scholarly journals The Impact of Remittances on Poverty Alleviation in Selected Emerging Markets

2018 ◽  
Vol 21 (2) ◽  
pp. 51-68 ◽  
Author(s):  
Kunofiwa Tsaurai
Keyword(s):  
Economic Growth ◽  
Emerging Markets ◽  
Fixed Effects ◽  
Poverty Reduction ◽  
Ordinary Least Squares ◽  
Income Per Capita ◽  
Per Capita ◽  
Migrant Remittances ◽  
The Impact ◽  
Poverty Levels

The study explored the impact of remittances on poverty in selected emerging markets. On the theoretical front, the optimistic view argued that remittances inflow into the labour exporting country reduces poverty whereas the pessimistic view proponents said that remittances dependence syndrome retards both economic growth and income per capita. Separately, using two measures of poverty [the poverty headcount ratio at US $1.90 and US $3.10 a day (% of population)] as dependent variables, the fixed effects approach produced results which supported the remittances led poverty reduction (optimistic) hypothesis whereas the pooled ordinary least squares (OLS) framework found that remittances inflow into the selected emerging markets led to an increase in poverty levels. The implication of the findings is that emerging markets should put in place policies that attract migrant remittances in order to reduce poverty levels. They should avoid over‑reliance on remittances as that might retard economic growth and income per capita.

The diaspora effect to poverty alleviation in Zimbabwe

2019 ◽  
Vol 118 (11) ◽  
pp. 381-416
Author(s):  
David Damiyano ◽  
Nirmala Dorasamy
Keyword(s):  
Income Inequality ◽  
Financial Literacy ◽  
Poverty Alleviation ◽  
Poverty Reduction ◽  
Ordinary Least Squares ◽  
Per Capita Gdp ◽  
Per Capita ◽  
The Impact ◽  
Poverty Levels ◽  
Research Analysis

The main objective of this study is to empirically examine the impact of diasporas on poverty alleviation in Zimbabwe from 1980 to 2017. Thus, this research analysis explores the empirical poverty alleviation impact of formal diaspora in Zimbabwe, using per capita GDP and income inequality as control variables. Using the Ordinary Least Squares estimation at first difference and linearized data, the study found no statistical evidence that remittances contribute towards poverty reduction in Zimbabwe over the period under review. However, per capita GDP and income inequality with positive and negative expected signs, were found to have statistically significant coefficients at 1 percent and 10 percent, respectively and accounted for 65 percent of changes in poverty levels in Zimbabwe. The study failed to establish a relationship between remittances and poverty levels in Zimbabwe because it used the data on remittances from the formal channels only while most of the remittances get their way into the economy through informal channels. The study goes on further to recommend measures that improve formal inflows of remittances into the economy such as granting voting franchise to people in the diaspora so that they can participate in the country’s democratic processes as well as putting in place policies that promote the investment of diaspora monies into the financial sector and help enhance financial literacy of both migrants and their households.

scholarly journals The Impact of Dengue on Economic Growth: The Case of Southern Taiwan

2020 ◽  
Vol 17 (3) ◽  
pp. 750
Author(s):  
Chien-Yuan Sher ◽  
Ho Ting Wong ◽  
Yu-Chun Lin
Keyword(s):  
Economic Growth ◽  
Public Health Problem ◽  
World Health ◽  
Annual Data ◽  
Average Income ◽  
Income Per Capita ◽  
Dengue Outbreak ◽  
Southern Taiwan ◽  
Per Capita ◽  
The Impact

Dengue has long been a public health problem in tropical and subtropical countries. In 2015, a dengue outbreak occurred in Taiwan, where 43,784 cases were reported. This study aims to assess the impact of dengue on Southern Taiwan’s economic growth according to the economic growth model-based regression approach recommended by the World Health Organization (WHO). Herein, annual data from Southern Taiwan on the number of dengue cases, income growth, and demographics from 2010–2015 were analyzed. The percentage of reduction of the average income per capita in 2015 due to the dengue outbreak was estimated. Dengue was determined to have a negative linear economic impact on Southern Taiwan’s economic growth. In particular, a reduction of 0.26% in the average income per capita was estimated in Southern Taiwan due to the 2015 outbreak. If the model is applied alongside other dengue outbreak forecast models, then the forecast for economic reduction due to a future dengue outbreak may also be estimated. Prevention and recovery policies may subsequently be decided upon based on not only the number of dengue cases but also the degree of economic burden resulting from an outbreak.

