Testing the Impact of Exports, Imports, and Trade Openness on Economic Growth in Namibia: Assessment Using the ARDL Cointegration Method

Sunde, Tafirenyika and Tafirenyika, Blessing and Adeyanju, Anthony (2022): Testing the Impact of Exports, Imports, and Trade Openness on Economic Growth in Namibia: Assessment Using the ARDL Cointegration Method. Published in: Economies , Vol. 86, No. 11 (9 March 2023)

Abstract

This study examines the impact of exports, imports, and trade openness on Namibia’s economic growth using the ARDL cointegration method. The results reveal a significant negative relationship between imports and economic growth, while exports and trade openness show positive and significant relationships with economic growth. Moreover, short-term economic growth is driven by exports, imports, and trade openness. The findings suggest that trade liberalisation and export-led growth are crucial for Namibia’s economic development. Overall, this study supports the mercantilist theory, which emphasises the importance of participating in global markets by increasing exports and trade.

• Item Type: MPRA Paper
• Language: English
• Keywords: economic growth; exports; imports; trade openness; export-led growth; ARDL; unit roots; cointegration; ECM
• Subjects: F - International Economics > F1 - Trade; F - International Economics > F1 - Trade > F14 - Empirical Studies of Trade; F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance; F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F41 - Open Economy Macroeconomics; F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F43 - Economic Growth of Open Economies

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