Regional trade and food security challenges: The case of SAARC countries

Higher consumption and increased import requirements for the South Asian Association for Regional Cooperation (SAARC) region can be catered through neighboring trade partners if resources are optimally utilized. The purpose of this research is to analyze the connection between regional trade of SAARC countries and the food security challenges faced by the region. The study uses data from 1990–2018 for Pakistan, India, Sri Lanka, and Bangladesh to econometrically analyze the determinants of the volume of food trade. The results show that the gross domestic product of importing or exporting countries and foreign direct investment (FDI) have positive impact on regional trade. The bilateral exchange rate between trading partners has a negative impact on the trade volume. The results also showed the absence of a long-run relationship between volume of trade and food security using Johansen’s cointegration test. Our analysis suggests that policy makers should focus on the means for creating favorable environment in Pakistan and India to not only meet the increasing global demands for food but also increasing their competitiveness for high-quality and low-quality priced products in major exports markets.

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Relationship between Budget Deficit and Economic Growth: Evidence from Ethiopia

Applied Journal of Economics, Management and Social Sciences ◽

10.53790/ajmss.v2i2.12 ◽

2021 ◽

Vol 2 (2) ◽

pp. 10-15

Author(s):

Desalegn Emana

Keyword(s):

Economic Growth ◽

Interest Rates ◽

Budget Deficit ◽

Time Series Data ◽

Negative Impact ◽

Positive Impact ◽

Negative Relationship ◽

Nominal Exchange Rate ◽

Series Data ◽

Long Run

This study examined the relationship between budget deficit and economic growth in Ethiopia using time series data for the period 1991 to 2019 by applying the ARDL bounds testing approach. The empirical results indicate that budget deficit and economic growth in Ethiopia have a negative relationship in the long run, and have a weak positive association in the short run. In line with this, in the long run, a one percent increase in the budget deficit causes a 1.43 percent decline in the economic growth of the country. This result is consistent with the neoclassical view which says budget deficits are bad for economic growth during stimulating periods. Moreover, in the long run, the variables trade openness and inflation have a positive impact on Ethiopian economic growth, and on the other hand, the economic growth of Ethiopia is negatively affected by the nominal exchange rate in the long run. Apart from this, in the long run, gross capital formation and lending interest rates have no significant impact on the economic growth of the country. Therefore, the study recommends the government should manage its expenditure and mobilize the resources to generate more revenue to address the negative impact of the budget deficit on economic growth.

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The Trade-Off Between Economic Performance and Environmental Quality: Does Financial Inclusion Asymmetrically Matter for Emerging Asian Economies?

10.21203/rs.3.rs-834441/v1 ◽

2021 ◽

Author(s):

Dong Liu ◽

Yuantao Xie ◽

Muhammad Hafeez ◽

Ahmed Usman

Keyword(s):

Economic Growth ◽

Carbon Emissions ◽

Economic Performance ◽

Negative Impact ◽

Positive Impact ◽

Insurance Premium ◽

Financial Inclusion ◽

Bank Credit ◽

Bank Branches ◽

Long Run

Abstract This study examines the role of financial inclusion on the environment-economic performance in the top five Asian emerging economies. The data used for empirical investigation covers the time period from 1995 to 2019. Financial inclusion is measured through bank branches, bank credit, and insurance premiums. To check long-run associations, the panel-ARDL approach has been employed for empirical analysis. The empirical evidence confirms the significant associations between financial inclusion-GDP nexus and financial inclusion-CO2 nexus. The findings show that bank branches and bank credit have a significantly positive impact on economic growth and CO2 emissions in the long-run. However, insurance premium has no impact on economic growth but it exerts a significant negative impact on carbon emissions in the long-run. Furthermore, energy consumption is highly sensitive to economic growth and carbon emissions. The study delivers imperative points for pollution eradication and attaining sustained economic growth. There is a need for government-level efforts to align the targets of financial inclusion with economic growth and environmental policies.

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Gravity Models of China's Bamboo and Rattan Products Exports: Applications to Trade Potential Analysis

Forest Products Journal ◽

10.13073/fpj-d-19-00022 ◽

2019 ◽

Vol 69 (4) ◽

pp. 337-344

Author(s):

Li Huang ◽

Ke Chen ◽

Mi Zhou ◽

Brendan Nuse

Keyword(s):

Bilateral Trade ◽

Negative Impact ◽

Positive Impact ◽

Trade Flows ◽

Gravity Models ◽

Asia Pacific ◽

Trading Partners ◽

Significant Negative Impact ◽

Trade Potential ◽

Economic Size

Abstract Using export panel data for China and 24 bamboo and rattan trading partners from 2007 to 2017, this study simulates the export trade of Chinese bamboo and rattan products using a gravity model. Our results showed that economic size has a significant positive impact on the bilateral trade of bamboo and rattan products, while absolute distance between two major economic centers and population size have a significant negative impact. Furthermore, relevant Asia-Pacific Economic Cooperation (APEC) trade arrangements have an impact on bamboo and rattan product trade flows from China. Meanwhile, trade of bamboo and rattan between China and APEC countries such as South Korea, Canada, Russia, and Thailand shows much room for growth.

