Non-Tariff Barriers and Their Effect on Export: Evidence from 5 Asean Countries
Journal Title: Journal of Economics, Finance and Management Studies - Year 2018, Vol 1, Issue 01
Abstract
Protection or trade restriction in a country comes at an economic cost to domestic consumers and short run benefit to producers of the country. Tariff and non-tariff barriers (NTBs) are government policies to protect domestic producers from foreign competition. Reduction or elimination of trade barriers will increase trade activities in an economy. This study used the autoregressive distributed lag (ARDL) approach to show that elimination of NTBs will increase export of 5 ASEAN members. Results indicate that Indonesia, Philippines, and Singapore enjoyed an increase in export by reduction in NTB level after implementation of AFTA. This implied that reduction in NTB level will promote export activities.
Authors and Affiliations
Lee Chin, AbdolazizYousefi
Keywords
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