Imports-economic growth nexus: ARDL approach to cointegration

Islam, Faridul and Adnan Hye, Qazi Muhammad and Shahbaz, Muhammad (2011): Imports-economic growth nexus: ARDL approach to cointegration.

Abstract

This paper implements Auto-Regressive Distributed Lags (ARDL) to cointegration to explore long-run relation; and Granger procedure within Vector Error Correction Model (VECM) to test direction of causality between imports and economic growth for a sample of forty–ten each from high; upper-middle; lower-middle; and low-income–nations. We find long-run bidirectional causality in high-income nations except Japan. For others, we find mixed results .

• Item Type: MPRA Paper
• Language: English
• Keywords: Imports, ARDL
• Subjects: O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development > O10 - General

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