scholarly journals Effects of Chinese Economic Stimulus Package on Economic Growth in the Post-Crisis China

2011 ◽  
Vol 2011 ◽  
pp. 1-11 ◽  
Author(s):  
Shenglv Zhou ◽  
Minjun Shi ◽  
Na Li ◽  
Yongna Yuan
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Financial Crisis ◽  
Computable General Equilibrium ◽  
Simulation Method ◽  
Computable General Equilibrium Model ◽  
Negative Effects ◽  
Crisis Period ◽  
Economic Perspectives ◽  
Investment Response

This paper aims to simulate the contribution of investment expansion policy after financial crisis as well as describe the possible economic perspectives in the post-crisis period by using scenario simulation method based on Chinese dynamic economic CGE (computable general equilibrium) model. Energy consumption and CO2 emission are also considered in order to access the possible negative effects owing to investment enlargement. The results show that expanding investment response to financial crisis increases economic growth rate by 6.74% from 2.36% in 2009. It can relieve the fluctuation in economy and bring the economic growth close to baseline level in the near post-crisis period. However, higher energy consumption intensity and CO2 emission intensity compared to baseline owing to the increasing investment make energy saving and CO2 mitigation more difficult.

scholarly journals Oil price, energy consumption and carbon dioxide (CO2) emissions: insight into sustainability challenges in Venezuela

2019 ◽  
Vol 28 (1) ◽  
Author(s):  
Tobechi F. Agbanike ◽  
Chinazaekpere Nwani ◽  
Uwazie I. Uwazie ◽  
Lasbrey I. Anochiwa ◽  
Thank-God C. Onoja ◽  
...  
Keyword(s):  
Economic Growth ◽  
Carbon Dioxide ◽  
Energy Consumption ◽  
Oil Price ◽  
Consumption Expenditure ◽  
Crude Oil Price ◽  
Negative Effects ◽  
Government Consumption ◽  
Sustainability Challenges ◽  
Insight Into

Abstract This study provides insight into sustainability challenges in Venezuela by exploring the causal interactions between oil price, energy consumption and carbon dioxide (CO2) emissions in Venezuela. Economic growth, government consumption expenditure and trade openness are included as additional determinants in the analysis. The auto-regressive distributed lag (ARDL) bounds approach to cointegration provides evidence of long-run relationship between the variables with the incorporation of structural breaks observed in the series. The estimates suggest that an increase in crude oil price significantly increases energy consumption, government consumption expenditure and energy consumption generate CO2 emissions, and CO2 emissions exert negative effects on economic growth in the oil-rich economy. This study further examined the direction of causality between the variables using the innovative accounting approach (IAA). The results suggest that crude oil price causes energy consumption in the economy. No significant causal relationship is found between energy consumption and economic growth. Energy consumption causes CO2 emissions in the economy. In addition, a unidirectional causality runs from CO2 emissions to economic growth. The response of economic growth to CO2 emissions indicates that more CO2 emissions in the economy would exert negative effects on economic growth. It is, therefore, expected that policy makers would consider energy diversification as a major component of economic diversification policies in Venezuela.

In Search of Causal Relationship between FDI, GDP, and Energy Consumption - Evidence from China

2012 ◽  
Vol 524-527 ◽  
pp. 3388-3391 ◽  
Author(s):  
Kuo Cheng Kuo ◽  
Chi Ya Chang ◽  
Mei Hui Chen ◽  
Wei Yu Chen
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Environmental Protection ◽  
Granger Causality ◽  
Energy Demand ◽  
Negative Impact ◽  
Demand Management ◽  
Effective Control ◽  
Chinese Government ◽  
Negative Effects

The balance between economic growth and environmental protection has been the core concern of policy makers in developing countries for the past two decades. This study is one of the few studies to empirically inspect the relationship between economic growth, FDI, and energy consumption over the period 1978-2010 in China. The results reveal that there is a unidirectional Granger causality running from GDP to energy consumption. This suggests that increase of GDP will consume more energy and implementing of the energy conservation policies and energy demand management policies in China may not have negative impact on economic growth. Besides, a bi-directional Granger causality has been found between energy consumption and FDI. This implies that Chinese government should cautiously evaluate the positive and negative effects of FDI inflows and put efforts into making more effective control policies on environmental protection.

