NAVIGATING MACROECONOMIC PULL OVERS OF ECONOMIC GROWTH OF PAKISTAN

Abstract

This study explores the role of the macroeconomic pull of economic growth of Pakistan. This study employs the (Autoregressive Distributive Lag) ARDL model to check the association among dependent and independent variables. This study uses economic growth (GDP) as a dependent variable, and human capital, labor force, financial development, and trade as independent variables. Time series data is engaged from 1998 to 2022 from WDI. The results of the ARDL show that in the long run, all variables are positively significant except financial development, inflation, and government expenditure. In the short period, all variable impacts on economic growth are positive, and financial development is insignificant. Policymakers and government officials ought to focus on maintaining appropriate macroeconomic stance to achieve sustainable economic growth in Pakistan.