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The Export Growth of Pakistan: A Decomposition Analysis

Author

Listed:
  • Azhar Mahmood

    (Pakistan Institute of Development Economics, Islamabad.)

  • Naeem Akhtar

    (Pakistan Institute of Development Economics, Islamabad.)

Abstract

The Constant Market Share Analysis of export growth is used here to capture the world trade effect, the commodity composition effect, the market distribution effect and the competitiveness effect for the periods: 1984-85–1988-89 and 1988-89–1992-93. The results show that Pakistan has maintained her export share in the world market. The market distribution and competitiveness of Pakistani exports have improved significantly between the two periods under study. However, the concentration of Pakistani exports into traditional commodities, whose world demand remained sluggish, has offset the positive contribution of effective market distribution and improved competitive strengths to a large extent. A restructuring of exports (from traditional to non-traditional), an increase in the variety of exports, search for new fast growing markets and an improvement in the economic and political environment are suggested to enhance the export growth of Pakistan in future.

Suggested Citation

  • Azhar Mahmood & Naeem Akhtar, 1996. "The Export Growth of Pakistan: A Decomposition Analysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 35(4), pages 693-702.
    • Handle: RePEc:pid:journl:v:35:y:1996:i:4:p:693-702
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    File URL: http://www.pide.org.pk/pdf/PDR/1996/Volume4/693-702.pdf
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    References listed on IDEAS

    as
    1. Richardson, J David, 1971. "Some Sensitivity Tests for a 'Constant-Market-Shares' Analysis of Export Growth," The Review of Economics and Statistics, MIT Press, vol. 53(3), pages 300-304, August.
    2. Ahmad Tariq & Qazi Najeeb, 1995. "Export Earnings Instability in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 34(4), pages 1181-1189.
    3. Zafar Mahmood, 1981. "Changes in Export Shares and Competitive Strength in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 20(4), pages 399-415.
    4. Richardson, J. David, 1971. "Constant-market-shares analysis of export growth," Journal of International Economics, Elsevier, vol. 1(2), pages 227-239, May.
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    Cited by:

    1. Junaid Ahmed, 2025. "Pakistan`s Dismal Export Performance: A Survey of Empirical Literature," PIDE-Working Papers 2025:10, Pakistan Institute of Development Economics.
    2. Tasew Tadesse & Jaswinder Singh Brar, 2016. "Sources of Ethiopia’s Export Growth: a Constant Market Shares Decomposition Analysis," Academic Journal of Economic Studies, Faculty of Finance, Banking and Accountancy Bucharest,"Dimitrie Cantemir" Christian University Bucharest, vol. 2(3), pages 74-95, September.
    3. United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) South and South-West (ed.), 2012. "Regional Cooperation for Inclusive and Sustainable Development: South and South-West Asia Development Report 2012-2013," SSWA Books and Research Reports, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) South and South-West Asia Office, number brr4, May.

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