An econometric analysis of the macroeconomic determinants impact of gross domestic product (GDP) in Bangladesh

Resumen

The research shows that Bangladesh's Gross Domestic Product (GDP) has a causal relationship with exports, imports, and inflation. The study also reveals that the issue of export, import, and inflation has become a vital weapon of Gross Domestic Product (GDP) growth for Bangladesh, bringing in technological development as well as capital investment and human capital knowledge alike needed for economic growth. Bangladesh is a developing country and its economy has been hit by the trade deficit since its inception. According to this view, this paper purposes to study the relationship to export, import inflation, and economic growth by the co-integration and the Vector Autoregressive Model (VAR) test. The empirical analysis has been conducted by using annual secondary data for the year 1982-2019. The results obtained concluded that the series was present and that the regression model was significant. Based on the results, exports had a positive but not significant relationship to GDP. Imports, on the other hand, had an insignificant and negative relationship to GDP. Inflation is a significant and positive relationship to GDP.