Pregledni rad
https://doi.org/10.18045/zbefri.2017.2.583
Financialization and its impact on process of deindustrialization in the EU
Tonći Svilokos
orcid.org/0000-0003-4159-7918
; Odjel za ekonomiju i poslovnu ekonomiju Sveučilišta u Dubrovniku, Dubrovnik, Hrvatska
Ivan Burin
orcid.org/0000-0001-7836-2018
; Aerodrom Dubrovnik, Čilipi, Hrvatska
Sažetak
The aim of this research is to examine whether and to what extent the process of
financialization has an impact on the process of deindustrialization in the
European Union, employing a fixed-effect panel regression model. In this paper
exogenous explanatory variable that indicates the level of financialization is
presented by the value added of the finance sector as a percentage of total value
added, and by the employment in the finance sector as a percentage of total
employment. In a process of deindustrialization, the industrial activity is usually
replaced by service activities. However, situations where the service sector has not
been able to absorb the additional supply of labour and to produce additional
values that would compensate the reduction in the industrial sector, could have led
to higher unemployment and lower economic growth. In this paper,
deindustrialization is measured by the value added of industry sector as a
percentage of total value added, and by the employment in industry as a percentage
of total employment. Using latest panel data from EUROSTAT and ILO for the
period from 1995 to 2015 author detects the significant and negative impacts of
the process of financialization on value added of industry sector, as well as on the
employment in the industry sector. This supports the conclusion that the process of
deindustrialization of the EU countries can be characterized as a financializationled
process.
Ključne riječi
deindustrialization; financialization; value added; unemployment; fixed-effect panel regression model
Hrčak ID:
191408
URI
Datum izdavanja:
22.12.2017.
Posjeta: 2.439 *