scholarly journals Urban population and economic growth: South Asia perspective

2016 ◽  
Vol 5 (1) ◽  
pp. 64 ◽  
Author(s):  
Sandip Sarker ◽  
Arifuzzaman Khan ◽  
Mehdad Mamur Mannan
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
South Asia ◽  
Urban Population ◽  
Panel Data Analysis ◽  
Trade Openness ◽  
Unit Root Test ◽  
Long Run ◽  
Augmented Dickey Fuller ◽  
Determinants Of Economic Growth

Previously economic growth was generally discussed in terms of foreign direct investment (FDI), educational growth, savings, investments, inflation as well as trade openness of a nation. Very recently it has been identified that population is one of the major determinants of economic growth of a nation. In the recent years, the study of urbanization has gained a matter of concern in developing countries as it has been recognized as part of a larger process of economic development which is affecting developing countries. South Asian countries are one of the emerging economics and growing at a faster rate over the past few years. At the same time, population of South Asia is growing at a significant rate. Therefore the study has attempted to identify the causal relationship between urban population and economic growth in South Asia using a panel data analysis. The study makes use of the Augmented Dickey-Fuller (ADF) and Phillips-Perron (PP), Pesaran as well as Fisher methods for panel unit root test. The panel Pedroni cointegration test suggests that there is long run relationship between the variables. The further panel Vector Error Correction Model (VECM) suggests that there is long run causality running from urban population growth to economic growth in South Asia. The study concludes that the growth of urban population can have significant impact on economic growth in South Asia in the long run.

scholarly journals How do Globalization, Technological Change and Employment Impact Economic Growth in Developing Countries? Evidence from Panel Data Analysis

2018 ◽  
Vol 1 (1) ◽  
pp. 39-49
Author(s):  
Fatima Saleem ◽  
Fatima Farooq ◽  
Imran Sharif Chaudhry ◽  
Noreen Safdar
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Developing Economies ◽  
Panel Data Analysis ◽  
Trade Openness ◽  
Causality Analysis ◽  
Causality Test ◽  
Panel Ardl ◽  
Long Run ◽  
The Impact

This study aims at exploring the impact of globalization, technology and employment on economic growth of developing economies. This study also observed the long-run, short-run and causality relationships between globalization, technological innovations, employment, and economic growth for 20 selected developing countries covering the data for period of 1991 to 2017.  Since stationary of variables is examined through ADF tests, Levin-Lin-Chu test, and IM-Pesaran-Shin test and resulted with mixed order of integration, Panel ARDL estimation techniques are employed to measure the long run effects of these variables on growth of selected economies. Dumitrescu-Hurlin panel Granger Causality test was applied for causality analysis. All variables have strong positive and significant relationship with growth. This study concluded that knowledge and research-based education have a key role in promoting long-run growth as evident from the ‘New growth theory’ of Romer. On the basis of these results, it is suggested that knowledge and research-based education should be promoted and export-oriented policies should also be encouraged to attain benefits of trade openness and globalization for accelerating economic growth on sustainable basis.

Trade openness and economic growth in the Asian region

2014 ◽  
Vol 7 (3) ◽  
pp. 136-152 ◽  
Author(s):  
Muhammad Tahir ◽  
Imran Khan
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Least Squares Method ◽  
Trade Openness ◽  
Domestic Investment ◽  
Content Type ◽  
Asian Region ◽  
Long Run ◽  
The Impact ◽  
Determinants Of Economic Growth

Purpose – This paper aims to focus on the Asian developing countries to examine the impact of trade openness on economic growth. Design/methodology/approach – Empirical analysis is carried out with the help of panel econometric techniques and two-stages least squares method. Findings – The results show that trade openness has contributed significantly to the growth process of the developing countries located in the Asian region. It is also found that domestic investment has influenced economic growth for the sampled countries. Further, the results show that human capital has adversely affected economic growth despite the fact that different proxy variables are used. Research limitations/implications – No positive relationship between education and economic growth could be established despite using different measures of education. However, this issue has been brought to the attention of researchers for further investigation. Practical implications – Developing countries located in the Asian region, therefore, are suggested to speed up the process of trade liberalization and also pay favourable attention to other determinants of economic growth to accelerate long-run economic growth. Originality/value – The results presented in the paper are original. Some insights about the impact of education on economic growth have been highlighted.

