The Exports Structure and Economic Growth: the Evidence from China

This article investigates the relationship between export structure and economic growth for China by constructing a Vector Auto Regression (VAR) model. Causality is examined between Gross Domestic Product (GDP), primary commodities exports and manufactured commodities exports. By analyzing the results emerge from the empirical work, we can find that, first, the three variables are co-integrated, second, there is evidence of bidirectional causality between primary commodities exports and economic growth and one way causation relationship between manufactured commodities and economic growth for China.