Year: 2025
Type: article
Abstract: With an emphasis on both tax and non-tax revenue streams over the previous 20 years, this study examines the relationship between government revenue and Pakistan's economic growth. The study investigates the dynamic relationship between revenue generation and real GDP growth using time-series econometric approaches like Granger causality analysis and the Autoregressive Distributed Lag (ARDL) model. According to the results, government revenue—of which tax revenue is more significant than non-tax revenue—has a long-term favorable impact on economic growth. Short-term swings and inefficiencies in revenue collection, however, continue to be problems. In order to maintain growth, the report also emphasizes the significance of tax changes, fiscal restraint, and tax base expansion. For policymakers looking to create revenue plans that promote macroeconomic stability and long-term growth in Pakistan, these findings provide insightful information.
Authors: Aqsa Khan, Muhammad Niamat Ullah Babar, Ruqia Naaz, Muhammad Ehsan Elahi, Muhammad Waqar, Bushra Zaman, Saima Munir, Shehla Mazhar
Institution: Gomal University
Language: English
Subfield: Economics and Econometrics
Domain: Social Sciences
Open Access status: hybrid
OpenAlex ID: W4410776376