This study aims to analyze the policy efforts undertaken by the Government of Mongolia and other non-governmental organizations in the country. In order to make an accurate assessment, the research team looked at the institutional set-up as well as instruments of export promotion policies in addition to analyzing official policy documents. The policy assessments were made at both the sectoral and national level.
The study utilized the “revealed comparative advantage” methodology used by Béla Balassa (1965), in order to identify those sectors that constitute a comparative advantage for Mongolia. Using the methodology, Mongolia was found to have a comparative advantage in textiles and leather and leather products.
Additionally, the research team also used the “Gravity with gravitas model” (2003) developed by Anderson and Wincoop in order to estimate the impact of policies implemented by the Government of Mongolia using past panel data from 35 trading partner countries over a period of 7 years.