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Comparative Advantage of India in Foreign Trade With Japan
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Author(s): Ajay Kumar Singh (Department of Humanities and Social Sciences, Graphic Era University (Deemed), Dehradun, India)
Copyright: 2025
Pages: 32
Source title:
Global Economic Interconnectedness: International Trade and Finance
Source Author(s)/Editor(s): Javier Martínez-Falcó (University of Alicante, Spain & University of Stellenbosch, South Africa), Eduardo Sánchez-García (University of Alicante, Spain), Bartolomé Marco-Lajara (University of Alicante, Spain)and Rosana Fuentes-Fernández (University of Leon, Spain)
DOI: 10.4018/979-8-3693-5303-5.ch002
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Abstract
This study assesses the foreign trade affecting factors based on review of literature. It also observes the impact of foreign trade on social and economic activities as per the existing studies. It explores the trend pattern of foreign trade of India with Japan since 1991. Finally, it also estimates the revealed comparative advantage index (RCAI) to examine India's potential in foreign trade with Japan after 1991. Technology, IPRs, R&D expenditure, technology spillovers, exchange rate, government policies, institutional activities, competitions, investment pattern, saving, inflation, national income, subsidies for exporters, restrictions on imports, reciprocal demand, tariff, change in factor endowments, balance of payments, international capital flows, bilateral and multilateral agreements and import substitutes, and economic structure of the countries are crucial drivers to increase foreign trade. The statistical values of RCAI also provide a confirmation that India is receiving potential benefits from foreign trade with Japan.
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