Revisiting the nexus between financial development, FDI, and growth: New evidence from second generation econometric procedures in the Turkish context

2014 ◽  
Vol 64 (1) ◽  
pp. 73-89 ◽  
Author(s):  
Hasan Güngör ◽  
Salih Katircioglu ◽  
Mehmet Mercan
Keyword(s):  
Financial Development ◽  
Structural Breaks ◽  
Second Generation ◽  
Real Income ◽  
Annual Data ◽  
Multiple Structural Breaks ◽  
Equilibrium Relationship ◽  
The Impact ◽  
First Time

This study investigates the impact of the selected financial development proxies and foreign direct investment (FDI) on the growth in the case of Turkey, using annual data for the 1960–2011 period. The second-generation econometric procedure has been applied for the first time to the Turkish data with this respect. Unit root tests by Carrion-i-Silvestre et al. (2009) assume that real income, financial development proxies, and FDI are non-stationary at levels, but become stationary at first differences through multiple structural breaks. Cointegration results by Maki (2012) confirm the existence of a long-term equilibrium relationship between real income growth, financial development, and FDI, again through multiple structural breaks. Finally, this paper confirms that financial development and FDI are long-term drivers of real income, which enable it to react to its long-term path significantly.

The impact of biomass consumption on CO2 emissions

2015 ◽  
Vol 7 (3) ◽  
pp. 348-358 ◽  
Author(s):  
Salih Turan Katircioglu
Keyword(s):  
Error Correction ◽  
Fuel Consumption ◽  
Fossil Fuel ◽  
Annual Data ◽  
Total Biomass ◽  
Content Type ◽  
Fossil Fuel Consumption ◽  
Equilibrium Relationship ◽  
The Impact

Purpose – The purpose of this study is to investigate the long-term equilibrium relationship between carbon dioxide (CO2) emissions and total biomass consumption (BC) in Turkey, which has a rich diversity of ecological conditions prevailing throughout its regions. Design/methodology/approach – Bounds tests and conditional error correction models under the autoregressive distributed lag approach have been applied to annual data that cover the 1980-2010 period. Findings – Results suggest that CO2 emissions are in a long-term equilibrium relationship with total BC in Turkey. BC has a negative effect on CO2 emissions; 1 per cent increase in total BC would lead to 0.029 per cent reduction in CO2 emissions. Long-term coefficient of fossil fuel consumption for CO2 emissions is positive and elastic, 1.247. Finally, conditional error correction model of the present study reveals that CO2 emission in Turkey converges to its economic long-term equilibrium very quickly by 93.7 per cent speed of adjustment through the channel of BC and fossil fuel consumption. Originality/value – Although there have been a considerable number of studies investigating the link between total energy consumption and CO2 emissions in the literature, searching the contribution of components of energy to CO2 emissions deserves attention. Therefore, this study contributes to the literature by investigating the effect of BC on CO2 emissions in the case of Turkey.

TOURISM AND GROWTH IN SINGAPORE: NEW EXTENSION FROM BOUNDS TEST TO LEVEL RELATIONSHIPS AND CONDITIONAL GRANGER CAUSALITY TESTS

2011 ◽  
Vol 56 (03) ◽  
pp. 441-453 ◽  
Author(s):  
SALIH TURAN KATIRCIOǦLU
Keyword(s):  
Granger Causality ◽  
Real Income ◽  
Income Growth ◽  
Annual Data ◽  
Equilibrium Relationship ◽  
Equilibrium Level ◽  
Causality Tests ◽  
Granger Causality Tests ◽  
Bounds Test

This paper empirically investigates the tourism-led growth (TLG) hypothesis in the case of Singapore by employing the bounds test to cointegration, error correction models and Granger causality tests using annual data from 1960 to 2007. Results confirm the existence of long-term equilibrium relationship between international tourism and economic growth in the case of Singapore; real income growth converges to its long-term equilibrium level significantly by 51.4% in the TLG model. The major finding of this study is that the TLG hypothesis is confirmed for the Singaporean economy in the long-term as a result of conditional Granger causality tests.

scholarly journals The impact of agriculture on CO2 emissions in China

2019 ◽  
Vol 66 (2) ◽  
pp. 257-271 ◽  
Author(s):  
Nezahat Doğan
Keyword(s):  
Co2 Emissions ◽  
Carbon Dioxide Emissions ◽  
Single Equation ◽  
Real Income ◽  
Annual Data ◽  
Economic Activities ◽  
Distributed Lag ◽  
The Government ◽  
The Impact

This study empirically analyses the long-term relationship between agricultural production and carbon dioxide emissions in China by using annual data covering 1971-2010. In estimating the relationship between agriculture and CO2 emissions, the study also includes real income and energy consumption as variables in the model, in line with the EKC hypothesis. To identify the existence of a long-term relationship between CO2 emissions and agriculture, the bounds test approach for cointegration and autoregressive distributed lag (ARDL) methods are used. To determine the robustness of the results, other single-equation cointegration methods such as FMOLS, DOLS, and CCR are also estimated. The results confirm cointegration among variables and the presence of an inverse U-shaped agriculture-induced EKC curve for China. Agriculture increases a country?s long-term CO2 emissions. The government, policymakers, and agricultural producers should set strategies covering energy-intensive economic activities, including agriculture, to solve environmental problems.