The relationship between international trade openness and economic growth in the developing economies

2015 ◽  
Vol 8 (2) ◽  
pp. 123-139 ◽  
Author(s):  
Muhammad Tahir ◽  
Toseef Azid
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Developing Economies ◽  
Labour Force ◽  
Trade Openness ◽  
Content Type ◽  
Long Run ◽  
Speed Up ◽  
Determinants Of Economic Growth ◽  
The Relationship

Purpose – This paper aims to establish a relationship between trade openness and economic growth in the context of the developing countries. This study has proposed a new measure of trade openness to the literature, as the available measures are flawed. Design/methodology/approach – Empirical analyses are carried out with the help of panel econometric techniques. Findings – The main finding of the paper is that the relationship between trade openness and economic growth is positive and statistically significant for developing countries. Besides trade openness, other determinants of economic growth such as investment and labour force are also significantly related with economic growth and carry expected coefficients. Further, it is found that frequent fluctuations in prices are detrimental to long-run economic growth. Practical implications – Therefore, the developing countries are suggested to speed up the process of trade liberalization and also pay favourable attention to other determinants of economic growth to achieve high economic growth. Originality/value – The authors have used a new measure of trade openness apart from the conventional trade volume measure of trade openness.

The impact of telecommunication revenue on economic growth: evidence from Ghana

2014 ◽  
Vol 5 (2) ◽  
pp. 195-208 ◽  
Author(s):  
Francis Atsu ◽  
Charles Agyei ◽  
William Phanuel Darbi ◽  
Sussana Adjei-Mensah
Keyword(s):  
Economic Growth ◽  
Unit Root Test ◽  
Policy Makers ◽  
Correction Model ◽  
Content Type ◽  
Long Run ◽  
Telecommunication Infrastructure ◽  
Augmented Dickey Fuller ◽  
The Impact ◽  
Practical Implications

Purpose – The purpose of this paper is to investigate the long-run impact of telecommunications revenue and telecommunications investment on economic growth of Ghana for the time horizon 1976-2007. Design/methodology/approach – The paper uses the Augmented Dickey Fuller and Phillips Perron unit root test to explore the stationarity property of the variables and the Engle-Granger residual-based test of cointegration to model an appropriate restricted error correction model. Findings – The outcome of the analysis produced mixed results. Telecommunications revenue does not contribute significantly whilst telecommunications investment does. Practical implications – Policy makers will have to deal with a conundrum; while designing targeted policies that will attract more telecommunication investment in order to maximize the corresponding revenues and the economic growth it brings in its wake, they must at the same time find ways and resources to grow the economy to a point or threshold where revenue from telecommunications can have the much needed impact on their economies. Originality/value – The study is one of the first that has investigated the line of causality between telecommunication revenue and economic growth unlike previous research that mainly focused on the impact of telecommunication infrastructure on economic development.

Impact of Trade Openness on Nigerian Economic Growth: An Empirical Investigation, 1970–2011

2020 ◽  
Vol 55 (2) ◽  
pp. 239-247 ◽  
Author(s):  
Gerald C. Nwadike ◽  
Ani Kelechi Johnmary ◽  
Chukwuma Samuel Alamba
Keyword(s):  
Economic Growth ◽  
Trade Openness ◽  
Unit Root Test ◽  
Total Import ◽  
Private Sector Investment ◽  
Ex Post ◽  
Long Run ◽  
Integration Test ◽  
The Government ◽  
The Impact

