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Export Led Growth or Growth Led Export Hypothesis in India: Evidence Based on Time-Frequency Approach

Arif Dar (), Niyati Bhanja (), Amaresh Samantaraya and Aviral Tiwari ()
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Amaresh Samantaraya: Pondicherry University, Puducherry

Asian Economic and Financial Review, 2013, vol. 3, issue 7, 869-880

Abstract: A plethora of research activity on the relationship between a country’s export and economic growth has produced ambiguous and mixed results. We reinvestigate this relationship using the methodology of wavelets based correlation and cross correlation. Our results show that the relationship between export growth and output growth is not only positive in India but this relationship grows stronger as time horizons increases. Our results based on wavelet cross-correlation show that causal relationship is bi-directional at higher time scales.

Keywords: Export-lead growth hypothesis; time-frequency approach; wavelet cross-correlation; India (search for similar items in EconPapers)
Date: 2013
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