Trade liberalization, industrial employment and price pf products: Thailand
This study examines the short and long-run relationships between relative producer price index (RPPI), relative capital import (RCI), relative intermediate products import (RIPI) and relative industrial employment (RIE). The research finding shows that the variables are cointegrated which means that they have a shared long-run equilibrium. The error correction model (ECM) shows that over the period of trade liberalization since 1995 changes in RPPI and RIPI decrease RIE. However, change capital plays an important role in stimulating industrial employment in Thailand.