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Is the Export-Led Growth Hypothesis Valid for Sri Lanka? A Time-Series Analysis of Export-Led Growth hypothesis

Author:

W A Dilrukshini

Economic Research Department of the Central Bank of Sri Lanka, LK
About W
Mrs. W A Dilrukshini is a Senior Economist of the Economic Research
Department of the Central Bank of Sri Lanka. Her research
interests are mainly in the areas of International Trade and Fiscal
Policy issues. She has obtained a B.A. Honours Degree in
Economics from the University of Colombo and M.Sc. in
Economics from the Australian National University, Australia.
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Abstract

This study examines the validity of the export-led growth hypothesis (ELG) for Sri Lanka using annual data over the period 1960-2005, employing time-series analysis techniques of cointegration, causality, Vector Auto Regressions (VARs) and Impulse Response Functions (IRFs). This study controls for other macroeconomic variables that might have a significant effect on export-economic growth relationship. The findings do not provide empirical support for the export-led growth hypothesis for Sri Lanka.

DOI: 10.4038/ss.v38i1.1222

Staff Studies Volume 38 Numbers 1& 2 2008 p.75-94

Keywords: Export-led growth 
How to Cite: Dilrukshini, W.A., (2009). Is the Export-Led Growth Hypothesis Valid for Sri Lanka? A Time-Series Analysis of Export-Led Growth hypothesis. Staff Studies. 38(1), pp.75–94. DOI: http://doi.org/10.4038/ss.v38i1.1222
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Published on 14 Oct 2009.
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