The impact of financial development on economic growth

2016 ◽  
Vol 11 (4) ◽  
pp. 569-583 ◽  
Author(s):  
Madhu Sehrawat ◽  
A.K. Giri
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Structural Breaks ◽  
Regional Cooperation ◽  
Ordinary Least Squares ◽  
Annual Data ◽  
Content Type ◽  
Long Run ◽  
Integration Test ◽  
The Impact

Purpose The purpose of this paper is to investigate the possible co-integration and the direction of causality between financial development and economic growth in South-Asian Association for Regional Cooperation (SAARC) countries using annual data from 1994 to 2013. Design/methodology/approach The Carrion-i-Silvestre et al. (2005) stationarity test with structural breaks is used to check the stationarity. The Westerlund (2006) panel co-integration test is employed to examine the long-run relationship among the variables. To carry out tests on the co-integrating vectors, fully modified ordinary least squares (FMOLS) and PDOLS techniques are used and panel Granger causality test is used to examine the direction of the causality. Findings The Westerlund (2006) panel co-integration test confirms the existence of the long-run relationship between financial development and economic growth for SAARC countries. The coefficients of FMOLS and DOLS indicate that index of financial development (IFD) and trade openness supports economic growth in SAARC region. In the short-run, there is unidirectional causality running from IFD to economic growth. Research limitations/implications In the view of these findings it is recommended that countries in the region should adopt policies geared toward financial sector development to attain high economic growth. Originality/value To the best of the author’s knowledge, no studies have looked into SAARC countries to study the relationship between financial development and economic growth, this study is the first of its kind.

Remittances, Economic Growth and Poverty: A Case of African OIC Member Countries

2018 ◽  
Vol 57 (2) ◽  
pp. 121-143
Author(s):  
Nasim Shah Shirazi ◽  
Sajid Amin Javed ◽  
Dawood Ashraf
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Poverty Reduction ◽  
Simultaneous Equation ◽  
Equation Model ◽  
Annual Data ◽  
Simultaneous Equation Model ◽  
African Countries ◽  
Alternative Source ◽  
The Impact

This paper investigates the impact of remittance inflows on economic growth and poverty reduction for seven African countries using annual data from 1992-2010. By using the depth of hunger as a proxy for poverty in a Simultaneous Equation Model (SEM), we find that remittances have statistically significant growth enhancing and poverty reducing impact. Drawing on our estimates, we conclude that financial development level significantly increases the remittances inflows and strengthens poverty alleviating impact of remittances. Results of our study further show a signficant interactive imapct of remittances and finacial develpment on economic growth, suggesting the substitutability between remittance inflows and financial development. We further find that 3 percentage point increase in credit provision to the private sector (financial development) can help eliminate the severe depth of hunger in the region. Remittances, serving an alternative source of private credit, can be effective in this regard. Keywords: Remittance Inflow, Poverty Alleviation, Financial Development, Simultaneous Equation Model

scholarly journals The drivers of economic growth in China and India: globalization or financial development?

2017 ◽  
Vol 16 (1) ◽  
pp. 54-84 ◽  
Author(s):  
Magda Kandil ◽  
Muhammad Shahbaz ◽  
Mantu Kumar Mahalik ◽  
Duc Khuong Nguyen
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Emerging Market ◽  
Annual Data ◽  
Test Results ◽  
Causality Test ◽  
Content Type ◽  
China And India ◽  
Integration Test ◽  
The Impact

Purpose Using annual data from 1970 to 2013 for China and India, this paper aims to examine the impact of globalization and financial development on economic growth by endogenizing capital and inflation and drawing comparisons between the two fastest growing emerging market economies. Design/methodology/approach In the long run, co-integration test results indicate that financial development increases economic growth in China and India. Findings The results also reveal that globalization accelerates economic growth in India but, surprisingly, impairs economic growth in China, as it increases competition for exports. The results furthermore disclose that acceleration in capitalization and inflation, as a proxy for aggregate demand, are positively linked to economic growth in China and India. Originality/value Causality test results indicate that both financial development and economic growth are interdependent. In contrast, causality runs from higher economic growth to increased globalization in India, while the results do not support long-term causality between globalization and economic growth in China.

