GLOBALIZATION AND ECONOMIC GROWTH: AN EMPIRICAL EVIDENCE FROM VIETNAM

The study intended to determine the impact of globalization on economic growth (development) in Vietnam between 1995 and 2017 using three components of the globalization index (economic, political, and social globalization) By employing the technique of the Autoregressive Distributed Lag (ARDL) cointegration, this study found that there was a Fong-term relationship between globalization, economic growth, and others macro variables of interest. The empirical findings showed that economic globalization globalization had negatively and significantly impacted the growth, while political globalization was found to have a positive influence on growth and no significant effect of social globalization on growth has been found in the long run. In the short run, there was no significant correlation among the three dimensions of globalization and growth, The empirical findings further showed that track openness affects growth positively whereas the extent of foreign direct investment to GOT affects economic growth negatively in the long-term as well as in the short-term.