International Journal for Applied Information Management
Vol. 2 No. 1 (2022): Regular Issue: April 2022

Determinants of Trade Balance in Vietnam During 1997-2015

Trung-Thanh To (a:1:{s:5:"en_US"
s:63:"Department of Economics, National Economics University, VIETNAM"
})



Article Info

Publish Date
03 Oct 2021

Abstract

This paper investigates the determinants of trade balance in Vietnam during 1997-2015, based on the restricted VECM model. The result suggests that in the long run, the openness has negative impact on trade balance. The initial level of NFA is negatively associated with trade balance. The more developed financial system can improve trade balance meanwhile higher income can worsen it. REER could have no close relationship with trade balance. Increasing FDI can contribute to trade deficit meanwhile capital mobility could improve trade balance. The trade balance also has a self-adjusting mechanism towards long-run equilibrium after the shocks to explanatory variables.

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Journal Info

Abbrev

ijaim

Publisher

Subject

Humanities Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Environmental Science Social Sciences

Description

Journal menerbitkan penelitian tentang semua aspek manajemen informasi. Informasi dilihat di sini secara luas untuk mencakup tidak hanya produk/layanan dan proses tetapi juga pasar, dan organisasi serta informasi sosial. Ini termasuk studi tentang proses secara keseluruhan atau tahap individu, ...