Investigation on the relationship between Romanian foreign trade and industrial production

Stefanescu, Razvan and Dumitriu, Ramona (2014): Investigation on the relationship between Romanian foreign trade and industrial production. Published in: Vanguard Scientific Instruments in Management , Vol. 9, (December 2014): pp. 101-113.

Abstract

This paper investigates the interactions among the Romanian industrial production, exports and imports after the adhesion to European Union. We employ monthly values testing for the Granger Causality between the variables in a Vector Autoregression framework. Our results indicate significant causalities among the variables, especially the one from the returns of exports to the returns of the industrial production index. We could consider these findings as an argument in favor of the Exports-Led Growth Hypothesis.

• Item Type: MPRA Paper
• Language: English
• Keywords: Industrial Production, Exports, Imports, Granger Causality
• Subjects: F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F40 - General; F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F43 - Economic Growth of Open Economies; F - International Economics > F4 - Macroeconomic Aspects of International Trade and Finance > F49 - Other; O - Economic Development, Innovation, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O40 - General

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