Trade responses during crises: Evidence from selected Asian economies

Hsiao Chink Tang

Journal of the Asia Pacific Economy, 2015, vol. 20, issue 4, 577-593

Abstract: This paper investigates why imports tend to fall more than exports in 11 Asian economies, especially during crises, via a standard import specification augmented with differential and time-varying impacts of each component of aggregate demand. The result shows the import intensity of exports is the highest among all variables. Alone, however, it does not contribute to a larger fall in imports. The larger decline in imports is evident if other components of aggregate demand also fall, particularly investment and consumption. A weakened credit condition will also exacerbate the fall in imports. In crisis periods more nuanced results are evident. Fiscal contractions seemed to have worsened the fall in imports during the 1997/1998 Asian financial crisis, exacerbated further by the fall in exports. Business and consumer sentiment seem to have a lagged positive impact during the global financial crisis.

Date: 2015
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/13547860.2014.970603 (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:20:y:2015:i:4:p:577-593

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

DOI: 10.1080/13547860.2014.970603

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 ().