IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/11845.html
   My bibliography  Save this paper

Causal Relationship Between Exports and Agricultural GDP in Pakistan

Author

Listed:
  • Memon, Manzoor Hussain
  • Baig, Waqar Saleem
  • Ali, Muhammad

Abstract

This paper is an attempt to investigate the causal relationships among agriculture and exports in Pakistan by using time series data for the period between 1971 and 2007. There are several efforts reflecting greater interest in exploring the possible relation between the international trade and economic growth. Increasing of Gross Domestic Product is the main target of almost every economy. Promoting exports of the country is one of the ways of achieving economic growth. Pakistan is among the developing countries, emphasizing to boost its exports since its inception. The major share of Pakistan’s export has strong backward linkages with the agricultural sector both in terms of primary and value added commodities. The findings have significant implications on Pakistan’s economic policy as both the variables have shown strong long-run relationship. There is also a bi-directional Granger-causality between the total exports and agricultural GDP. However, for short-run, both the variable does not cause each other in either direction.

Suggested Citation

  • Memon, Manzoor Hussain & Baig, Waqar Saleem & Ali, Muhammad, 2008. "Causal Relationship Between Exports and Agricultural GDP in Pakistan," MPRA Paper 11845, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:11845
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/11845/1/MPRA_paper_11845.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Balassa, Bela, 1978. "Exports and economic growth : Further evidence," Journal of Development Economics, Elsevier, vol. 5(2), pages 181-189, June.
    2. Jock R. Anderson, 1999. "Institutional Reforms for Getting an Agricultural Knowledge System to Play Its Role in Economic Growth," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 38(4), pages 333-354.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rajwant Kaur & Amarjit Singh Sidhu, 2014. "Causal Relationship between Exports and Agricultural GDP in India," Global Business Review, International Management Institute, vol. 15(1), pages 105-120, March.
    2. Ms. Willa Boots J. Tolo, 2011. "The Determinants of Economic Growth in the Philippines: A New Look," IMF Working Papers 2011/288, International Monetary Fund.
    3. Fatiha El agri & Mounir Jerry & Ahlam Qafas & Youness Manzah, 2024. "Determinants of the Export Function in Morocco: Evidence from ARDL and Dynamic ARDL Models," Global Journal of Emerging Market Economies, Emerging Markets Forum, vol. 16(1), pages 98-129, January.
    4. Shakeel Ahmad & Muhammad Tariq & Touseef Hussain & Qasir Abbas & Hamidullah Elham & Iqbal Haider & Xiangmei Li, 2020. "Does Chinese FDI, Climate Change, and CO 2 Emissions Stimulate Agricultural Productivity? An Empirical Evidence from Pakistan," Sustainability, MDPI, vol. 12(18), pages 1-20, September.
    5. Bilal Raza, 2021. "Balance of Payments Constrained Growth in Pakistan - Implications for Development Policy," SBP Working Paper Series 107, State Bank of Pakistan, Research Department.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Titus O. Awokuse, 2003. "Is the export-led growth hypothesis valid for Canada?," Canadian Journal of Economics, Canadian Economics Association, vol. 36(1), pages 126-136, February.
    2. Ahmet Faruk AYSAN & Mustapha Kamel NABLI & Marie‐Ange VÉGANZONÈS‐VAROUDAKIS, 2007. "Governance Institutions And Private Investment: An Application To The Middle East And North Africa," The Developing Economies, Institute of Developing Economies, vol. 45(3), pages 339-377, September.
    3. Balassa, Bela, 1990. "Indicative planning in developing countries," Policy Research Working Paper Series 439, The World Bank.
    4. Ashfaque H. Khan & Afia Malik & Lubna Hasan, 1995. "Exports, Growth and Causality: An Application of Co-integration and Error-correction Modelling," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 34(4), pages 1001-1012.
