HCBE Faculty Articles

Title

Export Performance of Developing Countries under the Africa Growth and Opportunity Act: Experience from US Trade with Sub‐Saharan Africa

Document Type

Article

Date

2007

Publication Title

Journal of Economic Studies

ISSN or ISBN

1758-7387

Volume

34

Issue

6

First Page

515

Last Page

533

Description

Purpose– The purpose of this study is to assess the implications of US trade preferences under the African Growth and Opportunity Act (AGOA) and its impact on beneficiary country exports.

Design/methodology/approach– The approach is to use Wilcoxon signed rank test and time series regression analysis using ARIMA.

Findings– The results largely indicate that AGOA has a positive but not significant effect on beneficiary exports to the USA for all country groups. Its effect is also quite marginal on sectoral exports except for textiles and apparel. Similarly, AGOA's effect is positive but not significant for all major exporters except Lesotho.

Originality/value– A proper understanding of this relationship will help donors and recipients devise appropriate policies to help encourage the growth and diversification of exports that is so vital for developing countries.

DOI

10.1108/01443580710830970

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Peer Reviewed

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