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Determinants Of Uganda’s Lint Export Following Trade Liberalization
This study uses imperfect substitution model to investigate determinants of Uganda’s lint export in the period following trade liberalization. The results in this study are obtained from estimates of Granger causality test and Vector Error Correction Model. The study discovered that trade liberalization has positive effect on Uganda’s lint export but only in the long run. Nevertheless, the low demand for Uganda cotton in the world market during this period does not promote a positive shift in domestic lint supply to the world market. The study recommends for promotion of trade within the region to supplement Uganda’s lint export to the world market.
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