THE RELATIONSHIP BETWEEN EXPORT AND ECONOMIC GROWTH IN THE BRICS-T COUNTRIES: BOOTSRAP PANEL CAUSALITY ANALYSIS

Abstract

Author(s): Ali ALTINER** Vildan YAVUZ***

The relationship between exports and economic growth has an important role in discussing current policies and making future forecasts in each country. In the literature, the direction of this relationship has been examined from different perspectives. In many studies, although it is thought that export causes growth and it is an indispensable element for growth, it has been shown that growth affects export. In this study, it is aimed to empirically examine the relationship between export and economic growth by using the annual data of the period 1990-2017 in BRICS-T countries. In this context, firstly the cross-sectional dependence between series was analyzed and then the slope homogeneity was investigated with the Delta test. According to Konya (2006) panel causality test results, it has been seen a bilateral causality relations between export and economic growth in only South Africa. In addition, the results demonstrate that there is a unilateral causality relationship from economic growth to export in India, South Africa, Russia and Turkey. The results of the study show that the hypothesis of "export-led growth" and the “export drive growth” is valid in South Africa; however, the hypothesis of the export drive growth is valid in India, South Africa, Russia and Turk

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