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The East African Community - An Export Diversification Opportunity?

Henriksson, Wilhelm LU (2017) NEKH03 20162
Department of Economics
Abstract
This paper aims to answer the question whether the formation of the customs union within the East African Community (EAC) has led to a higher export diversification among its member states. Export diversification can reduce a country’s vulnerability to price movements of exported goods and thus lead to a more stable economy. An evaluation of strategies aiming at generating a higher export diversification is therefore of interest and this paper focus on regional integration as such a strategy. To determine whether the EAC has led to a higher export diversification among its member states a fixed effect regression analysis has been carried out with the Herfindahl-Hirschman Index posing as a measurement of export diversification. The data... (More)
This paper aims to answer the question whether the formation of the customs union within the East African Community (EAC) has led to a higher export diversification among its member states. Export diversification can reduce a country’s vulnerability to price movements of exported goods and thus lead to a more stable economy. An evaluation of strategies aiming at generating a higher export diversification is therefore of interest and this paper focus on regional integration as such a strategy. To determine whether the EAC has led to a higher export diversification among its member states a fixed effect regression analysis has been carried out with the Herfindahl-Hirschman Index posing as a measurement of export diversification. The data consists of 40 different exporter-importer country pairs over the period 1995-2015. The study finds no support for the hypothesis that the EAC has led to an increased export diversification among its member states. (Less)
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author
Henriksson, Wilhelm LU
supervisor
organization
course
NEKH03 20162
year
type
M2 - Bachelor Degree
subject
keywords
Export diversification, EAC, HHI, Regional integration, Economic integration
language
English
id
8902489
date added to LUP
2017-02-10 14:03:27
date last changed
2017-02-10 14:03:27
@misc{8902489,
  abstract     = {{This paper aims to answer the question whether the formation of the customs union within the East African Community (EAC) has led to a higher export diversification among its member states. Export diversification can reduce a country’s vulnerability to price movements of exported goods and thus lead to a more stable economy. An evaluation of strategies aiming at generating a higher export diversification is therefore of interest and this paper focus on regional integration as such a strategy. To determine whether the EAC has led to a higher export diversification among its member states a fixed effect regression analysis has been carried out with the Herfindahl-Hirschman Index posing as a measurement of export diversification. The data consists of 40 different exporter-importer country pairs over the period 1995-2015. The study finds no support for the hypothesis that the EAC has led to an increased export diversification among its member states.}},
  author       = {{Henriksson, Wilhelm}},
  language     = {{eng}},
  note         = {{Student Paper}},
  title        = {{The East African Community - An Export Diversification Opportunity?}},
  year         = {{2017}},
}