An empirical assessment of the role of trade in services in export product diversification in Sub-Saharan Africa

Sawadogo, Bouraïma; Djiogap, Constant Fouopi; Ouédraogo, Idrissa; Takpara, Moukaila Mouzamilou

doi:10.1007/s11123-023-00685-0

Cited by 2 publications

(3 citation statements)

References 73 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Were and Odongo (2023) explain sub-Saharan Africa's competitiveness in services exports between 2005 and 2019. Econometric analysis has been done by Sawadogo et al (2023) and Ariu and Ogliari (2022). Sawadogo et al (2023) employ a two-step system Generalized Method of Moments (GMM) estimator to study how international services trade can promote export product diversification in 48 African countries (2005)(2006)(2007)(2008)(2009)(2010)(2011)(2012)(2013)(2014)(2015)(2016)(2017)(2018)(2019).…”

Section: Literature Reviewmentioning

confidence: 99%

“…Econometric analysis has been done by Sawadogo et al (2023) and Ariu and Ogliari (2022). Sawadogo et al (2023) employ a two-step system Generalized Method of Moments (GMM) estimator to study how international services trade can promote export product diversification in 48 African countries (2005)(2006)(2007)(2008)(2009)(2010)(2011)(2012)(2013)(2014)(2015)(2016)(2017)(2018)(2019). Ariu and Ogliari (2022) study the structure and growth of services trade in Africa between 2002 and 2016.…”

Section: Literature Reviewmentioning

confidence: 99%

“…Works on trade in services in Africa have primarily been descriptive without thorough econometric analysis that reveals the causal effects (Ayoki, 2018;Were & Odongo, 2023). Some recent empirical studies have analyzed the role of trade in services in sub-Saharan Africa's export product diversification (Sawadogo et al, 2023) and the structure, growth, and determinants of service trade in Africa (Ariu & Ogliari, 2022).…”

mentioning

confidence: 99%

See 2 more Smart Citations

Determinants of intra‐COMESA trade in services

Majune,

Kaaria,

Kihiu

2023

African Development Review

View full text Add to dashboard Cite

This paper analyzes intra‐Common Market for Eastern and Southern Africa (COMESA) trade in services by establishing its determinants and exploring the role of trade facilitation on the same. The study relies on the Poisson Pseudo Maximum Likelihood (PPML) estimator of the gravity model on bilateral services trade data for total services and eight categories of services in 17 COMESA countries from 2005 to 2019. Results reveal that several factors determine intra‐COMESA services trade, the salient ones being GDP (exporter's and importer's), distance, contiguity, and time zone differences. Trading under a service‐specific trade agreement affects a few services: transport and other business services exports. The effect is positive for transport services and negative for other business services exports. Trade facilitation measures, especially broadband technologies, significantly improve services trade across various sectors. A key policy implication of our results is that service trade is more likely to grow through digital, information, and communication infrastructure development. Thus, policy should prioritize increasing access and usage of broadband technologies.

show abstract

Section: Literature Reviewmentioning

confidence: 99%

Section: Literature Reviewmentioning

confidence: 99%

mentioning

confidence: 99%

See 1 more Smart Citation

Determinants of intra‐COMESA trade in services

Majune,

Kaaria,

Kihiu

2023

African Development Review

View full text Add to dashboard Cite

show abstract

Combining the pieces: identifying key determinants of export diversification in Africa amidst model uncertainty

Vogel

2024

Rev World Econ

View full text Add to dashboard Cite

Export diversification can be a driver of economic growth. Policies to diversify exports attempt to defy an existing comparative advantage in low-value-added goods to promote transformation. Many structural, general policy, and trade-related variables have been identified as important drivers of diversification. This article reviews the literature on the determinants of export diversification and applies Bayesian Model Averaging (BMA) to empirically tackle model uncertainty stemming from many possible determinants. It assesses the relevance and impact of up to 46 drivers of export diversification for up to 47 African countries and 123 trading partners from 1995 to 2018. It finds that African countries’ structural features are especially influential in determining export diversification, a potential explanation for Africa’s more concentrated export baskets compared to other world regions. Furthermore, trade policies, like tariffs and regional integration, are critical in promoting export diversification. These findings underscore the AfCFTA’s potential to foster export diversification across African economies. A diverse set of non-trade-related policy variables also significantly affect export diversification. Factors such as institutions, education, service sector, resource rents, financial development, FDI and exchange rate stability are relevant determinants in different settings. Moreover, the analysis shows that whom you trade with is also important for diversification, and that context-specific differences, such as specific regional integration contexts or type of commodity-dependence, matter. The results suggest that the goals to diversify exports at the extensive margin for structural change and the intensive margin to tackle volatility, seem often not achievable via the same policies.

show abstract

An empirical assessment of the role of trade in services in export product diversification in Sub-Saharan Africa

Cited by 2 publications

References 73 publications

Determinants of intra‐COMESA trade in services

Determinants of intra‐COMESA trade in services

Combining the pieces: identifying key determinants of export diversification in Africa amidst model uncertainty

Contact Info

Product

Resources

About