Surge In Exports Research Articles

Comprehensive Analysis of Production and Import Dependency of Pulses in India

Background: The multifaceted importance of pulses in India’s agricultural landscape is explored along with its implications particularly the surge in pulse exports to regions such as the Middle East, Southeast Asia and Africa. By highlighting India’s pivotal role as a global pulse producer and exporter, shedding light on its impact on foreign exchange earnings, employment generation, comprehensive analysis and overall economic growth is attempted. Two key objectives, relating to pulse production, import and export trends, the direction of pulse trade from India to major importing countries, through Markov Chain Analysis, market dynamics are uncovered. Methods: The data on pulses production and export in terms of quantity and value in India were collected from secondary sources. Result: Pulse production remained relatively stable with moderate variability, exports experienced significant fluctuations, particularly in pulse quantities and values. Compound Annual Growth Rate (CAGR) analysis confirms consistent production growth, with pulses showing positive CAGR figures. Impact of interaction between area and yield was significant as compared to area and yield independently. Pulse exports saw steady growth in both quantity and value. Further, The Markov chain analysis underscored Pakistan’s stability as a primary export destination, while Bangladesh, the UAE and others exhibited varying degrees of export retention probabilities. Overall, the data reflects a stable domestic production environment and an increasingly dynamic international pulse export market for India.

Targeted Liberalization: China's foreign investment regulation reform and its post‐WTO‐accession export surge

AbstractTo gain membership in the World Trade Organization (WTO) in 2001, China substantially modified its regulation of foreign direct investment. These reforms coincided with rapid changes in the composition of capital inflows, as the dominant entry mode shifted from joint venture to wholly foreign owned affiliate. Foreign‐invested enterprises contributed a rising share of China's rapidly growing exports. We investigate how much China's foreign ownership liberalization contributed to these observed trends in foreign investment flows and Chinese exports. Accounting for both the set of activities from which it removed foreign equity caps and those into which it newly encouraged investment, we estimate the impact of China's reforms on firm entry and exports using a difference‐in‐differences estimator. To eliminate bias resulting from heterogeneous and dynamic treatment effects, we also apply novel dynamic difference‐in‐differences estimators. We find that removal of foreign equity caps induced entry of wholly foreign owned firms, while having no significant effect on entry of new joint ventures. Concurrently, the designation of new activities for investment incentives induced foreign entry, particularly in the form of joint ventures. Reduced‐form calculations imply that FDI policy changes explain almost 9% of the increase in exports from foreign‐invested firms over the decade studied. The effect was larger in sectors identified as “high‐tech industries” by the Chinese government, as they contribute most of the estimated policy‐driven export growth from foreign‐invested firms. Thus, China's FDI regulation reform following WTO entry was targeted liberalization: elimination of equity share limits induced new foreign entry, while investment incentives encouraged formation of joint ventures.

Exploring the nexus between economic growth and economic performance in Nepal

This study aims to explore the relationship between economic growth and performance in Nepal, identifying key drivers for growth. Studying the nexus between economic growth and economic performance in Nepal is crucial for understanding how these factors interact within the nation’s specific context. Growth of gross domestic product (GDP) is represented as the primary indicator for evaluating economic performance, reflecting the overall well-being of a nation's economy. Economic performance encompasses a broader spectrum, including indicators such as employment rate, inflation, income distribution and overall economic stability. Using E-Views 10, a descriptive and analytical research approach has been applied to analyze time series secondary data from 1990–2021 using an econometric model. This study found that faster-growing economies typically experience increased jobs, higher investment, more exports, and often lower inflation. These relationships are part of a long-run equilibrium relationship. In the event of an economic shock disrupting this equilibrium, the economy tends to naturally return to the equilibrium over time. This study found that short-term causality running from lagged GDP, gross capital formation (GCF), exports, human development index (HDI), and employment ratio influence immediate GDP growth. These variables wield a short-term influence over GDP growth; for instance, a sudden surge in exports can prompt a temporary boost in economic growth. This indicates that there is a long-term sustained link between GDP growth and the independent variables rather than merely a short-term event.

