Does e-commerce really matter on international trade of Asian countries: Evidence from panel data

Praveen Shanmugalingam, Ahashraaj Shanmuganeshan, Abinaya Manorajan, Mathusany Kugathasan and Geethma Yahani Pathirana

PLOS ONE, 2023, vol. 18, issue 4, 1-16

Abstract: Over the decades, technology has become an essential indicator to actively participate in the economic growth of nations. The usage of technology and e-commerce had created a new pathway to improve trade in Asian countries. This study seeks to verify the linkage between e-commerce and international trade. The annual data for panel data regression analysis were collected from the World Bank covering 38 Asian countries for 11 years, from 2010 to 2020. This study applied a set of estimation procedures such as descriptive statistic, correlation matrix, stationary test (Levin–Lin–Chu test, Breitung test, Augmented Dickey Fuller test, Harris–Tzavalis and Im–Pesaran–Shin test), Kao cointegration test, autocorrelation test and heteroskedasticity test. The two-step system Generalized Method of Moments (GMM) estimator was employed for dynamic panel data analysis. Empirical findings show that e-commerce significantly impacts the international trade of Asian countries. Governments of Asian countries should employ policies related to telecommunication technologies for e-commerce improvement and realize/ reap potential benefits from international trade.

Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:plo:pone00:0284503

DOI: 10.1371/journal.pone.0284503

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