The monodimensional approach to competitiveness finds a commonly - TopicsExpress

The monodimensional approach to competitiveness finds a commonly accepted expression in the real exchange rate, since this indicator assumes the homogeneity of the baskets of products that are compared. This approach is challenged by studies that, in pointing out the analytical weakness of aggregate indicators of ‘competitiveness’, have focused on the structure and composition of production and trade. When disaggregated data are used—observe Felipe and Kumar (2011, p. 27)—‘the comparison with Germany is, at least for some countries, misplaced ... Germany is not the correct comparator as its export basket is very different from that of the southern European countries and of Ireland. Simonazzi A., Ginzburg A., Nocella G. - Economic relations between Germany and southern Europe, Cambridge Journal of Economics 2013, 37, 653–675

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