Real exchange rate and export surge episodes: What sectors take advantage of the real exchange rate stimulus?

What are the main characteristics of sectors that take advantage of the real exchange rate stimulus after a large and long-lasting devaluation? We aim to answer this question by analyzing the development of export sectors in Argentina during 2003–2008, after the crisis and large devaluation of 2002. This six-year period shows the highest number of sectors with export surge episodes from 1980 to 2015. We find, first, that the probability of export surge episodes increased 2.5% by each standard deviation of the higher labor intensity index during the large and long-lasting devaluation period because non-tradable costs prevail in their production function. Second, we show that export surges are more likely to occur in sectors related to already competitive sectors (mainly upstream sectors). Finally, the new export volumes in those sectors show persistent dynamics despite the end of the period of currency competitiveness, a signal of trade hysteresis.

Exposure or pandemic effect: Export boom in instant noodles from South Korea during COVID-19.

Amid the pandemic, it is crucial to comprehend both people's preferred food choices and the factors influencing food consumption. This understanding not only guarantees a stable food supply but also plays a pivotal role in economic recovery during times of recession. In 2020, South Korean instant noodles experienced an unprecedented surge in exports, catapulting the nation to the forefront of the global instant noodle market. The surge in the popularity of instant noodles during the pandemic can be partly attributed to their unique characteristics. However, the South Korean film Parasite, which garnered global acclaim around the same time, prominently featured instant noodle products. This exposure led to an extraordinary increase in internet searches for Korean-brand instant noodles. Therefore, this study utilized an interrupted time series model to investigate whether the surge in South Korean instant noodle exports was primarily a result of the 2019 coronavirus pandemic or the influence of the film. Our estimations indicate that the film's exposure effect predominantly explains the export boom of South Korean instant noodles.

The impact of manufacturing exports on food poverty reduction in South Africa

As South Africa struggles to deal with many of its socio-economic challenges including poverty, this paper was interested to empirically unpack how trade specifically manufacturing exports are contributing towards poverty reduction. The paper was motivated by the decent surge in exports especially in the manufacturing sector whilst on the other side, poverty levels increased. The paper employed time series data spanning 1990-2020 in a Vector Error Correction Model (VECM). The food poverty line index was used as the dependent variable, and it was found that exports from the manufacturing sector were significant in explaining food poverty reduction for South Africa. Further, economic growth and the human development index (HDI) were found to have poverty reducing effects in the long run. Interestingly, we found foreign direct investment increasing food poverty in South Africa in the long-run but reducing it in the short-run. Policy recommendations arising from our results are that South African authorities should consider pursuing more export led growth policies especially in industries that can absorb labour from those with little or no skills. Also, foreign direct investment should be encouraged in sectors that are not labour substitutive so that more inflows can lead to reduced food poverty through job creation in the long run.

Migration, tariffs, and China's export surge

We build a multi-sector spatial general equilibrium model that features heterogeneous firms' and workers' location choices to account for China's export surge between 1990 and 2005 using three policy changes: China's import tariffs, tariffs imposed against China's exports, and barriers to internal migration in China. We find that tariff and migration policies jointly accounted for 30% of China's export growth. We also find evidence that suggests a positive interaction effect of tariff and migration policies. As migration reform prepared the country to become more export oriented, China enjoyed faster export growth after opening to trade than it would have otherwise.

From Sticks to Carrots: China's Foreign Investment Regulation Reform and its Post-Wto-Accession Export Surge

From Sticks to Carrots: China's Foreign Investment Regulation Reform and its Post-Wto-Accession Export Surge

Reckoning with the barriers to Lean implementation in Northern Indian SMEs using the AHP-TOPSIS approach

