scholarly journals Economic growth and crude oil revenue in Nigeria

2022 ◽  
Vol 10 (8) ◽  
pp. 218-227
Author(s):  
Nenubari John Ikue ◽  
Lucky Ifeanyi Amabuike ◽  
Joseph Osaro Denwi ◽  
Aminu Usman Mohammed ◽  
Ahmadu Uba Musa
Keyword(s):  
Crude Oil ◽  
Oil Industry ◽  
Individual Income ◽  
Development Indicators ◽  
Oil Revenue ◽  
Long Run ◽  
Short Run ◽  
Per Capita ◽  
The Impact ◽  
World Development

This paper investigated how oil revenue and the activities in the oil industry affected the size of income accrue to each Nigerian (Per capita income) from 1980 to 2019. The variables were sourced from the World Bank’s World Development Indicators (WDI), OPEC Statistics, Baker Hughes Rig Count and the central bank of Nigeria statistical bulletin. Using the AutoRegressive Distributional Lag (ARDL) we observed that explorative activities of crude oil in Nigeria positively impacted the size of individual income. The magnitude of the impact was massive irrespective of time; a 1% increase in exploration increases the size of individual income by 0.4786% in the long run and 0.6030% in the short run. The interaction of rigs by output (interaction of rig-count and oil-production) negatively impacted the size of individual income. This implies that the size of individual income in Nigeria is sensitive to the nature of the explorative environment of the Nigerian oil industry.

An Econometric Analysis on the Relationship between Globalisation and Inequality in South Africa

2020 ◽  
Vol 11 (1) ◽  
pp. 89-89
Author(s):  
Jacques de Jongh
Keyword(s):  
South Africa ◽  
Well Being ◽  
Causality Analysis ◽  
Global Integration ◽  
Development Indicators ◽  
Long Run ◽  
The World ◽  
Distribution Of Resources ◽  
Short Run ◽  
The Impact

Globalisation has had an unprecedented impact on the development and well-being of societies across the globe. Whilst the process has been lauded for bringing about greater trade specialisation and factor mobility many have also come to raise concerns on its impact in the distribution of resources. For South Africa in particular this has been somewhat of a contentious issue given the country's controversial past and idiosyncratic socio-economic structure. Since 1994 though, considerable progress towards its global integration has been made, however this has largely coincided with the establishment of, arguably, the highest levels of income inequality the world has ever seen. This all has raised several questions as to whether a more financially open and technologically integrated economy has induced greater within-country inequality (WCI). This study therefore has the objective to analyse the impact of the various dimensions of globalisation (economic, social and political) on inequality in South Africa. Secondary annual time series from 1990 to 2018 were used sourced from the World Bank Development indicators database, KOF Swiss Economic Institute and the World Inequality database. By using different measures of inequality (Palma ratios and distribution figures), the study employed two ARDL models to test the long-run relationships with the purpose to ensure the robustness of the results. Likewise, two error correction models (ECM) were used to analyse the short-run dynamics between the variables. As a means of identifying the casual effects between the variables, a Toda-Yamamoto granger causality analysis was utilised. Keywords: ARDL, Inequality, Economic Globalisation; Social Globalisation; South Africa

The long run impact of immigration on labor market in an advanced economy

2015 ◽  
Vol 42 (4) ◽  
pp. 356-367
Author(s):  
Faridul Islam ◽  
Saleheen Khan
Keyword(s):  
Labor Market ◽  
Gdp Per Capita ◽  
Advanced Economy ◽  
Content Type ◽  
Dynamic Relationship ◽  
Long Run ◽  
The Usa ◽  
Short Run ◽  
Per Capita ◽  
The Impact

Purpose – The purpose of this paper is to examine the dynamic relationship among immigration rate, GDP per capita, and and real wage rates in the USA. Design/methodology/approach – The paper implements the Johansen-Juselius (1990, 1992) cointegration technique to test for a long-run relationship; and for short-run dynamics the authors apply Granger causality tests under the vector error-correction model. Findings – The results show that the long-run causality runs from GDP per capita to immigration, not vice versa. Growing economy attracts immigrants. The authors also find that immigration flow depresses average weekly earnings of the natives in the long-run. Originality/value – The authors are not aware of any study on the USA addressing the impact of immigrants on labor market using a tripartite approach by explicitly incorporating economic growth. It is therefore important to pursue a theoretically justified empirical model in search of a relation to resolve on apparent immigration debate.

