Author

  • Francis Annan

    • Mississippi State University, USA
    • United States

  • Henry De-Graft Acquah

    • University of Cape Coast, Cape Coast, Ghana
    • Ghana

Abstract

This study examines the long-run relationship between exports and imports for the Ghanaian economy for the period of 1948 to 2010. Empirically, we find that Ghana’s exports and imports are cointegrated using Granger and Engle (1987) two-step procedure. However, the slope coefficients from the cointegration equations were not statistically equal to 1 and the equilibrium relationship further indicates that the economy of Ghana imports more than 1 dollar to get 1-dollar exports revenue. Conclusively, the sustainability of Ghana’s foreign deficit is doubtful.

Keywords

References

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How to Cite

Annan, F., & De-Graft Acquah, H. (2011). Testing Long Run Relationship between Exports and Imports: Evidence from Ghana. Journal of Economics and Behavioral Studies, 3(6), 381-387. https://doi.org/10.22610/jebs.v3i6.294

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Section

Research Paper

Published in

Vol. 3 No. 6 (2011) Volatility, Behaviour & Economic Modelling View issue contents

Published

2011-12-15

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