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The effectiveness of government expenditure on economic growth in Botswana

African Journal of Economic and Management Studies ◽

10.1108/ajems-03-2018-0081 ◽

2019 ◽

Vol 10 (3) ◽

pp. 368-384 ◽

Cited By ~ 1

Author(s):

Kafayat Amusa ◽

Mutiu Abimbola Oyinlola

Keyword(s):

Economic Growth ◽

Government Spending ◽

Negative Impact ◽

Positive Impact ◽

Government Expenditure ◽

Public Spending ◽

Empirical Literature ◽

Content Type ◽

Long Run ◽

Short Run

Purpose The purpose of this paper is to examine the relationship between government expenditure and economic growth in Botswana over the period 1985‒2016. The study employed the auto-regressive distributed lag (ARDL) bounds testing approach in investigating the nexus. The study makes the argument that the effectiveness of public spending should be assessed not only against the amount of the expenditure but also by the type of the expenditure. The empirical findings showed that aggregate expenditure has a negative short-run and positive long-run effect on economic growth. When expenditure is disaggregated, both forms of expenditures have a positive short-run effect on economic growth, whereas only a long-run positive impact of recurrent expenditure is observed. The study suggests the need to prioritize scarce resources in productive recurrent and development spending that enables increased productivity. Design/methodology/approach This study examined the effectiveness of government spending in Botswana, within an ARDL framework from 1985 to 2016. To achieve this, the analysis is carried out on both an aggregate and disaggregated level. Government spending is divided into recurrent and development expenditures. Findings This study examined the effectiveness of government spending in Botswana, within an ARDL framework from 1985 to 2016. To achieve this, the analysis hinged on both the aggregate and disaggregated levels. The results of the aggregate analysis suggest that total public expenditure has a negative impact on economic growth in the short run; however, its impact becomes positive over the long run. On disaggregating government spending, the results show that both recurrent and development expenditures have a significant positive short-run impact on growth; however, in the long run, the significant positive impact is only observed for recurrent expenditure. Practical implications The results provide evidence of the diverse effects of government expenditure in the country. In the period under investigation, 73 percent of total government expenditure in Botswana was recurrent in nature, whereas 23 percent was related to development. From the results, it can be observed that although the recurrent expenditure has contributed to increased growth and must be encouraged, it is also pertinent for the Botswana Government to endeavor to place more emphasis on productive development expenditure in order to enhance short- and long-term growth. Further, there is a need to strengthen the growth-enhancing structures and to prioritize the scarce economic resources toward productive spending and ensuring continued proper governance over such expenditures. Originality/value The study provides empirical evidence on the effectiveness of government spending in a small open, resource-reliant middle-income SSA economy and argues that the effectiveness of public spending must be assessed not only against the amount of the expenditure but also on the type or composition of the expenditure. The study contributes to the scant empirical literature on Botswana by employing the ARDL approach to cointegration technique in estimating the long- and short-run impact of government expenditure on economic growth between 1985 and 2016.

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Impact of Foreign Capital on Economic Development in India: An Econometric Investigation

Global Business Review ◽

10.1177/0972150917692198 ◽

2017 ◽

Vol 18 (3) ◽

pp. 766-780 ◽

Cited By ~ 11

Author(s):

Kalpana Sahoo ◽

Narayan Sethi

Keyword(s):

Economic Growth ◽

Economic Development ◽

Foreign Capital ◽

Negative Impact ◽

Positive Impact ◽

Private Investment ◽

Series Data ◽

Domestic Investment ◽

Long Run ◽

Foreign Private Investment

The present study empirically investigates the long-run causal relationship between foreign capital and economic development in India by using the annual time-series data from 1990–1991 to 2013–2014. The study uses some selected macroeconomic variables such as per capita government expenditure on education (PcGEE, as an indicator of economic development), gross domestic product (GDP, as an indicator of economic growth), gross capital formation (GCF, as an indicator of domestic investment), official development assistance (ODA, as an indicator of foreign official inflows) and foreign direct investment (FDI, as an indicator of foreign private investment) for its empirical analysis. By using the cointegration test and the vector vector-error correction model (VECM) technique, this study finds that in the long run, domestic investment has shown a significant and positive impact on economic development, whereas, ODA, FDI and GDP have shown a significant negative impact on it. It concludes that domestic investment, foreign capital along with economic growth have a significant impact on economic development in India in long run. It suggests that the national developmental policy of India should focus on the productive utilization of both domestic and foreign capital along with it should give emphasis on effective transformation of growth benefits towards development process.