scholarly journals Foreign Direct Investment and External Debt Impacts Assessment on Environmental Resources Depletion in Nigeria

2021 ◽  
Vol 50 (4) ◽  
pp. 361-380
Author(s):  
Aderopo Raphael Adediyan ◽  
Uchenna Kingsley Chigozie ◽  
Venus Nmakanmma Obadoni
Keyword(s):  
Foreign Direct Investment ◽  
Crude Oil ◽  
Direct Investment ◽  
External Debt ◽  
Debt Management ◽  
Environmental Resources ◽  
Long Run ◽  
Depletion Rate ◽  
Short Run ◽  
The Impact

The public interest in justness, equity and fairness in the use of environmental resources between the present and future generations have raised concern about the current depletion rate of environmental resources in Nigeria. Several socioeconomic factors are involved. Worrisome however is the inflow of foreign direct investment and external debt escalation in recent years in the economy. Importantly, we asked, do they contribute to the depletion of environmental resources in Nigeria? In that, we modelled the implications of growth in FDI and external debt on four cases of environmental resources depletion (forestry, solid minerals, fisheries, and crude oil resources productions). The estimated results suggested that though the depletion rate of environmental resources like crude oil depends largely, over the long run and short run, on the movement in FDI inflow, critical to the level of depletion of the forest is the short run effect of external debt. Furthermore, the depletion level of fisheries responds positively only to a change in FDI with a lag in the short run. In terms of solid minerals, we found a long run impact of external debt. Therefore, provided the impact of a rise in FDI and external debt on the depletion of environmental resources is subject to the particular resource and time in Nigeria, selective policies based on the FDI and external debt management is appropriately adequate to control the level of depletion of environmental resources in Nigeria for the benefit of the future generation.

scholarly journals The nexus between tourism demand and output per capita with the relative importance of trade openness and financial development

2016 ◽  
Vol 23 (1) ◽  
pp. 168-186 ◽  
Author(s):  
Muhammad Shahbaz ◽  
Ronald Ravinesh Kumar ◽  
Stanislav Ivanov ◽  
Nanthakumar Loganathan
Keyword(s):  
Financial Development ◽  
Structural Breaks ◽  
Trade Openness ◽  
Tourism Demand ◽  
Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
In Series ◽  
Per Capita ◽  
The Impact

This article revisits the tourism-growth nexus in Malaysia using time series quarterly data over the period 1975–2013. The authors examine the impact of tourism using two separate indicators – tourism receipts per capita and visitor arrivals per capita. Using the augmented Solow production function and the autoregressive distributed lag bounds procedure, they also incorporate trade openness and financial development and account for structural breaks in series. The results show the evidence of cointegration between the variables. Assessing the long-run results using both indicators of tourism demand, it is noted that the elasticity coefficient of tourism is 0.13 and 0.10 when considering visitor arrivals and tourism receipts (in per capita terms), respectively. Notably, the impact of tourism demand is marginally higher with visitor arrivals. The elasticity of trade openness is 0.19, that of financial development is 0.09 and that of capital share is 0.15. In the short run, the coefficient of tourism is marginally negative, and for financial development and trade openness, it is 0.01 and 0.18, respectively. The Granger causality tests show bidirectional causation between tourism and output per capita, financial development and tourism and trade openness and tourism demand, duly indicating the feedback or mutually reinforcing impact between the variables and providing evidence that tourism is central to enhancing the key sectors and the overall income level.

scholarly journals South Africa’s Financial Development and its Role in Investment

