The Determinants Of Aggregate Import Demand In Brunei Darussalam: An Empirical Assessment Using A Cointegration And Error Correction Approach
This article examines the determinants of aggregate import demand in Brunei Darussalam within a cointegration and error correction framework using the bounds test for cointegration. In addition to the real effective exchange rate and real GDP, in alternative specifications we examine the effect of population growth and world petroleum prices on import demand in Brunei Darussalam. We find that in both the long-run and short-run aggregate imports are inelastic with respect to income and world petroleum prices, but are price-elastic and elastic with respect to population.
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Volume (Year): 50 (2005)
Issue (Month): 02 ()
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