Empirical Analysis Of Trade Liberalization, Exports And Imports On Libyan Economy With Special Reference To Agricultural Sector

Since the freezing of international sanctions on the Libyan economy in 1999, the government has been gradually applying measures to develop the country’s economy through policies that advocate economic openness. At the same time, in order to meet the conditions for World Trade Organization membershi...

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Main Author:	Youssef Abdulhamid Mustafa Alkhurmani
Format:	Thesis
Language:	en_US
Subjects:	Free trade Agriculture Libyan Economy
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id	my-usim-ddms-13176
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spelling	my-usim-ddms-131762024-05-29T05:47:52Z Empirical Analysis Of Trade Liberalization, Exports And Imports On Libyan Economy With Special Reference To Agricultural Sector Youssef Abdulhamid Mustafa Alkhurmani Since the freezing of international sanctions on the Libyan economy in 1999, the government has been gradually applying measures to develop the country’s economy through policies that advocate economic openness. At the same time, in order to meet the conditions for World Trade Organization membership and embrace a more open and integrated economy with the rest of the world, Libya has introduced several steps towards trade policy reforms over the last decade. This study therefore investigates the impact of exports and imports on economic and agricultural growth under the application of trade liberalization and merchandise import demand. The thesis investigated three different aspects of the opennesss-growth nexus. Firstly, by applying the Autoregressive Distributed Lag Model to test the long-run relationship among the variables. The results confirm the long run relationship among the series and exports and imports have a positive and negative impact on economic and agricultural growth respectively. Furthermore, dummy liberalization was found to be negatively related. Secondly, based on vector Estimated Error-Correction model, the study investigated the Granger Causality through taking into account the polices of trade liberalization as an exogenous variable. The empirical results reveal a unidirectional causal relationship running from GDP growth to exports, a unidirectional causality between agricultural imports and agricultural growth in the short run. Finally, the Generalized Impulse Response Function framework was employed to test the direction of the casuality between trade openness policies and the dependent variable on both model beyond the selected time period. The finding indicates that the hypothesis of Export Led Growth and Import-Led Growth have been supported in the economic model, and only the Import-Led Growth have been supported in the economic model, and only the Import-Led Growth hypothesis proposition is not held in the agricultural model. The results conclude that there is a long-term cointegrating relationship between the series as predicted by economic theory. Importantly, the effect of a trade liberalization on the merchandise import was negative and insignificant in the short run, suggesting that the liberalization policies cannot play a helpful role for the merchandise import. Universiti Sains Islam Malaysia 2020-07 Thesis en_US https://oarep.usim.edu.my/handle/123456789/13176 https://oarep.usim.edu.my/bitstreams/57619e7a-b208-4fce-9286-6e1b3b0d3a0b/download 8a4605be74aa9ea9d79846c1fba20a33 Free trade Agriculture Libyan Economy
institution	Universiti Sains Islam Malaysia
collection	USIM Institutional Repository
language	en_US
topic	Free trade Agriculture Libyan Economy
spellingShingle	Free trade Agriculture Libyan Economy Youssef Abdulhamid Mustafa Alkhurmani Empirical Analysis Of Trade Liberalization, Exports And Imports On Libyan Economy With Special Reference To Agricultural Sector
description	Since the freezing of international sanctions on the Libyan economy in 1999, the government has been gradually applying measures to develop the country’s economy through policies that advocate economic openness. At the same time, in order to meet the conditions for World Trade Organization membership and embrace a more open and integrated economy with the rest of the world, Libya has introduced several steps towards trade policy reforms over the last decade. This study therefore investigates the impact of exports and imports on economic and agricultural growth under the application of trade liberalization and merchandise import demand. The thesis investigated three different aspects of the opennesss-growth nexus. Firstly, by applying the Autoregressive Distributed Lag Model to test the long-run relationship among the variables. The results confirm the long run relationship among the series and exports and imports have a positive and negative impact on economic and agricultural growth respectively. Furthermore, dummy liberalization was found to be negatively related. Secondly, based on vector Estimated Error-Correction model, the study investigated the Granger Causality through taking into account the polices of trade liberalization as an exogenous variable. The empirical results reveal a unidirectional causal relationship running from GDP growth to exports, a unidirectional causality between agricultural imports and agricultural growth in the short run. Finally, the Generalized Impulse Response Function framework was employed to test the direction of the casuality between trade openness policies and the dependent variable on both model beyond the selected time period. The finding indicates that the hypothesis of Export Led Growth and Import-Led Growth have been supported in the economic model, and only the Import-Led Growth have been supported in the economic model, and only the Import-Led Growth hypothesis proposition is not held in the agricultural model. The results conclude that there is a long-term cointegrating relationship between the series as predicted by economic theory. Importantly, the effect of a trade liberalization on the merchandise import was negative and insignificant in the short run, suggesting that the liberalization policies cannot play a helpful role for the merchandise import.
format	Thesis
author	Youssef Abdulhamid Mustafa Alkhurmani
author_facet	Youssef Abdulhamid Mustafa Alkhurmani
author_sort	Youssef Abdulhamid Mustafa Alkhurmani
title	Empirical Analysis Of Trade Liberalization, Exports And Imports On Libyan Economy With Special Reference To Agricultural Sector
title_short	Empirical Analysis Of Trade Liberalization, Exports And Imports On Libyan Economy With Special Reference To Agricultural Sector
title_full	Empirical Analysis Of Trade Liberalization, Exports And Imports On Libyan Economy With Special Reference To Agricultural Sector
title_fullStr	Empirical Analysis Of Trade Liberalization, Exports And Imports On Libyan Economy With Special Reference To Agricultural Sector
title_full_unstemmed	Empirical Analysis Of Trade Liberalization, Exports And Imports On Libyan Economy With Special Reference To Agricultural Sector
title_sort	empirical analysis of trade liberalization, exports and imports on libyan economy with special reference to agricultural sector
granting_institution	Universiti Sains Islam Malaysia
_version_	1812444702846222336

Empirical Analysis Of Trade Liberalization, Exports And Imports On Libyan Economy With Special Reference To Agricultural Sector

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