Determinants of Economic Growth: An Empirical Evaluation of the Ugandan Economy

Richard Sendi, John Bbale Mayanja and Enock Nyorekwa

A chapter in Macroeconomic Analysis for Economic Growth from IntechOpen

Abstract: This paper investigated the determinants of economic growth in Uganda for the period 1982-2015 using the autoregressive distributed lag (ARDL) mode. The paper was motivated by the impressive economic performance of Uganda since 1986 that made her graduate from a "failed state" to a "mature reformer" in a short time. The paper established that while the initial level of GDP growth, government consumption and investment positively affected Uganda's economic growth in the short run, inflation, foreign aid and a policy dummy variable representing structural adjustment programmes negatively impacted GDP growth. The results revealed that in the long run, trade openness, population growth, government consumption and investment positively influenced GDP growth in Uganda. The results failed to show a significant relationship between trade openness, population growth and human capital accumulation and economic growth in the short run. The study also failed to show a significant relationship between inflation, human capital and foreign aid and economic growth in the long run. The paper recommends policies that enhances sound macroeconomic fundamentals such as price stability, investment promotion, trade openness, increased government consumption, increased population growth and effective foreign aid.

Keywords: Uganda; Economic growth; Auto Regressive Distribute Lag Model (search for similar items in EconPapers)
JEL-codes: O40 (search for similar items in EconPapers)
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.intechopen.com/chapters/79329 (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:ito:pchaps:249524

DOI: 10.5772/intechopen.100507

Access Statistics for this chapter

More chapters in Chapters from IntechOpen
Bibliographic data for series maintained by Slobodan Momcilovic ().