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Export performance of developing countries under the Africa Growth and Opportunity Act

Author

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  • Belay Seyoum

Abstract

Purpose - The purpose of this study is to assess the implications of US trade preferences under the African Growth and Opportunity Act (AGOA) and its impact on beneficiary country exports. Design/methodology/approach - The approach is to use Wilcoxon signed rank test and time series regression analysis using ARIMA. Findings - The results largely indicate that AGOA has a positive but not significant effect on beneficiary exports to the USA for all country groups. Its effect is also quite marginal on sectoral exports except for textiles and apparel. Similarly, AGOA's effect is positive but not significant for all major exporters except Lesotho. Originality/value - A proper understanding of this relationship will help donors and recipients devise appropriate policies to help encourage the growth and diversification of exports that is so vital for developing countries.

Suggested Citation

  • Belay Seyoum, 2007. "Export performance of developing countries under the Africa Growth and Opportunity Act," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 34(6), pages 515-533, November.
    • Handle: RePEc:eme:jespps:v:34:y:2007:i:6:p:515-533
    DOI: 10.1108/01443580710830970
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    Citations

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    Cited by:

    1. Lawrence Edwards & Robert Z. Lawrence, 2014. "AGOA Rules: The Intended and Unintended Consequences of Special Fabric Provisions," NBER Chapters, in: African Successes, Volume III: Modernization and Development, pages 343-393, National Bureau of Economic Research, Inc.
    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. Mohsen Bahmani-Oskooee & Jehanzeb Cheema, 2009. "Short-Run And Long-Run Effects Of Currency Depreciation On The Bilateral Trade Balance Between Pakistan And Her Major Trading Partners," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 34(1), pages 19-41, June.
    5. 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.
    6. 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.
    7. Cooke, Edgar F. A., 2012. "Is the impact of AGOA heterogeneous?," MPRA Paper 43277, University Library of Munich, Germany.
    8. Adagblenya, Barbara Dzidzornu, 2017. "Assessing Ghana’s trade under the African Growth and Opportunity Act (AGOA)," MPRA Paper 84255, University Library of Munich, Germany.

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