2018 ◽  
Vol 7 (1) ◽  
pp. 101-120 ◽  
Author(s):  
Brian Muyambiri ◽  
N.M. Odhiambo
Keyword(s):  
South Africa ◽  
Financial Development ◽  
Positive Impact ◽  
Investment Model ◽  
Model Composite ◽  
Enhancing Effect ◽  
Development Indicators ◽  
Long Run ◽  
Short Run ◽  
The Impact

AbstractThis study investigates the impact of financial development on investment in South Africa between 1976 and 2014. The model estimated is based on the flexible accelerator investment model. Composite indices for bank-based and market-based financial development indicators are used as explanatory variables. The estimated model postulates that both bank-based financial development and market-based financial development have an acceleratorenhancing effect on investment. Results show that market-based financial development has a positive impact on investment in the long run, while bank-based financial development has a negative effect in the short run. Implications are that, for South Africa, market-based financial development has a positive accelerator-enhancing effect on investment in the long run. In contrast, bank-based financial development is found to have a negative accelerator enhancing effect on investment in the short run.

Analyzing the Impact of Oil Price Fluctuations on Vietnam Stock Market

2018 ◽  
pp. 229-245
Author(s):  
Huynh Viet Khai ◽  
Le Minh Sang ◽  
Phan Thi Anh Nguyet
Keyword(s):  
Stock Market ◽  
Crude Oil ◽  
Economic Crisis ◽  
Oil Prices ◽  
Stock Market Index ◽  
Market Index ◽  
Crude Oil Prices ◽  
Long Run ◽  
Short Run ◽  
The Impact

This chapter covers a study that was conducted to find out the impact of crude oil prices on the Vietnam stock market in the period from March 2006 to June 2015 by using the autoregressive-distributed lag (ARDL) model with dummy variables of the economic crisis. The results revealed that the crude oil prices had positive impacts on VN-Index and HNX-Index in short-run, but negatively in long-run. In addition, the study also found that the economic crisis has affected the relationship between the crude oil prices and the stock market index in the short-run. During the crisis period, the crude oil prices related to the VN-Index and HNX-index more closely than the other stages. However, in the long-run the relationship between oil prices and stock market index was not affected by the economic crisis.

scholarly journals Impact of Institutional Quality on Multilateral Aid in Nigeria

2021 ◽  
Vol 4 (4) ◽  
Author(s):  
Ezebuilo Romanus Ukwueze ◽  
Uchenna Casmir Ugwu ◽  
Ogochukwu Anastasia Okafor
Keyword(s):  
Institutional Quality ◽  
Bounds Testing ◽  
Development Indicators ◽  
Transparency International ◽  
Multilateral Aid ◽  
Distributed Lag ◽  
Use Of Resources ◽  
Long Run ◽  
Short Run ◽  
The Impact

The linkage between quality of institutions and economic performance of nations has generated a lot of interest among scholars, due to their influence on development of many countries and effective use of resources including foreign aid from multilateral organizations. Two strands of theories emerge on the institutions-multilateral aids nexus: those for benefits of aid to growth and development; and those for harms caused by aid. The research objective is to investigate the impact of institutional quality on multilateral aid in Nigeria. To do this, the study applied auto-regressive distributed lag (ARDL) bounds testing approach. Data for the study were sourced from the ICRG data, WGI data, QoG database, Transparency International, and World Development Indicators (WDI). The findings show that institutional quality variables do not have any influence on the multilateral aid in Nigeria, except the ‘independence of judiciary’ which appeared statistically significant. In the short-run analysis, the disequilibrium in the long-run equilibrium is corrected for in the next quarter period by about 25%; almost all the variables are statistically and significantly influencing multilateral aid. It is therefore recommended that donor agencies should consider other factors that negatively influence official development assistance (ODA) such as politics, location and colonial history.

scholarly journals Impact of Exports and Imports on Economic Growth in Rwanda: 1961-2018

2020 ◽  
Author(s):  
Charles Ruranga ◽  
Daniel S. Ruturwa ◽  
Valens Rwema
Keyword(s):  
Economic Growth ◽  
Time Series Data ◽  
Series Data ◽  
Causality Test ◽  
Development Indicators ◽  
Long Run ◽  
Equilibrium Relationship ◽  
Short Run ◽  
Annual Time Series ◽  
The Impact