PurposeThe purpose of this study is to recognize critical barriers for Lean manufacturing practices implementation in small and medium enterprises (SMEs) focusing in the context of a developing economy. The advancement of SMEs is of utmost important for a surge in exports while competing with other countries and these barriers have to be given due importance as they play a major role in stalling the overall development of SMEs.Design/methodology/approachIn this present investigation, 26 barriers to Lean implementation in SMEs have been identified after an extensive study of the literature available on the subject. After that, the influential barriers were investigated through the Analytical hierarchy process-Technique of order preference by similarity to ideal solution (AHP-TOPSIS) method using priority weightage given to them by different experts in their industries. The ranking given to the barriers is based on the AHP-TOPSIS method and has been validated by the sensitivity analysis.FindingsThe investigation reveals that for the successful implementation of Lean manufacturing practices, the will of the management, individual will power and contribution of the people matter a lot apart from other barriers such as flexibility, expertise of the people, resources and resistance offered by the people to new programs. The solutions for overcoming these barriers are also provided in this study and a model has been suggested for the same.Research limitations/implicationsThis work was devoted to the evaluation of obstacles in the introduction of Lean practices and prioritizing them. But it was limited to the medium- and small-scale organizations located in Northern India. Further studies can expand the scope to the large-scale units in the field. Moreover, the scope of this study was confined to the manufacturing sector. Future studies can extend it to the non-manufacturing environments such as the service sector, health care, etc. This investigation was based on the judgments of industry experts and academicians. Another approach such as Viekriterijumsko kompromisno rangiranje can be used for future investigations.Originality/valueThis study is significant when keeping in mind the contribution of SMEs to a country’s economy, especially in the Indian context.

From hermit kingdom to miracle on the Han: Policy decisions that transformed South Korea into an export powerhouse

In 1960, South Korea’s exports were about 1 percent of GDP, and the country’s ability to import depended almost entirely on US aid. After changing its foreign exchange and trade policies in the mid-1960s, Korea saw a surge in exports to more than 10 percent of GDP by the end of the decade. What factors account for the shift in policy that enabled this dramatic export growth to occur? The United States helped initiate the process by withholding financial assistance, pressuring Korea to devalue its currency and reform its foreign exchange regime. Initially, the Korean government resisted taking these steps, but in 1964 it became firmly committed to an export promotion strategy to boost foreign exchange earnings and end its dependence on American aid.

Foreign Direct Investment, Exports and Long-term Economic Growth in Alabama: A Co-integration Analysis

This article provides a state-specific co-integration study by linking exports and foreign direct investment (FDI) to economic growth in Alabama. The study aims to determine how much of Alabama’s economic growth is driven by exports. Mercedes-Benz and its announcement of a US$600 million investment in 1993 started a surge of FDI and exports never seen before in the state accelerating its long-run economic growth path. Twenty years later, Mercedes-Benz has invested over US$4.5 billion and can produce 300,000 vehicles per year. This study analyses the importance of exports and FDI in the Alabama economy and establishes significant evidence of the positive relationship between Total Gross Domestic Product for Alabama (ALNGSP) and its exports from 1999 to 2017, whereas it does not find a statistically significant impact of the FDI on Alabama’s growth. We conclude that Alabama needs to focus on three main policies to continue its economic success. First, it needs to continue to attract FDI in these sectors to build a vast supplier network. Second, Alabama must allocate new investments in infrastructure and finally, it needs to continue to be a friendly state to businesses, providing skilled labour, low corporate taxes and less bureaucracy.JEL: C82, L62, O51

A Literature Review of e-Commerce Exports of Korean SMEs

Purpose - This study was conducted to suggest government’s support measures for increasing e-commerce trade with the results of analyzing the difficulties and problems arising in relation to customs clearance and logistics when engaging in e-commerce exports. Design/methodology/approach - Based on a literature review, this study focused on overseas direct sales by e-commerce in which Korean companies sell products directly to local consumers in overseas online shopping malls (open markets). Findings - The recent spread of social media, such as Facebook and YouTube, has led to a significant increase in cross-border e-commerce through overseas open markets such as Amazon, eBay and Alibaba, which has drastically changed the paradigm of traditional trade. Despite the Korean SMEs’s recent surge in e-commerce exports, their share of the total exports still remains low. Currently, because e-commerce is used as an important conduit for advancing into overseas markets, the government’s active support efforts are required to drastically expand e-commerce exports. Research implications or Originality - The study found that expanding e-commerce exports requires various government support efforts, such as establishing a system to support e-commerce exports tailored to small businesses, building a system to provide high-quality overseas market and export statistical information, strengthening specialized education related to e-commerce exports, establishing an export customs system that is convenient to use, reducing logistics storage and delivery costs, simplifying tax refund and return procedures, and eliminating import customs clearance delays for importers.

