Exports-Economic Growth Causality: Evidence from CEE Countries
Abstract
hypothesis (GLE) for the Central and Eastern European Countries (Bulgaria, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovenia, Slovakia) through cointegration and causality tests. The estimation is carried out within finite-order vector autoregressive (VAR) models in levels, in first-differences and error correction models. When considering bivariate systems, causality from exports to GDP is obtained for Bulgaria, the Czech Republic, Estonia, Latvia and Lithuania. Causality from GDP to exports is indicated for Bulgaria, the Czech Republic, Estonia, Hungary, Lithuania, Romania and Slovenia. We also investigate if the above results still hold when including the other relevant component of the foreign trade, i.e. imports. In trivariate systems, ELG remains valid in the Czech Republic only and becomes valid in Lithuania while GLE is validated in Hungary, Romania and Slovenia.Download Info
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Article provided by Institute for Economic Forecasting in its journal Romanian Journal for Economic Forecasting.
Volume (Year): 6 (2009)
Issue (Month): 2 (June)
Pages: 105-117
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Related research
Keywords: CEE countries; exports; economic growth; imports; cointegration; Granger causality;Find related papers by JEL classification:
- F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
- C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models
- O57 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Simut Ramona, 2012. "The Impact Of Investments, Exports, And Openness On Economic Growth. A Comparative Study On The East European Countries," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(2), pages 420-425, December.
- Daniela Zapodeanu & Mihail Ioan Cociuba, 2010. "Linking Money Supply With The Gross Domestic Product In Romania," Annales Universitatis Apulensis Series Oeconomica, Faculty of Sciences, "1 Decembrie 1918" University, Alba Iulia, vol. 1(12), pages 50.
- Dajcman, Silvio & Festic, Mejra, 2012. "The Interdependence of the Stock Markets of Slovenia, The Czech Republic and Hungary with Some Developed European Stock Markets – The Effects of Joining the European Union and the Global Financial C," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(4), pages 163-180, December.
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