The Impact of Exports Diversification on Economic Growth: Evidence from Pakistan

Sonia Liaqat and Muhammad Chani
Additional contact information
Sonia Liaqat: COMSATS Institute of Information Technology Vehari, Pakistan

Bulletin of Business and Economics (BBE), 2018, vol. 7, issue 4, 156-168

Abstract: The paper explores the impact of export diversification on the economic growth in Pakistan. Augmented Dickey Fuller unit root test Bound F test results, estimated long run coefficients and ARDL short run Error Correction Model (ECM-ARDL) results applied for the empirical estimation of the study. Gross domestic product per capita, export diversification, is stationary at first difference and real effective exchange rate and population density are stationary at level. Export, real effective exchange rate and population density positively effect on economic growth. Human capital formation is negatively affected on economic growth. The bound testing approach to Co integration is used during 1980 to 2015. This test suggests that in long run series of interest are linked together. In the mid of year equilibrium is fairly fast and restored. Government should increase discoveries because about foreign demand would lead to imitation and therefore increased local production for exports and higher growth. Government should therefore intervene by creating the right incentives for investment.

Keywords: exports; economic growth; Pakistan (search for similar items in EconPapers)
JEL-codes: F1 O4 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://bbejournal.com/index.php/BBE/article/view/159/115 (application/pdf)
https://bbejournal.com/index.php/BBE/article/view/159 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:rfh:bbejor:v:7:y:2018:i:4:p:156-168

Access Statistics for this article

Bulletin of Business and Economics (BBE) is currently edited by Dr. Muhammad Irfan Chani

More articles in Bulletin of Business and Economics (BBE) from Research Foundation for Humanity (RFH) Contact information at EDIRC.
Bibliographic data for series maintained by Dr. Muhammad Irfan Chani ().