Terms-of-trade and trade balance : Some empirical evidence of Asian economies

Wong, Hock Tsen (2009) Terms-of-trade and trade balance : Some empirical evidence of Asian economies. International Trade Journal, 23 (4). pp. 422-457. ISSN 0885-3908


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This study examines the impact of terms-of-trade and oil price on trade balance in Asian economies. Generally, the results of the normalized cointegrating vectors show that the impact of terms-of-trade on trade balance is different across economies. An increase in oil price or permanent oil price will lead to a decrease in terms-of-trade while the impact of an increase in temporary oil price on terms-of-trade is ambiguous. Generally, terms-of-trade, domestic demand, foreign demand, and oil price (permanent oil price, temporary oil price) are important in the determination of trade balance in the short run and long run.

Item Type: Article
Uncontrolled Keywords: Trade balance, Some empirical evidence, Asian economies
Subjects: H Social Sciences > HF Commerce > HF1-6182 Commerce > HF1014 Balance of trade
Divisions: SCHOOL > School of Business and Economics
Depositing User: ADMIN ADMIN
Date Deposited: 30 Mar 2011 14:07
Last Modified: 13 Oct 2017 11:21
URI: http://eprints.ums.edu.my/id/eprint/2599

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