scholarly journals DOES PUBLIC DEBT HAMPER ECONOMIC GROWTH: EVIDENCE FROM EUROPEAN TRANSITIONAL COUNTRIES

2019 ◽  
Vol 34 (5) ◽  
pp. 1223-1228
Author(s):  
Liza Alili Sulejmani ◽  
Armend Ademi
Keyword(s):  
Economic Growth ◽  
Transition Economies ◽  
Public Debt ◽  
Fixed Effects ◽  
Global Financial Crisis ◽  
Fixed Capital Formation ◽  
Negative Effect ◽  
Per Capita ◽  
The Impact ◽  
Positive Effect

Lately, there has been an increased interest among policy makers and scholars regarding the nexus between public debt and economic growth, with emphasizes on its effects on transition economies, particularly after the last global financial crisis. This paper tries to investigate the impact of public debt on economic growth in the European transition economies, for the time spin 2000-2016, by using Pooled OLS, Fixed effects, Random effects and Hausman – Taylor Instrumental variable (IV). In addition, results reveal that public debt although has positive effect on per capita growth still is statistically insignificant, whereas debt square has negative effect on per capita GDP growth. Further, gross savings, final consumption and fixed capital formation have positive effect on per capita growth, while government expenditures do not show significant impact. Moreover, such results highlight important implications for fiscal policymakers in these countries in order to foster the economic growth in the context of public debt level.

scholarly journals Impact of the government size on economic growth in the Western Balkan countries

2022 ◽  
Vol 11 (1) ◽  
pp. 55-63
Author(s):  
Roberta Bajrami ◽  
Adelina Gashi ◽  
Kosovare Ukshini ◽  
Donat Rexha
Keyword(s):  
Economic Growth ◽  
Government Spending ◽  
Economic Freedom ◽  
Ordinary Least Squares ◽  
Government Size ◽  
Gdp Growth ◽  
Government Consumption ◽  
Per Capita ◽  
The Government ◽  
The Impact

The Keynesian theory states that economic growth is positively affected by government spending, while Classical theory states that economic growth is negatively affected by government spending, as is stated by neoclassical public choice theorists (Nyasha & Odhiambo, 2019). Based on these theories, many authors have carried out research on the impact of economic freedom on economic growth by analyzing various empirical cases. Bergh and Karlsson (2010) with the findings from his paper confirmed that the countries with the highest government size have an elevated growth in the globalization index of KOF and the Fraser Institute’s economic freedom index. The main aim of this paper is to analyze the government size impact on the growth of the economy in the Western Balkan in the time period 2000–2017 according to Fraser Institute’s data, incorporating the following econometric models: fixed and random effects, pooled ordinary least squares (OLS), and Hausman-Taylor IV. With these models, this paper analyzes a government size and its components: government enterprises and investment, government consumption, transfers, and subsidies. The results illustrate a relationship between the size of the government and the growth of the economy in the Western Balkans that is positive. 1% increase in government size affects 0.29% gross domestic product (GDP) growth per capita. According to the Hausman-Taylor instrumental variable, 1% growth of government consumption is affected by 0.69% the decline in GDP per capita. The growth rate of transfers and subsidies affects 0.17% of GDP growth per capita and 1% of government enterprises and investment affects 0.54% GDP growth per capita.

scholarly journals Impact of National Competitiveness on Economic Growth and Income Level – Evidence From the Selected Post-Soviet Countries

2021 ◽  
Vol 12 (2) ◽  
pp. 17
Author(s):  
Aziz Sodikov ◽  
Zuhriddin Rizaev ◽  
Lee Chin ◽  
Shahnoza Ochilova
Keyword(s):  
Economic Growth ◽  
Productivity Growth ◽  
Income Level ◽  
Market Size ◽  
Income Per Capita ◽  
National Competitiveness ◽  
Ict Adoption ◽  
Per Capita ◽  
The Impact ◽  
Macroeconomic Stability

