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The impact of African growth and opportunity act (Agoa) on U.S. imports from Sub-Saharan Africa (SSA)

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Listed:
  • Bedassa Tadesse

    (Department of Economics, University of Minnesota-Duluth, Duluth, MN, USA)

  • Bichaka Fayissa

    (Department of Economics and Finance, Middle Tennessee State University, Murfreesboro, TN, USA)

Abstract

We evaluate the impact of the unilateral trade policy concession known as African Growth and Opportunity Act (AGOA) on U.S. imports from eligible Sub-Saharan African (SSA) countries. Using U.S.-SSA countries' trade data that span the years 1991-2006, we find that AGOA has contributed to the initiation of new and the intensification of existing U.S. imports in both manufactured and non-manufactured goods and several product categories. However, compared to its import initiation impact, the import intensification effect of the Act has been marginal. Our results have important policy implication for further intensification of African exports to the U.S. markets. Copyright © 2008 John Wiley & Sons, Ltd.

Suggested Citation

  • Bedassa Tadesse & Bichaka Fayissa, 2008. "The impact of African growth and opportunity act (Agoa) on U.S. imports from Sub-Saharan Africa (SSA)," Journal of International Development, John Wiley & Sons, Ltd., vol. 20(7), pages 920-941.
    • Handle: RePEc:wly:jintdv:v:20:y:2008:i:7:p:920-941
    DOI: 10.1002/jid.1446
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    References listed on IDEAS

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    Cited by:

    1. John C. Beghin & Heidi Schweizer, 2021. "Agricultural Trade Costs," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(2), pages 500-530, June.
    2. Zenebe, Addisalem & Peterson, Wesley & Wamisho, Kassu, 2014. "The Impact of the African Growth and Opportunity Act (AGOA): An Empirical Analysis of Sub-Saharan African Agricultural Exports," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170590, Agricultural and Applied Economics Association.
    3. Mullings, Robert & Mahabir, Aruneema, 2018. "Growth by Destination: The Role of Trade in Africa’s Recent Growth Episode," World Development, Elsevier, vol. 102(C), pages 243-261.
    4. Adu, Derick T. & Li, Wenying & Sawadgo, Wendiam, 2022. "Trade Growth Under the U.S. African Growth and Opportunity Act: A Synthetic Control Method with Multiple Treated Units," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322287, Agricultural and Applied Economics Association.
    5. Manwa, Farai & Wijeweera, Albert & Kortt, Michael A., 2019. "Trade and growth in SACU countries: A panel data analysis," Economic Analysis and Policy, Elsevier, vol. 63(C), pages 107-118.
    6. Cooke, Edgar F A, 2011. "The impact of trade preferences on exports of developing countries: the case of the AGOA and CBI preferences of the USA," MPRA Paper 31439, University Library of Munich, Germany.
    7. Cooke, Edgar F. A., 2011. "A matching approach to study the impact of agoa on Sub-Saharan African countries," MPRA Paper 34670, University Library of Munich, Germany.
    8. Nathaniel P. S. Cook & Jason C. Jones, 2021. "The African Growth and Opportunity Act and growth in sub‐Saharan Africa: A local projection approach," The World Economy, Wiley Blackwell, vol. 44(1), pages 234-261, January.
    9. Mihai Nica, 2021. "Economic development and business creation," Economic Change and Restructuring, Springer, vol. 54(1), pages 219-239, February.
    10. Cooke, Edgar F. A., 2012. "Is the impact of AGOA heterogeneous?," MPRA Paper 43277, University Library of Munich, Germany.

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