تدفقات الاستثمار الأجنبي المباشر وأثره على البطالة في العراق للمدة (2004-2017) دراسة تحليلية باستخدام التكامل المشترك المتزامن

2021 ◽  
Vol 1 (1) ◽  
Author(s):  
خالد عواد ◽  
مهند عبد ◽  
بلال اسعد
Keyword(s):  
International Trade ◽  
Foreign Investment ◽  
Economic Liberalization ◽  
Unemployment Rates ◽  
Equilibrium Relationship ◽  
The Impact

This research aims to show the impact of foreign investment inflows into Iraq on changes in unemployment after 2004, in light of the emergence of ideas of globalization in various aspects and the convergence of distances between countries due to the development of knowledge and scientific means of communication and by the policies of economic liberalization and international trade. A long - term equilibrium relationship between foreign investment flows and unemployment, and that changes in unemployment rates explain the change in FDI flows.

The moderating role of informal economy on financial development induced ekc hypothesis in turkey

2022 ◽  
pp. 0958305X2110707
Author(s):  
Baris Memduh Eren ◽  
Salih Katircioglu ◽  
Korhan K. Gokmenoglu
Keyword(s):  
Financial Development ◽  
Informal Economy ◽  
Structural Breaks ◽  
Energy Use ◽  
Well Being ◽  
Supporting Evidence ◽  
Interaction Variables ◽  
The Impact ◽  
Moderating Role

This study conducts an empirical investigation about the moderating role of the informal economy on Turkey's environmental performance by employing advanced econometric techniques that account numerous structural breaks in series. In this extent, we created three interaction variables by captivating the impact of informal economic activities on CO2 emissions through income, energy use, and financial sector development. Besides, we built a main effect model without the interaction variables to assess the direct effects of our variables on global environmental degradation. The outcomes of the carried analyses produced supporting evidence toward the confirmation of the Environmental Kuznets Curve (EKC) assumption. Obtained findings shown that energy use, financial development and the informal economy in Turkey transmit a deteriorating impact on environmental well-being. Furthermore, the moderating role of the informal economy was found to be statistically significant factor in terms of both economic and environmental efficiency.

The decline and rise of class voting? From occupation to culture in Australia

2018 ◽  
Vol 55 (3) ◽  
pp. 426-445 ◽  
Author(s):  
Ian McAllister ◽  
Toni Makkai
Keyword(s):  
Cultural Capital ◽  
National Survey ◽  
Social And Cultural Capital ◽  
Class Voting ◽  
Party Support ◽  
The 1960S ◽  
Economic Assets ◽  
The Impact ◽  
First Time

Conventional wisdom has long held that class is declining as an influence on voting. More recently, new conceptions of class, focusing on the ownership of economic assets and the possession of social and cultural capital, have challenged this view. This article evaluates these arguments in two ways. First, we examine trends in the impact of traditional measures of class on the vote in Australia from the 1960s to the present day. Second, using a 2015 national survey that measures different aspects of class voting, we assess for the first time the relative effects on the vote of occupation, assets, and social and cultural capital. The results show that while occupation has declined and is now unimportant, the ownership of both assets and cultural capital are major influences on the vote. We argue that the impact of class on the vote has not declined, but rather transformed itself in new and different ways, which has important long-term implications for party support.

scholarly journals An Introduction to Nicos Hadjinicolaou's “Art Centers and Peripheral Art” (1982)

ARTMargins ◽  
2020 ◽  
Vol 9 (2) ◽  
pp. 112-118
Author(s):  
Terry Smith
Keyword(s):  
The United States ◽  
Political Art ◽  
Book Art ◽  
Hard Edge ◽  
War Of Independence ◽  
History Of ◽  
The 1960S ◽  
The Impact ◽  
First Time

Change in the history of art has many causes, but one often overlooked by art historical institutions is the complex, unequal set of relationships that subsist between art centers and peripheries. These take many forms, from powerful penetration of peripheral art by the subjects, styles and modes of the relevant center, through accommodation to this penetration to various degrees and kinds of resistance to it. Mapping these relationships should be a major task for art historians, especially those committed to tracing the reception of works of art and the dissemination of ideas about art. This lecture, delivered by Nicos Hadjinicolaou in 1982, outlines a “political art geography” approach to these challenges, and demonstrates it by exploring four settings: the commissioning of paintings commemorating key battles during the Greek War of Independence; the changes in Diego Rivera's style on his return to Mexico from Paris in the 1920s; the impact on certain Mexican artists in the 1960s of “hard edge” painting from the United States; and the differences between Socialist Realism in Moscow and in the Soviet Republics of Asia during the mid-twentieth century. The lecture is here translated into English for the first time and is introduced by Terry Smith, who relates it to its author's long-term art historical quest, as previously pursued in his book Art History and Class Struggle (1973).

Sign in / Sign up

Export Citation Format

Share Document