期刊名称：International Journal of Economics and Research
电子版ISSN：2229-6158
出版年度：2010
卷号：1
期号：1
页码：1-9
出版社：Sanben Agency
摘要：This study investigates the relationship between exports, inflation, investment and economic growth for Pakistan. A long-run relationship between the variables has been found by applying Johansen’s Co-integration Technique after finding the series I(1). The Error Correction Model (ECM) has been applied to streamline the short-run and long run impacts of the variables on economic growth. In general, the results revealed that exports and investment both have a significant positive impact on economic growth. However, inflation has a significant negative impact on economic growth in the short-run. In the long-run, if there is one percent increase in the total investment, economic growth increases by almost 0.179 percent, while inflation has a negative impact on economic growth by almost 0.032 percent. This analysis demonstrates that, in the long-run, exports led growth hypothesis does not hold in Pakistan, as exports are reported as insignificant factor to advance economic growth. The ECM results indicate the convergence of the model and it’s implying that about 68% adjustments takes place every year. This analysis will held decision makers in developing strategies and policies to accelerate economic growth, exports and investment.
