Anticipated Impact of Monetary Union on Bilateral Trade among ECOWAS Members
Loading...
Date
2017
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Journal of Global Economics, Management and Business Research
Abstract
The pattern of growth of International Trade and Bilateral Trade among West African Countries has again
brought to light the need for a common currency aimed at financial integration of the ECOWAS community. In
this light, this study adopts the explanatory survey design and uses the questionnaire as a primary research
instrument to solicit responses from experts in monetary policy, foreign exchange and international business
with a view to examine and analyze the potential impact of the proposed ECO currency on Bilateral trade
among the ECOWAS members. Data was analysed using the simple linear regression to determine the
relationship between the dependent (bilateral trade) and the independent variable (monetary union). Findings
from the study indicate there is a positive linear relationship between bilateral trade and monetary union;
consistent with Akinyede (2014). The relationship is moderate and significant at 5% level of significance (p value =.001 < alpha value =.05). Therefore, we conclude that the development of monetary union has significant impact on bilateral trade in ECOWAS
Description
Keywords
Bilateral trade, ECOWAS, ECO currency, Monetary union