A Causal Relationship Between Selective Economic Growth Determinants In Pakistan (A Causality Analysis)

Authors

  • Munawar Jan Institute of Development Studies, Faculty of Rural Social Sciences The University of Agriculture, Peshawar-Pakistan
  • Himayatullah Khan Institute of Development Studies, Faculty of Rural Social Sciences The University of Agriculture, Peshawar-Pakistan

Abstract

This research paper aims to explore the causal relationship between economic growth determinants in Pakistan during the study period from 1990-2021. For this purpose, log linear regression model was analyzed. For analysis purpose descriptive statistics analysis, correlation analysis, and Pair-wise Granger Causality test has been utilized. Pair-wise Granger Causality test of economic growth model indicates that one-way causality exists between GDP and foreign remittance; GDP and imports; FDI inflows and inflation; FDI inflows and exports; foreign remittance and exports; foreign remittance and imports; exports and imports; exports and labour force participation rate; interest rate and exports; labour force participation rate and imports; interest rate and imports; and labour force participation rate and interest rate. While bidirectional causality exists between labour force participation rate and GDP.

Keywords: FDI Inflows, Economic Growth, Correlation, Pair-wise Granger Causality, and   Pakistan.

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Published

2025-07-26

How to Cite

Munawar Jan, & Himayatullah Khan. (2025). A Causal Relationship Between Selective Economic Growth Determinants In Pakistan (A Causality Analysis). Dialogue Social Science Review (DSSR), 3(7), 949–960. Retrieved from https://dialoguessr.com/index.php/2/article/view/777

Issue

Vol. 3 No. 7 (2025): (July)

Section

Articles