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Estimation of Export Demand Function in Egypt
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Journal Article
Estimation of Export Demand Function in Egypt
2024
Overview
In emerging economies, exports play an important role in enhancing economic growth, sustaining development, and providing foreign exchange revenue. The study explores the determinants of exports in Egypt from 1980-2021. Considering the heterogeneity of exports, the paper disaggregates the types of exports into three major sub-components according to data availability. First, the study estimates the determinants of total exports and then focuses on identifying the determinants of merchandise exports. Finally, a separate function is estimated to identify the main factors of service exports. Key empirical findings are consistent with the results of previous studies, especially about the positive and significant relationship between exports and world GDP, real domestic GDP, and the trade partnership agreement with the EU. However, a negative and significant relationship between the real effective exchange rate and the total exports has been detected, with a higher response from service exports.
Publisher
معهد التخطيط القومي
Subject
