Aggregate Consumption Expenditure and Economic Growth: Evidence from Bangladesh

Aggregate Consumption Expenditure and Economic Growth: Evidence from Bangladesh

Sima Rani Dey

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Mohammed Tareque

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Bangladesh Institute of Governance and Management

Aggregate Consumption Expenditure and Economic Growth: Evidence from Bangladesh

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Abstract

This paper attempts to investigate the relationship between aggregate consumption expenditure and economic growth of Bangladesh using the ARDL Bounds Test approach. The study reveals that consumption expenditure and GDP have a significant impact on each other. Granger non-causality test also has been carried out, and the test reveals that unidirectional causal relationship is running from aggregate consumption expenditure to GDP. Bilateral causality exists between GDP and capital investment. The findings suggest that consumption enhancing fiscal and monetary policies can also boost the economic growth in the context of Bangladesh. That’s because Bangladesh is still operating on the relatively flatter part of its longrun supply curve.

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Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

Ethical Approval

No ethics committee approval was required for this article type.

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Not applicable for this article.

How to Cite This Article

Sima Rani Dey. 2018. \u201cAggregate Consumption Expenditure and Economic Growth: Evidence from Bangladesh\u201d. Global Journal of Management and Business Research - B: Economic & Commerce GJMBR-B Volume 18 (GJMBR Volume 18 Issue B5).

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GJMBR Volume 18 Issue B5

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Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

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Classification

GJMBR-B Classification JEL Code: F43

Submission ReceivedDecember 8, 2017
Peer Review Double Blind
Handling Editor
Accepted January 4, 2018
Published January 15, 2018

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v1.2

Issue date

July 30, 2018

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Article Matrices

Total Score: 102

Country: Bangladesh

Subject: Global Journal of Management and Business Research - B: Economic & Commerce

Authors: Sima Rani Dey, Mohammed Tareque (PhD/Dr. count: 0)

View Count (all-time): 238

Total Views (Real + Logic): 3204

Total Downloads (simulated): 1496

Publish Date: 2018 07, Mon

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Total Views: 3204

Total Downloads: 1496

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