scholarly journals Savings and Economic Growth in Botswana: An Analysis Using Bounds Testing Approach to Cointegration

2013 ◽  
Vol 5 (4) ◽  
pp. 200-209 ◽  
Author(s):  
Kafayat Amusa
Keyword(s):  
Economic Growth ◽  
Cointegration Analysis ◽  
Financial Instruments ◽  
Bounds Testing ◽  
Domestic Savings ◽  
Bounds Testing Approach ◽  
Testing Approach ◽  
The Relationship

Economic growth boosted by high domestic savings has been advocated for by numerous economists throughout the years. For a country like Botswana where the savings- GDP ratio is relatively high, it becomes important to determine whether savings is indeed important for the economy. This paper reexamines the savings-growth debate for the Botswana economy by applying the Bounds testing approach to cointegration analysis to establish the relationship between domestic savings and economic growth in Botswana. The results indicate that domestic savings is significantly positively related to growth in Botswana. The study recommends the need for development of financial instruments to encourage domestic savings.

scholarly journals Education Expenditure and Economic Growth in Mauritius: An Application of the Bounds Testing Approach

2017 ◽  
Vol 13 (22) ◽  
pp. 70 ◽  
Author(s):  
Tafirenyika Sunde
Keyword(s):  
Economic Growth ◽  
The Other ◽  
Bounds Testing ◽  
Education Expenditure ◽  
Long Run ◽  
Short Run ◽  
Bounds Testing Approach ◽  
Testing Approach ◽  
The Relationship ◽  
Investments In Education

This study examines the relationship between education expenditure and economic growth in Mauritius. The study employed the ARDL bounds testing methodology for the period 1976 to 2016. The study found that education expenditure Granger causes economic growth in Mauritius in the short run. In addition, the study also found that economic growth does not Granger cause education expenditure in Mauritius in the short run. However, in the long-run, the study found that there are long run relationships between education expenditure and economic growth in both equations; and this means that an increase in either of the variables will eventually lead to an increase in the other variable. The study, therefore, found support for the hypothesis that investment in education raises economic growth. This means that Mauritius has the potential to benefit from further investments in education in the future.

scholarly journals Time Series Analysis among Tourism, Financial Development, FDI and Economic Growth in Jordan

2018 ◽  
Vol 10 (12) ◽  
pp. 150
Author(s):  
Muthana Mohammad Omoush
Keyword(s):  
Economic Growth ◽  
Granger Causality ◽  
Financial Development ◽  
Granger Causality Test ◽  
Bounds Testing ◽  
Causality Test ◽  
Fdi Inflows ◽  
Bounds Testing Approach ◽  
Testing Approach ◽  
The Relationship

This study investigates the relationships among tourism, financial development, FDI inflows and economic growth in Jordan for the (1985-2016) period. The current paper has used bounds testing approach to confirm the relationship among the study variables. Multivariate Granger causality test is used to determine the directions of causality between the study variables. The results confirmed that there is evidenced of relationships among tourism, financial development, FDI inflows and economic growth. Also, the multivariate Granger causality test confirmed deferent directions of causal among the study variables.

Investigating the Nexus Between FDI and Institutional Quality: Evidence from Morocco

2021 ◽  
pp. 097491012110530
Author(s):  
Hamza Belfqih ◽  
Ahlam Qafas ◽  
Mounir Jerry
Keyword(s):  
Structural Breaks ◽  
Institutional Quality ◽  
Large Set ◽  
Policy Recommendations ◽  
Bounds Testing ◽  
Bounds Testing Approach ◽  
Testing Approach ◽  
The Relationship ◽  
Quality Evidence ◽  
Ardl Bounds Testing Approach

This article investigates the relationship between institutional quality and foreign direct investment (FDI) in Morocco using a large set of institutional quality variables over the period 1970–2016. The study uses ARDL bounds testing approach with structural breaks and Granger causality. The analysis is then extended to the disaggregated sub-components to discern the inherent dynamics of institutional quality. The study finds several relationships between FDI and various aspects of institutional quality. Results from both models conclude with policy recommendations.

By applying an ARDL bounds testing approach and causality test to investigate the electricity consumption and production with economic growth

2019 ◽  
Vol 17 (2) ◽  
pp. 182-199 ◽  
Author(s):  
Abdul Rehman ◽  
Muhammad Irfan ◽  
Sehresh Hena ◽  
Abbas Ali Chandio
Keyword(s):  
Economic Growth ◽  
Electricity Consumption ◽  
Electricity Production ◽  
Bounds Testing ◽  
Causality Test ◽  
Content Type ◽  
Ardl Bounds Testing ◽  
Bounds Testing Approach ◽  
Testing Approach ◽  
Ardl Bounds Testing Approach

Purpose The purpose of this paper is to explore and investigate the electricity consumption and production and its linkage to economic growth in Pakistan. Design/methodology/approach The authors used an augmented Dickey–Fuller unit root test to check the stationarity of the variables, while an autoregressive distributed lag (ARDL) bounds testing approach and causality test were applied to investigate the variables long-term association with the economic growth. Findings The study results show that electricity consumption in the agriculture, commercial and industrial sector has significant association with economic growth, while electricity consumption in the household and street lights demonstrate a non-significant association with the economic growth. Furthermore, results also exposed that electricity production from coal, hydroelectric, natural gas, nuclear and oil sources have significant association with the economic growth of Pakistan. Originality/value This study made a contribution to the literature regarding electricity consumption and production with economic growth in Pakistan by using an ARDL bounds testing approach and causality test. This study provides a guideline to the government of Pakistan that possible steps are needed to improve the electricity production and supply to fulfill the country demand.

scholarly journals An ARDL Approach to Check the Linkage Between Economic Growth, Electricity Access, Energy Use and Population Growth in Pakistan: Long-run and Short-run Analysis

2018 ◽  
Author(s):  
Abdul Rehman ◽  
Zhang Deyuan
Keyword(s):  
Economic Growth ◽  
Population Growth ◽  
Urban Population ◽  
Energy Use ◽  
Bounds Testing ◽  
Long Run ◽  
Bounds Testing Approach ◽  
Testing Approach ◽  
Electricity Access ◽  
Ardl Bounds Testing Approach

The major aim of this study was to investigate and explores the linkage between economic growth, electricity access, energy use and population growth in Pakistan. To check the variables stationarity, Augmented Dickey-Fuller (ADF) and Phillips-Perron unit root test was applied and an Autoregressive Distributed Lag (ARDL) bounds testing approach to co-integration was applied to investigate the dynamic causality link among the study variables. These tests shed light on the long-run connection among the variables; further, the results revealed that electricity access to population, electricity access to urban population, energy usage, population growth, and urban population growth had a significant impact on economic growth, while the electricity access to rural population and rural population growth has a negative impact on the economic growth in Pakistan. According to these findings, study commends that government of Pakistan pay further attention to increase its electricity production from different sources including, hydroelectric, solar, oil and gas and nuclear in order to fulfill the country’s demands. By using ARDL bounds testing approach, this study filled the literature gap regarding economic growth, electricity access, energy use and population growth in Pakistan.

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