Index of Export Market Penetration

[danwil...@gmail.com]

Hello,

I am wondering if you are able to provide me with an alternate explanation of the Index of Export Market Penetration, or the equation used to calculate it. My understanding of the index: The numerator of the equation acts as a counter, specifically, it will count a value of 1 for every country that receives export good i from the reporting country; and then it sums up this for all i goods. The denominator is simply a count of all the countries that import good i; and then sums for all the countries. 

As an example, Country Z exports goods i and j. All across the world 50 countries import good i and 100 countries import good j. Country Z exports good i to 25 of the countries and good j to only 10 of the countries. Therefore, the Export market penetration index would be [(25+10)/(100+50)]*100 = 23.3 

A am fine with this definition, however, when running the indicator on STIC 2 digit classification I get some countries with an index reading above 100. I thought this would be impossible? 

Thanks

[WITS Admin]

 

We need  more information on this query. We had sent email to you.  After we complete our investigation, we will update our finding on this forum.

 

 

Regards,

WITS Team

[danwil...@gmail.com]

Hi,

Have you had a chance to look into this? 

Thanks,

Dan.

Please email if you have any questions:

danwil...@gmail.com