Geopolitical territories have often engaged in one form of trade or another with their neighbours. That is because no nation in the world can survive without one form of trade with other sovereign states. This study examines the nature of trade openness and economic growth in Nigeria from 1970–2011. The emphasis of this empirical study is to ascertain the impact of trade openness on Nigeria’s economic growth. Causal comparative or ex-post facto research design was adopted in the study. Econometric time series analyses like ADF unit root test, co-integration test and the ordinary least squared (OLS) were employed in the study. The result obtained was used to test the hypotheses, and it was revealed that (i) Trade Openness has positive significant impact on Nigeria’s economic growth; while (ii) Gross Domestic Product (GDP) responds to the shock of Trade Openness value as a proxy of total import and total export divided by GDP as well as change in Exchange Rate (DEXR) within Nigeria’s economy during the period of study. Thus, the co-integration results indicate that there exists long-run relationship among the variables used; hence; the researchers then recommended that there is urgent need for the government to create enabling environment for good trade policy that would attract both foreign and domestic private sector investment in the country. JEL Codes: F13, B27

scholarly journals Dynamic Impact of Trade Openness on the Economic Growth in Nigeria

2019 ◽  
Vol 8 (5C) ◽  
pp. 609-616
Keyword(s):  
Economic Growth ◽  
Trade Openness ◽  
Unit Root Test ◽  
Secondary Data ◽  
Dynamic Impact ◽  
Long Run ◽  
Short Run ◽  
Private And Public ◽  
The Government ◽  
The Masses

In theory, it was conforming to the accepted standard the open economies grow faster than the closed economies, and respectable economic development level could be achieved. This paper investigates the dynamic impact of trade openness on the economic growth in Nigerian economy between 1980 - 2016 empirically. Secondary data were sourced, from the 2016 Central Bank of Nigeria Statistical Bulletin’. The tests of diagnostic conducted are: cointegration test, unit root test and error correction model. The analysis result revealed the trade openness was found to have negatively impacted on the economic growth in both the short run and long run. Based on study findings, it is recommended that since the imports of the country are more than its export; the government needs to have the present efforts to sustain the diversification of the economy to achieve economic growth led by exports. Furthermore, the collaborative effort of government with private sectors should encourage the export substitute in the nation to discourage importation and promote export of primary commodities especially the ones that have absolute advantages to the nation. Lastly, the study also recommended that the government of the country should sustain the policy of Treasury Single Account (T.S.A) so as that the loopholes will be blocked in the private and public sectors of the nation, and also to make sure there is equity in the utilization of the revenue generated internally for the masses to benefit.

Trade Openness, Foreign Direct Investment and Economic Growth: Empirical Evidence from India

2016 ◽  
Vol 6 (2) ◽  
Author(s):  
Brajaballav Pal
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Time Series Data ◽  
Trade Openness ◽  
Unit Root Test ◽  
Series Data ◽  
Long Run ◽  
Integration Test ◽  
The Government

This paper examines the relationship among GDP, foreign direct investment and trade openness for India using time series data from 2001 to 2016. In this study unit root test is used to solve the problem of stationery and to determine the order of integration between the variables. Johnson co-integration test suggests that there is a long run equilibrium relationship among the variables by considering relationship between Gross Domestic Product (GDP), Foreign Direct Investment (FDI) and Trade Openness (TO). The result indicates that trade openness exerts influence on foreign direct investment. The government and policy makers should take up strategies to attract foreign investment so as to promote economic growth.

