The relationship between trade and growth has been central to development economics with particular emphasis on the export-growth dynamic. The current paper is in the tradition of this literature but develops two new strands. First, it examines the exports-growth link in a dynamic fashion, providing a more rigorous approach than has been attempted previously. Second it explores the role of export composition in determining growth performance. By constructing a panel of 69 countries and using the dynamic model, the results generated suggest that there is a strong positive relationship between exports and growth. Further, it is apparent that the composition of those exports is important in determining the strength of growth.
Greenaway et al. (Mon,) studied this question.