Econometric analysis of impact of external trade on economic growth. Econometric Analysis of the Impact of External Trade on Economic Growth Rwanda’s experience :( 1995q4 – 2011q4)

      Аннотация: The work entitled “Econometric analysis of the impact of external trade on economic growth in Rwanda” highlights an econometric analysis of the impact of external trade sector on economic growth in Rwanda for the period of 1995Q4-2011Q4. Given that 90% of the population is working in the agricultural sector and the majority of these produce for subsistence or for very local markets, the Government of Rwanda is committed to reducing the percentage of the population relying on subsistence farming and hence increasing Rwanda’s measured and tradable output. The set target is to reduce the proportion of people working in the agricultural sector by 40 percent i.e. from 90% to 50% of the workforce by 2020. The role of external trade as an engine of economy justifies the interest of the present study and it aimed at finding answers to the following questions: What is the influence of External trade on Economic growth of Rwanda? Does Foreign Direct Investment and Transfers accelerate the Rwandan economy? Is there any long term or short term relationship between external trade and GDP?

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