Abstract
The primary goal of this study was to investigate how oil price and exchange rate effect the economic growth of Pakistan from 1992 to 2021. The rising oil prices are the major concern for all the developing economies and Pakistan is suffering from it. The unit root test, correlation test, bound test was used to examine the economic trend. The result from multiple linear regression model describe that there is short run and long run relationship between the variables. It indicates that there is a positive impact of oil price on economic growth. The countries like Pakistan who are oil importers should purchase crude oil on less prices.
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