Employment, Trade Openness and Capital Formation: Time Series Evidence from Pakistan

Authors

  • Muhammad Imran Department of Economics, University of Sargodha, Pakistan Author
  • Maqbool Hssain Sial Department of Economics, University of Sargodha, Pakistan Author
  • Bedi Uz Zaman Department of Economics, University of Sargodha, Pakistan Author

DOI:

https://doi.org/10.62345/jads.2019.8.1.2967

Abstract

This study is an attempt to investigate the impact of gross fixed capital formation (GFCF), trade openness and wage proxy on employment in Pakistan. Annual data series is used from the period 1977 to 2010. Unit root test is used to check the properties of time series data. Johansen co-integration technique was applied to determine long run relationship. The empirical findings suggest that there are two co-integrating vectors during the concerned period of time in Pakistan. The study found a positive relationship of employment with GFCF and trade openness and negative with wage proxy. The value of ECM (-0.109558) also shows a significant speed of adjustment.

Author Biographies

  • Muhammad Imran, Department of Economics, University of Sargodha, Pakistan

    Department of Economics, University of Sargodha, Pakistan, Email: eco_imran@yahoo.com

  • Maqbool Hssain Sial, Department of Economics, University of Sargodha, Pakistan

    Department of Economics, University of Sargodha, Pakistan

  • Bedi Uz Zaman, Department of Economics, University of Sargodha, Pakistan

    Department of Economics, University of Sargodha, Pakistan

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Published

2019-03-30

Issue

Vol. 8 No. 1 (2019): Journal of Asian Development Studies, Volume 8, Issue 1 (March 2019)

Section

Articles

How to Cite

Employment, Trade Openness and Capital Formation: Time Series Evidence from Pakistan. (2019). Journal of Asian Development Studies, 8(1), 38-43. https://doi.org/10.62345/jads.2019.8.1.2967