Relationship among Domestic Investment, Exports and Economic Growth: Evidence form the Case of Greece

Bakari, Sayef (2022): Relationship among Domestic Investment, Exports and Economic Growth: Evidence form the Case of Greece.

Abstract

The aim of this paper is to investigate the relationship among domestic investment, exports and economic growth in the case of Greece. To attempt our goal, we used annual data over the period 1970 – 2020 and Vector Error Correction Model. Empirical results indicate that in the long run there is no causality relationship between exports, domestic investment, and economic growth. In the short run, we found that only exports cause domestic investment. These results proved as evidence that domestic investment and exports are not seen as a source of economic growth in the case of Greece which also explain the catastrophe situation of economic activity in Greece

• Item Type: MPRA Paper
• Language: English
• Keywords: Domestic Investment, Exports, Economic Growth, VECM, Greece.
• Subjects: C - Mathematical and Quantitative Methods > C1 - Econometric and Statistical Methods and Methodology: General > C13 - Estimation: General; E - Macroeconomics and Monetary Economics > E2 - Consumption, Saving, Production, Investment, Labor Markets, and Informal Economy > E22 - Investment ; Capital ; Intangible Capital ; Capacity; F - International Economics > F1 - Trade > F14 - Empirical Studies of Trade; O - Economic Development, Innovation, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O47 - Empirical Studies of Economic Growth ; Aggregate Productivity ; Cross-Country Output Convergence; O - Economic Development, Innovation, Technological Change, and Growth > O5 - Economywide Country Studies > O52 - Europe

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