Search

This study has investigated the connection between peace and performance of Pakistan's export sector. The interstates conflicts, terrorist activities and war elements disturb the industry supply chain, damage the means of transportation, and increase the security measures and regulations, which make trade more expensive. On the other hand, encouragement of the peace process lowers military conflicts, promotes diplomatic cooperation, and hence trade among the nations. The purpose of the study is to test whether domestic peace in Pakistan relative to its trading partners promotes its exports. For empirical analysis, we use panel data for Pakistan and its 26 trading partners in export over the period 2007–2018. After controlling the impacts of economic size, market size, infrastructure, and exchange rate, we found that peace in Pakistan relative to its trading partners is important to promote its export sector, which is directly linked with local industries and the wellbeing of individuals. The economic size and market size of the exporting nations relative to Pakistan also positively contributed towards the exports. The depreciation of Pakistan's exporting countries' currencies relative to its currency lowers the volume of exports. Besides, it is also observed that a major portion of Pakistan's exports is routed in a specific region or few countries. Therefore, it is suggested that the government should take active measures to reduce the internal as well as external conflicts, terrorists' attacks, and war elements to promote the volume of exports. [ABSTRACT FROM AUTHOR]

This study empirically examines the impact of institutional quality, social inclusion and digital inclusion on inclusive growth across different economies characterized by different income groups. Particularly, the study examines the impact of institutions on inclusive growth by using the panel data for 83 countries over the period 2010–2017. For empirical specification, we used two-steps system-GMM estimation technique to tackle endogeneity and min–max normalized indexing technique to construct the indices for inclusive growth, social inclusion, digital inclusion and institutional quality. The results of this study show that there is a direct link between institutional quality and inclusive growth for a higher-income group of countries but not in the rest of the income groups. Contribution of social and digital inclusivity is significant in all three income groups, except for social inclusion in middle-income countries. From the policy point of view, these findings suggest that establishing and strengthening the institutional structure in low- and middle-income countries can contribute towards better and higher inclusive growth. [ABSTRACT FROM AUTHOR]