An insight into the drag effect of water, land, and energy on economic growth across space and time: the application of improved Solow growth model

2021 ◽  
Author(s):  
Yao Zhang ◽  
Wenxin Liu ◽  
Sufyan Ullah Khan ◽  
Brent Swallow ◽  
Chaohui Zhou ◽  
...  
Keyword(s):  
Economic Growth ◽  
Growth Model ◽  
Drag Effect ◽  
Solow Growth Model ◽  
Space And Time ◽  
Effect Of Water ◽  
Insight Into

scholarly journals The Drag Effect of Water Resources on China’s Regional Economic Growth: Analysis Based on the Temporal and Spatial Dimensions

Water ◽  
2020 ◽  
Vol 12 (1) ◽  
pp. 266 ◽  
Author(s):  
Yao Zhang ◽  
Wenxin Liu ◽  
Minjuan Zhao
Keyword(s):  
Economic Growth ◽  
Water Resources ◽  
Water Resource ◽  
Resource Constraints ◽  
Strong Dependence ◽  
Sustainable Use ◽  
Regional Economic Growth ◽  
Drag Effect ◽  
Regional Economic ◽  
Effect Of Water

Studying the influencing factors of the drag effect of water resources and its temporal–spatial variation can help governments to solve the problem of water resource constraints on the economic growth of different regions. Based on Romer’s hypothesis, this paper uses panel data to empirically analyze the drag effect of water resources in China’s 31 provinces from 1987 to 2017. The research shows that: (1) Water resources have certain constraints on the economic growth of each region. Regional economic growth has declined by 0.23% (eastern), 0.07% (western), 0.43% (central) and 0.09% (northeastern) annually. (2) In provinces with rapid labor growth, water resources have a greater impact on economic growth. In provinces with low labor growth rates, the drag effect of water resources on economic growth is affected by the capital stock of the region. (3) Through the analysis of the water drag effect in different time periods, this paper finds that in some periods, the government’s mobilization of water resources for the economic growth in some regions will not only promote the transfer of labor between regions, but also cause changes in the regional water resources. According to the results of this paper, the following conclusions can be drawn: (1) It is necessary to vigorously develop water-saving agriculture, improve technical efficiency, and reduce the strong dependence of economic growth on water resources in the provinces which has a strong water drag effect on economic growth; (2) Provinces with moderate water resource constraints should take the lead in deploying strategic emerging industries, and accelerate the development of the tertiary industry; (3) Provinces with weakly water resource restrictions can promote the development of capital-based industries. Not only can the development of the economy be rational, but it can also reduce the economy’s dependence on resources, thereby achieving the sustainable use of water resources and sustainable economic growth.

scholarly journals Relations Between Military Spending and Economic Growth in Turkey (1980-2016)

2018 ◽  
Author(s):  
Dilek Özdemir ◽  
Cevat Gerni ◽  
Ahmet Fatih Aydemir ◽  
Ömer Selçuk Emsen
Keyword(s):  
Economic Growth ◽  
Growth Model ◽  
Negative Impact ◽  
National Income ◽  
Military Spending ◽  
Military Expenditure ◽  
Solow Growth Model ◽  
Negative Effect ◽  
Military Expenditures ◽  
Basic Argument

It cannot be said that military expenditure and economic growth relationship have reached a consensus both theoretically and empirically. The basic argument of the claim that military spending will increase national income is that if the economy is unemployed, the increase in spending, including military spending, will increase national income by expanding demand. Whereas, the argument that military spending will have a negative impact on the national income is claimed due to causing the inefficiency of the resources in the economy and thus to suppress the growth by causing resource mobility from productive sectors to the non-productive sectors. On the purpose of determining which of these two opposing ideas whether committed in Turkey’s economy, military expenditures have been added to Solow growth model and econometric analyzes have involved the period of 1980-2016. In the light of findings, it is revealed that second type of hypothesis is valid that military spending has a negative effect on economic growth.

Growth Decomposition of Indian Economy, 1981-2007

2014 ◽  
Vol 1 (2) ◽  
Author(s):  
Nitin Navin
Keyword(s):  
Economic Growth ◽  
Growth Model ◽  
Economic Performance ◽  
Productivity Growth ◽  
Growth Accounting ◽  
Indian Economy ◽  
Solow Growth Model ◽  
Proximate Explanation ◽  
Factor Accumulation

The present paper attempts to evaluate the economic performance of India for the period of 1981-2007, using the conventional growth accounting technique, also known as “Solow growth model”. In particular, it examines the relative contributions of factor accumulation and productivity growth in the economic growth of the economy. The main objective is to check if the growth is sustainable. Also, an attempt is made to find the proximate explanation of any major ups and downs that happened in the economy during this period. The paper concludes by arguing that the recent spectacular performance of the Indian economy is mainly fuelled by improvement in TFP.

scholarly journals Empirics of Solow growth model in Nepali economy

2020 ◽  
Vol 23 (1) ◽  
pp. 125-136
Author(s):  
Ramesh Kumar Paudel
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Human Capital ◽  
Steady State ◽  
Growth Model ◽  
Least Square ◽  
Extended Model ◽  
Saving Rate ◽  
State Equilibrium ◽  
Solow Growth Model

Economic growth model developed by R. M. Solow explained the steady-state equilibrium in long run based on neoclassical production function with factor substitutions and diminishing returns in context of developed economy. As the nature of Nepali economy is different than developed economy, this paper aims to analyze economic growth of Nepal in the Solow growth model standard. Specifically, it aims to examine the effect of saving rate, labor growth and human capital on economic growth. On basis of steady-state equilibrium equation developed by Solow, regression equation is developed to find the effect of exogenous variables saving rate and labor growth rate on per capita GDP. Further, the model is extended by adding human capital as regressor. Data of 44 years of Nepali economy are used to analyze the model. Since time series of all the variables are stationary at first difference and they contain same stochastic trend, coefficients are estimated by using ordinary least square method. The analysis shows that the Solow model is applicable to Nepali economy as the predicted coefficients are very close to estimated coefficients. However, the estimated coefficients are very less than the predicted coefficients of the extended model. Furthermore, coefficient of labor growth rate is statistically insignificant in the extended model.

Anti-crisis measures or structural reforms: Russia’s economic policy in 2015

2016 ◽  
pp. 5-33 ◽  
Author(s):  
V. Mau
Keyword(s):  
Economic Growth ◽  
Economic Policy ◽  
Structural Transformation ◽  
Growth Model ◽  
Emerging Economies ◽  
Social Issues ◽  
Import Substitution ◽  
Structural Reforms ◽  
Energy Prices ◽  
New Models

The paper deals with 2015 trends and challenges for social and economic policy in the nearest future. The analysis of global crisis includes: uneven developments in the leading advanced and emerging economies; new models of economic growth which look differently in different countries; prospects of globalization and challenges of ‘regional globalization’; currency configurations of the future; energy prices dynamics and its influence on political and economic prospects of particular states. Current challenges are discussed in the context of previous 30 years. Among the main topics on Russia, there are approaches to a new growth model, structural transformation (including import substitution issues), economic dynamics, budget and monetary outlines, social issues. The priorities of economic policy are also considered.

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