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The Role of Global Economic Growth in Pakistani Agri-Food Exports

  • Zahoor Ul Haq

    (Faculty of Arts at Abdul Wali Khan University Mardan, Khyber Pakhtunkhwa)

  • Mohamed Gheblawi

    (Department of Agribusiness and Consumer Sciences, United Arab Emirates University, UAE)

  • Safdar Muhammad

    (Department of Agribusiness and Consumer Sciences, United Arab Emirates, University, UAE)

This analysis uses least squares and Heckman maximum likelihood estimation procedures with fixed effects to explore the role of economic growth in 36 developed and developing economies—categorised as low-, lower-middle-, upper-middle-, and highincome—in explaining their agri-food import of 29 products from Pakistan during 1990 to 2000. We reject the hypothesis that the economic growth of these economies does not influence Pakistani agri-food product exports. However, the estimated income elasticities are statistically elastic only for lower-middle income countries, suggesting that their expenditure on Pakistani agri-food exports will increase disproportionately as their economies grow. Hence, lower-middle-income countries provide good export opportunities for Pakistan’s agri-food products.

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Article provided by Pakistan Institute of Development Economics in its journal The Pakistan Development Review.

Volume (Year): 50 (2011)
Issue (Month): 3 ()
Pages: 245-256

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Handle: RePEc:pid:journl:v:50:y:2011:i:3:p:245-256
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