October 2015

Savings, investment and economic growth in Lesotho: An empirical analysis

This paper empirically examines the relationship among saving, investment and economic growth in Lesotho for the period 1970 to 2012, with a view to contributing to the body of literature on this topic and informing economic policy design in Lesotho. Using autoregressive distributed lag (ARDL) bounds testing approach to cointegration and vector error correction model (VECM) based Granger causality test; the paper finds...

Author(s): Lira P. Sekantsi and Kalebe M. Kalebe