EXTERNAL DEBT AND GROWTH IN ARMENIA

Abstract

Present paper investigates the effect of external debt on the economic growth using the quarter data from 1997 to 2008 of Armenian economy. We argue that in order to obtain the expected effect it’s necessary to combine all factors which have direct impact or indirect connection with HIPS countries. We showed that this principle would increase the productivity of Armenian economy. Furthermore, we showed the presence of the correlation between the studied indicators. The evaluation of these indicators and their influence on the economy is studied. This study provides calculations of the productivity of the national economy.