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Comparative Advantage of Leather Industry in Pakistan with Selected Asian Economies

Author

Listed:
  • Sadaf Shahab

    (School of Economic Sciences, Federal Urdu University of Arts, Science and Technology, Pakistan)

  • Muhammad Tariq Mahmood

    (School of Economic Sciences, Federal Urdu University of Arts, Science and Technology, Pakistan)

Abstract

The aim of this paper is to analyze the trade specialization in the leather products between some selected Asian economies, with particular focus on Pakistan. For which, a measure of Revealed Comparative Advantage (RCA Balassa Index) is used. The analysis shows that Pakistan has a high comparative advantage in leather products over all the selected economies during the period of study. The paper highlights the problems faced by the leather industry and identifies some immediate policy action to be taken to improve the performance of the leather industry in the light of evidence.

Suggested Citation

  • Sadaf Shahab & Muhammad Tariq Mahmood, 2013. "Comparative Advantage of Leather Industry in Pakistan with Selected Asian Economies," International Journal of Economics and Financial Issues, Econjournals, vol. 3(1), pages 133-139.
    • Handle: RePEc:eco:journ1:2013-01-13
    as

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    References listed on IDEAS

    as
    1. Yeats,Alexander James, 1997. "Does Mercosur's trade performance raise concerns about the effects of regional trade arrangements?," Policy Research Working Paper Series 1729, The World Bank.
    2. J. David Richardson & Chi Zhang, 1999. "Revealing Comparative Advantage: Chaotic or Coherent Patterns Across Time and Sector and U.S. Trading Partner?," NBER Working Papers 7212, National Bureau of Economic Research, Inc.
    3. Balassa, Bela, 1977. "'Revealed' Comparative Advantage Revisited: An Analysis of Relative Export Shares of the Industrial Countries, 1953-1971," The Manchester School of Economic & Social Studies, University of Manchester, vol. 45(4), pages 327-344, December.
    4. Hanif, Muhammad N. & Jafri, Sabina K., 2006. "Financial Development and Textile Sector Competitiveness: A Case Study of Pakistan," MPRA Paper 10271, University Library of Munich, Germany.
    5. Amita Batra & Zeba Khan, 2005. "Revealed comparative advantage: An analysis for India and China," Indian Council for Research on International Economic Relations, New Delhi Working Papers 168, Indian Council for Research on International Economic Relations, New Delhi, India.
    6. Bender, Siegfried & Li, Kui-Wai, 2002. "The Changing Trade and Revealed Comparative Advantages of Asian and Latin American Manufacture Exports," Center Discussion Papers 28478, Yale University, Economic Growth Center.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Tahiri, Noor Rahman, 2017. "Afghanistan and China Trade Relationship," MPRA Paper 82098, University Library of Munich, Germany, revised 15 Sep 2017.
    2. Naheed Memon & Faiza Rehman & Fazal Rabbi, 2014. "Should Pakistan Liberalize Trade With India Against the Backdrop of the FTA with China? A Comparative Advantage Analysis for the Manufacturing Sector," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 19(Special E), pages 327-348, September.
    3. Fitawek, Wegayehu, 2016. "The Effect Of Export Tax On The Competitiveness Of Ethiopia’S Leather Industry," Research Theses 265673, Collaborative Masters Program in Agricultural and Applied Economics.

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    More about this item

    Keywords

    Revealed Comparative advantage; Balassa Index; Exports; Skill Specialization;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F11 - International Economics - - Trade - - - Neoclassical Models of Trade
    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F19 - International Economics - - Trade - - - Other

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