Open AccessEconomies in Transition
Author(s) -
Davit Belkania
Publication year - 2020
Publication title -
regional and business studies
Language(s) - English
Resource type - Journals
eISSN - 2732-2726
pISSN - 2061-2311
DOI - 10.33568/rbs.2456
Subject(s) - economics , cointegration , spillover effect , granger causality , capital good , capital (architecture) , productivity , monetary economics , international economics , international trade , macroeconomics , econometrics , goods and services , economy , history , archaeology
The primary goal of this paper is the empirical assessment of the effects proceeded from exports on the economic growth of transition economies from both extensive and intensive margins. Preferred estimation methods are Granger causality test and panel regression/cointegration estimators. The study found that fostering export-oriented growth policy triggers technological progress/productivity increase through spillover effects attached to international trade (intensive growth). On the other hand, increasing trade volume/exports stimulate capital accumulation and simultaneously enhances the demand for imported capital and intermediate goods that further complements capital accumulation (extensive growth).Keywords: intensive growth, extensive growth, export, total factor productivity, capital accumulation