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Purpose - This paper examines the effectiveness of the duty drawback system in the promotion of export in Korea In particular, this study analyzes and compares the effects of individual drawback and simplified fixed drawback types of duty drawback. Design/methodology/approach - The empirical analysis examined how the simplified fixed drawback and the individual drawback of duty drawback affected export supply. To analyze the independent variable, an export supply equation was formed using variables such as values of duty drawback, export relative price, and domestic demand pressure. The study began with tests of the stationarity of time series data. The unit root tests showed that all concerned variables were non-stationary. Accordingly, the result of cointegration test showed that the tested variables are not cointegrated. Findings - The empirical evidence using the first differenced data shows that the provision of individual drawback and simplified fixed drawback types of duty drawback by the government does have a significant effect on increasing the export supply of Korea. In other words, the empirical evidence shows that the duty drawback scheme of Korea contributes to export promotion. Research implications or Originality - The analysis of the effect of export promotion by type of drawback is a research topic that has not been attempted in previous studies. The results of this study will provide sufficient basis for the policy implications in the operation of the duty drawback system. Therefore, this study can provide important policy implications in terms of export promotion and efficient allocation of resources, as well as improving the system of duty drawback system, which is an exceptional export subsidy system that can be legally operated under the WTO system.
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참고문헌 (21)
참고문헌 신청
Arslan, I. / 1993 / Export Incentives, Exchange Rate Policy and Export Growth in Turkey / Review of Economics and Statistics 75(1):128~133
Banerjee, A. / 1998 / Error-correction Mechanism Tests for Cointegration in a Single-equation Framework / Journal of Time Series Analysis 19(3):267~283
Chao, C. C. / 2001 / Export Duty Rebates and Export Performance : Theory and China’s Experience / Journal of Comparative Economics 29(2):314~326
Hufbauer, G. C. / 1984 / Subsidies in International Trade / Institute for International Economics
Johansen, S. / 1988 / Statistical Analysis of Cointegration Vectors / Journal of Economic Dynamics and Control 12(2):231~254
Banerjee, A. / 1998 / Error-correction Mechanism Tests for Cointegration in a Single-equation Framework / Journal of Time Series Analysis 19(3):267~283
Chao, C. C. / 2001 / Export Duty Rebates and Export Performance : Theory and China’s Experience / Journal of Comparative Economics 29(2):314~326
Hufbauer, G. C. / 1984 / Subsidies in International Trade / Institute for International Economics
Johansen, S. / 1988 / Statistical Analysis of Cointegration Vectors / Journal of Economic Dynamics and Control 12(2):231~254
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