LAUSR

Purpose - This study investigates the influence of systemic banking crises, currency crises and global financial crisis on the relationship of export and economic growth in China by using the annual time series data from the period of 1972 to 2014. Design/methodology/approach - The J. J. cointegration, ARDL bound testing cointegration approach and Gregory and Hansen (1996)’s cointegration approach with structural break confirm the valid long run relationship between considered variables. Findings - Results indicate the positive and significant effect of export of goods and services on economic growth in both long and short run. Whereas, the negative influence of systemic banking crises and currency crises over economic growth is observed. It is also concluded that the impact of export of goods and service on economic growth become insignificant in the presence of systemic banking crises and currency crises. The currency crises comparatively more effects the influence of export on economic growth as compare to systemic banking crises. Surprisingly, the export in the period of global financial crises have a positive and significant influence over economic growth in China, which conclude that the global financial crises did not drastically affect the export-growth nexus. Originality/value - This paper makes a unique contribution to the literature with reference to China, being a pioneering attempt to investigate the effects of systemic banking crises and currency crises on the relationship of export and economic growth by using long time series data and applying more rigorous techniques.