Dynamics and Comovements of Regional Exports in Italy1

This paper investigates the dynamic behaviour of regional exports in Italy. After aggregating the Italian regions in six macro-areas we use a recently developed multivariate technique in order to analyse the dynamic and comovements in the relative exports quarterly time-series. Our empirical findings indicate that the north-east exports move separately in the long run from the remaining eastern regions and the western regions are linked by a single long-run relation. Moreover, there is evidence of strong similarities between propagation mechanisms of shocks within central and northern exports respectively.