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CHALLANGES FACING THE EMERGING ECONOMY DURING COVID-19 THE CASE OF JORDAN

European Journal of Business and Strategic Management ◽

10.47604/ejbsm.1435 ◽

2021 ◽

Vol 6 (2) ◽

pp. 21-29

Author(s):

Basem Al-Lozi ◽

Sheren Hamed

Keyword(s):

Negative Impact ◽

Positive Impact ◽

World Health ◽

Unique Contribution ◽

Policy Recommendations ◽

Exploratory Research ◽

Policy Makers ◽

The Public ◽

Health Organization ◽

The Impact

Purpose: The purpose of this study was to explore the challenges of the Jordanian economy during COVID-19. The Jordanian economy may have to face different scenarios in his macro-environment. Specifically, the study focused on the impact COVID-19 on the Jordanian economy. Methodology: An exploratory research method was used to build three scenarios. The sample randomly selected from Jordanians in the capital of Jordan Amman. The study divided the sample to three groups and asking them three questions related to the expectations of the impact of COVID-19 on the Jordanian economy for the coming years. Results: The study findings revealed that the majority of respondents (55.2%) are optimistic that the COVID-19 will finish and Jordan economy will be booming. Unique contribution to theory, practice and policy: Recommendations were provided for Jordanian policy makers to deal scenarios. For example Jordan government and policy makers has to be pragmatic, and work toward lowering level of expectations among Jordanian economy to avoid the negative impact of COVID-19 on the economy. Cooperation between the public sector and private sector in implementing the instructions of the World Health Organization and the Ministry of Health to decrease the number of cases to open more sectors which will have a positive impact on the Jordanian economy.

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Asymmetric Relationships Between Information and Communication Technology (ICT), Globalization, and Human Development in India: Evidence From Non-Linear ARDL Analysis

10.21203/rs.3.rs-832453/v1 ◽

2021 ◽

Author(s):

Jayanti Behera ◽

Dukhabandhu Sahoo

Keyword(s):

Human Development ◽

Global Financial Crisis ◽

Negative Impact ◽

Positive Impact ◽

Jel Classification ◽

Annual Data ◽

Long Run ◽

Non Linear ◽

Short Run ◽

Asymmetric Relationships

Abstract The objective of the paper is to examine the asymmetric relationships between ICT, globalization, and human development in India by analyzing the annual data from 1991 to 2019 through the non-linear autoregressive distributed lag (NARDL) model. The result shows that positive and negative changes in globalization lead to a decline in human development in the long run, consistent with the literature. Further, a positive change in mobile density increases human development in the long run. A decline in internet density has a positive impact on human development in the long run, and it needs further investigation. In the short run, a positive shock in globalization with one lag has a positive impact on human development. Moreover, a previous year positive and negative shocks in internet density have a positive effect on human development while the previous two years positive and negative shocks in internet density have a negative effect on human development in the short run. It is also found that the global financial crisis 2008 has a negative impact on human development. Thus, it is suggested that India has to promote both globalization and ICT judiciously and consciously in order to improve the human development. JEL Classification: O47, F00, I32, C51

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Trade Patterns of Bangladesh with India and China: An Empirical Evidence of the PPP Theory

10.31219/osf.io/4rcgw ◽

2019 ◽

Author(s):

Kazi Ashraful Alam ◽

Gazi Salah Uddin ◽

Md. Mahmudul Alam

Keyword(s):

Purchasing Power Parity ◽

Power Parity ◽

Trade Patterns ◽

Long Run ◽

Foreign Countries ◽

Inflation Rates ◽

Trading Partners ◽

Trade Partner ◽

Trade Partners ◽

India And China

The paper examines the existence of the Purchasing Power Parity (PPP) theory for both Bangladesh and its two important trading partners- India and China. The PPP theory is an attempt to explain and perhaps more importantly measure statistically, the equilibrium rate of exchange and its variation by means of the price levels and their variations in different countries. The main purpose of the study is to get a comparative picture of trade balance between Bangladesh (home country) and two major trade partners, i.e. India and China (foreign countries) over a given period of time by using the PPP . The empirical results of the study provides an explanation of how relative inflation rates (changes of price level) between two countries can influence an exchange rate and also critically focuses on the degree of deviation between countries which may help to draw a forecast long-run movements in exchange rates. Finally the results also specify about the trade patterns among the countries and fairly conclude the efficient and beneficial trade partner in respect of Bangladesh with India and China.

