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On the Effects of the BRICS on World Economic Growth

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  • Bosupeng, Mpho

Abstract

The purpose of this empirical study is to examine the potential effects of the BRICS on other economies’ economic growth over the period 1960-2013. This investigation deploys the Saikkonen and Lu ̈tkepohl cointegration methodology to validate long run relations between Brazil and China’s economic growth and other nation’s output growth. The study further uses the Toda and Yamamoto approach to Granger causality to examine long run causal links between the BRICS economic growth. The results show that all countries exhibit long run relations with China and Brazil’s economic growth. In addition, the results prove that Brazil’s economic growth is induced by South Africa, China and India’s economic growth.

Suggested Citation

  • Bosupeng, Mpho, 2017. "On the Effects of the BRICS on World Economic Growth," MPRA Paper 81757, University Library of Munich, Germany, revised 2017.
    • Handle: RePEc:pra:mprapa:81757
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    Cited by:

    1. Adrino Mazenda & Tyanai Masiya & Norman Nhede, 2018. "South Africa-BRIC-SADC Trade Alliances and the South African Economy," International Studies, , vol. 55(1), pages 61-74, January.

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    More about this item

    Keywords

    economic growth; BRICS; developing economies; economic integration.;
    All these keywords.

    JEL classification:

    • F02 - International Economics - - General - - - International Economic Order and Integration

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