Heliyon (Aug 2022)
The causal nexus between imports and economic growth in China, India and G7 countries: granger causality analysis in the frequency domain
Abstract
This research examine the causal nexus between imports and economic growth in China, India and G7 economies. We use BC granger causality analysis in the frequency domain short (temporary) and long term (permanent) causality. Our results suggested that, there is a frequency domain (high and low) proof of the bi-directional causal nexus between imports and economic growth. The imports and economic growth in most economies seem to be long-term and short-term dependent. This empirical study shows that policymakers of these big economies need to analyze the transformation in the import-economic growth causality robustness throughout the year when planning policy actions.
