Impact Of Insurance On Economic Growth: The Case Of Republic Of Macedonia

2012 ◽  
Vol 4 ◽  
Author(s):  
Jordan Kjosevski
Keyword(s):  
Economic Growth ◽  
Life Insurance ◽  
Insurance Sector ◽  
Republic Of Macedonia ◽  
Insurance Penetration ◽  
The Republic ◽  
And Control ◽  
The Impact ◽  
Determinants Of Economic Growth ◽  
Insurance Development

The purpose of this paper is to examine the impact of insurance and economic growth, with empirical analysis for the Republic of Macedonia. We apply multiple regression and control for other relevant determinants of economic growth. The analysis used data for the period 1995 - 2010. In order to solve the model in the analysis will use the technique of least squares, followed by analysis of variability in order to identify the effects of each variable. Insurance development is measured by insurance penetration (insurance premiums in percentage of GDP). We used three different insurance variables - life insurance, non-life insurance and total insurance penetration. According to our findings, insurance sector development positively and significantly affects economic growth. The results are confirmed in terms of non-life insurance, and, total insurance, while the results show that life insurance negatively affect economic growth.

scholarly journals THE IMPACT AND THE ROLE OF THE SMALL AND MEDIUM ENTERPRISES ON THE EMPLOYMENT IN THE REPUBLIC OF MACEDONIA

2018 ◽  
Vol 28 (1) ◽  
pp. 105-110
Author(s):  
Snezana Bardarova ◽  
Marija Magdincheva-Shopova ◽  
Monika Markovska ◽  
Bozhidar Milenkovski
Keyword(s):  
Economic Growth ◽  
Small And Medium Enterprises ◽  
High Rate ◽  
Small Enterprise ◽  
Small Enterprises ◽  
Republic Of Macedonia ◽  
Area Of Interest ◽  
The Republic ◽  
Medium Enterprises ◽  
The Impact

Current developments in the global and national economics point to a number of problems faced by real entities in the real sector, and as a special area of interest for the scientific public there is a need to provide conditions for the smooth running of the reproduction processes in the enterprise and the realization the positive results of the operation. Enterprises are drivers of inclusive economic growth in the Republic of Macedonia and in creating productive and sustainable jobs.The new conception of the small enterprise as a carrier and engine of economic development is quite persuasive with its economic logic and reaffirms the small enterprise as a significant economic sector. The activities within the small enterprises are aimed at intensifying the results of the work by achieving a balance between objective possibilities and good working principles. The monitoring of the small enterprise, through the prism of its influence on economic growth and development, rejects the traditional view for small enterprises as security guards.The SME sector is a driver of inclusive economic growth in Macedonia and the creation of sustainable jobs increasing productivity. It also does not agree with the notion that small enterprises are economically inefficient organisms.With the third technological revolution in the countries with a developed market economy, the domination of the so-called. small economy, that is, the sector of small and medium enterprises. Today, small enterprises have a growing number of supporters who believe that small enterprises are carriers of innovation and entrepreneurship and are able to react quickly to changes in the environment. For years, the Republic of Macedonia has faced a high rate (29%, June 2013) of general unemployment, which remains a key challenge for stabilizing the economic and social development of the country. The subject of research in this paper is focused on conducting analysis of the active enterprises in the Republic of Macedonia by size, by sector and by number of employees, as well as analysis of the activity of the population and employment by sectors and by type of ownership of the enterprise in the period from 2013-2017.

The Dynamics of Insurance Development and Economic Growth in Nigeria

2017 ◽  
Vol 65 (1-4) ◽  
pp. 37-44
Author(s):  
Philip Ifeakachukwu Nwosa ◽  
Zainab Bolanle Mustapha
Keyword(s):  
Economic Growth ◽  
Insurance Industry ◽  
Ordinary Least Squares ◽  
Jel Classification ◽  
Regression Estimate ◽  
Insurance Sector ◽  
The Government ◽  
Causal Nexus ◽  
The Impact ◽  
Insurance Development

This study examined the dynamics of insurance development and economic growth in Nigeria for the period 1996–2014. Specifically, the study addressed two important issues: the impact of insurance development on economic growth and the causal nexus between insurance development and economic growth. The study utilised two techniques: ordinary least squares (OLS) and causality. The OLS regression estimate revealed that insurance development had an insignificant effect on economic growth, while the causality estimate showed a one-way causation from economic growth to insurance development. The study recommended that the government should put in place appropriate policies and regulations which would bring about sound development of the insurance sector. This would enhance the contribution of the insurance industry to the growth of the Nigerian economy. JEL Classification: E44, G22, O40

scholarly journals Life insurance, financial development and economic growth in South Africa: An application of the autoregressive distributed lag model

