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The Effects of Trade Liberalisation on Imports in Selected Developing Countries

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  • Amelia U. Santos-Paulino

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Abstract

This paper analyses the impact of the reduction of tariff and non-tariff barriers on the imports of selected developing countries, utilising dynamic panel data techniques. Domestic income and relative prices are found to be significant determinants of import growth. Additionally, the results indicate that import duties reduce import growth, but the effect varies according to the region and the type of trade policy regime existing in the country. The results also show that the elimination of trade policy distortions has a strong, positive impact on import growth. Lastly, it is found that income and price elasticities are higher as a result of trade policy reform.

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File URL: ftp://ftp.ukc.ac.uk/pub/ejr/RePEc/ukc/ukcedp/0110.pdf
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Bibliographic Info

Paper provided by Department of Economics, University of Kent in its series Studies in Economics with number 0110.

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Date of creation: May 2001
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Handle: RePEc:ukc:ukcedp:0110

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Postal: Department of Economics, University of Kent at Canterbury, Canterbury, Kent, CT2 7NP
Phone: +44 (0)1227 764000
Fax: +44 (0)1227 827850
Web page: http://www.ukc.ac.uk/economics/

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Keywords: trade liberalisation; import growth; dynamic panel data; time series/cross section; developing countries;

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References

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Cited by:
  1. Efthymios Tsionas & Dimitris Christopoulos, 2004. "International Evidence on Import Demand," Empirica, Springer, vol. 31(1), pages 43-53, March.
  2. Fukumoto, Mayumi, 2012. "Estimation of China's disaggregate import demand functions," China Economic Review, Elsevier, vol. 23(2), pages 434-444.
  3. Yi Wu & Li Zeng, 2008. "The Impact of Trade Liberalizationon the Trade Balance in Developing Countries," IMF Working Papers 08/14, International Monetary Fund.
  4. Andrew Mold and Annalisa Prizzon, 2010. "Fragile States, Commodity Booms And Export Performance: An Analysis Of The Sub-Saharan African Case," EUI-RSCAS Working Papers 21, European University Institute (EUI), Robert Schuman Centre of Advanced Studies (RSCAS).
  5. Fengbao Yin & Shigeyuki Hamori, 2011. "Estimating the import demand function in the autoregressive distributed lag framework: The case of China," Economics Bulletin, AccessEcon, vol. 31(2), pages 1576-1591.
  6. Antonis Adam & Margarita Katsimi & Thomas Moutos, 2008. "Inequality and the Import Demand Function," CESifo Working Paper Series 2196, CESifo Group Munich.
  7. Chris Jones & Oliver Morrissey, . "Are Imports in Africa Responsive to Tariff Reductions?," Discussion Papers 08/02, University of Nottingham, CREDIT.
  8. Alexander Knobel, 2012. "Estimation of Import Demand Function in Russia," Working Papers 0054, Gaidar Institute for Economic Policy, revised 2013.
  9. Wang, Yi-Hsien & Lee, Jun-De, 2012. "Estimating the import demand function for China," Economic Modelling, Elsevier, vol. 29(6), pages 2591-2596.
  10. Vatthanamixay Chansomphou & Masaru Ichihashi, 2011. "The impact of trade openness on the incomes of four South East Asian countries before and after the Asian financial crisis," Economics Bulletin, AccessEcon, vol. 31(4), pages 2890-2902.
  11. Andrea Vaona, 2013. "Import demand and renewable energy generation in 26 countries," Working Papers 07/2013, University of Verona, Department of Economics.
  12. Jones, Chris & Morrissey, Oliver & Nelson, Doug, 2011. "Did the World Bank Drive Tariff Reforms in Eastern Africa?," World Development, Elsevier, vol. 39(3), pages 324-335, March.

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