Exports Diversification and Economic Growth: Case of Jordan and other

Jordan - 19 November 2012

A large body of empirical literature has explored the linkages between exports diversification and output growth. However, empirical verification remains indecisive and the topic remains open to discussion.
This paper examines the relationship between exports diversification and economic growth in Jordan and group of Arab countries including Jordan. Overall, we found that exports diversification had no significant effect on economic growth during the study period. This suggests that greater emphasis on exports diversification should be given to trade and industrial policies in Jordan and the other Arab countries. Efforts should be directed toward investigating exports sectors that enhance economic growth in each country in order to answer the question whether to specialize or to diversify

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