The impact of trade openness on economic growth: The case of Cote d’Ivoire

By Y. Keho. 2017

510 citations recorded by the source corpus.

Abstract The relationship between trade openness and economic growth has been extensively investigated yielding to mixed and inconclusive results. This might be attributed to the omission of the role of capital stock and labor in the trade-growth nexus. This paper examines the impact of trade openness on economic growth for Cote d’Ivoire over the period 1965–2014 in a multivariate framework including capital stock, labor and trade openness as regressors. It uses the Autoregressive Distributed Lag bounds test to cointegration and the Toda and Yamamoto Granger causality tests. The results show that trade openness has positive effects on economic growth both in the short and long run. Furthermore, they reveal a positive and strong complementary relationship between trade openness and capital formation in promoting economic growth.

Subfields: Economics and Econometrics

View Paper: https://www.semanticscholar.org/paper/19d0e1ba391766e16cb82d36a2aa02570d9d05e7

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In Economics and Econometrics

Citations in the corpus

The asymmetric effect of trade openness on economic growth in South Africa: a nonlinear ARDL approach (2020, background): “On the one hand, a growing number of scholars has found a beneficial effect of trade openness on economic growth (Malefane and Odhiambo 2018; Kabuga and Ismail 2018; Keho 2017; Kabuga and Hussaini 2017; Vedia-Jerez and Chasco 2016; Adamu et al.”
The Nexus between Entrepreneurship and Economic Growth: A Comparative Analysis on Groups of Countries (2020, background): “Openness to trade has a positive impact on economic growth both in the short and long run [64], but countries exporting higher quality products and new varieties grow more rapidly [65].”