A STRATEGY TO THE INTERNATIONAL TRADE ESTIMATION WITH THE USE OF CANONICAL CORRELATION ANALYSIS
Journal Title: Проблеми системного підходу в економіці - Year 2017, Vol 1, Issue 57
Abstract
The canonical correlation analysis of the international trade by means of STATISTICA 10 programs package is conducted in this article. The geographical aspects of the European Union countries (land area and number of inhabitants) are chosen as the key factors of influence on the amount of export-import operations. To conduct the canonical correlation analysis the plurality of dependent variables is chosen Y (Y1 – export turnover of the European Union countries, mil. EUR; Y2 – import turnover of the European Union countries, mil. EUR) from the plurality of variables X (X1 – the land area of the European Union countries, km2; X2 – the number of inhabitants of the European Union countries). As a result of the canonical correlation analysis we got two canonical roots with canonical meaning of correlation coefficient , that describe 100% of dispersion of indicators plurality of international trade and 100% – the plurality of geographical indicators. On an average there can be explained 73,85% of variables dispersion in the left plurality and 58,11% of variableness in the right plurality by using indicator values of international trade and received canonical roots. Considering the importance of correlation coefficient and fulfillment of conditions only the importance of the first canonical root is established. The second canonical root isn’t important as far as the p-level=0,009. Canonical coefficients for the description of correlation dependence between the international trade indicators and factors that are under investigation are counted. The scattering graph of canonical variables is constructed following on from the analysis results. The availability of high correlation between the indicators of export-import operations of the European Union countries and specific geographical aspects of the European Union countries (as lands area and number of inhabitants) is detected. In addition to the above, it’s established that the main influence on the international trade is caused by country number of inhabitants, and the country size has lower impact. It is substantiated that using the method of canonical correlation can reduce the number of factors that influence the international trade by separating the main and secondary factors.
Authors and Affiliations
N. V. Dziubanovska
Keywords
Related Articles
- EP ID EP634326
- DOI -
- Views 150
- Downloads 0
SYSTEM AND PROCESS APPROACH TO EVALUATING MANAGEMENT EFFICIENCY OF MACHINE-BUILDING ENTERPRIS
Evaluation of management efficiency of the modern enterprise today requires further improvement of a methodological approach to it. The existing management paradigm undergoes changes as a result of the globalization of e...
EVOLUTION OF THE THEORY OF INTELLECTUAL CAPITAL
The article is devoted to one of the topical problems in the study of intellectual capital. It studies experience of both Ukrainian and foreign scientists. The analysis of scientific sources shows that an exhaustive unde...
THE THEORETICAL BASIS OF KNOWLEDGE MANAGEMENT RESEARCH
The article defines concepts explaining the origin of the company, along with neoclassical theory, theories of transaction costs of the evolutionary economy, the sides of the firm’s activities, such as production, transa...
PUBLIC AUDIT IN THE ENVIRONMENTAL MANAGEMENT SYSTEM
The article has demonstrated the necessity of establishing of the public audit institution in the system of environmental protection management. In the article has been disclosed the essence of public audit, which is a s...
SOCIAL MEDIA AS A TOOL FOR MANAGING CONSUMER LOYALTY
At the present time, almost all spheres of our lives going through the era of digitization, and marketing has not been an exception. Today’s consumer is increasingly looking for information, making purchases, and general...