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Impacts of ecosystem vitality on ASEAN’s agricultural exports: A System Generalized Method of Moments approach

Author

Listed:
  • Nguyen Khanh Doanh
  • Nguyen Ngoc Quynh

    (Thai Nguyen University, Vietnam)

  • Yoon Heo

    (Sogang University, Korea)

Abstract

This study examined the impact of the Association of Southeast Asian Nations (ASEAN)’s ecosystem vitality (EV) on its agricultural exports to the rest of the world. Using a sample of the six major ASEAN countries (ASEAN-6) (including Indonesia, Malaysia, Philippines, Singapore, Thailand, and Vietnam) and their 72 trading partners for the period 2007–2016, we found robust evidence of a positive relationship between the quality of EV and the volume of agricultural exports. At the sectoral level, the quality of EV had the most substantial effects on the ASEAN’s exports of SITC-0 (food and live animals) and exerted the least impact on the ASEAN’s exports of SITC-2 (crude materials, inedible, except fuels). This empirical evidence implies that natural resource-intensive products are more sensitive to the quality of EV. At the country level, EV has the most potent effect on the ASEAN’s agricultural exports to high-income countries and the least impact on the ASEAN’s agricultural exports to low-income countries. To promote agricultural exports, especially to high-income countries, our empirical results suggest that ASEAN countries need to build specific and effective plans for conservation of environment and management of sustainable ecosystems. JEL Classification: C33, F14, and Q56

Suggested Citation

  • Nguyen Khanh Doanh & Nguyen Ngoc Quynh & Yoon Heo, 2020. "Impacts of ecosystem vitality on ASEAN’s agricultural exports: A System Generalized Method of Moments approach," International Area Studies Review, Center for International Area Studies, Hankuk University of Foreign Studies, vol. 23(4), pages 335-351, December.
    • Handle: RePEc:sae:intare:v:23:y:2020:i:4:p:335-351
    DOI: 10.1177/2233865920957209
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    Keywords

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    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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