Greener Journal of Economics and Accountancy

Greener Journal of  Economics and Accountancy Vol. 2 (2), pp. 068-073, June 2013

 ISSN: 2354-2357 © 2011 Greener Journals

Research Paper

Manuscript Number:061013661

 

The Revealed Comparative Advantage of Swaziland

 

Roseline Karambakuwa* & Macleans Mzumara

 

Department of Economics, Bindura University of Science Education, Private Bag 1020, Bindura, Zimbabwe.

 

*Corresponding Author’s Email: rkarambakuwa @ gmail. com

Abstract:

The authors investigate the revealed comparative advantage of Swaziland. They investigate whether or not Swaziland has comparative advantage in the products it exports to the Common Market for Eastern and Southern Africa (COMESA), Southern African Development Community (SADC), Southern Africa Customs Union (SACU) and the rest of the world. The results show that Swaziland  has RCA≥1 in 449 product lines hence has comparative advantage in such product lines. Chem wood pulp, sulphite , coniferous unbleached has the highest RCA index of 3106. The products in which Swaziland has comparative advantage includes manufactured and agricultural products.  Swaziland could improve the range of the products in which it has comparative advantage through attracting foreign direct investment via trasnational corporations and exploration of new resources.

 

Keywords: Comparative advantage, international trade, exports

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