Study on Interaction between Import and Export Trade and Economic Growth in Anhui Based on VAR Model
Yang Xian-chuan
Abstract
Yang Xian-chuan
Abstract
The paper fully analyzes the interaction between import and export trade and economic growth in Anhui,which is based on VAR model,establishing Cointegration equation and using Granger causality test of VEC model,impulse response.The results show that import trade,export trade and economic growth in Anhui have long term with Cointegration relationship: the positive pulling effect of export trade on economic growth is far greater than the inhibiting effect of import trade on economic growth;export trade and economic growth have one-way Granger causal relation,both import and export trade together constitute the economic growth of strong Granger;import and export trade impulse have an important impact on economic growth.At last,combining foreign trade and economic growth in Anhui actual situation,the author puts forward to policy suggestions of expanding foreign trade and maintaining economic growth.
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The paper fully analyzes the interaction between import and export trade and economic growth in Anhui,which is based on VAR model,establishing Cointegration equation and using Granger causality test of VEC model,impulse response.The results show that import trade,export trade and economic growth in Anhui have long term with Cointegration relationship: the positive pulling effect of export trade on economic growth is far greater than the inhibiting effect of import trade on economic growth;export trade and economic growth have one-way Granger causal relation,both import and export trade together constitute the economic growth of strong Granger;import and export trade impulse have an important impact on economic growth.At last,combining foreign trade and economic growth in Anhui actual situation,the author puts forward to policy suggestions of expanding foreign trade and maintaining economic growth.
Key concepts: Cointegration, Granger causality, Economics, Vector autoregression, International economics, International trade, Export trade, Impulse response