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Industrialization of the Manufacturing Sector and Trade Opening in Cameroon

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  • Henri Ngoa Tabi
  • Henri Atangana Ondoa

Abstract

In this paper, the authors investigate the effect of trade opening on the industrialization of the manufacturing sector in Cameroon using the error correction model. The study uses data from the World Bank in the period 1967-2007. Our findings show that the long-term relationship between trade opening and industrialization of the manufacturing sector is not stable and that trade opening negatively affects the manufacturing sector of Cameroon. This result is explained by the fact that importations of some food products and inputs cannot be reduced. Moreover, Cameroon manufacturing enterprises are apparently unable to satisfy domestic demand.

Suggested Citation

  • Henri Ngoa Tabi & Henri Atangana Ondoa, 2011. "Industrialization of the Manufacturing Sector and Trade Opening in Cameroon," Research in World Economy, Research in World Economy, Sciedu Press, vol. 2(1), pages 58-68, April.
    • Handle: RePEc:jfr:rwe111:v:2:y:2011:i:1:p:58-68
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    References listed on IDEAS

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    3. Murphy, Kevin M & Shleifer, Andrei & Vishny, Robert W, 1989. "Industrialization and the Big Push," Journal of Political Economy, University of Chicago Press, vol. 97(5), pages 1003-1026, October.
    4. Puga, Diego & Venables, Anthony J, 1999. "Agglomeration and Economic Development: Import Substitution vs. Trade Liberalisation," Economic Journal, Royal Economic Society, vol. 109(455), pages 292-311, April.
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