Trade intensity, net export, and economic growth

Pak Hung MO*

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

4 Citations (Scopus)

Abstract

Many studies suggest the positive causal effects of trade on productivity and growth. However, controversies are still prevalent among vast empirical studies on the issue. In this paper, I propose a standard empirical framework for investigating GDP growth and apply the framework to estimate the growth effects and transmission channels of per capita trade. Based on prior information, theoretical reasoning, and various empirical evidences, I conclude that international trade has positive independent effects on economic performance. A 1% increase in per capita trade raises the equilibrium GDP growth by 0.29%.

Original languageEnglish
Pages (from-to)563-576
Number of pages14
JournalReview of Development Economics
Volume14
Issue number3
DOIs
Publication statusPublished - Aug 2010

Scopus Subject Areas

  • Geography, Planning and Development
  • Development

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