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Article
Determinants of Export Demand of Textile and Clothing Sector of Pakistan: An Empirical Analysis
World Applied Sciences Journal (2012)
  • Nawaz Ahmad
Abstract

This paper attempts to evaluate the determinants of export demand of textile and clothing sector of Pakistan. Moreover it estimates elasticity coefficients of the variables of the study. This study uses cointegration approach to check the long run relationship between export demand and its determinants. Results show that world income is the major determinant of export demand as it shows high income elasticity of export demand of textile and clothing sector while trade openness is also second major determinant of export demand which was the part of the model as the proxy of trade restriction. Rest of the variables also shows their significant contribution in determining the export demand. Study also reveals the long run relationship between the export demand and explanatory variables

Keywords
  • Trade openness,
  • Real world GDP,
  • Cointegration,
  • Value added,
  • Exchange rate,
  • Stationarity,
  • Export volume
Publication Date
March, 2012
Citation Information
Nawaz Ahmad. "Determinants of Export Demand of Textile and Clothing Sector of Pakistan: An Empirical Analysis" World Applied Sciences Journal Vol. 16 (8) Iss. 16(8) (2012)
Available at: http://works.bepress.com/nawaz_ahmad/3/