Correlations

Per capita GDP

GDP growth %
GDP growth %

Pearson Correlation

growth %

Per capita GDP growth %

Pearson Correlation
Sig. (2-tailed)
N

Inflation rate

-.096

-.383*

-.433*

.241

.000

.594

.028

.012

.176

33

33

33

33

33

33

.990**

-.092

-.482**

-.492**

.263

.611

.005

.004

.140

.000

33

33

33

33

-.096

-.092

.295

.113

-.276

.594

.611

.096

.532

.120

33

33

33

33

33

**

.295

**

-.387*

.028

.005

.096

.004

.026

33

33

33

33

33

33

**

.113

**

-.336

.012

.004

.532

.004

33

33

33

33

33

33

Pearson Correlation

.241

.263

-.276

-.387*

-.336

Sig. (2-tailed)

.176

.140

.120

.026

.056

33

33

33

33

33

Pearson Correlation

Pearson Correlation
Sig. (2-tailed)
N
Pearson Correlation
Sig. (2-tailed)
N

Export %

-.383

-.433

**. Correlation is significant at the 0.01 level (2-tailed).

*. Correlation is significant at the 0.05 level (2-tailed).

From the above correlation we can see the correlation of

1.
2.
3.
4.

Export %

33

Fiscal deficit

Fiscal deficit

33

Sig. (2-tailed)

Interest rate

Interest rate

.990**

Sig. (2-tailed)
N

Inflation rate

GDP with Interest rate and Fiscal deficit

Interest rate with GDP, Fiscal deficit and Export %
Fiscal deficit with GDP and Interest rate
Export with Interest rate

-.482

-.492

33

.491

.491

.056

33

GDP and Fiscal Deficit

Model Summaryb
Model
Adjusted R Std. Error of DurbinR
R Square Square
the Estimate Watson
.433a
.187
.161
1.98284
1.807
a. Predictors: (Constant), Fiscal deficit
b. Dependent Variable: GDP growth %
ANOVAb
Model

Sum of
Squares
df
1
Regression 28.116
1
Residual
121.881
31
Total
149.997
32
a. Predictors: (Constant), Fiscal deficit
b. Dependent Variable: GDP growth %
Coefficientsa
Model
Unstandardized
Coefficients
B
Std. Error
1
(Constant) 10.347
1.596
Fiscal
-.740
.277
deficit
a. Dependent Variable: GDP growth %

Mean
Square
28.116
3.932

F
7.151

Standardize
d
Coefficients
Beta
t
6.484
-.433
-2.674

Sig.
.012a

Sig.
.000
.012

There is no significant relationship between Interest rate and GDP, and as Interest rate increases GDP
decreases.
Interest rate with GDP, Fiscal deficit and Export %
There is no significant co-relation exists between all the four, but Interest rate is correlated with the GDP,
Fiscal deficit and Export individually
Model Summaryb
Model
Adjusted R Std. Error of DurbinR
R Square Square
the Estimate Watson
a
.491
.241
.216
2.41412
.461
a. Predictors: (Constant), Fiscal deficit
b. Dependent Variable: Interest rate

ANOVAb
Model

Sum of
Squares
df
1
Regression 57.240
1
Residual
180.667
31
Total
237.906
32
a. Predictors: (Constant), Fiscal deficit
b. Dependent Variable: Interest rate

Mean
Square
57.240
5.828

Coefficientsa
Model
Unstandardized
Coefficients
B
Std. Error
1
(Constant) 8.075
1.943
Fiscal
1.056
.337
deficit
a. Dependent Variable: Interest rate

F
9.822

Standardize
d
Coefficients
Beta
t
4.156
.491
3.134

Excluded Variablesb
Model
Beta In t
1
GDP growth -.210a
-1.218
%
Export %
-.250a
-1.539
a. Predictors in the Model: (Constant),
b. Dependent Variable: Interest rate

Sig.
.233

Partial
Correlation
-.217

.134
-.271
Fiscal deficit

As fiscal deficit increases, the Interest rate increases.

