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Exports, investment, efficiency and economic growth in LDC: an empirical investigation

Teame Ghirmay, Richard Grabowski () and Subhash Sharma ()

Applied Economics, 2001, vol. 33, issue 6, 689-700

Abstract: This study seeks to analyse the relationship between exports and growth for 19 less-developed countries. It utilizes multivariate causality analysis based on the error correction model to address several important hypotheses. The results indicate that when exports have a causal influence in the development process that in general this is the result of their effect on both efficiency and accumulation. In addition, improvements in output and capital accumulation in an economy seem to have just as much of an influence on exports as exports have on output and capital accumulation. Finally, the growth process in East Asia seems to be quite different from that in Southeast Asia.

Date: 2001
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DOI: 10.1080/00036840122027

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