scholarly journals The linkage between CO2, FDI, economic growth, and value-added: A European perspective

2021 ◽  
Author(s):  
Devesh Singh
Keyword(s):  
Economic Growth ◽  
Direct Investment ◽  
Co2 Emission ◽  
Western Europe ◽  
Value Added ◽  
Simultaneous Equation ◽  
Northern Europe ◽  
European Regions ◽  
Simultaneous Equation Estimation ◽  
Reducing Co2 Emission

Abstract This article aims to investigate the linkage among CO2 emissions, Foreign Direct Investment (FDI), economic growth, Gross Value Added (GVA) of different sectors namely agriculture, service, manufacturing, and resource extensive industries including construction sectors in four European regions Eastern Europe (EE), Southern Europe (SE), Northern Europe (NE) and Western Europe (WE). This article uses the 3SLS simultaneous equation estimation during the period of 2000 to 2018. This study is the extension of seeing the challenges in policy implication in reducing CO2 emission in technologically rich economies. This article concluded that the causality among variables CO2 emission, economic growth, FDI, and all four sectors GVA is varied according to the regions. However, the CO2 emission has bidirectional causality with each industrial sector's GVA.

scholarly journals The Linkage between CO2, FDI, Economic Growth and Value-Added: A European Perspective

2021 ◽  
Author(s):  
Devesh Singh
Keyword(s):  
Economic Growth ◽  
Direct Investment ◽  
Co2 Emission ◽  
Western Europe ◽  
Value Added ◽  
Simultaneous Equation ◽  
Northern Europe ◽  
European Regions ◽  
Simultaneous Equation Estimation ◽  
Reducing Co2 Emission

Abstract This article aims to investigate the linkage among CO2 emissions, Foreign Direct Investment (FDI), economic growth, Gross Value Added (GVA) of different sectors namely agriculture, service, manufacturing, and resource extensive industries including construction sectors in four European regions Eastern Europe (EE), Southern Europe (SE), Northern Europe (NE) and Western Europe (WE). To do, this article uses the 3SLS simultaneous equation estimation during the period of 2000 to 2018. This study is the extension of seeing the challenges in policy implication in reducing CO2 emission in technologically rich economies. This article concluded that the causality among variables CO2 emission, economic growth, FDI, and all four sectors GVA is varied according to the regions. However, the CO2 emission has bidirectional causality with each industrial sector's GVA.

scholarly journals A Simultaneous Equation Analysis Of The Relationship Between Foreign Direct Investment, Public Expenditure And Economic Growth In Nigeria

2016 ◽  
Vol 12 (4) ◽  
pp. 483
Author(s):  
O. Friday Ovenseri-Ogbom ◽  
David Umoru
Keyword(s):  
Economic Growth ◽  
Power Generation ◽  
Foreign Direct Investment ◽  
Power Supply ◽  
Direct Investment ◽  
Public Expenditure ◽  
Simultaneous Equation ◽  
Equation Analysis ◽  
Simultaneous Equation Estimation ◽  
The Relationship

The objective of the paper is to empirically examine the effect of FDI and public expenditure on the Nigerian economy. The simultaneous equation estimation was carried out in the study. From the elasticity-multiplier coefficient table, it became obvious that infrastructure measured by power generation is highly germane in stimulating economic growth and foreign direct investment. The study thus recommends the need for significant infrastructure such as power supply.

scholarly journals Modeling the impact assessment of agricultural sector on economic development as a basis for the country’s investment potential

2019 ◽  
Vol 16 (3) ◽  
pp. 229-240
Author(s):  
Alina Bukhtiarova ◽  
Arsen Hayriyan ◽  
Victor Chentsov ◽  
Sergii Sokol
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Agricultural Sector ◽  
Negative Impact ◽  
Manufacturing Sector ◽  
Value Added ◽  
The Cost ◽  
The Impact