Interest rate and Export %
Model Summaryb
Model
Adjusted R
R
R Square Square
.387a
.150
.122
a. Predictors: (Constant), Export %
b. Dependent Variable: Interest rate

Sig.
.004a

Std. Error of Durbinthe Estimate Watson

2.55474
.351

Sig.
.000
.004

Collinearity
Statistics
Tolerance
.813
.887

ANOVAb
Model

Sum of
Squares
df
1
Regression 35.578
1
Residual
202.328
31
Total
237.906
32
a. Predictors: (Constant), Export %
b. Dependent Variable: Interest rate
Coefficientsa
Model
Unstandardized
Coefficients
B
Std. Error
1
(Constant 15.277
.698
)
Export % -.117
.050
a. Dependent Variable: Interest rate

Mean
Square
35.578
6.527

F
5.451

Sig.
.026a

Standardize
d
Coefficients
Beta
t
21.877

Sig.
.000

-.387

.026

-2.335

As Export decreases Interest rate increases.

There is no significant relationship between Inflation rate and interest rate.
Fiscal deficit with GDP and Interest rate
There is no significant between all the three
Model Summaryb
Model
Adjusted R Std. Error of DurbinR
R Square Square
the Estimate Watson
.491a
.241
.216
1.12095
.981
a. Predictors: (Constant), Interest rate
b. Dependent Variable: Fiscal deficit
ANOVAb
Model

Sum of
Squares
df
1
Regression 12.341
1
Residual
38.952
31
Total
51.293
32
a. Predictors: (Constant), Interest rate
b. Dependent Variable: Fiscal deficit

Mean
Square
12.341
1.257

F
9.822

Sig.
.004a

Coefficientsa
Model
Unstandardized
Coefficients
B
Std. Error
1
(Constant) 2.434
1.037
Interest
.228
.073
rate
a. Dependent Variable: Fiscal deficit

Standardize
d
Coefficients
Beta
t
2.347
.491
3.134

Excluded Variablesb
Model
Partial
Beta In t
Sig.
Correlation
a
1
GDP growth -.287
-1.751 .090
-.305
%
a. Predictors in the Model: (Constant), Interest rate
b. Dependent Variable: Fiscal deficit

Sig.
.026
.004

Collinearity
Statistics
Tolerance
.853

As the interest rate increases Fiscal deficit increase.

GDP growth Vs Fiscal deficit :
Model Summaryb
Model
Adjusted R
R
R Square Square
.433a
.187
.161
a. Predictors: (Constant), GDP growth
b. Dependent Variable: Fiscal deficit

Std. Error of Durbinthe Estimate Watson

1.15951
1.015
%

ANOVAb
Model

Sum of
Mean
Squares
df
Square
1
Regression 9.615
1
9.615
Residual
41.678
31
1.344
Total
51.293
32
a. Predictors: (Constant), GDP growth %
b. Dependent Variable: Fiscal deficit
Coefficientsa
Model
Unstandardized
Coefficients
B
Std. Error
1
(Constant)
7.192
.619
GDP growth -.253
.095
%
a. Dependent Variable: Fiscal deficit

F
7.151

Sig.
.012a

Standardize
d
Coefficients
Beta
t
11.619
-.433
-2.674

Sig.
.000
.012

As the GDP decreases Fiscal deficit increases

Export Vs Interest rate
Model Summaryb
Model
Adjusted R Std. Error of DurbinR
R Square Square
the Estimate Watson
.387a
.150
.122
8.42623
1.851
a. Predictors: (Constant), Interest rate
b. Dependent Variable: Export %
ANOVAb
Model

Sum of
Squares
df
1
Regression 387.043
1
Residual
2201.043
31
Total
2588.086
32
a. Predictors: (Constant), Interest rate
b. Dependent Variable: Export %

Mean
Square
387.043
71.001

Coefficientsa
Model
Unstandardized
Coefficients
B
Std. Error
1
(Constant) 28.603
7.798
Interest
-1.275
.546
rate
a. Dependent Variable: Export %

F
5.451

Sig.
.026a

Standardize
d
Coefficients
Beta
t
3.668
-.387
-2.335

Residuals Statisticsa
Maximu
Minimum m
Mean
4.4707
17.9782 10.7210
-17.7447622.51609 .00000
-1.797
2.087
.000

Predicted Value
Residual
Std. Predicted
Value
Std. Residual
-2.106
2.672
a. Dependent Variable: Export %

.000

As the interest rate decreases Export increase

Std.
Deviation
3.47780
8.29353
1.000

N
33
33
33

.984

33

Sig.
.001
.026