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Does export variety determine economic growth in Pakistan?

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  • Ihtisham ul Haq
  • Shujin Zhu

Abstract

This study explores the impact of export variety on economic growth in Pakistan. Export variety is decomposed into export related (within sector) and unrelated variety (between sectors) to examine the long run effect of export related variety and unrelated variety on economic growth. For this purpose, we incorporated export related variety and unrelated variety into the production function. The result of cointegration test shows that variables of the study are cointegrated in the long run. The result of fully modified ordinary least squares confirms the positive and significant effect of export related variety and unrelated variety on economic growth. Furthermore, the long run estimates show that the magnitude of export related variety is more than export unrelated variety. This study also finds the positive and significant effect of human capital on economic growth in the long run. It can be deduced from the results of the study that a specific sector shock will not disturb the economic pace of Pakistan.

Suggested Citation

  • Ihtisham ul Haq & Shujin Zhu, 2019. "Does export variety determine economic growth in Pakistan?," Applied Economics Letters, Taylor & Francis Journals, vol. 26(7), pages 533-536, April.
    • Handle: RePEc:taf:apeclt:v:26:y:2019:i:7:p:533-536
    DOI: 10.1080/13504851.2018.1488036
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    Cited by:

    1. Tudorel Andrei & Bogdan Oancea & Andreea Mirică, 2022. "Agriculture export variety and the short and long run impact on agriculture export," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 68(4), pages 137-145.
    2. Ihtisham ul Haq & Bahtiyar Mehmed & Sisira Kumara Naradda Gamage & Piratdin Allayarov & Dilawar Khan & Zeeshan Zaib Khattak, 2022. "Nexus between export variety and carbon emissions in Pakistan: The role of FDI and technological development," PLOS ONE, Public Library of Science, vol. 17(1), pages 1-16, January.

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