NEXUS BETWEEN ECONOMIC FREEDOM AND ECONOMIC GROWTH: AN EMPIRICAL STUDY OF UAE THROUGH BOUNDS TESTING APPROACH

This research used co integration bounds tests based on annual time series data from 1996 to 2020 to examine the long- term and short-term effects of different determinants of the GDP economic freedom index on GDP Per Capita PPP $ in United Arab Emirates (UAE). Three determinants out of eight are found as significant regressors, based on descriptive statistics, and therefore focused on the study. These are Financial Freedom (FinF), Freedom from corruption (FFC) and Trade Freedom (TF). This study also recommends to enhance the leftover determinants of economic freedom to boost the country's economic growth.