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Is there an empirical link between trade liberalisation and export performance?

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  • Ratnaike, Yasanji C.

Abstract

A panel data approach is used to investigate both the steady-state and the transitional impact of trade liberalisation on export performance within a sample of selected OECD countries. The results find trade policy to be a largely insignificant determinant of export performance. Domestic competitiveness and world demand are found to be the most consistent drivers of export performance in both forms of the model for the sample countries, with domestic demand having a significant negative impact in the dynamic model.

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  • Ratnaike, Yasanji C., 2012. "Is there an empirical link between trade liberalisation and export performance?," Economics Letters, Elsevier, vol. 117(1), pages 375-378.
    • Handle: RePEc:eee:ecolet:v:117:y:2012:i:1:p:375-378
    DOI: 10.1016/j.econlet.2012.05.015
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    Cited by:

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    2. Sena Kimm Gnangnon, 2019. "Fiscal Space for Trade: How Could the International Trade Community Help?," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 10(01), pages 1-42, February.
    3. Sèna Kimm Gnangnon, 2018. "Multilateral Trade Liberalisation and Financial Openness," Economic Affairs, Wiley Blackwell, vol. 38(3), pages 325-338, October.
    4. Gnangnon, Sèna Kimm, 2021. "Effect of Multilateral Trade Liberalization on Services Export Diversification," EconStor Preprints 229152, ZBW - Leibniz Information Centre for Economics.
    5. David Córcoles & Carmen Díaz-Mora & Rosario Gandoy & Ángela Triguero, 2023. "The role of servitization in international entrepreneurship: An analysis for Spanish manufacturing firms," Journal of International Entrepreneurship, Springer, vol. 21(2), pages 214-244, June.
    6. Nie, Fei & Li, Jian & Bi, Xiang & Li, Gucheng, 2022. "Agricultural trade liberalization and domestic fertilizer use: Evidence from China-ASEAN free trade agreement," Ecological Economics, Elsevier, vol. 195(C).
    7. Gnangnon, Sèna Kimm, 2020. "Aid for Trade flows and Wage Inequality in the manufacturing sector of recipient-countries," EconStor Preprints 213936, ZBW - Leibniz Information Centre for Economics.
    8. Odebode, Adedapo & Aras, Osman Nuri, 2020. "The Effect of Trade Liberalization on Exports, Imports and Balance of Payment: The Case of Sub-Saharan Africa," MPRA Paper 108361, University Library of Munich, Germany.
    9. Ali Dadpay & Saleh S. Tabrizy, 2021. "Political Agreements and Exporting Activities: An Empirical Assessment of the Effects of the JCPOA Agreement on Iran’s Exports," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 63(1), pages 147-180, March.
    10. Lanre Kassim, 2013. "The Impact of Trade Liberalisation on Export Growth and Import Growth in Sub-Saharan Africa," Studies in Economics 1310, School of Economics, University of Kent.
    11. Gnangnon, Sèna Kimm, 2019. "Trade Policy Space and Foreign Direct Investment Inflows," EconStor Preprints 196149, ZBW - Leibniz Information Centre for Economics.
    12. Sèna Kimm Gnangnon, 2019. "Aid for Trade and Recipient Countries’ Export Structure: Does Trade Policy Liberalisation Matter?," Arthaniti: Journal of Economic Theory and Practice, , vol. 18(1), pages 56-85, June.
    13. Ofei, Edmund Okraku, 2016. "Trade Liberalization and Export Competitiveness: Evidence from the EU-ECOWAS Trade," MPRA Paper 87808, University Library of Munich, Germany.
    14. Gnangnon Sèna Kimm, 2017. "Empirical Evidence on the Impact of Multilateral Trade Liberalization on Domestic Trade Policy," Global Economy Journal, De Gruyter, vol. 17(3), pages 1-14, September.
    15. Sena Kimm Gnangnon, 2017. "The Impact of Multilateral Trade Liberalisation on Economic Development: Some Empirical Evidence," Economic Affairs, Wiley Blackwell, vol. 37(3), pages 397-410, October.
    16. Sèna Kimm Gnangnon, 2019. "Trade Policy Space and Production Diversification in Developed and Developing Countries," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 10(02), pages 1-39, June.
    17. Sèna Kimm Gnangnon, 2018. "Multilateral Trade Liberalization and Terms of Trade Volatility," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 9(03), pages 1-21, October.
    18. Sèna Kimm Gnangnon, 2017. "Multilateral Trade Liberalization, Export Share in the International Trade Market and Aid for Trade," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 8(03), pages 1-35, October.
    19. Mohammad Monirul Islam & Farha Fatema & Asmina Akter, 2024. "China’s Duty-Free Trade Policy to Bangladeshi Products: A Potential Trade and Economic Effects Analysis Using Partial and Computable General Equilibrium Model," SAGE Open, , vol. 14(2), pages 21582440241, May.
    20. Sena Kimm Gnangnon & Jean-François Brun, 2018. "Impact of Multilateral Trade Liberalization on Resource Revenue," Economies, MDPI, vol. 6(4), pages 1-19, November.
    21. Oludayo Elijah Adekunle & Samson Olusegun Akinwale, 2020. "Trade Liberalization and Manufacturing Sector in Nigeria," Academic Journal of Economic Studies, Faculty of Finance, Banking and Accountancy Bucharest,"Dimitrie Cantemir" Christian University Bucharest, vol. 6(3), pages 90-96, September.
    22. Essotanam Mamba & Afi Balaki, 2022. "Effects of trade policies on external trade performances of ECOWAS countries (1996–2017)†," Economics of Transition and Institutional Change, John Wiley & Sons, vol. 30(3), pages 535-566, July.
    23. Gnangnon, Sèna Kimm, 2018. "Impact of multilateral trade liberalization and aid for trade for productive capacity building on export revenue instability," Economic Analysis and Policy, Elsevier, vol. 58(C), pages 141-152.

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    More about this item

    Keywords

    International trade liberalisation; Trade openness; Export performance; Panel data;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F17 - International Economics - - Trade - - - Trade Forecasting and Simulation
    • F40 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - General

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