Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5087498 | Journal of Asian Economics | 2010 | 9 Pages |
Abstract
This paper investigates the factors affecting the demand for ASEAN's labor-intensive exports. Results obtained using a panel data set including exports to 25 countries indicate that an appreciation in ASEAN countries would substantially reduce exports of clothing, furniture, and footwear. In addition, an increase in foreign income and an appreciation among competitors would raise ASEAN's exports. These results indicate that profit margins for labor-intensive manufactures are thin and that slow growth abroad will curtail ASEAN's exports. These findings imply that policymakers should seek to promote domestic and regional demand, expand the technological base, and consider exchange rate coordination to mitigate “beggar-thy-neighbor” policies.
Keywords
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Willem Thorbecke,