KNUSTSpace >
Journal of Science and Technology (JUST) >
Journal of Science and Technology 2000- >
Please use this identifier to cite or link to this item:
http://hdl.handle.net/123456789/4983
|
Title: | Estimating an Aggregate import demand function for Ghana |
Authors: | Oteng-Abayie, E. F. Appiah-Nkrumah, J. |
Keywords: | Ghana, import demand variance decomposition real GDP relative prices. |
Issue Date: | 2009 |
Publisher: | Journal of Science and Technology |
Citation: | Journal of Science and Technology, Vol. 29, No. 2, Aug., 2009, pp 54-62 |
Abstract: | Imports are very crucial for the survival of a small open economy such as Ghana. In this paper,
we estimate an import demand function for Ghana for the period 1970 to 2002, as well as consider
the time series properties of the data. The time series behaviour of the data indicates a long
term relationship between real exchange rates, GDP, and merchandise import. Our empirical
estimates suggest that real income (GDP) is the main factor influencing imports in Ghana. The
results also indicate that economic growth (real GDP) and depreciation in the local currency
could stimulate increased demand for merchandise imports. Further analysis revealed that
shocks to imports, real GDP and real exchange rate are important in explaining various innovations
in the error variance of each of these variables at different time horizons and at different
magnitudes. Particularly, the evidence shows that at short time periods about 65%, 95% and
80% of shocks to real exchange rates, merchandise imports and GDP respectively, are attributed
to own shocks. |
Description: | Article published in the Journal of Science and Technology, Vol. 29, No. 2, Aug., 2009, pp 54-62 |
URI: | http://hdl.handle.net/123456789/4983 |
Appears in Collections: | Journal of Science and Technology 2000-
|
Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.
|