2014 ◽  
Vol 4 (4) ◽  
pp. 81-90 ◽  
Author(s):  
Athenia Bongani Sibindi
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
Granger Causality ◽  
Financial Development ◽  
Life Insurance ◽  
Insurance Sector ◽  
Long Run ◽  
Short Run ◽  
Per Capita ◽  
Insurance Development

The life insurance sector may contribute to economic growth by its very mechanism of savings mobilisation and thereby performing an intermediation role in the economy. This ensures that capital is provided to deficient units who are in need of capital to finance their working capital requirements and invest in technology thereby resulting in an increase in output. In this way, it could be argued that life insurance development spurs financial development. In this article we investigate the causal relationship between the life insurance sector, financial development and economic growth in South Africa for the period 1990 to 2012 by applying the ARDL bounds testing procedure. We make use of life insurance density as the proxy for life insurance development, real per capita growth domestic product as the proxy for economic growth and real broad money per capita as the proxy for financial development. We test for cointegration amongst the variables by applying the bounds test and then proceed to test for Granger causality based on the error correction model. Our results confirm that the variables are cointegrated and move in tandem to each other in the long-run. The results also indicate that the direction of causality runs from the economy to the life insurance sector in the short-run which is consistent with the “demand-following” insurance-growth hypothesis. There is also evidence of bidirectional Granger causality running from the economy to financial development and vice versa, both in the long-run and short-run. The results also reveal that life insurance complements financial development in bringing about economic growth further lending credence to the “complementarity” hypothesis.

EMPIRICAL ANALYSIS OF THE EFFECTS OF FDI ON THE ECONOMIC GROWTH CASE OF THE REPUBLIC OF MACEDONIA

2018 ◽  
Vol 28 (1) ◽  
pp. 111-116
Author(s):  
Liza Alili Sulejmani
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Causal Relationship ◽  
Unit Root ◽  
Series Data ◽  
Republic Of Macedonia ◽  
Long Run ◽  
Short Run ◽  
The Republic ◽  
The Impact

The importance of FDI on the economic growth of a country is widely accepted fact among the scholars and policymakers, beside of the existing debate regarding the strength of its impact and the level of the development of a country.In this regard, the main objective of this paper is to empirically determine the effects of FDI on the Macedonian economy, through the co-integration and VECM methodology. In addition, this study analyzes the impact of FDI in the short-run and long-run period in the Republic of Macedonia, utilizing quarterly time series data for the period 1998 – 2017. Moreover, time series are tested for unit root by employing the Augmented Dickey Fuller test, demonstrating that variables contain unit root in their level, while are stationary in their first difference.Secondly, Granger causality test is used in order to investigate the causal relationship among FDI and real GDP growth rate in Republic of Macedonia for 1998q1-2017q2, by suggesting unidirectional causal relationship among these variables.Last but not least, this study investigates the existence of significant relationship between FDI and economic growth in the context of the Macedonian economy, in both long – run and short – run time period.

scholarly journals Law aspects of life insurance development in the Republic of Macedonia

HORIZONS A ◽  
2016 ◽  
Vol 20 ◽  
Author(s):  
Risto Rechkoski ◽  
Danijela Miloshoska ◽  
Nikola Mickovski
Keyword(s):  
Life Insurance ◽  
Republic Of Macedonia ◽  
The Republic ◽  
Insurance Development

scholarly journals DOES THE INSURANCE SECTOR REALLY MATTER FOR ECONOMIC GROWTH? EVIDENCE FROM CENTRAL AND EASTERN EUROPEAN COUNTRIES

2021 ◽  
Vol 22 (3) ◽  
pp. 695-713
Author(s):  
Yilmaz Bayar ◽  
Marius Dan Gavriletea ◽  
Dan Constantin Danuletiu
Keyword(s):  
Economic Growth ◽  
Cross Section ◽  
Life Insurance ◽  
Structural Breaks ◽  
Causal Connection ◽  
Eastern European ◽  
Causality Test ◽  
Insurance Sector ◽  
Eastern European Countries ◽  
The Impact

