— This paper attempts to estimate and evaluate the overall import function in the Libyan economy. It is practically to find out the main variables that affect the import behavior in Libya. A double-log transformation method was tested and used to estimate the import function and the main results indicate that: the behavior of Libyan imports seems to be highly affected by the variation in its GDP, relative prices, and partial adjustment of imports. It also, confirms that fluctuation in oil prices has completely upset the import=income relationship in Libya during the periods of decline in oil revenue. Finally, the short-term elasticity of Libyan imports with respect to its income is approximately 1.2, while its long-term counterpart is approximately 3.12.
— About import function, import – income relationship, Libya.
A. F Yahia is with the Department of Economics, Faculty of Economics and Commerce, Almergib University, Al- Kumis, Libya (e-mail: email@example.com, firstname.lastname@example.org).
Cite: Abdusalam F. Yahia, " An Econometric Estimation and Evaluation of the Import Function in the Libyan Economy," Journal of Economics, Business and Management vol. 3, no. 10, pp. 994-998, 2015.