The economy of Pakistan has been facing instability and downward trends due to several factors, such as rising foreign debt and goods and services prices. The regression and ARDL models are applied by using R software. Adding lag values of variables become necessary to measure the long-run...

The paper discusses the problems of fiscal deficits being faced by a number of Muslim countries. Using Pakistan as a case study, the paper attempts to identify the causes of these deficits as a prelude to making reform proposals. The author gives a number of suggestions for reducing public...