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Infrastructure and Trade

An Empirical Study Based on China and Selected Asian Economies

Bibliographic Data

ID4182601
AuthorsImran Ur Rahman (0000-0003-4505-4240, Leshan Normal University), Mohsin Shafi (0000-0002-4517-6099, Leshan Normal University, corresponding author), Liu Junrong (Leshan Normal University), Enitilina Tatiani M K Fetuu, Enitilina Fetuu (University of International Business and Economics), Shah Fahad (0000-0002-7080-3031, Leshan Normal University), Buddhi Prasad Sharma (0000-0002-2617-7336, Leshan Normal University)
Year2021
Volume11
Issue3
Publication date2021-07-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueSAGE Open (JOURNAL)
Journal identifiersISSN: 2158-2440 • E-ISSN: 2158-2440
PublisherSAGE Publications Inc (PUBLISHER)
DOI10.1177/21582440211036082
OpenAlexW3189383847
LanguageEN
Citations received5
References cited63

We empirically determine the role of different forms of infrastructure on a country's trade. We use an augmented gravity model that incorporates infrastructure in the estimation of merchandise trade flows. We take panel data, including China and 21 selected Asian economies, from 1999 to 2018. We find that the panel ordinary least squares (OLS) and poisson pseudo maximum likelihood (PPML) model estimations prove to be significant. Proxies for Transport Infrastructure including roads, railways, and sea transport, and Proxies for information and communication technology (ICT) infrastructure consisting of mobile, electricity, and internet connections show a strong and positive impact on trade while air transport and landline phone connection have an unexpected negative effect on trade. The positive estimates for quality of infrastructure signify that high standards of Transport and ICT infrastructures lead to increased trade flows of the exporting and importing countries. Results also show that cultural similarity leads to increased trade flows between China and its trading partners in Asia

Bilateral trade · Business · China · Econometrics · Economics · Geographical distance · Geography · Gravity model of trade · International economics · International trade · Landline · Panel data · Phone · Fiscal Policy and Economic Growth · Global trade and economics · Taxation and Compliance Studies

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Unique citing works5
Citations per year1,67
Citation span2023 - 2026 (4)
Citation velocitycurrent
Highly citedNo
Citation typesNeutral: 5

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