Abstract The aim of this paper is to investigate the impact of trade on economic growth in Rwanda. This paper uses exports and imports for trade and gross domestic product for economic growth. Research questions were formulated as (1) Are exports, imports and economic growth cointegrated? (2) Is there a long or short run relationship between those Variables? (3) Are there any causal relationships between factors (4) what the direction of the causality is it? Annual time series data from World Development Indicators for the period from 1961 to 2018 have been used. The methods of linear regression for estimation of Vector Auto regressions models have been used. Our findings established that VAR was appropriate model, and GDP, Exports were stationary at first differences while Imports was stationary at second difference but not at levels. Hence the two series were integrated of order one and the third one was integrated of order two. Tests of cointegration indicates that the three variables were not cointegrated, implying there was no long run equilibrium relationship between the three series. The causality test indicated that exports and imports influenced GDP. On the other hand, we found that there was a strong evidence of unidirectional causality from exports to economic growth. However, there was bidirectional causality between GDP and imports. These results provide evidence that exports and imports, thus, were seen as the source of economic growth in Rwanda.

scholarly journals REVISITING THE EXPORT-LED GROWTH HYPOTHESIS USING ARDL APPROACH: EMPIRICAL EVIDENCE FROM KAZAKHSTAN

2021 ◽  
Vol 7 (1) ◽  
Author(s):  
Imtiyaz Ahmad Shah ◽  
Shabir Ahmad Najar ◽  
Bilal Ahmad Khan
Keyword(s):  
Correction Term ◽  
Labour Force ◽  
Speed Of Adjustment ◽  
Independent Variables ◽  
Long Run ◽  
Ardl Approach ◽  
Short Run ◽  
Per Capita ◽  
The Impact ◽  
Growth Hypothesis

The paper aims to examine the impact of exports on Kazakhstan's economic growth. The effect of exports is determined through a neoclassical production function, examining exports' role after controlling the labour force and capital formation. The analysis is based ARDL model on testing for the short-run and long-run effects of independent variables. The long-run coefficient of exports is 0.38, while the short-run coefficient is 0.28 and statistically significant. Therefore, exports impact positively on G.D.P. per capita in both the short-run and long-run. Also, coefficient of error correction term (E.C.M.) is negative and statistically significant, showing the speed of adjustment towards equilibrium from short-run to long-run. Therefore, Kazakhstan's government should focus on increasing the exports that can increase the G.D.P. per capita better.

scholarly journals Oil price Fluctuation, Gold Returns and Inflationary Pressure: An Empirical Analysis Using Cointegration Approach

2019 ◽  
Vol 6 (2) ◽  
pp. 71 ◽  
Author(s):  
Hanan Naser
Keyword(s):  
Crude Oil ◽  
Oil Prices ◽  
Oil Price ◽  
Price Fluctuation ◽  
Inflationary Pressure ◽  
Crude Oil Prices ◽  
Long Run ◽  
Short Run ◽  
The Impact ◽  
Oil Price Fluctuation

Given that oil and gold prices are the major representative for commodity market, they both play a crucial role in determining the level of consumption, industrial production and investment due to the direct effect by the changes in their prices. In addition, both oil and gold prices have inflationary pressure which has a direct impact on countries economic growth. Therefore, it is of crucial practical significance to analyze their cointrgration relationships to understand the co-movement of both prices. To do so, this paper aims to examine the impact of oil price fluctuation on gold prices taking into account the inflationary pressure in the United States (US). Using monthly data from April, 1986 to September, 2018, Johansen multivariate cointegration test procedure and vector error correction model (VECM) have been employed to examine the long-run relationship between the variables in the US. The key findings suggest that there is a significant positive long run relationship between crude oil prices, gold prices and inflation. In the short run, the impact of any changes in crude oil prices will have a delayed effect on the prices of gold, while the impact of inflation in not different from zero. In addition, both gold prices and inflation are found to have no impact on gold prices in the short run. The findings of this research are important for investors, portfolio managers, corporate houses, crude oil traders, the government and policy makers.

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