China Syndrome Redux: New Results on Global Labor Reallocation

Trade between the U.S. and China is widely thought to have contributed significantly to the decline in U.S. manufacturing employment --- sometimes called the China Syndrome. Flipping the point of view, we examine the impact on China of the trade growth between 2000 and 2007: We divide China into prefecture-level cities and construct measures of export exposure based on a city's initial industry specialization and instrument China's export surge using the reduction in trade policy uncertainty. Rising exports do not contribute to any growth of industrial wage or labor productivity on average, but instead channel agricultural, unemployed, and non-participating workers into the industrial labor market and cause rural-urban migration. In our main specification, the loss of one U.S. manufacturing job is associated with eight new Chinese manufacturing jobs through China - U.S. trade links.

Impact of the Presence of Embassies on Trade: Evidence from Turkey

AbstractThis paper analyzes the impact of the presence of foreign missions on trade using Turkey's unique expansion in its foreign embassy network (39 new embassies in 8 years) as the source of variation in a panel data setting. A majority of the existing empirical studies use cross-sectional bilateral trade data due to lack of variation over time (Rose, 2007; Moons and Bergeijk, 2013). Employing a panel data analysis, this paper is able to address the endogeneity issues that are associated with a standard cross-sectional analysis. The dependent variable in the paper is the trade between Turkey and 190 countries for 2006 to 2016. The results indicate that presence of an embassy increases export value by 30% and this increase comes mainly from the volume effect. Categorizing goods by the Rauch (1999) classification shows that the increase in differentiated goods exports is the main driver of the export surge. The number of exporting firms increases by about 8%. There is no statistically significant impact on the exports of homogeneous goods. Replication of the analysis for imports suggests no impact on imports.

Did divine wind rescue Japan out of the lost decade?

Strong external demand and micro-level productivity-enhancing efforts are key determinants of export. This study gives empirical evidence on the relative importance of these two factors in generating exports. Specifically we investigate Japanese export growth in the 2000s that helped Japan exit the severe decade-long stagnation known as the lost decade. Estimating the firm-level export function, we uncover quantitatively the source of the export surge during this period. Evidence shows that firms’ efforts to enhance productivity were more important than the so-called “divine wind” or exogenous external demand.

