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The Effect of Infrastructure and Logistics Performance on Economic Performance: The Mediation Role of International Trade

Author

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  • Alassane D. Yeo
  • Aimin Deng
  • Todine Y. Nadiedjoa

Abstract

This paper evaluates the effect of infrastructure and logistics performance on economic performance. In addition, the mediating role of international trade on the relationship between infrastructure and economic performance, and logistics performance and economic performance, respectively. Generalized Structured Component Analysis (GSCA) was proposed as a Component-Based Approach to Structural Equation Modeling (SEM) to test several hypotheses regarding the interaction of the latent variable. Furthermore, the mediation analysis using regression was performed. Based on data from middle income selected countries, the hypothesis about the mediation role of international trade was partially supported. Our results also suggest that infrastructure and logistics performance improvements may enhance middle-income countries sustainable growth with increasing international trade volume. JEL: F43, L90, P33

Suggested Citation

  • Alassane D. Yeo & Aimin Deng & Todine Y. Nadiedjoa, 2020. "The Effect of Infrastructure and Logistics Performance on Economic Performance: The Mediation Role of International Trade," Foreign Trade Review, , vol. 55(4), pages 450-465, November.
    • Handle: RePEc:sae:fortra:v:55:y:2020:i:4:p:450-465
    DOI: 10.1177/0015732520947676
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    References listed on IDEAS

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    Cited by:

    1. Sénquiz-Díaz Cynthia, 2021. "Effect Size of Logistics: Evidence from Selected Countries," LOGI – Scientific Journal on Transport and Logistics, Sciendo, vol. 12(1), pages 123-134, January.

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    More about this item

    Keywords

    Infrastructure; logistics performance; international trade; economic growth; international trade; GSCA; SEM; mediation analysis;
    All these keywords.

    JEL classification:

    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • L90 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - General
    • P33 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - International Trade, Finance, Investment, Relations, and Aid

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