Trade liberalization and lagged reactions of trade flows, productivity and internal demand: an application to the Australian PMV industry

Elias Sanidas and Kankesu Jayanthakumaran

Journal of the Asia Pacific Economy, 2008, vol. 13, issue 1, 26-49

Abstract: A literature review regarding the consequences of trade liberalization on trade flows, productivity and internal demand has led us to consider a simple operational model of how to measure these consequences. This model is applied to the passenger motor vehicle (PMV) industry in Australia. There is clear evidence that this liberalization has increased the volume of trade and productivity, but reduced the locally produced cars for internal consumption. In addition, there are significant estimated lags concerning the reaction of these variables as a consequence of trade liberalization. Econometrically, this paper is an application of the bounds-testing procedure based on the Autoregressive Distributed Lag (ARDL) approach to cointegration.

Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://hdl.handle.net/10.1080/13547860701731820 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:rjapxx:v:13:y:2008:i:1:p:26-49

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/rjap20

DOI: 10.1080/13547860701731820

Access Statistics for this article

Journal of the Asia Pacific Economy is currently edited by Leong Liew

More articles in Journal of the Asia Pacific Economy from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().