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DAMP AI( HAMBATAN NON-TARIF TERHADAP PERMINT AAN EKSPOR UDANG INDONESIA KE UNI EROPA

Agro Ekonomi ◽

10.22146/agroekonomi.16740 ◽

2016 ◽

Vol 14 (1) ◽

pp. 17

Author(s):

Toni Kuswoyo ◽

Dwidjono Hadi Darwanto ◽

Slamet Hartono

Keyword(s):

Food Security ◽

Negative Impact ◽

Positive Impact ◽

Export Price ◽

Least Square ◽

The Other ◽

The European Union ◽

Analysis Model ◽

Dummy Variables ◽

The Eu

This research was aimed to determine theforms of the non-tarifbarrier and its impact to the Indonesian shrimp export demand to the European Union (EU), beside the other factors as constructor of demand function. This research used secondary data (lime series) during 23 years (1984-2006): shrimp export volume (Qd), shrimp export price (Px), domestic shrimp price (Pd), crab export price (Pk), exchange rate from the importing countries, and commerce regulations which is peiformed by EU as dummy variables. The data collected from DKP, BPS, Depdag, internet, and other relevant institutions. Peculiarly, the dummy variable grouped into 6 groups: RASFF (DI), contaminant (D2), certain substances & residues (D3), health conditions & food hVf!iene rules (D4), HCCP (D5), and marketinf! standards (D6).This research used the multiple regression analysis model, with the tolerant time (!gg) I year from tfor several dummy variables. Analysis were conducted at 6 markets: UE as a whole, Dutch, United Kingdom (UK), French, Germany, and Belgia and Luxemburg. Testing of the classical assumptions conducted by the econometric criterions is covering the economic and statistic criterions. The estimation of the regression parameters conducted by the smallest square method (ordinarv least SQuare. OLS) and model repaired as the effect of existence of the first order autocorrelation by a comand "auto". The equation model related to the Coob-Douglas model, was transformed into the natural logarithm model in order to easiZv analyzed in package program of statistics.Result of the analysis indicated that the commerce regulations applied by the EU, which its vary to each state, entirely has the negative impact to the Indonesian shrimp export to the UE, except D4 for the UK that shown the positive impact. Several regulations known newly indicated the effect which itsformed into Jgg or its impact is newly felt I year after the regulations enter into force. Thefact strengthen the assumption that applying of commerce regulations by the UE can be the disguised restriction to trade, in this case included to the non tarifbarrier. The sixth groups of the regulationswere very related to the food security and traceability aspect, or in its bearing with the WTO agreements were very related to the SPS and TBT aspect. This invention also strengthen the assumption that non-tarif barrier which newly developed by the advanced countries to control the importation from the other countries were deal with the food security and traceability aspect, or the SPS and TBT aspect. The quantitative non- tarif barrier, example import quota or embargo, were rarer in used. Ap-parently, the EU doesn't wishtoooutspokenin theeffort to control its commerce with the other countries.Realizedor not, in thepresentnon-tarif barrier haveimportantposition to determinewhetheror not thefluent of theinternational trade

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How Small- and Medium-Sized Enterprise Innovation Affects Credit Accessibility: The Case of Vietnam

Sustainability ◽

10.3390/su12229559 ◽

2020 ◽

Vol 12 (22) ◽

pp. 9559

Author(s):

Phuong Anh Nguyen ◽

Thuy Anh Tram Uong ◽

Quang Dung Nguyen

Keyword(s):

Research And Development ◽

Financial Constraints ◽

Negative Impact ◽

Positive Impact ◽

New Technology ◽

New Product ◽

Data Set ◽

Policy Makers ◽

Enterprise Innovation ◽

The University

Nowadays, small- and medium-sized enterprises play crucial roles in both developed and developing countries. They create new employment, fulfill the market gap, contribute to Gross Domestic Product and boost the whole economy. However, small- and medium-sized enterprises face more financial constraints than large enterprises, which prevent them from growing and expanding their activities. This paper aims to investigate how the innovation of small- and medium-sized enterprises impacts on credit accessibility in Vietnam from 2005 to 2015, through five aspects of innovation: new products, new technology, improved existing products, research and development investment, and machine innovation. The data set consists of more than 4500 observations of small- and medium-sized enterprises in Vietnam. This data set is taken from a survey conducted within the framework of cooperation among UNU-WIDER, the University of Copenhagen and Vietnamese government agencies. Using panel regression model, we found out that three out of five innovation factors significantly impact on credit accessibility. More specifically, research and development investment and new product have negative impact on credit accessibility; whereas new technology has positive impact on credit accessibility. These findings are useful for firm managers, banks and policy makers to help small- and medium-sized enterprises overcome financial constraints through innovation aspects.

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