Ghartey, Edward E
Author Affiliation, Ana.
Economics; Faculty of Social Sciences
Causal relationship between exports and economic growth: Some empirical evidence in Taiwan, Japan and the U.S.
Date of Publication
Causal relationships between exports and economic growth are tested for Taiwan, the US and Japan. The variables are stationarized. The method of Hsiao (1979) is employed in finding the direction of causation. Wald and likelihood ratio tests confirm that exports growth causes economic growth in Taiwan, economic growth causes exports growth in the US, and a feedback causal relationship exists in Japan. Only terms of trade cause economic growth in Japan.....