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Import demand in developing countries

Author

Listed:
  • Faini, Riccardo
  • Pritchett, Lant
  • Clavijo, Fernando

Abstract

As a less restrictive trade regime is associated with greater responsiveness to economic incentives, econometric evidence that does not allow for the impact of import controls cannot be used reliably to assess the effect of a devaluation on the trade balance. Indeed, devaluation combined with trade liberalization ( a common feature of many adjustment programs) will have a more pronounced effect onimport demand than available evidence would suggest. In this report, the authors compare three different approaches to modeling and estimating import demand.

Suggested Citation

  • Faini, Riccardo & Pritchett, Lant & Clavijo, Fernando, 1988. "Import demand in developing countries," Policy Research Working Paper Series 122, The World Bank.
    • Handle: RePEc:wbk:wbrwps:122
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    Citations

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    Cited by:

    1. Amelia U Santos-Paulino, 2006. "Trade liberalisation and trade performance in the Dominican Republic," Journal of International Development, John Wiley & Sons, Ltd., vol. 18(7), pages 925-944.
    2. Pavel Kadochnikov, 2006. "An Analysis of Import Substitution in Russia after the 1998 Crisis," Research Paper Series, Gaidar Institute for Economic Policy, issue 95, pages 148-148.
    3. Yoichi Matsubayashi & Shigeyuki Hamori, 2009. "Empirical analysis of import demand behavior of least developed countries," Economics Bulletin, AccessEcon, vol. 29(2), pages 1443-1458.
    4. Santos-Paulino, Amelia U., 2002. "The Effects of Trade Liberalization on Imports in Selected Developing Countries," World Development, Elsevier, vol. 30(6), pages 959-974, June.
    5. Devarajan, Shantayanan & Go, Delfin S. & Hongyi Li, 1999. "Quantifying the fiscal effects of trade reform," Policy Research Working Paper Series 2162, The World Bank.
    6. Thomas Fullerton & W. Sawyer & Richard Sprinkle, 1999. "Latin American trade elasticities," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 23(2), pages 143-156, June.
    7. Garcimartin, Carlos & Kvedaras, Virmantas & Rivas, Luis, 2016. "Business cycles in a balance-of-payments constrained growth framework," Economic Modelling, Elsevier, vol. 57(C), pages 120-132.
    8. Arslan Razmi, 2005. "Balance of Payments Constrained Growth Model: The Case of India," UMASS Amherst Economics Working Papers 2005-05, University of Massachusetts Amherst, Department of Economics.
    9. Augustine Arize & John Malindretos & Elias Grivoyannis, 2004. "Foreign exchange reserves and import demand in a developing economy: the case of Pakistan," International Economic Journal, Taylor & Francis Journals, vol. 18(2), pages 259-274.
    10. Pritchett, Lant, 1996. "Measuring outward orientation in LDCs: Can it be done?," Journal of Development Economics, Elsevier, vol. 49(2), pages 307-335, May.
    11. Angelos A. Antzoulatos & Simone Peart, 1998. "Import demand under a foreign exchange constraint," Research Paper 9810, Federal Reserve Bank of New York.

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