An empirical analysis of export promotion in Pakistan, 1959-77
The present study provides an empirical analysis of export promotion in Pakistan over the period 1959-60 to 1976-77, developing and extending the methods used for other countries by the NBER. The Export Bonus Scheme and the Export Performance Licensing Scheme are discussed in respect of their institutional framework, rate structure, scope and coverage, premia and other important features. The rebates of import duties paid on inputs used in the production of exports and the exemption of exports from indirect taxes are also discussed. The Effective Exchange Rates (EERs) for exports taking into account the export subsidies involved in these Schemes and the export taxes where applicable, are calculated for a large number of commodity groups as well as for the manufacturing and primary sectors. Both nominal and real EERs are examined in detail. The extent of discrimination against the exports of the primary sector implied by the lower EERs afforded to them is determined, and its effects on the growth of the economy and on export performance are outlined. It is found that this discrimination has fallen, on average, by about 23 per cent during the period after the devaluation of 1972 compared with that during the
Mohammad, Khayrat
History
An empirical analysis of export promotion in Pakistan, 1959-77. The present study provides an empirical analysis of export promotion in Pakistan over the period 1959-60 to 1976-77, developing and extending the methods used for other countries by the NBER. The Export Bonus Scheme and the Export Performance Licensing Scheme are discussed in respect of their institutional framework, rate structure, scope and coverage, premia and other important features. The rebates of import duties paid on inputs used in the production of exports and the exemption of exports from indirect taxes are also discussed. The Effective Exchange Rates (EERs) for exports taking into account the export subsidies involved in these Schemes and the export taxes where applicable, are calculated for a large number of commodity groups as well as for the manufacturing and primary sectors. Both nominal and real EERs are examined in detail. The extent of discrimination against the exports of the primary sector implied by the lower EERs afforded to them is determined, and its effects on the growth of the economy and on export performance are outlined. It is found that this discrimination has fallen, on average, by about 23 per cent during the period after the devaluation of 1972 compared with that during the
empirical analysis export promotion pakistan present_study provide_empirical analysis export promotion pakistan period develop extend method_use country export scheme export performance licensing scheme discuss respect institutional framework rate structure scope coverage important_feature import duty pay input use production export export indirect tax also_discuss effective exchange export take_account export subsidy involve export tax applicable large_number commodity group well manufacture primary sector nominal real examine_detail extent discrimination export primary sector imply low afford determine effect growth economy export performance outline find discrimination fall average per_cent period compare