The long-run relationship between public consumption and output in developing countries: Evidence from panel data

2019 ◽  
Vol 174 ◽  
pp. 96-99 ◽  
Author(s):  
John Nana Francois ◽  
Andrew Keinsley
Keyword(s):  
Developing Countries ◽  
Panel Data ◽  
Long Run ◽  
Public Consumption

scholarly journals Social Environment Determinants of Life Expectancy in Developing Countries: A Panel Data Analysis

2016 ◽  
Vol 9 (5) ◽  
pp. 105 ◽  
Author(s):  
Fatin Aminah Hassan ◽  
Nobuaki Minato ◽  
Shuichi Ishida ◽  
Norashidah Mohamed Nor
Keyword(s):  
Developing Countries ◽  
Health Status ◽  
Panel Data ◽  
Life Expectancy ◽  
Gross Domestic Product ◽  
Health Expenditure ◽  
Independent Variables ◽  
Long Run ◽  
Improved Sanitation ◽  
The Relationship

<p>Despite remarkable improvements in health over the past 50 years, there still remain a great number of health challenges around the world. This study examined the relationship between life expectancy rate (as a proxy for health status) with health expenditure, gross domestic product, education index, improved water coverage, and improved sanitation facilities in 108 selected developing countries using annual panel data within the period of 2006–2010. The empirical results from using the panel data approach showed a positive relationship between life expectancy rate and all of those explanatory variables. The relationship between life expectancy with education index and gross domestic product were significant at 1% and 5% significance levels, respectively. Furthermore, the causality finding showed that there is no short-run causality between life expectancy and its determinants. There is a unidirectional causality running from the independent variables of health expenditure, education index, improved water, and improved sanitation to life expectancy at birth. On the other hand, bidirectional causality exists between life expectancy and income in the long-run by employing VECM test.  These independent variables can be considered as important determinants for investment in health status in the long-run. This study could be used as a guideline and may be significant for future researchers and policy makers who aim to improve the life expectancy in developing countries.</p>

scholarly journals Public Consumption and Income in the Long Run: A Panel Data Study for Central African Countries

2019 ◽  
Vol 11 (6) ◽  
pp. 101
Author(s):  
Impawe Augustin
Keyword(s):  
Panel Data ◽  
Negative Impact ◽  
Panel Cointegration ◽  
Adjustment Process ◽  
African Countries ◽  
Fiscal Adjustment ◽  
Real Gdp ◽  
Long Run ◽  
Public Consumption

This article examines panel cointegration methods to study the long-run effect of public consumption on the real output of 10 Central African economies (ECCAS: CEMAC + 4) from 1990 to 2016. We integrate the investment in cointegration regression and take into account the transverse dependence in a panel data parameter. The results indicate on average that public consumption expenditure has a negative impact on long-term real GDP. Conversely, investment has a positive effect on income. Overall, the results show that a decrease in public consumption in the fiscal adjustment process has no effect on the growth of these economies.

scholarly journals Land Inequality and Economic Growth: A Meta-Analysis

2018 ◽  
Vol 10 (12) ◽  
pp. 4655 ◽  
Author(s):  
Maria Cipollina ◽  
Nadia Cuffaro ◽  
Giovanna D’Agostino
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Panel Data ◽  
Negative Impact ◽  
Credit Constraints ◽  
Meta Analysis ◽  
Land Inequality ◽  
Long Run ◽  
Short Run ◽  
Development Levels

Increasing commercial pressure on land may lead to land concentration in developing countries, especially in the context of complex systems of property rights. In this article we review through meta-analysis (MA) the econometric findings of the literature estimating the nexus between land inequality and economic growth. In particular, our MA controls for various features of the studies and for the so-called “publication bias,” and shows that land-inequality negatively affects economic growth, especially at low development levels. Analysis based on panel data, which generally imply a relatively short run perspective, typically report a lower or positive correlation between land inequality and growth, suggesting that the negative impact of land inequality emerges in the long run, possibly through credit constraints and institutional mechanisms.

scholarly journals An Investigation into the Interest Elasticity of Demand for Money in Developing Countries: A Panel Data Approach

