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Export and Economic Growth in the Case of the Manufacturing Industry: Panel Data Analysis of Developing Countries

Author

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  • Emine KILAVUZ

    (Erciyes University, Faculty of Economics and Administrative Sciences, Kayseri, Turkey.)

  • Bet l ALTAY TOPCU

    (Erciyes University, Kayseri Vocational School, Kayseri, Turkey)

Abstract

The correlation between growth in export and economic growth, which is called Export-led Growth Hypothesis in the literature, is still a current issue in both the theoretical and empirical literature. In the present study, the effect of different classifications of export and import on economic growth in 22 developing countries in the 1998 2006 period was tested based on two models, via panel data analysis. According to the results of the first model, the analysis of which included variables such as high and low-tech manufacturing industry exports, investment and population, it was found that only two variables, high-tech manufacturing industry export and investment, have a positive and significant effect on growth. In addition to the first model which included the analysis of all variables, the second model investigated the effect of high and low-tech manufacturing industry imports on growth. The findings revealed that only high-tech manufacturing industry export, investment and low-tech manufacturing industry import have a positive and significant effect on growth.

Suggested Citation

  • Emine KILAVUZ & Bet l ALTAY TOPCU, 2012. "Export and Economic Growth in the Case of the Manufacturing Industry: Panel Data Analysis of Developing Countries," International Journal of Economics and Financial Issues, Econjournals, vol. 2(2), pages 201-215.
    • Handle: RePEc:eco:journ1:2012-02-8
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    6. Teboho Jeremiah Mosikari & Mmamontsho Charlotte Senosi & Joel Hinaunye Eita, 2016. "Manufactured exports and economic growth in Southern African Development Community (SADC) region: A panel cointegration approach," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 12(5), pages 266-278, OCTOBER.
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    More about this item

    Keywords

    High and Low-tech Manufacturing Industry Imports and Exports; Economic Growth; Export-led Growth Hypothesis; Developing Countries; Panel Data Analysis;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies

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