Economic Growth Nexus Trade Liberalization in Ethiopia: Evidence from the Johnsons Multivariate Cointegration Analysis
The leading motivation behind every economy is to attain a high and sustained economic growth that could further support the overall objective of economic development. To achieve this broad objective, governments over the world have been pursuing various strategies compatible to their respective economies. Trade liberalization, hence is among the many alternatives being in effect towards facilitating the growth process. Countries have embarked themselves in popular economic policies that allow reduction and removal of barriers to trade such as tariff, quotas, and import controls. Among many policies that most countries including Ethiopia have decided to opt-for is trade liberalization of economies (Herath, 2010).
