Institutional Change and Economic Growth in China: The View from the Villages

1990 ◽  
Vol 49 (1) ◽  
pp. 3-25 ◽  
Author(s):  
Victor Nee ◽  
Su Sijin
Keyword(s):  
Economic Growth ◽  
Private Sector ◽  
Institutional Change ◽  
Household Production ◽  
Organizational Form ◽  
Private Household ◽  
Institutional Changes ◽  
Household Sector ◽  
Cooperative Enterprises ◽  
The Relationship

The maoist era of egalitarian collectivism has decidedly come to an end. Although some villages persist in developing cooperative enterprises, the collective is being transformed from a dominant organizational form to one that plays a subsidiary role to the private household sector. In effect, the collective has been relegated to the position formerly held by the private sector. Everywhere the emphasis is on economic growth based on household production and marketlike forces. What is the relationship between these institutional changes and economic growth?

How public-private partnership projects impact infrastructure industry for economic growth

2014 ◽  
Vol 41 (10) ◽  
pp. 994-1010 ◽  
Author(s):  
Abouzar Zangoueinezhad ◽  
Adel Azar
Keyword(s):  
Economic Growth ◽  
Private Sector ◽  
Public Private Partnership ◽  
Key Factors ◽  
Dynamic Interactions ◽  
Public And Private ◽  
Private Partnership ◽  
Content Type ◽  
The Public ◽  
The Relationship

Purpose – Public-private partnership (PPP) is mutually beneficial relationships that are formed between the public and private sectors. The private-sector partner typically makes a substantial equity investment, and in return the public sector gains access to new or improved services. When properly vetted and structured, PPP allocate risk to the party best suited to handle it. The purpose of this paper is to examine the relationship between the scale and nature of the PPP's contribution as a driver of the economic growth and gross domestic product (GDP). Design/methodology/approach – Using statistics causality modeling and relevant statistical techniques, the dynamic interactions and interdependencies over PPP and economic growth were addressed and quantified. Findings – Although PPP can free up government resources for other public priorities, three key factors enable PPP to stimulate a country's economic growth: the number of PPP projects under way, the value of PPP projects, and the ideal type of PPP contracts in use. Originality/value – The number, value, and type of PPP, combined with supportive policies, power economic growth. Governments with well-established and enforced policies against corruption, combined with low business transaction costs, a transparent legislative system, and exchange rate and monetary stability are far more attractive to the private sector.

Growth and Institutional Change: The Influence of the Spanish Regionalisation Process on Economic Performance

1996 ◽  
Vol 14 (1) ◽  
pp. 71-87 ◽  
Author(s):  
A Rodríguez-Pose
Keyword(s):  
Economic Growth ◽  
Institutional Change ◽  
Economic Performance ◽  
Western Europe ◽  
Positive Influence ◽  
Relative Growth ◽  
Beneficial Effects ◽  
The Past ◽  
The Impact ◽  
The Relationship

The relationship between institutional change and economic growth has been attracting great attention in recent years. However, despite some notable exceptions, researchers have been wary to approach this topic empirically. This paper represents an empirical attempt to try to unravel the impact on economic performance of what has been one of the most significant processes of institutional change in Western Europe in the past few decades—the regionalisation process—by taking the case of Spain, one of the countries where the shift from a highly centralised to a decentralised structure has been most profound. Results show that, at least in the early stages, the emergence of the Spanish regional state has had slightly beneficial effects on the relative growth performance of regions achieving the greatest level of autonomy when compared with their growth rates in the high point of Spanish centralism. Nevertheless, it is still too early to assert whether this positive influence will be a long-lasting one or can be attributed mainly to the dynamics of institutional change and, thus, will wane with time.

scholarly journals Connection between Saving, Investment and Economic Growth of India

2020 ◽  
Vol 7 (4) ◽  
pp. 63
Author(s):  
Swami Prasad Saxena ◽  
Akanksha Singh Fouzdar
Keyword(s):  
Economic Growth ◽  
Private Sector ◽  
Positive Relationship ◽  
Granger Causality Test ◽  
Cointegration Analysis ◽  
Domestic Saving ◽  
Causality Test ◽  
Long Run ◽  
Directed Growth ◽  
The Relationship

This paper scrutinizes the relationship between gross domestic saving, gross capital formation and economic growth in India during a period from 1992 to 2018. The results of cointegration analysis reveal that there is a long-run relationship between selected variables; however, the observations from the results of the Granger causality test indicate a positive relationship between saving, investment and economic growth in India. The findings explicate that saving and investment directed growth is coming from the private sector.