How Pro-Poor and Income Equitable Are Tourism Taxation Policies in a Developing Country? Evidence from a Computable General Equilibrium Model

2016 ◽  
Vol 56 (3) ◽  
pp. 334-346 ◽  
Author(s):  
Renuka Mahadevan ◽  
Hidayat Amir ◽  
Anda Nugroho
Keyword(s):  
Income Inequality ◽  
Computable General Equilibrium ◽  
Value Added ◽  
Computable General Equilibrium Model ◽  
Cash Transfer ◽  
Tax Revenue ◽  
Value Added Tax ◽  
Negative Effects ◽  
Transfer Policy ◽  
Resource Misallocation

This article highlights the impacts on poverty, income inequality, and the macroeconomic and sectoral output resulting from increases in the value-added tax and sales tax on hotels and restaurants using Indonesia as a case study. While taxing tourism-related sectors was ineffective in reducing poverty and income inequality, using tax revenue from the value-added tax as a cash transfer policy was effective and more so in rural Indonesia. Tax revenue used for infrastructural development was however limited in its impact on poverty and income distribution. Overall, the negative effects of taxation on various industries and the contraction of GDP and employment in the economy need to be mitigated. This can be done with an appropriate policy mix for the use of tax revenue between cash transfers and expenditure in education and health, with the view to address potential resource misallocation and output contraction in other industries.

scholarly journals IS TAIWAN'S R&D PRODUCTIVITY IN DECLINE? A MICROECONOMETRIC ANALYSIS

2013 ◽  
Vol 14 (1) ◽  
pp. 137-155
Author(s):  
Chih-Hai Yang ◽  
Chia-Hui Huang
Keyword(s):  
Economic Growth ◽  
Financial Crisis ◽  
Productivity Growth ◽  
Electronics Industry ◽  
Asian Financial Crisis ◽  
Manufacturing Firms ◽  
Firm Level ◽  
Crisis Period ◽  
Crucial Question ◽  
The Past

Innovation is widely recognized as the main stimulus of economic growth. Considering that Taiwan has devoted increasingly more efforts to R&D since the late 1980s, a crucial question is posed: did the R&D productivity of firms begin to decline in Taiwan during the post-Asian Financial Crisis period when Taiwan's economic growth began to decelerate? This study investigates changes in R&D productivity for Taiwan's manufacturing firms from 1990 to 2003. By employing various approaches to obtain robust results, findings from firm-level microeconometric analysis suggests that overall R&D productivity in Taiwan appears to have been ascendant, particularly during the post-crisis period. This result is also evidenced by segmenting the sample into industry groups, whereby electronics firms have a significantly high R&D productivity growth relative to firms outside the electronics industry. Therefore, the slowdown of Taiwan's economic growth in the past decade is attributed to other influences rather than a slowdown in R&D productivity.

scholarly journals THE ROLE OF FISCAL STIMULUS AND MONETARY EASING IN INDONESIAN ECONOMY DURING GLOBAL FINANCIAL CRISIS: FINANCIAL COMPUTABLE GENERAL EQUILIBRIUM APPROACH

2010 ◽  
Vol 13 (2) ◽  
pp. 165-186 ◽  
Author(s):  
Iskandar Simorangkir ◽  
Justina Adamanti
Keyword(s):  
Economic Growth ◽  
Financial Crisis ◽  
General Equilibrium ◽  
Interest Rates ◽  
Computable General Equilibrium ◽  
Global Financial Crisis ◽  
Aggregate Demand ◽  
Fiscal Stimulus ◽  
Monetary Expansion ◽  
Positive Effects

