The nexus between finance and manufactured exports in selected Caribbean and Central American countries
by Rajen Mookerjee; Evelyn Wamboye
International Journal of Trade and Global Markets (IJTGM), Vol. 7, No. 4, 2014

Abstract: This study uncovers several surprising and unexpected policy insights that can help small Caribbean and Central American countries develop a strategy to diversify their export base. The results from causality tests of the nexus between financial development and manufactured exports, show that in 63% of a sample of eight countries, financial development causes manufactured exports and vice versa for the remaining 37%. These results are then used to explore in greater depth potential economy specific structural factors that explain the causality test findings in these countries.

Online publication date: Mon, 02-Feb-2015

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