IMF programs, financial and real sector performance, and the Asian crisis

2012 ◽  
Vol 36 (1) ◽  
pp. 164-182 ◽  
Author(s):  
Ali M. Kutan ◽  
Gulnur Muradoglu ◽  
Brasukra G. Sudjana
Keyword(s):  
Asian Crisis ◽  
Real Sector ◽  
Imf Programs ◽  
Sector Performance

Financial and real sector returns, IMF-related news, and the Asian crisis

2016 ◽  
Vol 16 ◽  
pp. 28-37
Author(s):  
Ali M. Kutan ◽  
Yaz G. Muradoğlu
Keyword(s):  
Asian Crisis ◽  
Real Sector ◽  
Sector Returns

scholarly journals FINANCIAL MARKET SPECULATIVE TRANSACTIONS

2013 ◽  
pp. 141-148
Author(s):  
K. E. Маnuylov
Keyword(s):  
Economic Crisis ◽  
Financial Market ◽  
Market Value ◽  
Financial Derivatives ◽  
Property Management ◽  
Real Sector ◽  
Risk Valuation ◽  
Sector Performance ◽  
Xix Century ◽  
Basic Asset

The article highlights the transformation of financial market, which determines its insulation as an independent economy sector. The tendency was first analyzed in late XIX century and has been developing since then, resulting in dissociation of real and financial sectors. Due to uncertainty traders lack decision guidelines, as speculative transactions do not imply property management. As a result, their decisions are based on expectations and market value losses any connection to real sector performance. Financial derivatives development through late XX century has brought financial market independence to a new level and inflation of the sector to values, exceeding world GDP. Stock market has provided the basis for property and management separation, and derivatives, in turn, separate returns from property and risk from asset. As risk valuation turns out to be the measure of market expectations, it is sure to affect the basic asset prices even more than underlying real capital. The imbalance is believed to have been one of the determinants of the modern financial and economic crisis. Financial market has evidently transformed to a casino to a greater extent, than Keynes identified.

An econometric analysis of electricity consumption and real sector performance in Nigeria

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Isaac Chitedze ◽  
Chukwuemeka Cosmas Nwedeh Nwedeh ◽  
Adenikinju Adeola ◽  
Donald Chidera Chidera Abonyi
Keyword(s):  
Time Series ◽  
Power Supply ◽  
Manufacturing Sector ◽  
Electricity Consumption ◽  
Policy Implications ◽  
Series Data ◽  
Real Sector ◽  
Content Type ◽  
The Real ◽  
Sector Performance

Purpose The purpose of this paper is to examine the extent at which electricity consumption (EC) has contributed to real sector performance, to identify energy-dependent sectors of the economy for appropriate sector-specific policy interventions and to avoid energy conservation policies that may retard the growth of the real sector and economic growth in general. Design/methodology/approach This paper used time series data, covering the period between 1981 and 2015. Various time series econometric analyses such as unit root test for stationarity and vector autoregressive and vector error correction models were used to establish the long-run and short-run co-integration relationship among the variables. Findings This study finds that EC displays a little and insignificant impact on manufacturing sector output, as well as agriculture and service outputs. The empirical result from causality test suggests a unidirectional causality running from agriculture to EC, as well as service sector to EC, whereas bidirectional causality runs between EC and manufacturing sector. This study therefore recommends adequate power supply to the manufacturing sector, while energy efficiency policy and regulatory reform should address agriculture and service sectors. Originality/value Few studies have examined the impact of EC on disaggregated gross domestic product. This research gap has strong policy implications on Nigerian economy as the output of real sector plays vital role in driving the economy. Given the pressing needs for Nigeria to boost real sector output and be among the world’s 20 largest economies by 2030, it becomes imperative for this sector-specific research to be conducted to ensure that sectoral purpose-driven energy interventions are formulated to address power supply challenges in the real sector.

scholarly journals A Comparative Analysis of Adjustment of Nigerian Selected Macro Economic Variables to Deregulated Exchange Rate System

2019 ◽  
Vol 5 (1) ◽  
pp. 1
Author(s):  
Ifeoma Chinelo Amakor ◽  
Onyinye Eneh
Keyword(s):  
International Trade ◽  
Exchange Rate ◽  
Comparative Analysis ◽  
Raw Materials ◽  
Positive Influence ◽  
Real Sector ◽  
Economic Variables ◽  
Rate System ◽  
Sector Performance ◽  
Exchange Rate Level

This study is a comparative analysis of how Nigerian macro economic variables of Balance of Payment and Real Sector performance (surrogated by Real Gross Domestic Product) reacted to exchange rate deregulation in Nigeria. One of the reasons why countries deregulate their exchange rate is to avail themselves the benefits of international trade, and the international trade transaction of every nation is depicted in its balance of payment position. In order to ascertain the significance of Naira deregulated exchange rate on the selected variables, a pre and post deregulation analyses were carried out using Paired Sample T Test staring from 1960 to 1985 as pre deregulation period and 1986 to 2011 as post deregulation period. The result revealed that both Balance of Payment and Real Sector Performance reacted significantly to exchange rate deregulation. While the influence of deregulation of exchange rate on Balance of Payment was negative, it showed a positive influence on Real Sector performance. The researchers concluded that deregulation of exchange rate did not increase the Nigerian general export, but oil export only, which is also an indication that Nigerian domestic industries did not contribute significantly to the country’s export level. We recommend that the monetary authority can consider placing a crawling peg on Naira exchange rate level in order to regulate the level of currency depreciation; this will reduce the cost of production for the domestic industries as most of their raw materials are imported. Again the export ability of the Nigerian domestic industries can be enhanced by granting them export incentives such as free international packaging and external credit guarantee.

scholarly journals Bank Recapitalization and Real Sector Performance

2014 ◽  
Vol 3 (1) ◽  
pp. 126-136
Author(s):  
Ebenezer Akinkoye ◽  
Lukman Oyeyinka Oyelami
Keyword(s):  
Indirect Effect ◽  
Global Economy ◽  
Structural Break ◽  
Output Growth ◽  
Real Sector ◽  
Bank Capital ◽  
Policy Shift ◽  
Sector Performance ◽  
The Impact ◽  
Bank Recapitalization

This study investigates the impact of bank recapitalization on real sector performance in Nigeria. Specifically, thestudy examines the direct effect (bank investment) and indirect effect (loans and advances to real sector) on realsector output growth between the period 1986 and 2012.This study departs from previous studies because weaggregate the three leading sectors (agriculture, manufacturing and building and construction) of the Nigerianeconomy to arrive at our real sector index. Also, having carefully subjected our data to necessary econometric testswe employed chow test for structural break to test for the existence of policy shift between bank capital base and loan to the real sector of the Nigerian economy as a result of bank recapitalisation policy .Similarly, OLS estimates was  used to determine the direct and indirect effect of bank capital base and real sector output growth. The results from structure break tests reveal that bank recapitalization policy causes policy shift in bank capital base and loan to real sector thus the policy is of significant impact to real sector performance .In corollary, the result from the OLS strongly indicates that bank capital base has significant effect on real sector output growth directly and indirectly. We then conclude that Nigerian banks should be adequately capitalised as to play active intermediateting roles expected of them in this modern and competitive global economy.

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