Record Details

Trade Policy and “Natural” Barrier-Induced Incidence of Protection and Aggregate Demand for Imports: Evidence from Malawi

African Journal of Economic Policy

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Title Trade Policy and “Natural” Barrier-Induced Incidence of Protection and Aggregate Demand for Imports: Evidence from Malawi
 
Creator Zgovu, EK
 
Subject Trade policy; Trade barriers; Transport costs; Demand for imports; Incidence of protection
 
Description This study investigated the relative importance of trade policy and “natural” barrier-induced incidence of protection and its effects on trade for a  landlocked Sub-Saharan African economy. The results showed that policy-induced protection has diminished with trade reforms whilst non-policy-induced protection remained high mainly because of high transport costs. An import demand system estimated using Johansen cointegration technique showed that natural barriers-induced incidence of protection has had strong disincentive effects on importing. Thus, Malawi needed to diversify and increase investment in strategic transport infrastructure to reduce “natural” barrier-induced trade costs for improved trade competitiveness.Key words: Trade policy; Trade barriers; Transport costs; Demand for imports; Incidence of protection
 
Publisher Department of Economics, University of Ibadan
 
Contributor
 
Date 2014-01-21
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://www.ajol.info/index.php/ajep/article/view/99951
10.4314/ajep.v17i1.
 
Source African Journal of Economic Policy; Vol 17, No 1 (2010); 27-61
1116-4875
 
Language eng
 
Relation http://www.ajol.info/index.php/ajep/article/view/99951/89212
 
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