This study aims investigate the short-and long-run causal relationship between foreign trade and economic growth in Libya over the study period of 1990 -2017. This study employs Johansen co-integration test, the error correction model (VECM), and Wald test to meet the objective of the study. The variables utilised in this study are gross domestic product (GDP) growth rate, exports and imports; the data is extracted from various sources such as the Libyan Central Bank and Libyan Ministry of Planning. The results of this study indicate there is a long-run relationship between the foreign trade and economic growth in Libya. In this vein, there is a short-run causality running from exports and imports toward economic growth.
The agricultural sector is the second largest sector contributing to the economy of Libya; yet empirical studies focusing on Libyan agricultural sector appear to be limited. Hence, the paper aims to investigate the causal relationship between agricultural labour and agricultural GDP in Libya over the study period of 2000-2019. The method employed in this study is the timeseries technique which consists of the unit-root tests, cointegration and the Granger causality test. The results of this study show that there is a cointegration between variables as per the Johansen Co integration test, while there is a uni-directional causal relationship running from agricultural GDP to agricultural labour in the long and short-run. Nevertheless, agricultural labour does not cause agricultural GDP in the long and short run. The findings imply that the Libyan government should focus more on the integration of technology advancement in the agricultural sector.
The relationship between financial development and economic growth has been subject to the considerable debate in the literature of development and growth. Hence, this study aims to investigate the long-run relationship between financial development and economic growth of China over the period 1988 to 2018. This study employed Johansen's Cointegration and Granger Causality analysis to achieve the objectives of the study. The findings of this study indicate there is a long-run relationship between financial development and economic growth in China.
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