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Identifying Suitability of Commodities for Trade among Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) Nations

Authors: Amit Bikram Chowdhury; Debasis Neogi,;

Identifying Suitability of Commodities for Trade among Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) Nations

Abstract

Diminution of trade barriers forms vicious strains and the potential for technology to move so as to escort to productivity gains and restructuring of an economy toward its comparative advantage. Further, a country’s comparative advantage in international trade may be influenced by differential rates of change in accumulation of production factors or due to the increased trade integration of other countries. The BIMSTEC countries have long shared common objectives for closer economic integration within the SouthEast Asian region. This paper is an attempt to systematic evaluation of the nature and changes of revealed comparative advantage of BIMSTEC countries from 1997-98 to 2012-13 for 16 major commodity groups as identified by WTO. The analysis of comparative advantage has been undertaken using the Balassa (1965) index of revealed comparative advantage.

Keywords

Asia, BIMSTEC, Exports, Imports, RCA.

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