Impacts of Measurement Errors on Simultaneous Equation Estimation of Dividend and Investment Decisions

Author(s):  
Cheng Few Lee ◽  
Fu-Lai Lin
2021 ◽  
Author(s):  
Devesh Singh

Abstract This article aims to investigate the linkage among CO2 emissions, Foreign Direct Investment (FDI), economic growth, Gross Value Added (GVA) of different sectors namely agriculture, service, manufacturing, and resource extensive industries including construction sectors in four European regions Eastern Europe (EE), Southern Europe (SE), Northern Europe (NE) and Western Europe (WE). To do, this article uses the 3SLS simultaneous equation estimation during the period of 2000 to 2018. This study is the extension of seeing the challenges in policy implication in reducing CO2 emission in technologically rich economies. This article concluded that the causality among variables CO2 emission, economic growth, FDI, and all four sectors GVA is varied according to the regions. However, the CO2 emission has bidirectional causality with each industrial sector's GVA.


1968 ◽  
Vol 5 (4) ◽  
pp. 362-368 ◽  
Author(s):  
John U. Farley ◽  
Harold J. Leavitt

A five equation model of the Jamaican distribution structure is fitted to data on four branded personal products. Decision rules appear oriented toward sales for retailers, wholesalers, importers, and manufacturers, and some policy implications for stimulating the structure are suggested. Problems associated with procedures for fitting sets of equations and examples of the effects of multi-collinearity on simultaneous equation estimation are discussed.


1983 ◽  
Vol 1 (5) ◽  
pp. 229-232
Author(s):  
Denzil G Fiebig ◽  
Sartaj A Kidwai ◽  
Henri Theil

This study investigates the interdependence between financing and investment decisions in the presence of corporate governance factors of three hundred non-financial companies listed on the emerging market of Pakistani Stock Exchange (PSX). The sample is chosen randomly over a five-year period from 2012 to 2017. Using a panel data methodology, the regression models are derived based on the simultaneous equation modeling. Four factors of corporate governance mechanisms are identified: family ownership, managerial ownership, board size and board composition. This is among the earliest studies in Pakistan to consider simultaneity of financing and investment decisions by adopting Panel Data estimation technique. The major contributions of this study are: first, financing and investment decisions must be determined simultaneously. The results show that both investment and financing have positive impacts on each other and there exists a simultaneity among them.


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