scholarly journals Economic Growth in the Euro Zone Countries and Other Member States of the European Union in the Years 2006 - 2017 - Comparative Analysis

2018 ◽  
Vol 57 ◽  
pp. 01011
Author(s):  
Krzysztof Dobrowolski ◽  
Grzegorz Pawłowski
Keyword(s):  
Consumption Expenditure ◽  
The European Union ◽  
Common Currency ◽  
Non Profit ◽  
Euro Zone ◽  
Final Consumption ◽  
National Currencies ◽  
General Government ◽  
Level Of Economic Development ◽  
The Common

The aim of the conducted research is to verify III hypotheses. Hypothesis I: changes in GDP and its components should demonstrate higher dynamics in the euro zone countries than in countries using national currencies, taking into account differences in their level of economic development. Hypothesis II: in countries that joined the euro zone during the period under examination, the analyzed indicators should demonstrate higher dynamics after the adoption of the common currency. Hypothesis III: the index of final consumption expenditure of general government should demonstrate lower dynamics in the euro zone countries and a decline in dynamics after the adoption of the euro in the countries that have done so during the period considered. Statistical material was analyzed. Data on GDP dynamics, investments, final consumption expenditure of households and non-profit institutions serving households (later referred to as: "final consumption expenditure"), final consumption expenditure of general government, export and import were used. The research methods used were: the method of analysis and logical construction and a statistical one. The hypotheses tested were only partially confirmed.

scholarly journals Foreign Direct Investment, External Debt and Economic Growth: Evidence from some Selected Developing Countries

2017 ◽  
Vol 3 (2) ◽  
pp. 111-124 ◽  
Author(s):  
Imran Sharif Chaudhry ◽  
Shumaila Iffat ◽  
Fatima Farooq
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
External Debt ◽  
Capital Formation ◽  
Domestic Saving ◽  
Final Consumption ◽  
Integration Test ◽  
General Government

Purpose: The aim of this paper is to analyze the relationship between foreign direct investment, external debt and economic growth. The study is based on a sample of 25 region wise selected developing countries. Panel unit root tests suggested that the entire selected variables are stationary at the level of first difference. Using data from 1990 to 2014, results of FMOLS method suggest that the core variables, foreign direct investment and External Debt have significant positive relationship with economic growth. In addition, variables like labor, gross capital formation, Gross domestic saving and general government final consumption expenditure are control variables of the present study. Labor, Gross Domestic Saving and General Government final consumption expenditures have positive while Gross capital formation exerts negative impacts on economic growth as per findings of the study Moreover, FDI exerts outstanding effects on growth than growth because one unit rise in FDI raise the growth by 4.03 units while one unit rise in external debt upgrade the growth up to 2.13 units. It means that boundaries of selected developing nations are absorbent to FDI than external debt. The results of "Johansen Fisher Panel Co integration test" revealed that, there exists a long period relationship among all the explained and explanatory variables. In order to investigate the causal relation among selected variables, pair wise granger causality test is employed.

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