Asymmetric Equilibrium Adjustment between Employment and Economic Growth in Côte d’Ivoire

2013 ◽  
pp. 1-9
Author(s):  
Coffie Francis José N’Guessan
Keyword(s):  
Economic Growth ◽  
Private Sector ◽  
Macroeconomic Policies ◽  
Threshold Autoregressive ◽  
Threshold Autoregressive Model ◽  
Real Gdp ◽  
Short Run ◽  
The Relationship ◽  
Cointegration Relationship

In this chapter, the author investigate the possibility of asymmetry in the relationship between employment in the modern private sector and economic growth as measured by real Gross Domestic Product (GDP). The analysis is based on a threshold cointegration model. The use of a momentum threshold autoregressive model led to the rejection of the hypothesis of no cointegration, implying that the cointegration relationship between employment and real GDP is asymmetric. The error correction model developed thereafter suggests that in the short-run, when employment is above its long-term trend, the disequilibrium is adjusted via a decreasing of real GDP. However, it seems like adjustment does not occur when employment is below its equilibrium value. This indicates that restrictive macroeconomic policies that affect the labor market can lead to a persistent employment crisis in the modern private sector.

scholarly journals The Relationship between Financial Development and Economic Growth: The Case of Turkey

2016 ◽  
Author(s):  
Müge Manga ◽  
Mehmet Akif Destek ◽  
Muammer Tekeoğlu ◽  
Erkut Düzakın
Keyword(s):  
Economic Growth ◽  
Private Sector ◽  
Trade Liberalization ◽  
Money Supply ◽  
Financial Development ◽  
Integration Test ◽  
Domestic Credit ◽  
The Impact ◽  
Bound Test ◽  
The Relationship

The relationship between financial development and economic growth and the direction of causality between them have been received a lot of attention recently by many scholars. It is also important to analyze this relationship and the direction of causality due to implications of policies. In this study the relationship between financial development, trade liberalization and economic growth for Turkey are examined using three different models. Model 1, 2 and 3 investigate the effect of domestic loans to the private sector and trade liberalization on GDP, the impact of the domestic credit provided by banks to the private sector and trade liberalization on GDP and the effect of M2 money supply and M2 trade liberalization on GDP, respectively. Data extracted from World Development Indicators. Autoregressive-Distributed Lag Bound Test (ARDL) is used as a co-integration test to determine the long run relationship between variables. In addition, Toda and Yamamoto (1995) is utilized to test the direction of causality between financial development and economic growth according to the three financial indicators such as domestic loans to the private sector, the domestic credit provided by banks to the private sector and M2 money supply. According to the results there is a unidirectional relationship from economic growth to domestic loans to the private sector and the domestic credit provided by banks to the private sector. Additionally, the results indicate that a bidirectional relationship exist between M2 money supply and economic growth.

scholarly journals A panel causality analysis of the relationship between financial development and economic growth in OECD countries

2021 ◽  
Vol 9 (2) ◽  
pp. 662-672
Author(s):  
Sevilay Küçüksakarya
Keyword(s):  
Economic Growth ◽  
Private Sector ◽  
Financial Development ◽  
Gdp Growth ◽  
Causality Test ◽  
Panel Causality ◽  
Per Capita Gdp ◽  
Domestic Credit ◽  
Per Capita ◽  
The Relationship

This study examines the relationship between financial development and economic growth. Thus, this study aims to find empirical shreds of evidence for the direction of the causality between financial development proxied by domestic credit to the private sector and per capita GDP growth by using the panel granger causality test of the Dumitrescu-Hurlin Test. For this purpose, we used a panel of 16 OECD countries from 2008 to 2019 to provide evidence of whether the supply leading hypothesis or demand following hypothesis or both holds. All econometric exercises are carried out for whole countries and high-income countries, and upper-middle-income country groups in the sample. Due to cross-sectional dependence among the sample countries, we determine the degree of integration of each variable by employing the second-generation panel unit root tests of CIPS. We continue our analysis with the panel causality test developed by Dumitrescu and Hurlin (2012) to determine the direction of the causality between variables. For this purpose, we performed three sets of causality analyses. In the first one, we include all countries in the panel. We then divided the countries into two sub-groups based on the income classification and the level of financial development in these countries proxied by domestic credit to the private sector. The causality test results, including all countries in the sample, indicate that the hypothesis holds the supply leading hypothesis during the sample period. This means that even though this panel contains countries with a development level, financial development still seems to be a pre-condition for economic growth for these nations. We also obtain the same results when we include high-income countries in the sample. The study results provide compelling evidence for the relationship between economic growth and financial development since the sample includes countries with different levels of financial development with different degrees of per capita GDP growth.

