This paper investigates the causal relationship between export growth and economic growth in Japan by performing augmented Granger-causality tests using the bootstrap simulation technique. The estimated results show that the Granger-causality is bi-directional for the period 1960-1999. The established bi-directional causality suggests that the expansion of exports is an integral part of the economic growth process in Japan.
- Bootstrap simulation technique
- Export-led growth
- Output-driven export
ASJC Scopus subject areas
- Economics and Econometrics
- Political Science and International Relations