This paper analyses the impact of insurance sector development on economic growth based on a sample that includes 14 Central and Eastern European (CEE) post-transition countries for a period of 19 years, from 1998 to 2016. Considering the presence of cross-section dependence and multiple structural breaks, recently developed panel econometric techniques were employed and led to the following conclusions: (1) life insurance has no significant effect on economic growth in both panel and individual countries, (2) non-life insurance positively affects economic growth in both panel and individual countries, (3) Dumitrescu and Hurlin causality test indicates a unidirectional causality running from economic growth to both life and non-life insurance and infers the absence of causal connection between life and non-life insurance and economic growth.

scholarly journals Life insurance, financial development and economic growth in South Africa

2014 ◽  
Vol 4 (3) ◽  
pp. 7-15 ◽  
Author(s):  
Athenia Bongani Sibindi
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
Financial Development ◽  
Life Insurance ◽  
Capital Requirements ◽  
Insurance Sector ◽  
Insurance Density ◽  
Per Capita ◽  
Insurance Development ◽  
Growth Hypothesis

The life insurance sector may contribute to economic growth by its very mechanism of savings mobilisation and thereby performing an intermediation role in the economy. This ensures that capital is provided to deficient units who are in need of capital to finance their working capital requirements and invest in technology thereby resulting in an increase in output. In this way, it could be argued that life insurance development spurs financial development. In this article we investigate the causal relationship between the life insurance sector, financial development and economic growth in South Africa for the period 1990 to 2012. We make use of life insurance density as the proxy for life insurance development, real per capita growth domestic product as the proxy for economic growth and real broad money per capita as the proxy for financial development. We test for cointegration amongst the variables by applying the Johansen procedure and then proceed to test for Granger causality based on the vector error correction model (VECM). Our results confirm the existence of at least one cointegrating relationship amongst the variables. The results indicate that the direction of causality runs from the economy to the life insurance sector which is consistent with the “demand-following” insurance-growth hypothesis. There is also evidence of causality running from the economy to financial development which is consistent with the “demand following” finance-growth hypothesis. The results also reveal that life insurance complements economic growth in bringing about financial development further lending credence to the “complementarity” hypothesis.

scholarly journals The Impact of Regulatory Quality on the Nexus between Life Insurance Development and Economic Growth: Evidence from European Developing Countries

2020 ◽  
pp. 141-152
Author(s):  
Gengnan Chiang ◽  
Chin-Chi Liu
Keyword(s):  
Economic Growth ◽  
Life Insurance ◽  
Smooth Transition ◽  
Growth Effect ◽  
Governance Indicators ◽  
Regulatory Quality ◽  
Smooth Transition Regression ◽  
The Impact ◽  
The Relationship ◽  
Insurance Development

The purpose of this study is to explore whether the regulatory quality influences the relation between life insurance development and economic growth by applying a nonlinear panel smooth transition regression (PSTR) model. Using the data from Worldwide Governance Indicators (WGI) to assess the soundness of regulatory quality, this paper finds that the relationship between life insurance development and economic growth is significantly positive in the countries with relatively better regulatory quality. Our findings not only indicate that sound regulatory quality could encourage the growth effect of life insurance sectors but also have far-reaching practical implications for other economies to realize regulatory quality should matter for the development of the economic growth.

scholarly journals The Impact of Socially Responsible Reporting on Successful Corporate Operations

Organizacija ◽  
2013 ◽  
Vol 46 (2) ◽  
pp. 47-54 ◽  
Author(s):  
Anton Peršič ◽  
Mirko Markič
Keyword(s):  
Research Method ◽  
Quantitative Research ◽  
Socially Responsible ◽  
The Real Estate ◽  
Construction Market ◽  
Responsible Conduct ◽  
The Republic ◽  
And Control ◽  
The Impact ◽  
A Company

The aim of our research was to study the impact and purpose of the reporting on socially responsible conduct on the success of corporate operations. The data and information were gathered with the quantitative research method, whereas the instrument for gathering them was a questionnaire that was distributed among 759 large and medium sized organisations from the field of market services in the Republic of Slovenia. We have established that activities aimed at socially responsible conduct are directly connected with the success of corporate operations, especially the revenue (p = 0.001), the profit of a company (p = 0.000), operational growth (p = 0.007) and operational economy (p = 0.002), and are typical for organizations with a larger number of employees (p = 0.032). In this regard, the real estate and construction market activities received the lowest scores. Research results provide theoretical as well as practical benefits for everyone dealing with the planning, implementation and control of sustainable development, as well as socially responsible conduct within the organization.

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