense fall of trade in services. The large share of transport equipment, capital goods, products that are consumed outdoors (i.e., outdoor goods) and tourism in Spanish exports has made the COVID-19 trade crisis more intense in Spain than in the rest of the European Union. Practical implications - The nature of the collapse suggests that trade in goods can recover swiftly when the health crisis ends. However, COVID-19 may have a long-term negative impact on the trade of services that rely on the movement of people. Originality/value - It contributes to understand how COVID-19 has affected the trade in goods and services in Spain.

Suggested Citation

  • Asier Minondo, 2021. "Impact of COVID-19 on the trade of goods and services in Spain," Applied Economic Analysis, Emerald Group Publishing Limited, vol. 29(85), pages 58-76, February.
    • Handle: RePEc:eme:aeapps:aea-11-2020-0156
    DOI: 10.1108/AEA-11-2020-0156
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    2. Ando, Mitsuyo & Hayakawa, Kazunobu, 2022. "Impact of COVID-19 on trade in services," Japan and the World Economy, Elsevier, vol. 62(C).
    3. Pol Antràs, 2020. "De-Globalisation? Global Value Chains in the Post-COVID-19 Age," NBER Working Papers 28115, National Bureau of Economic Research, Inc.
    4. Guglielmo Maria Caporale & Anamaria Diana Sova & Robert Sova, 2024. "The Covid‐19 pandemic and European trade flows: Evidence from a dynamic panel model," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 29(3), pages 2563-2580, July.
    5. Asier Minondo, 2024. "El desempeño exportador de España: claves de un éxito," Studies on the Spanish Economy eee2024-32, FEDEA.
    6. Bashir Adelowo Wahab & Adamu Jibir & Musa Abdu, 2024. "COVID-19 Pandemic and Household Entrepreneurship in Nigeria: Do Crises Create Necessity-driven and/or Innovative Entrepreneurship?," Global Journal of Emerging Market Economies, Emerging Markets Forum, vol. 16(2), pages 270-286, May.
    7. Roman Wosiek & Anna Visvizi, 2021. "The VWRCA Index: Measuring a Country’s Comparative Advantage and Specialization in Services. The Case of Poland," Economies, MDPI, vol. 9(2), pages 1-12, April.
    8. Abdullah Altun & Pinar Tat & Halit Yanikkaya, 2023. "The Role of Covid-19 Policy Responses on GVC Participation: The Turkish Experience," Working Papers 2023-01, Gebze Technical University, Department of Economics.
    9. de Lucio, Juan & Díaz-Mora, Carmen & Mínguez, Raúl & Minondo, Asier & Requena, Francisco, 2023. "Do firms react to supply chain disruptions?," Economic Analysis and Policy, Elsevier, vol. 79(C), pages 902-916.
    10. Majune, Socrates Kraido & Türkcan, Kemal, 2022. "COVID-19 vs. GFC: A firm-level trade margins analysis using Kenyan data," WTO Staff Working Papers ERSD-2022-6, World Trade Organization (WTO), Economic Research and Statistics Division.
    11. Dejan Živkov & Biljana Stankov & Nataša Papić-Blagojević & Jelena Damnjanović & Željko Račić, 2023. "How to reduce the extreme risk of losses in corn and soybean markets? Construction of a portfolio with European stock indices," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 69(3), pages 109-118.
    12. Esther Vayá & José R Garcia & Jordi Suriñach & Ernest Pons, 2024. "Effects of the COVID-19 tourism crisis on the Spanish economy," Tourism Economics, , vol. 30(4), pages 1021-1038, June.

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    More about this item

    Keywords

    Tourism; Spain; COVID-19; Trade in services; Trade in goods; F10; F14;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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