Economic Complexity – High Technological Product Nexus for Selected EU Countries: Panel Data Analysis

Abstract

Making high-tech goods is the main requirement for scoring highly on the economic complexity index (ECI). Importing high-tech goods can help nations that lack access to these entire resources boost their production capacity. The purpose of this study is to determine whether five European Union (EU) countries can rise to the top of the ECI by importing high-tech products as determined by the EU statistical office (Eurostat). This will be done by using the autoregressive distributed lag (ARDL)/Pooled Average Group (PMG) method and accounting for the 2007–2021 period. The chosen nations have the lowest ECI value, and all are full members of the EU. Recurring data indicates that no high-tech product alters the position of nations in the ECI. To rise to the top of the ECI, countries should import high-tech goods based on their own production systems.

Keywords

• international economics
• economic complexity
• import
• european union
• high technological product.