RESEARCH OF SOCIAL SCIENCES (SMC-PRIVATE) LIMITED(ROSS) & PAKISTAN SOCIAL SCIENCES REVIEW (PSSR) adheres to Creative Commons Attribution-Non Commercial 4.0 International License. The authors submitting and publishing in PSSR agree to the copyright policy under creative common license 4.0 (Attribution-Non Commercial 4.0 International license). Under this license, the authors published in PSSR retain the copyright including publishing rights of their scholarly work and agree to let others remix, tweak, and build upon their work non-commercially. All other authors using the content of PSSR are required to cite author(s) and publisher in their work. Therefore, RESEARCH OF SOCIAL SCIENCES (SMC-PRIVATE) LIMITED(ROSS) & PAKISTAN SOCIAL SCIENCES REVIEW (PSSR) follow an Open Access Policy for copyright and licensing.
How to Cite
An Empirical Study on Linkage between Monetary Instrument and Economic Growth in Pakistan: A New Evidence
Abstract
This research is going to analyses the linkages between the monetary policy instruments which have a great influence on economic growth in Pakistan. Monetary policy a kind of demand management policy that deals with the stabilization and the economic growth of the economy with a high level of employment and a moderate price level. Analysis has been done by utilizing the time series data for the period 1975-2019. By testing the time series for unit root we have estimated the relationship with the ARDL model. The study has used Gross domestic product growth rate, Consumption expenditure, Inflation, Gross domestic saving, Gross national expenditure, money supply M2. It has been concluded that expansion in money supply and employment opportunities has a positive impact on growth both in the long and short run. It has been suggested govt. must consider the monetary policy to control the economic activity and to stabilize the economy both in the short and in the long run.
Authors
Farhana Nosheen
Assistant Professor, Department of Economics, Govt. Associate College for Women Muzafarabad, Multan, Punjab, Pakistan
Hina Ali
Assistant professor, Department of Economics, The Women University Multan, Punjab, Pakistan
Nazia Nasir
Research Scholar, Department of Economics, The Women University Multan, Punjab, Pakistan
