Paper Details
Title Total Factor Productivity and Economic Growth of Pakistan: A Time Series Analysis
AuthorsGHULAM YAHYA KHAN, MEHRAN DIN MUHAMMAD and SALIK MEHBOOB
Abstract

The investigation of contribution of total factor productivity to economic-growth for Pakistan for period 1978-2019 was objective of current article. Johanson and Jusilies (1988, 1995) Co integration technique has been used to estimate the growth equation. Using growth accounting approach for estimation of total factor productivity. Labour force, physical-capital, human-capital and trade openness used as a set of control variables. To study the serial correlation we have use LM test. Wald test have been use as a coefficient diagnostic that have reported the existence of the short run relations ship also among the variable(s). The Granger-Causality test measure Causality of variables that shows some of variables had a Bi-directional causality and some of them have uni-directional causality. The study used collected data from world development indicators. In the particular, study found that there is long run relationship in TFP and Economic-growth as well as in short-run. This study is (i) among one of very few country specific investigations exploring Total Factor productivity (TFP) and growth nexus (ii) Using an advanced time series technique on most recent data set.
Keywords: Economic Growth, Cointegration, human capital, trade openness, Granger Causality, Pakistan.

Pages 228-241
Volume 9
Issue 3
Part 2
File Name Download (578)
DOI/AUN 10.30543/9-3(2020)-18

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