Journal of Business and entrepreneurial
April - June Vol. 7 - 2 - 2023
http://journalbusinesses.com/index.php/revista
e-ISSN: 2576-0971
journalbusinessentrepreneurial@gmail.com
Receipt: 09 October 2022
Approval: 24 March 2023
Page 30- 46
A comparative study of rice export levels before
and during dollarization 1980-2020
Estudio comparativo de los niveles de exportación de arroz
antes y durante la dolarización 1980-2020
Jorge Wilson Flores RodrÃguez
*
Jorge Washington Encalada Noboa
*
Angie Yohan Larrosa Larrosa
*
Daisy Priscila Criollo Rocohano
*
ABSTRACT
This research focuses on a comparative study
between the levels of rice exports before and during
dollarization, corresponding to the years 1980-2020;
thus, the information from the World Bank, Central
Bank of Ecuador and SENAE is used as a data base,
which eventually leads us to a non-experimental
research with a quantitative approach and through
the t-test was able to determine the existence of a
significant change in rice exports before and during
dollarization. On the other hand, the coefficient of
determination allows us to appreciate that with
dollarization there is a 10% incidence between price
and export levels, as well as establishing that during
this stage, the dependence on international relations
and the high production costs influence the degree
of competitiveness of the price of rice.
Keywords: Dollarization, Price, Rice Exports
ABSTRACT
* Specialist in Development Projects, University of Guayaquil
wilson.floresr@ug.edu.ec, https://orcid.org/0000-0002-7436-
7441
* Specialist in Development Projects, University of Guayaquil,
jorge.encaladan@ug.edu.ec
https://orcid.org/0000-0002-2884-5596
* Agricultural Economist, Unidad Agraria del Ecuador,
alarrosal@uae.edu.ec
https://orcid.org/0000-0003-1381-5762
* Degree in Mathematics and Physics Pedagogy, MarÃa Luisa
Luque de Sotomayor Educational Unit.
daisy.criollor@ug.edu.ec, https://orcid.org/0000-0002-4111-
5635
e-ISSN: 2576-0971. April - June Vol. 7 - 2 - 2023 . http://journalbusinesses.com/index.php/revista
31
La presente investigación se enfoca en realizar un
estudio comparativo entre los niveles de exportación
de arroz antes y durante la dolarización,
correspondientes a los años 1980-2020; es asà que se
recurre a tomar como base de datos la información
del Banco Mundial, Banco Central de Ecuador y
SENAE, misma que eventualmente nos lleva a una
investigación no experimental con enfoque
cuantitativo y que mediante la prueba t pudo
determinar la existencia de un cambio significativo en
las exportaciones de arroz antes y durante la
dolarización. Por otro lado, el coeficiente de
determinación permite apreciar que con la
dolarización hay un 10% de incidencia entre el precio
y los niveles de exportación, asà como también se
establece que durante esta etapa, la dependencia de
las relaciones internacionales y los elevados costos
de producción influyen en el grado de competitividad
del precio del arroz.
Keywords: Dolarización, Precio, Exportación de
Arroz
INTRODUCTION
Globalization has allowed the exchange of products, knowledge and even culture
worldwide, being the export the activity that promotes and reactivates it constantly, it
is the decision of each country to verify its resources and exploit them to the maximum,
to obtain higher levels of income. If we analyze it geographically, Ecuador has enough
resources to obtain a star export product such as rice, for example; which being a basic
necessity within the country, has a high level of occupation for its production in the
different provinces, mainly in Los Rios and Guayas. In addition, According to De
Bernardi, 2017, rice is a cereal that is occupying the second place in production
worldwide after corn.
However, rice production cannot be fully exploited, since it is not feasible to produce
in large quantities if there are not enough buyers, since exports are not only Ecuador's
source of income, it can be considered that all of Latin America puts it into practice and
that is why the producers of different foods (oil, cocoa, rice, bananas, shrimp, etc.) are
in constant competition to receive buyers.
This is where the differences between the levels (higher or lower) of export that each
country has, because the importer is mainly fixed in the prices offered and based on this
establishes the pact to form a new partnership. It is the seller's responsibility to find a
way to ensure that his product is in great demand, which is why other countries devalue
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32
their currency to attract consumers and automatically convert the price they propose
into the most promising price in the international market.
Although the strategy imposed by other countries is neither wrong nor limited to be
used, Ecuador cannot make use of it, since the currency it has is not its own and this
prevents it from optimizing sales prices. This is also stated by Dávalos, 2004, who
mentions that "since Ecuador implemented dollarization, it is tied in a certain way to
monetary policies, since it is not independent". So, is there a variation in rice export
levels before and during dollarization?
International trade and price competitiveness are some of the factors that place Ecuador
at a disadvantage when exporting. Exports from the agricultural area have become a
dynamism for Ecuador's economy because they allow maintaining a trade balance in the
face of dollarization, just the shock of solvency due to the acquisition of foreign
currency. Therefore, we intend to measure whether the fluctuation in rice prices has
significantly affected rice export levels. Considering the implementation of dollarization
as a turning point, and thus determine if this is an element that directly influences rice
exports.
MATERIALS AND METHODS
In this research work, the hypothetical deductive method is used, since the general
information found in secondary sources such as the Central Bank of Ecuador (BCE) and
the National Customs Service of Ecuador (SENAE), was registered and organized
through statistical tables and graphs, which allowed obtaining specific conclusions
regarding each variable. In addition, correlational research was used to verify the
influence between the independent variable "factors affecting rice exports" and the
dependent variable "export levels".
Since there was no manipulation of the variables, the study is considered non-
experimental, while descriptive research is used to gather information related to the
phenomenon, essentially to determine the factors that affect export levels.
RESULTS
Interpret the historical behavior of export levels before and during dollarization.
Tons of rice exported by year.