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Export Expansion and Economic Growth in Tanzania

Author

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  • Mah Jai S.

    (Division of International Studies, Ewha Womans University, Seodaemun-gu, Seoul 120-750, South Korea)

Abstract

This paper reveals the source of rapid economic growth in Tanzania since market reform in the late 1980s. It applies the variance bounds cointegration test to economic growth, investment, exports, and aid inflow. The cointegration test results show that these variables are cointegrated. The error correction model shows that export expansion causes economic growth positively. Meanwhile, economic growth is revealed not to cause export expansion. The results are robust to the measure of economic growth rate. Neither investment nor aid inflow is revealed to be the source of the rapid economic growth of Tanzania.

Suggested Citation

  • Mah Jai S., 2015. "Export Expansion and Economic Growth in Tanzania," Global Economy Journal, De Gruyter, vol. 15(1), pages 173-185, March.
    • Handle: RePEc:bpj:glecon:v:15:y:2015:i:1:p:173-185:n:6
    DOI: 10.1515/gej-2014-0047
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    References listed on IDEAS

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    More about this item

    Keywords

    export expansion; economic growth; Tanzania;
    All these keywords.

    JEL classification:

    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

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