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Who Has Benefitted from Malaysia-Pakistan Free Trade Agreement? An Industry Level Analysis

Author

Listed:
  • Bahmani-Oskooee, Mohsen

    (University of Wisconsin-Milwaukee, United States)

  • Aftab, Muhammad

    (COMSATS University Islamabad, Pakistan)

Abstract

A Free Trade Agreement between Malaysia and Pakistan, formally known as Closer Economic Partnership Agreement (MPCEPA) took place in 2007. We analyze the trade flows of 31 industries that trade between the two countries in order to identify industries that benefit from the agreement in Pakistan and those that benefit in Malaysia. Combining the results from estimating the linear and nonlinear trade balance models for each industry, we find significant evidence of relatively more industries benefitting from the agreement in Pakistan.

Suggested Citation

  • Bahmani-Oskooee, Mohsen & Aftab, Muhammad, 2022. "Who Has Benefitted from Malaysia-Pakistan Free Trade Agreement? An Industry Level Analysis," Journal of Economic Development, The Economic Research Institute, Chung-Ang University, vol. 47(2), pages 20-38, June.
    • Handle: RePEc:ris:jecdev:0015
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    References listed on IDEAS

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    Cited by:

    1. Muhammad Aftab & Mohsen Bahmani-Oskooee & Huseyin Karamelikli, 2023. "Do currency manipulations hurt US bilateral trade balance?," Eurasian Economic Review, Springer;Eurasia Business and Economics Society, vol. 13(1), pages 127-144, March.

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    More about this item

    Keywords

    Free Trade Agreement; Malaysia; Pakistan; 31 Industries;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F31 - International Economics - - International Finance - - - Foreign Exchange

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