IDEAS home Printed from https://ideas.repec.org/p/ris/irtiwp/1437_004.html
   My bibliography  Save this paper

Growth Volatility and Export Diversity in OIC Countries

Author

Listed:
  • Ali, Salman Syed

    () (The Islamic Research and Teaching Institute (IRTI))

Abstract

While exports contribute to economic growth through expanding the market, a narrow export base can increase the volatility of this growth. Many OIC member countries face the problem of low diversity of exports. This paper measures the impact of export diversity on the volatility of growth in the OIC member countries using a new data set of trade flows at 4-digit STIC level issued by IMF. It finds that one standard deviation increase in export diversity reduces the volatility of GDP growth by about 17.2 percent for the OIC countries. In the group of less-developed countries and in the group of oil-exporting countries, the intensive margin of diversification is more important than extensive margin diversification for stability of growth.

Suggested Citation

  • Ali, Salman Syed, 2016. "Growth Volatility and Export Diversity in OIC Countries," Working Papers 1437-4, The Islamic Research and Teaching Institute (IRTI).
  • Handle: RePEc:ris:irtiwp:1437_004
    as

    Download full text from publisher

    File URL: http://www.irti.org/English/Research/Documents/WP/WP-1437-04.pdf
    File Function: Full text
    Download Restriction: no

    References listed on IDEAS

    as
    1. Mona Haddad & Jamus Jerome Lim & Cosimo Pancaro & Christian Saborowski, 2013. "Trade openness reduces growth volatility when countries are well diversified," Canadian Journal of Economics, Canadian Economics Association, vol. 46(2), pages 765-790, May.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Export Diversification; GDP Volatility; Growth; OIC Countries;

    JEL classification:

    • F41 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Open Economy Macroeconomics
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:irtiwp:1437_004. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Research Division). General contact details of provider: http://edirc.repec.org/data/irisbsa.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.