Has the Internet increased FDI, economic growth, and trade? Evidence from Asian economies

2021 ◽  
pp. 026666692199974
Author(s):  
Zi Hui Yin ◽  
Chang Hwan Choi
Keyword(s):  
Economic Growth ◽  
East Asia ◽  
South Asia ◽  
Internet Use ◽  
The Internet ◽  
Economic Factors ◽  
Vector Autoregressive ◽  
Western Asia ◽  
Asian Economies ◽  
Transaction Efficiency

This study examines the causal relationship between the Internet and economic factors in Asian economies between 1997 and 2017. The economic factors consist of gross domestic product (GDP), foreign direct investment (FDI), imports, and exports. A comparative analysis of East, South, and Western Asia was conducted using a panel vector autoregressive model. The findings show bidirectional causality between FDI and Internet use in South Asia, unidirectional causality from Internet use to FDI in East Asia, and unidirectional causality from FDI to Internet use in Western Asia. Moreover, the findings indicate unidirectional causality from exports to Internet use in East Asia and unidirectional causality from Internet use to exports in South Asia, but no impact in Western Asia. Finally, the results show unidirectional causality from Internet use to GDP in Western Asia. As these results suggest that Internet use has boosted economic performance in Asia, policy makers in the region should improve Internet use with a focus on economic growth, improving transaction efficiency, and facilitating foreign investment.

scholarly journals Impact of Internet Use on Economic Activities of West Sumatra

2021 ◽  
Vol 58 (1) ◽  
pp. 2686-2698
Author(s):  
Alpon Satrianto Et al.
Keyword(s):  
Economic Growth ◽  
Internet Use ◽  
The Internet ◽  
Economic Activities ◽  
Short Term ◽  
Vector Autoregressive ◽  
Net Exports ◽  
West Sumatra ◽  
Use Of The Internet ◽  
The Impact

This study aims to analyze the impact of internet usage on regional economic activities in West Sumatra. In particular, this study analyzes the impact of internet use on economic growth, consumption, investment and net exports of West Sumatra. This type of research is descriptive and associative research. The data in this study is in the form of panel data consisting of 19 districts / cities in West Sumatra from 2016-2018. The data analysis technique uses the Vector Autoregressive Panel (PVAR). The results of this study conclude that the use of the internet has a significant effect on economic growth, consumption, investment and net exports in both one and two previous periods. The use of the internet has the greatest impact in the short term on consumption activities in West Sumatra, while the use of the internet has the smallest impact in the short term on economic growth activities in West Sumatra. In the long run, the use of the internet has the greatest impact on economic growth in West Sumatra.

Foreign Aid, FDI and Economic Growth in South-East Asia and South Asia

2020 ◽  
pp. 097215091989095
Author(s):  
D. Tripati Rao ◽  
Narayan Sethi ◽  
Devi Prasad Dash ◽  
Padmaja Bhujabal
Keyword(s):  
Economic Growth ◽  
Private Sector ◽  
East Asia ◽  
Foreign Aid ◽  
South Asia ◽  
Low Income ◽  
Trade Openness ◽  
Financial Assistance ◽  
South East Asia ◽  
Domestic Investment

We examine the interrelationship among foreign aid, foreign direct investment (FDI) and economic growth in South-East Asia (SEA) and South Asia (SA) during 1980–2016. The findings from alternative empirical estimations suggest that while foreign aid is negatively associated with FDI as well as growth, FDI positively influences growth. Further, governmental financial assistance to private sector for domestic investment turns out to be important in all empirical estimations insofar as positively associated with FDI flows as well as growth. We, therefore, infer that low-income SEA and SA economies should focus on channelizing governmental financial assistance to private sector for domestic investment, macroeconomic stabilization, trade openness, and efficient utilization of aid flows, in order to attract, absorb and reap the benefits of complementing FDI flows and sustaining higher economic growth.

scholarly journals Investigating the causal relationship between economic growth, inflation, and unemployment in South Korea

Ekonomia ◽  
2021 ◽  
Vol 27 (2) ◽  
pp. 43-61
Author(s):  
Mahmut Zeki Akarsu
Keyword(s):  
Economic Growth ◽  
South Korea ◽  
Causal Relationship ◽  
Strong Correlation ◽  
Economic Factors ◽  
Characteristic Structure ◽  
Vector Autoregressive ◽  
Economic Characteristic ◽  
Monetary And Fiscal Policy ◽  
Main Factor