In the context of countries integration into the world economic space, agricultural sector is one of the priorities and strategically important sectors of the national economy. Development of instruments aimed to increase investment potential of this sector is therefore an important component of the country’s economy growth. The article proposes a science-based model of the impact of the agricultural sector on the economic development level of countries trying to move towards European integration.It was found that the employment rate (+58.4) has the largest influence on the rate of GDP change in the studied group of countries (Ukraine, Moldova, Georgia, Armenia). The impact of the gross value added of the manufacturing sector on its economic growth is positive (+44.6). The negative foreign direct investment ratio in the model (–40.3) may be due to the fact that the indicator in the studied countries is still largely influenced by the intervention of the state mechanism, significant uncertainty and risk, which is a deterrent to the overall economic development. An important result of the study was that foreign direct investment had a negative impact on economic growth in developing countries. Further development of the investment potential of a country’s agricultural sector provides for a radical acceleration of scientific and technological progress and, on this basis, a reduction in the cost of a unit of agricultural products and food and an increase in their competitiveness in the domestic and world markets.

scholarly journals La Educación Como Determinante Del Crecimiento Económico De México, 1990-2014

2018 ◽  
Vol 14 (13) ◽  
pp. 147
Author(s):  
Antonio Favila-Tello
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Regression Model ◽  
Direct Investment ◽  
Birth Rate ◽  
Technological Development ◽  
Value Added ◽  
Ordinary Least Squares ◽  
Indirect Relationship ◽  
Determining Factor

This paper seeks to test two hypotheses: the first one indicates that education was a determining factor of the economic growth of Mexico during the period 1990-2014. The second one seeks to prove the strength of this relationship through a regression model by Ordinary Least Squares where Mexican economic growth is determined by education, gross capital formation, exports, Foreign Direct Investment, industry value added, the birth rate, and the technological development. The results suggest that education and economic growth maintain an indirect relationship that is weak against the introduction of more variables to the model and that the most significant determinants of Mexican economic growth between 1990 and 2014 were the industry value added, the technological development and the reduction of the birth rate.

scholarly journals Foreign direct investment as a stimulant in productivity convergence process between Visegrad Countries and UE-15

2017 ◽  
Vol 6 (326) ◽  
Author(s):  
Liwiusz Wojciechowski
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Foreign Capital ◽  
Value Added ◽  
Developed Countries ◽  
Real Convergence ◽  
Convergence Process ◽  
Savings Rate ◽  
Visegrád Countries

The explanation of reasons and degree of differentiation of wealth between countries remains an important issue in economics today. Theories of economic growth are focused principally on the identification of the long-term determinants of diversification of sources and economic growth, which in turn is associated with the notion of real convergence. Given the supply role of foreign capital that impacts on the economy, in the face of dynamic inflow of foreign direct investment (FDI) into developing countries’ economies, it seems reasonable to include it in convergence process modelling, especially in the modelling of the convergence of productivity. The productivity of the economy is in fact determined by the size of the capital accumulation (both domestic and foreign), savings rate and a number of other conditions. The author hypothesized that the presence of FDI contributes to the acceleration of pace of real convergence between Visegrad countries and EU-15. In this study we estimate interactions between FDI and productivity at both national and NACE level in the years 2000–2014. We concider, in panel data form, among others, productivity in terms of gross value added per employee, degree of penetration of FDI in the economy of the host country. Results suggest conditional β-convergence of productivity existence however they vary across countries, sectors and time. The analysis provides recommendations regarding the arguments for the sectoral policy aimed at encouraging foreign capital to increase its involvement, focusing on reducing productivity gap between the developing and developed countries belonging to European Union.

scholarly journals Environmental Degradation in Indonesia and Malaysia: The Effect of Energy Consumption, Economic Growth, Population, and Foreign Direct Investment (FDI)

2020 ◽  
Vol 13 (2) ◽  
pp. 160
Author(s):  
Ahmad Farabi ◽  
Azrai Abdullah
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Energy Consumption ◽  
Natural Gas ◽  
Co2 Emissions ◽  
Direct Investment ◽  
Co2 Emission ◽  
Fossil Fuel ◽  
Environmentally Friendly ◽  
Annual Data

