Export-led Growth: Some Recent Evidence from India

Santhosh Kumar P K

Assistant Professor

Department of Economics

CHRIST (Deemed to be University)

Bangalore, India

 

 

Executive Summary

 

The economic development and growth literature encompasses comprehensive discussions on connections amid exports and commercial growth. One debate centres on whether states ought to advance the export sector to attain economic growth. This study examines the validity of the export-led growth hypothesis in the Indian economy. We use annual time series data for the period 1970 to 2012 in an export augmented framework. Applying popular time series econometric methods of cointegration and vector error correction estimation, the study provides the facts of stationarity of time series variables, existence of long-run equilibrium relation between them, and finally, the acceptance of export led growth hypothesis for India by the Granger causality test based on vector error correction model estimation.

Keywords: Export-led growth, Cointegration, VELM, Granger causality

 

 

ISBN 978-93-82305-18-7

Working paper: Vol 5 (2013-14)

Pages: vii, 19

Price: available on request

Funded by Centre for Research-Projects-CHRIST (Deemed to be University)