Determinants of labor-intensive exports by the developing countries: A cross country analysis

Date

2014

Authors

Mottaleb, Khondoker Abdul
Kalirajan, Kaliappa

Journal Title

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Volume Title

Publisher

World Scientific Publishing Company

Abstract

It is widely acknowledged that the export-oriented garment and textile industries have been playing important role on the overall economic development in developing countries. However, the performance of the developing countries in exporting garment and textiles is in fact, highly heterogeneous. While some of the developing countries such as, China, Vietnam and Bangladesh have been highly successful in exporting highly labor-intensive garment and textiles products, not all of the developing countries have been equally successful in doing so. Using cross-country panel data, an attempt has been made in this paper to ascertain the importance of infrastructure and business environment in explaining the heterogeneous performance in exporting garment and textiles by the developing countries. The paper empirically demonstrates that in addition to the availability of cheap labor, the availability of basic infrastructure, and a business friendly environment significantly affect the export of labor-intensive garment and textiles by the developing countries. The paper, thus, suggests to invest on infrastructure, and to develop a business friendly environment in developing countries to strongly link the growth potentials of labor-intensive products and economic growth.

Description

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Citation

Source

Singapore Economic Review

Type

Journal article

Book Title

Entity type

Access Statement

License Rights

DOI

10.1142/S021759081450043X

Restricted until

2037-12-31