Policymakers and economists consistently implement monetary and fiscal policy to control economic growth, inflation, and unemployment due to the fact that these three factors directly influence people’s living standards. Every country has a different economic characteristic structure. Economic growth and inflation have a strong correlation in some countries, while other countries have a strong correlation between economic growth and unemployment. Therefore, investigating the causal relationship among economic factors can provide us with a better understanding of how economic phenomena affect each other. In South Korea, economic growth, inflation, unemployment have been in balance since the 1998 Korean economic crisis. Hence, investigating the economic growth, inflation, and unemployment of South Korea will enlighten how these three economic indicators affect each other in a country that developed rapidly and had several economic crises. To investigate such a model, the Vector Autoregressive Model (VAR) is used with the data between the years 1980 and 2019 in order to verify whether Okun’s law or/and the Philips curve hold in South Korea. The research also determines if there is either a bi-directional or uni-directional relationship if economic growth, inflation, and unemployment have a causal relationship. The research demonstrates that GDP is the main factor in South Korea that influences the other economic factors. This research paper can contribute to academia, since it has a vital outcome which shows that the mobility of the unemployment rate in South Korea is directly correlated to the movement of GDP.

Development and Poverty Reduction in South Asia—A Review Article

1982 ◽  
Vol 42 (1) ◽  
pp. 105-117
Author(s):  
Jyotirindra DasGupta
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
East Asia ◽  
South Asia ◽  
Poverty Reduction ◽  
Review Article ◽  
Striking Difference

The author reviews a number of books dealing with economic development in South Asia. He discusses the fact that, although there have been three decades of sophisticated approaches to economic growth in South Asia, mass poverty remains entrenched. He attempts to account for the striking difference between the economic growth of East Asia and that of South Asia.

scholarly journals Internet Usage, Financial Sector Development, and Economic Growth: A Cross-District Data in Aceh

2019 ◽  
Vol 3 (1) ◽  
pp. 7
Author(s):  
Rahmi Hajriyanti ◽  
Ester Ester
Keyword(s):  
Economic Growth ◽  
Granger Causality ◽  
Internet Use ◽  
Granger Causality Test ◽  
Bank Lending ◽  
Internet Usage ◽  
Bank Credit ◽  
Analysis Model ◽  
Causality Test ◽  
Vector Autoregressive

This study aims to analyze the effect of internet use and bank lending on Aceh's economic growth. The data used are secondary in the form of panel data of 15 city districts in Aceh during the period 2010-2017. The analysis model used is Johanson Co-integration, Panel Vector Autoregressive (PVAR) and Granger Causality Test. The study found that there is no long-term relationship between internet use, bank lending, and economic growth. Bank credit has a positive and significant effect on economic growth. The use of the internet has a positive and significant impact on bank lending but does not affect economic growth. Furthermore, economic growth and bank lending have a positive and significant effect on internet usage. Granger causality test results indicate that there is a one-way causality from bank credit to economic growth and internet use.Keywords: Economic Growth, Internet Use, Bank Credit, and Panel Vector Autoregressive

The Effect of Suicide-Related Internet Use on Users’ Mental Health

Crisis ◽  
2013 ◽  
Vol 34 (5) ◽  
pp. 348-353 ◽  
Author(s):  
Hajime Sueki
Keyword(s):  
Mental Health ◽  
Young Adults ◽  
Suicidal Ideation ◽  
Internet Use ◽  
Panel Study ◽  
Psychological Effects ◽  
The Internet ◽  
Negative Effects ◽  
Suicide Methods ◽  
Internet Users

Background: Previous studies have shown that suicide-related Internet use can have both negative and positive psychological effects. Aims: This study examined the effect of suicide-related Internet use on users’ suicidal ideation, depression/anxiety tendency, and loneliness. Method: A two-wave panel study of 850 Internet users was conducted via the Internet. Results: Suicide-related Internet use (e.g., browsing websites about suicide methods) had negative effects on suicidal ideation and depression/anxiety tendency. No forms of suicide-related Internet use, even those that would generally be considered positive, were found to decrease users’ suicidal ideation. In addition, our results suggest that the greater the suicidal ideation and feelings of depression and loneliness of Internet users, the more they used the Internet. Conclusion: Since suicide-related Internet use can adversely influence the mental health of young adults, it is necessary to take measures to reduce their exposure to such information.

National Currency Appreciation and Growth of the Russian Economy

2004 ◽  
pp. 95-111
Author(s):  
T. Zolotoukhina
Keyword(s):  
Economic Growth ◽  
Exchange Rate ◽  
Money Supply ◽  
Capital Flows ◽  
National Currency ◽  
Economic Factors ◽  
Exchange Market ◽  
Russian Economy ◽  
Macroeconomic Indicators

The problem of interaction between Russian currency appreciation and positive dynamics of macroeconomic indicators is studied. Main economic factors of ruble appreciation are analyzed. Consequences of the Russian Central Bank's policy directed to oppose ruble appreciation and problems in financial area due to the increase of money supply through the exchange market are considered. Influence of exchange rate appreciation on economic growth, inflation, export, import, capital flows are discussed. It is concluded that Russian ruble appreciation stimulates an increase in efficiency of the Russian economy.

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