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Political Instability, Trade Openness And Economic Growth In Pakistan: An Empirical Analysis

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  • MUHAMMAD ZAHID NAEEM

    (Department of Economics, University of Punjab, Lahore, Pakistan.)

Abstract

The study is done to analyze the relationship between political instability and economic growth of Pakistan. Estimation has done by using time series data over the period of 1883-2016. The study analyze that unstable political economic conditions enforce negatively the economic growth, inflation and trade. In Pakistan political instability is on its peak from many decades. For the study of these fluctuations ARDL approach is used to check the relationship between selected variables. The concluded results based on empirical analysis that instable and poor political system with less efficient working skills of the administration will decrease the terms of trade of the economy, inflation will rise and unemployment will also be increased.

Suggested Citation

  • Muhammad Zahid Naeem, 2020. "Political Instability, Trade Openness And Economic Growth In Pakistan: An Empirical Analysis," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 9(4), pages 183-190, December.
    • Handle: RePEc:rfh:bbejor:v:9:y:2020:i:4:p:183-190
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    More about this item

    Keywords

    political instability; trade; economic growth;
    All these keywords.

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies

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