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An Analysis of Global Integration and Economic Growth Nexus: Evidence from Pakistan

Author

Listed:
  • Anum Shoaib Abbasi
  • Zubia Hussain
  • Muhammad Tariq Majeed

    (School of Economics, Quaid-i-Azam University, Pakistan.)

Abstract

The following research examines economic growth potential from the perspective of globalization for Pakistan. The empirical results are estimated using the ARDL model over the period 1970 to 2018. The study reports the time before and after the openness to the world. The country opened up its borders quite late in the 80s. The results demonstrate that, in the short term, globalization negatively affects economic growth, but that, in the long run, it boosts economic growth. Globalization has assisted Pakistan's economic progress since the country opened its borders and economy to the rest of the world, but not to too much extent, what it could. Furthermore, research findings demonstrate that government spending and physical capital improve economic growth, however, inflation has a detrimental impact on Pakistan's economic growth.

Suggested Citation

  • Anum Shoaib Abbasi & Zubia Hussain & Muhammad Tariq Majeed, 2022. "An Analysis of Global Integration and Economic Growth Nexus: Evidence from Pakistan," Journal of Economic Sciences, Federal Urdu University Islamabad, Department of Economics, vol. 1(1), pages 48-60, June.
    • Handle: RePEc:azm:journl:v:1:y:2022:i:1:p:48-60
    DOI: 10.55603/jes.v1i1.a4
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    More about this item

    Keywords

    Globalization; Economic Growth; Inflation; Physical Capital; Government spending; Pakistan; ARDL Bound Test;
    All these keywords.

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F33 - International Economics - - International Finance - - - International Monetary Arrangements and Institutions
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights

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