The main objective of this study is to examine how energy consumption, economic growth, population, and foreign direct investment (FDI) affects CO2 emissions in Indonesia and Malaysia. This study uses the longest and most updated annual data during the period 1960-2018. To get a deeper analysis, this study employs disaggregate of CO2 emissions and energy consumption data namely, oil, coal and natural gas. The ordinary least square which preceded by unit root test and classical assumption test are employed. The results show that all type of energy consumption affect positively to CO2 emission. Economic growth is identified as the variable with greatest influences on CO2 emissions in oil and natural gas model, while CO2 emissions from coal consumption are mainly affected by populations. The study concludes that economic growth of both countries relies heavily on fossil fuel. CO2 emission sourced from coal mostly affected by population due to the high demand of electricity from household fulfilled by power generation which use coal as the fuel. The EKC hypothesis is confirmed in the model of gas, indicate that natural gas is the most appropriate source of energy to be used at the certain level. Using natural gas is effectively decrease the CO2 emission while in the same time increase the economic growth. Natural gas is also found as the most environmentally friendly fossil fuel due as it produces less CO2 emission compared to oil and coal. The findings have important implications for policy makers in determining policy and business decisions especially to enhance environmentally friendly energy uses for the benefit of the economy.

scholarly journals Causality between foreign direct investment in the automotive sector and export performance of Macedonian economy

Equilibrium ◽  
2018 ◽  
Vol 13 (3) ◽  
pp. 427-443 ◽  
Author(s):  
Jovanka Damoska Sekuloska
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Automotive Industry ◽  
Direct Investment ◽  
Export Performance ◽  
Value Added ◽  
Granger Causality Test ◽  
Automotive Sector ◽  
Causality Test ◽  
Export Structure

Research background: Foreign direct investment is perceived as a valuable tool for economic growth. The growth could be realized more or less as a set of benefits depending on the FDIs features. In the period from 2009 to 2016 a remarkable increase in the share of FDIs inflow in automotive sector in Macedonian economy was noticed, from 2.8% to 14.1%. Thus, there seem to be good reasons to examine the issue of how the increased FDI inflow expressed through the remarkable in-crease of FDIs inflow in the automotive sector. Purpose of the article: The aim of the paper is to analyze the causality between the increased FDIs inflow in the automotive industry and a remarkable export growth. The research interest of the study is to recognize the importance of the FDIs inflow structure as a determinant of the export structure. Methods: Within the paper a model is developed that identifies the FDIs as a factor of growth of the export performances. A regression analysis is used to examine the correlation between the FDIs inflow and export. In order to examine causality, the Granger causality test is applied between the FDIs inflow and increased export. Findings & Value added: The results suggest that FDIs create a good basis for quantitative and qualitative shift in the export structure of the Macedonian economy. The paper associates growth of sectoral export with the growth of FDIs in that sector. Due to the increased FDI inflow in the automotive industry, this sector has significantly increased its share in the total Macedonian export. The paper indicates that FDIs can be considered as a way of engagement in the global supplying chains, which additionally influences positively the competitiveness and export performance of the host suppliers.

scholarly journals Sex-Disaggregated Employment and Public Spending in China

2018 ◽  
Vol 47 (1) ◽  
pp. 71-102
Author(s):  
Tabitha Knight
Keyword(s):  
Economic Growth ◽  
Employment Growth ◽  
Public Spending ◽  
Simultaneous Equation ◽  
Relative Employment ◽  
Economic Significance ◽  
Urban Employment ◽  
Unpaid Labour ◽  
Simultaneous Equation Estimation ◽  
Short Run

This paper econometrically analyses the relationship between public spending and women's and men's urban employment in China for the period 1999–2009. Theoretically, spending on healthcare and education could increase employment growth and women's relative employment via the expansion of paid care work (increasing labour demand) and reductions in unpaid labour (increasing labour supply). To empirically test this, female, male, and relative employment growth are estimated as functions of public spending while both demand-side and supply-side factors are controlled for. Economic growth is also included in a simultaneous equation estimation. While healthcare results are mixed, education spending is positively associated with economic growth, employment growth for both women and men, and women's relative urban employment. Using economic significance calculations, I describe how well-directed public policies can promote both economic growth and long- and short-run benefits in employment equality between the sexes.

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