Advanced Search
MyIDEAS: Login

Testing export-led growth in South Asia

Contents:

Author Info

  • Jim Love
  • Ramesh Chandra

Abstract

Purpose – The purpose of this paper is to test the export-led growth hypothesis for South Asia, a diverse region consisting of one large country, India, surrounded by a number of medium and small countries such as Pakistan, Bangladesh, Sri Lanka, Nepal, Bhutan and Maldives. Design/methodology/approach – To test this, the study employs cointegration and error-correction modelling, using data from the International Financial Statistics of the IMF. Findings – The study produces fairly mixed results, and does not find any conclusive evidence in favour of export-led growth. While India, Maldives and Nepal exhibit export-led growth, Bangladesh and Bhutan show the opposite result of growth-led exports. In Pakistan and Sri Lanka no causality in either direction was found. The mixed nature of the results is further confirmed by taking a common time period since 1980. Practical implications – South Asia is one of the poorest regions of the world; so success or otherwise of export-led growth is of great interest for policy purposes. For example, the finding of export-led growth for the largest economy of the region, India, is particularly heartening as, by opening up its markets further to the other countries of the region, it can fuel growth in the entire region. Originality/value – This study tries to fill an important gap in the literature as it is the first comprehensive study of the region as a whole.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.emeraldinsight.com/Insight/viewContentItem.do;jsessionid=AAFEA879917967DFA9896AAE3A244D99?contentType=Article&contentId=1501503
Download Restriction: Cannot be freely downloaded

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Bibliographic Info

Article provided by Emerald Group Publishing in its journal Journal of Economic Studies.

Volume (Year): 32 (2005)
Issue (Month): 2 (May)
Pages: 132-145

as in new window
Handle: RePEc:eme:jespps:v:32:y:2005:i:2:p:132-145

Contact details of provider:
Web page: http://www.emeraldinsight.com

Order Information:
Postal: Emerald Group Publishing, Howard House, Wagon Lane, Bingley, BD16 1WA, UK
Email:
Web: http://www.emeraldinsight.com/jes.htm

Related research

Keywords: Cause and effect analysis; Development; Economic growth; Exports; South Asia;

References

No references listed on IDEAS
You can help add them by filling out this form.

Citations

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

Cited by:
  1. Akmal, Muhammad Shahbaz & Ahmad, Khalil & Ali, Muhammad, 2009. "Exports-Led Growth Hypothesis in Pakistan: Further Evidence," MPRA Paper 16043, University Library of Munich, Germany.
  2. Muhammad Jamil & Rao Muhammad Atif & Khalid Zaman, 2013. "Internal and External Determinants of Economic Growth: A closer look at Pakistan’s Economy," Romanian Economic Journal, Department of International Business and Economics from the Academy of Economic Studies Bucharest, vol. 16(49), pages 73-90, September.
  3. Rahman, Mohammad Mafizur & Shahbaz, Muhammad, 2011. "Do Imports and Foreign Capital Inflows Lead Economic Growth? Cointegration and Causality Analysis in Pakistan," MPRA Paper 29805, University Library of Munich, Germany, revised 24 Mar 2011.
  4. László Kónya & Jai Pal Singh, 2006. "Exports, Imports and Economic Growth in India," Working Papers 2006.06, School of Economics, La Trobe University.
  5. Ferda Halicioglu, 2007. "A Multivariate Causality Analysis of Export and Growth for Turkey," EERI Research Paper Series EERI_RP_2007_05, Economics and Econometrics Research Institute (EERI), Brussels.
  6. Saima Siddiqui & Sameena Zehra & Sadia Majeed & Muhammad Sabihuddin Butt, 2008. "Export-Led Growth Hypothesis in Pakistan: A Reinvestigation Using the Bounds Test," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 13(2), pages 59-80, Jul-Dec.
  7. Muhammad, Shahbaz & Pervaz, Azeem & Ahmad, Khalil, 2011. "Exports-led growth hypothesis in Pakistan: further evidence," MPRA Paper 33617, University Library of Munich, Germany, revised 18 Sep 2011.
  8. Hye, Qazi Muhammad Adnan & Wizarat, Shahida & Lau, Wee-Yeap, 2013. "Trade-led growth hypothesis: An empirical analysis of South Asian countries," Economic Modelling, Elsevier, vol. 35(C), pages 654-660.
  9. Tronzano, Marco, 2010. "Reassessing the Dynamic Links between Trade and Growth: New Empirical Evidence from India - Un riesame delle relazioni tra commercio estero e crescita economica:nuova evidenza empirica per l’India," Economia Internazionale / International Economics, Camera di Commercio di Genova, vol. 63(2), pages 217-244.
  10. repec:ebl:ecbull:v:30:y:2010:i:1:p:204-218 is not listed on IDEAS
  11. Zahid Asghar, 2011. "A Structural Approach for Testing Causality," International Econometric Review (IER), Econometric Research Association, vol. 3(2), pages 1-12, September.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:eme:jespps:v:32:y:2005:i:2:p:132-145. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Virginia Chapman).

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 references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.

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