Global financial crisis started in mid 2008 has reduced global economic growth, and many countries even experienced economic contraction. To deal with economic contraction, various economic policies have been undertaken. Governments have increased fiscal stimulus through increasing expenditure and lowering tax while central banks have cut policy rates substantially. In some countries interest rates even reach zero or close to zero. Similar to many other countries, Indonesia has also undertaken expansionary policies, namely increasing fiscal stimulus and lowering interest rates.This paper examines the impacts of fiscal stimulus and interest rate cut on Indonesian economy using financial computable general equilibrium (FCGE) approach. The estimation results show a number of findings. First, the combination of fiscal expansion and monetary expansion boosts economic growth of Indonesia effectively. Relative to the effectiveness of fiscal expansion without monetary policy expansion or monetary expansion without fiscal expansion, the combination of those two policies is more effective.Second, looking into the components of GDP, the combination of fiscal and monetary expansion has a large multiplier effect, boosting aggregate demand through increasing consumption, investment, government expenditure, exports and imports. Meanwhile, from production side, the combination of fiscal and monetary expansion has positive effects on increasing production of all economic sectors. This effect comes from fiscal incentive (lower tax, lower import duties, etc) in increasing investment. Moreover, the increase in aggregate demand also encourages enterprises to increase their production.Third, institutionally fiscal stimulus and monetary easing has increased income and purchasing power of the poor and rich households in rural and urban area. This increase in turn results in higher all household consumption.JEL Classification: D58, E12, E13, E52, E58, H25, H31, H53, H54Keywords: Fiscal stimulus, monetary easing, financial computable general equilibrium, global financial crisis.

Welfare State

2020 ◽  
pp. 525-541
Author(s):  
Eloísa del Pino
Keyword(s):  
Economic Growth ◽  
Financial Crisis ◽  
Welfare State ◽  
Current Situation ◽  
Comparative Perspective ◽  
Political Factors ◽  
Crisis Period ◽  
The Third ◽  
Structural Problems ◽  
The Welfare State

The first part of this chapter describes the main features of the Spanish Welfare State, trying to place it in a comparative perspective. The second part identifies the socioeconomic and political factors which explain its evolution since the beginning of the new century to the current situation, focusing on the attempts at recalibration of the system since 2000 and the interruption of this process due to the outbreak of the financial crisis in 2008. The third part analyses the main challenges that the Welfare State has to face in the post-crisis period, which include some structural problems such as its inability to address inequality or poverty during the periods of economic growth. Finally, the chapter speculates about the future of the Welfare State in Spain.

scholarly journals Energy–Finance–Growth Nexus in ASEAN-5 Countries: An ARDL Bounds Test Approach

2019 ◽  
Vol 12 (1) ◽  
pp. 5 ◽  
Author(s):  
Masnun Mahi ◽  
Seuk Wai Phoong ◽  
Izlin Ismail ◽  
Che Ruhana Isa
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Financial Crisis ◽  
Structural Break ◽  
The Philippines ◽  
Ardl Bounds Test ◽  
Long Run ◽  
Bounds Test ◽  
Sustainable Economic Growth ◽  
Finance Growth Nexus

This study examines the relationship between energy consumption, financial development and economic growth for ASEAN-5 countries, namely Malaysia, Indonesia, the Philippines, Singapore and Thailand, over the period from 1980 to 2017. Finance–growth and energy–growth relationships have been well researched; however, the energy–finance–growth nexus is an equally important but less explored area. Our Auto Regressive Distributed Lags (ARDL) bounds test for cointegration results suggests that the variables tend to move together in the long run for all countries, apart from Indonesia. Our study also considers the effect of a structural break due to financial crisis and confirms that the break does not affect the long-term relationship among the variables; in other words, the financial crisis does not affect the energy–finance–growth nexus. Hence, considering the consistency of energy consumption, the importance of the energy sector must not be undermined, and appropriate energy policies are instrumental in maintaining a well-managed financial sector for sustainable economic growth.

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