Factors Elucidation of the Export Surge of Korean Paprika to Japan

Factors Elucidation of the Export Surge of Korean Paprika to Japan

Impact of Global Recession on Selected OECD Countries: A Panel Data Analysis

1. Introduction In this study, firstly it is assessed occurrence of the crisis that began in last quarter of 2008 in USA housing market. Later it was focused on measures taken by Southern Europe Welfare States which are Turkey, Spain, Portugal, Italy and Greece over the period after crisis. The crisis raised the uncertainty in world economy and caused unsteadiness at first financial markets later real markets. The crisis that started in the finance markets has taken the reel markets under effect with time. The recession started in developed countries has affected the developing countries which are already in critical levels. While the global developments were regressing, the countries were in consensus to take precautions together to struggle with the crisis in the world economy. Turkey was affected from the crisis as many other developing and developed countries had been affected. We will firstly deal with the appearance and enlargement process of the crisis in the world, before we evaluate the effects of the crisis on Turkey. In this process Turkey took the packages as many other countries applied attention. Global recession in Turkey created negative impacts on mainly production concerning consumption, employment and investment. After the crisis, because of the recession and of TL's excessive valuableness in the amount of the speculative foreign capital income decreased, therefore total demand reduced and a big fall in importation was seen. 2. The global crisis and its effects on investment and unemployment in USA and Southern Europe welfare states According to Fink (1986), Kash and Darling (1998), a crisis is referred to as an unplanned event emerging from the internal or external environment of an organization or country which can disrupt operations, threaten people physically and mentally, endanger the viability of entities no longer able to cope with the situation using normal managerial procedures. The current global crisis originated in the USA financial market has been expanded in the EU from the beginning (Thalassinos, 2008; Thalassinos and Politis, 2011). Since this is the centre of a network that interlinks the national financial systems of almost all countries in the world, the crisis was spread very quickly. According to Mishkin (2008), the current global financial crisis has many aspects in common with past global financial crises that have occurred throughout history. The current financial crisis has had three fundamental factors as in many previous crises. The first one is mismanagement of financial innovation, second one is an asset price bubble that burst, and third one is deterioration of financial institution balance sheets. World-shaking events market capitalism quietly and shifted much of the discredited central planning that was so dominant in the Third World. China which is a large segment of the erstwhile Third World replicated the wonderful economic export-oriented model and this so-called model is Asian Tigers. Besides this, thanks to China fairly well educated, low-cost workforces were joined with developed-world technology. It was protected by an increasing rule of law, so as to release explosive economic growth. So, real GDP growth of the developing world has been more than double since 2000. Along with surge in competitive and low-priced exports from developing countries, particularly those to Europe and the U.S. flattened labor compensation in developed countries, and attenuated the rate of inflation expectations throughout the world by including those inflation expectations embedded in global long-term interest rates. Furthermore, there has been a significant decrease in global real interest rates which affect the all financial markets since beginning of the 1990. So this indicated that global saving intentions constantly had exceeded intentions to invest. Rate of consumption clearly could not keep up with the surge of income in the developing world and as a result, savings rate of the developed world increased from 24% of nominal GDP in 1999 to 33% in 2006 and the savings rate of the developed world went faster than its investment rate (Greenspan, 2007). …

NAFTA’S uninvited guest: China and the disintegration of North American trade

This paper examines the extent to which China's entry into the World Trade Organization (WTO) in 2001 and subsequent surge in global exports affected the composition of trade between the United States and Mexico through 2009. The authors found that China's entry had a significant impact on the trade relations between these two North American countries, replacing and displacing many of the export strongholds in place before China joined the WTO and after the first stage of the North American Free Trade Agreement (NAFTA) (1994-2000). Based on this research, the authors offer a variety of policy options for reinvigorating United States- Mexico trade and cooperating with China in the global economy.

An alternative explanation of India's growth transition: a demand-side hypothesis

This paper formalises the balance-of-payments-constrained (BPC) growth model in a two-regime framework to re-examine India’s growth transition in 1980 from a demand-side perspective, as an alternative to the ‘supply-oriented’ approaches of previous studies. The results provide strong evidence of a demand-led growth transition. Although the government-led expenditure strategy of the 1980s fulfilled the role of moving the Indian economy out of its slow-growing demand regime (1952– 79) into a faster-growing one, it could not sustain demand growth at the natural rate due to a balance-of-payments constraint. Consistent with the prediction of the BPC growth model, faster export growth in the post-1990 liberalisation period sustained demand growth at its maximum rate by allowing expenditure (including government spending) to grow at a fast rate. The analysis further suggests that India’s export surge in the post-1990 liberalisation period has a significant demand-side explanation, rather than an exclusively supply-side interpretation.

Trade as an engine of creative destruction: Mexican experience with Chinese competition

This paper exploits the surge in Chinese exports from 1994 to 2004 to evaluate the effects of a competition shock from a low wage competitor for producers in an important middle-income country, Mexico. We find that this shock causes selection and reallocation at both firm and product levels and that its impact is highly heterogeneous at the intensive and extensive margins. Sales of smaller plants and more marginal products are compressed and are more likely to cease, whereas those of larger plants and core products seem relatively impervious to the shock. This implies a reallocation in terms of market shares within firms and between firms. We also show that the impact of expanded access to cheaper Chinese intermediate inputs has a similar effect, with larger plants benefiting more from the availability of cheaper imported inputs.