    5. Mamba, Essotanam & Ali, Essossinam, 2022. "Do agricultural exports enhance agricultural (economic) growth? Lessons from ECOWAS countries," Structural Change and Economic Dynamics, Elsevier, vol. 63(C), pages 257-267.
    6. Ramona Dumitriu & Razvan Stefanescu, 2015. "The Relationship Between Romanian Exports And Economic Growth After The Adhesion To European Union," Risk in Contemporary Economy, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, pages 17-26.
    7. Muhammad Shahbaz & Pervaz Azim & Khalil Ahmad, 2011. "Exports-Led Growth Hypothesis in Pakistan: Further Evidence," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 1(3), pages 182-197.
    8. Miguel Cruz Vásquez & Alfonso Mendoza Velázquez & Beatriz Pico González, 2019. "Foreign direct investment, economic opening and economic growth in Lat," Contaduría y Administración, Accounting and Management, vol. 64(1), pages 15-16, Enero-Mar.
    9. Onafowora, Olugbenga A. & Owoye, Oluwole, 1998. "Can Trade Liberalization Stimulate Economic Growth in Africa?," World Development, Elsevier, vol. 26(3), pages 497-506, March.
    10. Bakari, Sayef, 2017. "The Nexus between Export, Import, Domestic Investment and Economic Growth in Japan," MPRA Paper 76110, University Library of Munich, Germany.
    11. N.M. Odhiambo, 2021. "Is Export-Led Growth Hypothesis Still Valid for Sub-Saharan African Countries? New Evidence from Panel Data Analysis," Working Papers AESRI-2021-02, African Economic and Social Research Institute (AESRI), revised Jan 2021.
    12. Khalafalla, Khalid Yousif & Webb, Alan J., 2000. "Exports And Economic Growth Under Structural Change: A Co-Integration Analysis Of Evidence From Malaysia," Working Papers 14595, International Agricultural Trade Research Consortium.
    13. Fındık, Derya & Tansel, Aysit, 2013. "Intangible investment and technical efficiency: The case of software-intensive manufacturing firms in Turkey," MPRA Paper 66165, University Library of Munich, Germany, revised 05 Aug 2014.
    14. Aristea Gkagka & Grigoris Zarotiadis, 2011. "Growth and EU Trade Relations: A Case Study," South-Eastern Europe Journal of Economics, Association of Economic Universities of South and Eastern Europe and the Black Sea Region, vol. 9(1), pages 1-11.
    15. Grigor Stoevsky, 2015. "Exports and foreign direct investment as factors for economic growth in the EU New Member States," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 2, pages 92-111,112-.
    16. Mousumi Bhattacharya & Sharad Nath Bhattacharya, 2011. "The Interrelationship Between Merchandise Trade, Economic Growth and FDI Inflows in India," South-Eastern Europe Journal of Economics, Association of Economic Universities of South and Eastern Europe and the Black Sea Region, vol. 9(2), pages 229-244.
    17. Devarajan, Shantayanan & Go, Delfin & Schiff, Maurice & Suthiwart-Narueput, Sethaput, 1996. "The whys and why nots of export taxation," Policy Research Working Paper Series 1684, The World Bank.
    18. Thian-Hee Yiew & Chin-Yu Lee & Lin-Sea Lau, 2021. "Economic growth in selected G20 countries: How do different pollution emissions matter?," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(8), pages 11451-11474, August.
    19. Yang, Wen & Liu, Yi-Cheng & Mai, Chao-Cheng, 2017. "How did Japanese exports evolve from 1995 to 2014? A spatial econometric perspective," Japan and the World Economy, Elsevier, vol. 41(C), pages 50-58.
    20. Ohlan RAMPHUL, 2013. "Agricultural exports and the growth of agriculture in India," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 59(5), pages 211-218.

    More about this item

    Keywords

    Causality; Growth; Gross Domestic Product; Agriculture; Exports; Pakistan;
    All these keywords.

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • F40 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - General
    • C50 - Mathematical and Quantitative Methods - - Econometric Modeling - - - General
    • C12 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Hypothesis Testing: General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:11845. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.