2017 ◽  
Vol 9 (3) ◽  
pp. 69 ◽  
Author(s):  
Felix S. Nyumuah
Keyword(s):  
Developing Countries ◽  
Panel Data ◽  
Interest Rate ◽  
Equatorial Guinea ◽  
African Countries ◽  
Demand For Money ◽  
Elasticity Of Demand ◽  
Long Run ◽  
Short Run ◽  
The Interest Rate

The issue as to whether the interest rate influences the demand for money in developing countries is still controversial. The aim of this study is to attempt to resolve this controversy. The study uses panel data from eight African countries to look at the interest elasticity of demand for money in developing countries. The countries used in the study are Angola (ANG), Equatorial Guinea (EQG), Gambia (GMB), Guinea-Bissau (GBS), Kenya (KNY), Mali (MLI), Nigeria (NGR) and Uganda (UGD). Overall, the study finds the interest rate to be inelastic in the short run but elastic in the long run. This finding suggests that monetary policy is ineffective in developing countries in the long run.

scholarly journals THE TOURISM-LED GROWTH HYPOTHESIS IN TRANSITION ECONOMIES? EMPIRICAL EVIDENCE FROM A PANEL DATA ANALYSIS

2021 ◽  
Vol 38 (4) ◽  
pp. 1076-1082
Author(s):  
Le Thanh TUNG ◽  
Keyword(s):  
Developing Countries ◽  
Panel Data ◽  
Development Strategy ◽  
Transition Economies ◽  
Transition Countries ◽  
Policy Implications ◽  
Research Database ◽  
Fisher Test ◽  
Long Run ◽  
Growth Hypothesis

Tourism has been considered as a potential factor in development strategy in many developed and developing countries worldwide. Besides, tourism is really a key economic sector in some countries. This study aims to examine the tourism-led growth hypothesis for some transition countries, which includes seven high growth economies Bulgaria, Hungary, Poland, Romania, Russia, Ukraine and Vietnam. The research database is collected by an annual form in the period of 1995-2019. These economies are considered successful transitional cases in the global economy, however, the tourism-led growth hypothesis in these countries has been received only a little evidence from academics in recent years. The Johansen-Fisher test and the OLS estimation are applied in the quantitative process. There are some new findings from the empirical results. First, the Johansen-Fisher test confirms the existence of long-run cointegration relationships between tourism (denoted by the tourism revenue and the tourism arrivals) and economic growth in the panel data sample of countries. Second, the long-run coefficients of the tourism variables are positive and significant that concludes the tourism-led growth hypothesis in these transition countries. The contribution of the study is not only to fill the empirical research gap by the estimated results from a group of transition economies but also to confirms the tourism-led growth platform as an efficient development strategy for other developing countries. Furthermore, our study suggests some policy implications for policymakers to use tourism as a key development sector in these countries in the future.

The effects of debt restructurings on income inequality in the developing world

2021 ◽  
pp. 135406612110014
Author(s):  
Glen Biglaiser ◽  
Ronald J. McGauvran
Keyword(s):  
Developing Countries ◽  
Panel Data ◽  
Income Inequality ◽  
Income Distribution ◽  
Government Spending ◽  
Tax Reform ◽  
Social Spending ◽  
The Poor ◽  
The Rich ◽  
The Impact

Developing countries, saddled with debts, often prefer investors absorb losses through debt restructurings. By not making full repayments, debtor governments could increase social spending, serving poorer constituents, and, in turn, lowering income inequality. Alternatively, debtor governments could reduce taxes and cut government spending, bolstering the assets of the rich at the expense of the poor. Using panel data for 71 developing countries from 1986 to 2016, we assess the effects of debt restructurings on societal income distribution. Specifically, we study the impact of debt restructurings on social spending, tax reform, and income inequality. We find that countries receiving debt restructurings tend to use their newly acquired economic flexibility to reduce taxes and lower social spending, worsening income inequality. The results are also robust to different model specifications. Our study contributes to the globalization and the poor debate, suggesting the economic harm caused to the less well-off following debt restructurings.

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