This study is an extension of the study by Tang (Japan and the World Economy, 15, 419-36, 2003b), which has documented no long-run equilibrium relationship among the Japanese aggregate imports, real income and relative price of imports. This finding, however, is probably due to the bias of...

This study aims to solve the puzzle of the conventional practice of examining the sustainability of external accounts by initially looking for cointegration between imports and exports. This study proposes a new approach to examine this thesis using unit root tests (with unknown break date) on...

Using Xu's (2002) import demand equation, the present study re-investigates the presence of a cointegrating relation of Japan's aggregate import demand. The sample period covers quarterly data from 1973 to 2000. The results of various cointegration techniques confirm that the volume of import,...

Exploring the factors influencing the balancing item of balance of payments accounts has seldom been a subject of research in international economics. Following Brooks and Fausten (1998), and using Japan's data, this study has empirically examined the influences of economic openness on balancing...

This study aims to answer the question of whether Japan's balancing item patterns are a matter of timing errors or not. Using time series econometrics techniques, and the components of balance of payments accounts, this study provides an empirical answer that Japan's balancing item pattern is...

This paper extends the work by Mah (2005) on the causality between export expansion and economic growth in China by adding imports as additional variable in a trivariate framework. Interestingly, this paper has empirically found no long-run relationships among exports, real Gross Domestic...

Using a simple balance of payments accounts framework and unit root tests (with level shift), this study provides empirical evidence that, balancing items of balance of payments accounts in the G7 countries are sustainable. The findings of this article may have relevant implications.

This study explores the sustainability of the balancing item in Asian economies. The conventional unit root tests (includes panel tests) illustrate that the results are rather inconclusive. However, the results from the series-specific panel unit root test consistently illustrate that five of...

This paper presents an empirical analysis of the aggregated import demand behaviour for Malaysia. The study involved a small sample of annual data from 1970 to 1998. To estimate the long-term relationship between import demand, and its determinants, namely income and relative prices, a robust...

This study examines the effects of various demand components of real income on money demand, M3 for a small open developing Asian economy. The disaggregated components of real income are final consumption goods, expenditure on investment goods, and exports. Other determinants are domestic...