Suchergebnisse

Using the cointegration and error correction methodologies, this article studies the impact of trade liberalization on the supply of exports and poverty in Guyana from the early 1980s to the mid-2010s. From the empirical results of this study, two important points emerge. The first point is that, for Guyana, trade liberalization has resulted in the expansion of the country's supply of exports and the reduction in its poverty rate. The second point is that the impact of trade liberalization on export supply and poverty has been quite small. In addition, this study finds that the real effective exchange rate and the growth of the economy along with the growth of the agricultural sector were important drivers for expanding the country's supply of exports and reducing its poverty rate over the period covered in this study.

This paper uses econometric techniques in the area of time series analysis to examine the relationship between economic performance and trade liberalization in Guyana. For this study, the base model underlying the analysis is a traditional per worker production function that has been augmented to include trade liberalization and other factors like human capital and exports. The results from this study suggest that when viewed from the long-run and short-run perspective trade liberalization has enhanced the economic performance of Guyana. Indeed, in this study both measures of trade liberalization - the average import tariff rate and the dummy variable representing the change in quota and import licensing measures, among other things - were statistically significant and correctly signed.

This paper provides fresh estimates of income and price elasticities of import demand in Guyana, Jamaica, and Trinidad and Tobago using a bounds test for cointegration. In addition, the paper also provides estimates of the consumption, investment, and exports elasticities of import demand. These latter elasticities were all found to be positive and statistically significant with values ranging from 0.16 to 0.55 in the long-run.