Impact of Imports on the Global Manufacturing Industry: Panel Data Analysis

Main Article Content

Katherine Feraud
Pablo Ponce

Abstract

The purpose of this research is to examine the impact that imports have on the manufacturingindustry in 151 countries during the period 1990-2016. For which we estimate adynamic model of Ordinary Least Squares (DOLS) for groups of countries that use a DynamicPanel model with Ordinary Least Squares (PDOLS). Next, to verify causality andfind the equilibrium tests of the series, we use the cointegration tests of Predoni (1999),Westerlund (2007) and the tests of Dumitrescu and Hurlin (2012). The results found showthat there is a strong relationship between imports and the manufacturing industry, bothin the short and long term. One policy implication is that low-income and extremely low incomecountries encourage local and foreign importation in the productive sectors andthus improve the manufacturing industry and generate more jobs.

Article Details

How to Cite
Feraud, K., & Ponce, P. (2021). Impact of Imports on the Global Manufacturing Industry: Panel Data Analysis. Revista Económica, 8(2), 51–59. Retrieved from https://revistas.unl.edu.ec/index.php/economica/article/view/909
Section
RESEARCH ARTICLES

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