Oil production and abrupt institutional change: the multi-cyclic Hubbert model and the case of Iraq

2017 ◽  
Vol 10 (2) ◽  
pp. 256-285
Author(s):  
Omar A. M. El Joumayle
Keyword(s):  
Institutional Change ◽  
Oil Production ◽  
Oil Industry ◽  
Adverse Impact ◽  
Institutional Changes ◽  
Production Volume ◽  
Extended Version ◽  
Oil Reserves ◽  
Turbulent Transition ◽  
The Relationship

Iraq, one of the world's leading crude oil producers with the fifth largest share of proven global oil reserves, recently ranked as the second-largest producer among Organization of the Petroleum Exporting Countries (OPEC) members. Nevertheless, performance of the upstream subsector in terms of oil production volume has been subject to severe disruptions for more than four decades. The main sources for these fluctuations are multi-institutional changes caused by nationalization, wars and United Nations sanctions. This article applies to the Iraqi case an extended version of the multi-cycle Hubbert model, developed by Reynolds and Kolodziej in 2008 and 2009. This econometrics model explores and attempts to quantify statistically the relationship between oil production and multi-institutional changes within Iraq. Findings indicate the negative and significant impacts of abrupt institutional change on the performance of the oil industry where this adverse impact varies in magnitude from one episode to another. As Iraq is still yet in the midst of a turbulent transition, the article also discusses the major challenges of the post-2003 era, associated with the present and potential future development of the Iraqi oil-producing sector. This is especially with regard to the increasing economic and political fragmentation that stems from the absence of a unified oil policy.

scholarly journals The Economy of Scandinavian-American Exchange: Donations and Scholarships in the American-Scandinavian Foundation, 1912–1995

2015 ◽  
Vol 2 (1) ◽  
pp. 97-118
Author(s):  
Christin Mays ◽  
Andreas Åkerlund
Keyword(s):  
United States ◽  
Economic Growth ◽  
Twentieth Century ◽  
Private Sector ◽  
The United States ◽  
The State ◽  
Diverse Population ◽  
Academic Exchange ◽  
The Relationship ◽  
Second Period

The importance of philanthropy for academic exchange cannot be overestimated. Especially in the first half of the twentieth century, scholarships for academic exchange originated from the private sector instead of the state. But what is the relationship between academic exchange and the donations which finance scholarships? How can specific donations and the restrictions placed on them change the flow of exchange? This article investigates donation and scholarship praxis within the American-Scandinavian Foundation (ASF) from 1912–1995, a philanthropic organisation devoted to academic exchange between Scandinavia and the United States. The period, 1912–1944, is characterised by various small donations and few scholarships to mostly American fellows. The second period, 1945–1995, represents an era of economic growth created from a surge in large, restricted donations invested in scholarship funds. This led to an increased number of scholarships to a more geographically diverse population.

scholarly journals The Essentials of Georgia's Economic Transformation

2020 ◽  
Vol 9 (1) ◽  
pp. 46-57
Author(s):  
Tsotne Iashvili
Keyword(s):  
Economic Growth ◽  
Private Sector ◽  
Institutional Theory ◽  
Economic Transformation ◽  
Economic Situation ◽  
Institutional Changes ◽  
Current Economic Situation

AbstractThe aim of this article is to examine Georgia's economic transformation and try to answer the question: Why Georgia is not able to have a stable and high economic growth? In this article, it will be an attempt to answer this question by taking into account the weak private sector in Georgia, as one of the main burdens of economic growth. The article attempts to analyse the economic transformation in Georgia. The reasons for its failure and consequences, also to estimate its possible impact on the nowadays economic situation in Georgia. The latter will be examined from the perspective of Institutional Theory. The article will try to answer the above-mentioned question and problems, taking into account the institutional changes in Georgia. The article explains the unsuccessful path of transformation and tries to connect its results to the current economic situation in Georgia.

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