Imports and Exports of Pakistan Time Series (1970-2013)

Z Arshad, S Mukhtar, A Bibi, A Zia - International Journal of …, 2015 - ideas.repec.org
Z Arshad, S Mukhtar, A Bibi, A Zia
International Journal of Economics and Empirical Research (IJEER), 2015ideas.repec.org
Purpose: Imports and exports play a vital role for the economic prosperity of the any country.
Pakistan is a developing country and facing the trade deficit. In this paper we are trying to
find the time series behavior of import and export of Pakistan. Methodology: Unit root test
show that data is non stationary. Johansen co-integration indicate that only one co-
integration in imports and exports, exist the long run relationship between the both variables
(expo, impo). Findings: The bidirectional causality existing in long-run but there is unstable …
Purpose
Imports and exports play a vital role for the economic prosperity of the any country. Pakistan is a developing country and facing the trade deficit. In this paper we are trying to find the time series behavior of import and export of Pakistan.
Methodology
Unit root test show that data is non stationary. Johansen co-integration indicate that only one co-integration in imports and exports, exist the long run relationship between the both variables (expo, impo).
Findings
The bidirectional causality existing in long- run but there is unstable situation in short run of Pakistan import and export.
Recommendations
The finding of this paper show that Pakistan is not in violation of its international budget constraints.
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