THE NEXUS AMONG TOURISM, URBANISATION AND CO2 EMISSIONS IN SOUTH ASIA: A PANEL ANALYSIS

2021 ◽  
Vol 27 (1) ◽  
pp. 63-82
Author(s):  
Sakib Bin Amin ◽  
Mahnaz Aftabi Atique
Keyword(s):  
South Asia ◽  
Co2 Emissions ◽  
Panel Data Analysis ◽  
Panel Cointegration ◽  
Annual Data ◽  
Causality Test ◽  
Environmentally Sustainable ◽  
Long Run ◽  
Cointegration Tests ◽  
Determinants Of Economic Growth

Purpose – Tourism and urbanisation are two significant determinants of economic growth and have been identified as top contributors to CO2 emissions. We examine the nexus among tourism, urbanisation, and CO2 emissions in South Asia by providing empirical evidence using panel data analysis. Design – Annual data from 1995-2019 is collected from the World Development Indicator 2020 for five South Asian countries: Bangladesh, India, Sri Lanka, Nepal, and Pakistan. Methodology – Durbin-Hausman panel cointegration and LM Bootstrap panel cointegration tests are conducted to check long-run cointegration. Dumitrescu-Hurlin panel causality test is used to detect causal relationship among the variables. Moreover, the PDOLS, PMG ARDL, c-up FMOLS and Generalised Linear Model are used to estimate long-run coefficients of the variables. Findings – We reveal unidirectional causalities running from urbanisation to tourism, urbanisation to CO2 emissions, and tourism to CO2 emissions. Additionally, when heterogeneity of the variables is taken into account, both tourism and urbanisation show positive and significant effect on CO2 emissions in the long-run. Originality of the Research – To our knowledge, no previous study investigates the relationship among tourism, urbanisation and CO2 emissions is South Asia. Our results will guide policy makers to design policies that will promote urbanisation and tourism growth in an environmentally sustainable way.

Impact of Trade Openness on Economic Growth in Emerging Economies: A Panel Data Analysis

2021 ◽  
Vol 9 (2) ◽  
pp. 210-216
Author(s):  
Muhammad Atiq Ur Rehman ◽  
Ruqia Shaheen ◽  
Farzana Munir
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Panel Data ◽  
Emerging Economies ◽  
Panel Data Analysis ◽  
Trade Openness ◽  
Generalized Method Of Moments ◽  
Developed Countries ◽  
Export Promotion ◽  
Promotion Strategies

The role of international trade in boosting economic growth is imperative in the era of globalization and trade liberalization. A trade openness policy can help stimulate economic growth mainly in two ways. Firstly, technology is transferred from developed countries to developing countries through imports. Secondly, the export promotion strategies facilitate the innovations and inventions promoting competition among the producers. In this way, research-intensive specialization culture is flourished in developing countries. This study aims at examining the effect of global trade orientation on growth in 23 emerging economies for the period 1995-2018. The panel data estimation approach including fixed effect and generalized method of moments (GMM) reveal a positive and statistically significant influence of trade openness on economic growth.  The empirical results are robust to the various specifications, supporting the trade-led growth notion in the economies under consideration. The emerging economies can achieve higher growth rates through trade openness and export promotion strategies.

scholarly journals The Impact of FDI on Economic Growth in Case of Romania

2020 ◽  
Vol 12 (12) ◽  
pp. 81
Author(s):  
Alina Mihaela Ciobanu
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Labor Force ◽  
Direct Investment ◽  
Trade Openness ◽  
Causality Test ◽  
Long Run ◽  
Main Determinants ◽  
The Impact ◽  
Determinants Of Economic Growth

Foreign direct investment flows had increased worldwide over the last decades and many specialists think that there is a strong correlation among trade, FDI, labor force, and economic growth in the receiving countries. Based on available statistical data, we will examine the effects of FDI on GDP growth and the causality relations between GDP, trade openness, labor force, and FDI in case of Romania for the last decades. The ARDL bound testing approach is used to study the existence of a long-run relationship between FDI, trade, labor, and economic growth. Then the error-correction based Granger causality test is used to test the direction of causality between the variables. The results revealed that there is cointegration among the variables when real GDP and foreign direct investment are the dependent variables. Foreign direct investment, trade openness, and labor force are the main determinants of economic growth in the long run in Romania. In addition, the increase of gross domestic product, exports, imports and labor force promote foreign direct investment in the long run.

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