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International Journal of Innovation and Applied Studies
ISSN: 2028-9324     CODEN: IJIABO     OCLC Number: 828807274     ZDB-ID: 2703985-7
 
 
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Trade Liberalization and Economic Performance in the ECOWAS Zone: A Granger Causality Analysis


Volume 27, Issue 4, November 2019, Pages 979–988

 Trade Liberalization and Economic Performance in the ECOWAS Zone: A Granger Causality Analysis

Lesfran Sam Wanilo Agbahoungba1 and Barthélémy Biao2

1 Economic and Management Research Unit (LAREG), University of Parakou, Benin
2 Economic and Management Research Unit (LAREG), University of Parakou, Benin

Original language: English

Copyright © 2019 ISSR Journals. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.

Abstract


Understanding the causal link between trade liberalization and economic performance enables a better analysis of the likely impact of the former on the latter and vice versa. It is also highly important for analyzing the potential of trade liberalization to improve people's well-being in the mid-long term. Thus, this paper seeks to analyze the causal relationship between trade liberalization and economic performance in the ECOWAS zone. The Granger causality approach has been applied to this end on a panel including twelve (12) countries over the period 2000-2017. The results show that trade liberalization does not cause any of the economic performance variables examined in the study. This raises the challenge for economic policy makers to rigorously assess trade agreements and policies and to take into account certain macroeconomic aspects and country-specific characteristics of the West African community.

Author Keywords: Trade liberalization, Economic performance, Granger causality, ECOWAS.


How to Cite this Article


Lesfran Sam Wanilo Agbahoungba and Barthélémy Biao, “Trade Liberalization and Economic Performance in the ECOWAS Zone: A Granger Causality Analysis,” International Journal of Innovation and Applied Studies, vol. 27, no. 4, pp. 979–988, November 2019.