Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry
This paper investigates the effect of the 1997 Asian financial crisis on the levels of competition for various productions of food products. The study is undertaken using the concept of comparative advantage. In the context of competitiveness of the Malaysian food processing industry the evaluation...
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| Format: | Article |
| Language: | English |
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Faculty of Economics and Management, Universiti Putra Malaysia
2010
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| Online Access: | http://psasir.upm.edu.my/id/eprint/12043/ http://psasir.upm.edu.my/id/eprint/12043/1/Measuring_the_Effect_of_Asian_Financial.pdf |
| _version_ | 1848841737332588544 |
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| author | Ismail, Mohd Mansor Radam, Alias |
| author_facet | Ismail, Mohd Mansor Radam, Alias |
| author_sort | Ismail, Mohd Mansor |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | This paper investigates the effect of the 1997 Asian financial crisis on the levels of competition for various productions of food products. The study is undertaken using the concept of comparative advantage. In the context of competitiveness of the Malaysian food processing industry the evaluation of comparative advantage has been undertaken with special reference to the prior implementation of the scheduled liberalization of trade preferences under the WTO and AFTA in 2010. In order to penetrate a wider range of foreign markets, Malaysian food processors have to identify food sectors that are internationally competitive and could withstand internal and external shocks. The Malaysian competitiveness level was determined using the Domestic Resource Cost (DRC) and Social Cost Benefit (SCB) indicators. Twenty food sectors were assessed using the Malaysian food production and trade data from 2000 to 2005. The results indicate that in the post crisis period, Malaysia enjoys an above average level of comparative advantage in the production of edible oil and fat from vegetables and animals, fish and, glucose and maltose. As expected, Malaysia has a comparative disadvantage in the production of paddy. |
| first_indexed | 2025-11-15T07:47:59Z |
| format | Article |
| id | upm-12043 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T07:47:59Z |
| publishDate | 2010 |
| publisher | Faculty of Economics and Management, Universiti Putra Malaysia |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-120432015-07-03T02:47:36Z http://psasir.upm.edu.my/id/eprint/12043/ Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry Ismail, Mohd Mansor Radam, Alias This paper investigates the effect of the 1997 Asian financial crisis on the levels of competition for various productions of food products. The study is undertaken using the concept of comparative advantage. In the context of competitiveness of the Malaysian food processing industry the evaluation of comparative advantage has been undertaken with special reference to the prior implementation of the scheduled liberalization of trade preferences under the WTO and AFTA in 2010. In order to penetrate a wider range of foreign markets, Malaysian food processors have to identify food sectors that are internationally competitive and could withstand internal and external shocks. The Malaysian competitiveness level was determined using the Domestic Resource Cost (DRC) and Social Cost Benefit (SCB) indicators. Twenty food sectors were assessed using the Malaysian food production and trade data from 2000 to 2005. The results indicate that in the post crisis period, Malaysia enjoys an above average level of comparative advantage in the production of edible oil and fat from vegetables and animals, fish and, glucose and maltose. As expected, Malaysia has a comparative disadvantage in the production of paddy. Faculty of Economics and Management, Universiti Putra Malaysia 2010-12 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/12043/1/Measuring_the_Effect_of_Asian_Financial.pdf Ismail, Mohd Mansor and Radam, Alias (2010) Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry. International Journal of Economics and Management, 4 (2). pp. 271-284. ISSN 1823-836X http://econ.upm.edu.my/ijem/vol4_no2.htm |
| spellingShingle | Ismail, Mohd Mansor Radam, Alias Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry |
| title | Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry |
| title_full | Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry |
| title_fullStr | Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry |
| title_full_unstemmed | Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry |
| title_short | Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry |
| title_sort | measuring the effect of asian financial crisis on the comparative advantage of the food processing industry |
| url | http://psasir.upm.edu.my/id/eprint/12043/ http://psasir.upm.edu.my/id/eprint/12043/ http://psasir.upm.edu.my/id/eprint/12043/1/Measuring_the_Effect_of_Asian_Financial.pdf |