Abstract
The aim of this paper is to analyze the relationship between international trade and economic and financial development for Poland for the period 1990–2016. For this long run relationship we apply the autoregressive distributed lag—ARDL technique as it was formed by Pesaran and Shin (Econometrics and economic theory in the 20th century. The Ragnar Frisch centennial symposium. Cambridge University Press, Cambridge, 1999) and Pesaran et al. (J Appl Econ 16:289–326, 2001) as well as the augmented Cobb-Douglas production function formed by Mankiw et al. (Quart J Econ 107:407–437, 1992). The results of ARDL test confirm the existence of long run relationship between examined variables. Capital seems to be an impetus of economic development both in the short and long run, while labor has a negative impact in Poland’s economic growth. However, trade openness and financial development found to be insignificant on economic development both in the short and long run. Finally, causality results showed that there is a unilateral causal relationship between financial development and labor towards economic development and also a bilateral causal relationship between capital and trade openness with economic development.
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Dritsaki, C., Stamatiou, P. (2018). Cobb-Douglas Production Function: The Case of Poland’s Economy. In: Tsounis, N., Vlachvei, A. (eds) Advances in Time Series Data Methods in Applied Economic Research. ICOAE 2018. Springer Proceedings in Business and Economics. Springer, Cham. https://doi.org/10.1007/978-3-030-02194-8_31
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