The impact of weighted comparative advantage of the manufacturing industries on economic growth of selected developing countries in West Asia

Publish Year: 1394
نوع سند: مقاله کنفرانسی
زبان: English
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AMTM01_179

تاریخ نمایه سازی: 19 اردیبهشت 1395

Abstract:

According to Ricardo, utilization of production, based on comparative advantage, can help the development of industrial products very much and in order to create anappropriate mutation in production and export of non-oil products and also cut dependence on revenues from crude oil, first the comparative advantages of existingproduction and then the revival of potential advantages and other competitive factors should be considered by adopting appropriate production and export policies. Therefore the present study attempts to review and evaluate the effect of comparative advantage on the economic growth according to the selected developing countries’ nine industries in west asia by using the method of panel data for the period of 1998-2013.Based on the results of this research, the average impact of the weighted comparative advantage of the nine industries has been negative and significant on economic growth. Also, the findings of this research relies on the fact that these countries have had a staticcomparative advantage in the period under study and exports of industrial have been carried out only on the industry with advantage, that means the industry code 35 (oil andpetrochemical industry), in the group of developing countries in West Asia. In order to increase the industrial exports to compete in the international economy and achieve higher economic growth, the countries under investigation should have a strategic sight tothe physical and human capital and creation of the comparative advantage.

Authors

Afsaneh Shayesteh

Ph.D Condidate in Economics, Department of Economics, Esfahan(khorasgan) Branch, Islamic Azad University, Esfahan, Iran, This article wasextracted from my Ph.D thesis.

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