Showing papers by "Andrew Muhammad published in 2015"
TL;DR: In this paper, an import allocation model is used to examine the effects of price risk on exporter competition in China's soybean market, showing that price risk is an important determinant of China's imports across sources (Argentina, Brazil, and the United States).
Abstract: An import allocation model is used to examine the effects of price risk (variance of prices) on exporter competition in China's soybean market. Price risk is an important determinant of China's soybean imports across sources (Argentina, Brazil, and the United States), even when accounting for other factors. Results indicate that Argentina is the only country affected by own-price risk in the Chinese market; imports decline by 1.11% for every percentage increase price risk. The estimated risk premium for soybeans from Argentina is 0.44, indicating that if price risk increases by 1%, prices would have to fall by 0.44% for imports to remain unchanged. Price risk in Argentina has a positive effect on China's imports from the United States. Price risk in Brazil has a positive effect on imports from Argentina, but a negative effect on imports from the United States. [EconLit citations: D81, F14, Q11, Q17].
6 citations
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TL;DR: In this paper, the authors estimated US banana demand disaggregated by exporting country using the generalised dynamic Rotterdam model and found that dynamic factors, prices, and total expenditures played an important role in determining how the USA allocated banana imports across supplying countries.
Abstract: We estimated US banana demand disaggregated by exporting country using the generalised dynamic Rotterdam model. Results indicated that dynamic factors, prices, and total expenditures played an important role in determining how the USA allocated banana imports across supplying countries. We were particularly interested in Guatemala's emergence as the leading US supplier and Costa Rica's decline. Overall, there was no significant difference in the demand estimates between the two countries. The dynamic adjustment estimates indicated that both countries were positively affected by their past exports, and the long-run expenditure elasticities indicated that both were particularly sensitive to changes in total US expenditures. However, demand estimates indicated that there is significant price competition between the two countries and the uncompensated price elasticities indicated that the demand for Costa Rican bananas was relatively more elastic in the long run.
3 citations
TL;DR: In this article, the authors used a computable general equilibrium approach to simulate two opposing views describing regional trade agreements either as building blocks for or stumbling blocks to multilateral trade liberalisation.
Abstract: This paper uses a computable general equilibrium approach to simulate two opposing views describing regional trade agreements either as building blocks for or stumbling blocks to multilateral trade liberalisation This study focuses on the regional trade agreement between the Economic and Monetary Community of Central Africa (CEMAC) and the European Union (EU) Results show that, although a regional trade agreement may slightly raise welfare among the members of the agreement, the cost to nonmembers can be high The regional breakdown in our design considers 14 regions, allowing for country-specific analysis for one least-developed country (Democratic Republic of Congo) and one non-least-developed country (Cameroon) Multilateral liberalisation amplifies welfare gain for Cameroon The Democratic Republic of Congo, with its weaker institutional capacity, is affected negatively An EU-CEMAC regional free trade agreement without multilateralism produces gains for both Cameroon and the Democratic Republic of Congo Copyright © 2011 John Wiley & Sons, Ltd
2 citations