The effect of export insurance subsidy on export supply: The experience of Japan

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Abstract

Japan has been the heaviest user of the export insurance system. This paper examines whether or not export insurance subsidy has promoted Japan's export supply. The current study starts from examining the stationarity nature of the concerned variables. The unit root tests show that all concerned variables are non-stationary. The concerned variables are revealed to be not cointegrated. The empirical evidences show that export insurance system has not contributed to promoting export supply in Japan.

Original languageEnglish
Pages (from-to)646-652
Number of pages7
JournalJournal of Asian Economics
Volume17
Issue number4
DOIs
StatePublished - Oct 2006

Bibliographical note

Funding Information:
I wish to express my sincere thanks to an anonymous referee for the invaluable comments on the earlier version of this paper. However, of course, all remaining errors are entirely mine. This work was supported by the Ewha Womans University Research Grant of 2005.

Keywords

  • Export insurance
  • Export supply
  • Japan

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