Trade Facilitation between China and Africa, Gravity Model Analysis How China is Benefiting in Trade with African Countries?
Journal of Economics, Management and Trade · pp. 28–38 · Published 12 Jan 2022
10.9734/jemt/2022/v28i130386Abstract
This paper studies the impact of trade facilitation on bilateral trade flows between China and African countries. This paper presents an analysis on African countries in the context of trade facilitation to enhance how china can benefit from trade with African countries. The econometric approach is based on the augmented gravity based on heckman two stages method, OLS and Poisson model to enhance the efficiency result, The panel data used covers the period from 2009 to 2019 and concerns 50 African countries. The result has been found positively in some variable like GDP and negatively in others Like LPI, infrastructure even though it leads to increase the bilateral trade and follow the advancement of development and economics. we conclude Africa is a potential market with a huge population and advantages.
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