The determinants of regional exports in Poland a panel data analysis

The purpose of this article is to explain the strong diversification in the volume and structure of exports in Polish regions, using a set of potential determinants originating from different foreign trade theories used in country level studies. Two sets of panel models of exports are estimated for 16 regions of Poland in the years 19992008. Model I shows that regional export performance is positively dependent on labour productivity, share of foreign-owned companies in employment, education level of population, location in the country's border region and access to the sea, and negatively on the importance of agriculture in the region's economy and labour costs. Model II indicates that exports of agricultural and food products are positively correlated with the importance of agriculture, labour productivity in agriculture and the economy of the region as a whole, availability of employees with an appropriate level of practical skills and access to the sea, and negatively with population density and location in the country's border region. Growth of this type of export is important for improvement of living conditions in many underdeveloped regions of Poland.