This paper investigates the impact of national competitiveness on productivity, economic growth and income per capita in the selected post-Soviet countries between 2004 and 2018. In this paper, 2019 edition of the Global Competitiveness Index (GCI), which is composed of 12 pillars such as namely institutions, infrastructure, ICT adoption, macroeconomic stability, health, skills, product market, labour market, financial system, market size, business dynamism and innovation capability, is used as a proxy for the national competitiveness and productivity for the empirical analysis purposes. The findings reveal that: (1) the GCI is highly correlated with productivity level and the selected post-Soviet countries with higher level of national competitiveness had higher long-term economic growth and income per capita, (2) Russia and Kazakhstan more benefited from rising per capita income associated with enhanced national competitiveness (or productivity growth) compared to other selected former Soviet states, (3) among the GCI factors, ICT adoption, macroeconomic stability, market size and healthy life expectancy were major levers of productivity growth that influenced the national competitiveness, positively and significantly contributing to an increase in the income level in the selected post-Soviet countries in 2004-2018 period.

scholarly journals Global FDI Inflow and Its Implication across Economic Income Groups

2020 ◽  
Vol 13 (11) ◽  
pp. 291
Author(s):  
Udi Joshua ◽  
Mathew Ekundayo Rotimi ◽  
Samuel Asumadu Sarkodie
Keyword(s):  
Economic Growth ◽  
Fixed Effects ◽  
Trade Openness ◽  
Generalized Method Of Moments ◽  
Income Group ◽  
Ordinary Least Squares ◽  
Business Environment ◽  
Positive Influence ◽  
Panel Estimation ◽  
The Impact

Foreign direct investment (FDI) as a driver of growth is important in today’s globalized economy. It is extremely difficult for economies to grow sustainably without economic interactions outside their borders. However, there has been a debate on the impact of FDI inflow on economic expansion. Hence, this study investigated the influence of FDI on economic growth for a selection of 200 economies around the world for the period 1990–2018. We subdivided the sample into World Bank income group clusters to aid comparison across income blocs. The study employed panel estimation techniques including pooled ordinary least squares (POLS), dynamic panel estimation with fixed-effects and random-effects and generalized method of moments (GMM). The study found that FDI, debt stock and official development assistance are promoters of growth in the selected countries—although debt stock weakly impacts economic growth. In contrast, trade openness and exchange rates had a mixed (negative and positive) influence on economic growth. The study suggests that the creation of a conducive business environment and economic policies will attract FDI inflows. Additionally, borrowing from external sources could be minimized despite its perceived positive influence on growth to achieve financial independence.

scholarly journals The Impact of Tariff Reduction on Poverty in Indonesia: Regional Level Analysis

2021 ◽  
Vol 2 (1) ◽  
pp. 58-73
Author(s):  
Rizka Aulia ◽  
Kangkook Lee
Keyword(s):  
Trade Liberalization ◽  
Fixed Effects ◽  
Poverty Reduction ◽  
Tariff Reduction ◽  
Intermediate Inputs ◽  
Per Capita ◽  
The Impact ◽  
Tariff Reductions ◽  
Combining Information ◽  
Level Analysis

The study examines the effect of trade liberalization on poverty reduction across districts in Indonesia during the period from 2000 to 2016 using the fixed effect approach. Tariff exposure is used to measure trade liberalization, which is computed at the district level by combining information on sector composition of the economy in each district and tariff lines by sectors. This study also distinguishes between tariff exposure for output products and intermediate inputs. This produces a measure indicating how changes in exposure to tariff reductions in outputs and inputs vary by region over the period. Due to the available multi-district and 17-year dataset, the study includes a set of fixed effects: the district-fixed effects and the time-fixed effects, which controls for aggregate time trend. The results indicate that the impact of output and input tariff on regional poverty headcount index (P0) is different. Output tariff has a negative correlation with poverty, while input tariff has a positive correlation with poverty. This suggests that trade liberalization in input sectors could reduce poverty in Indonesia. It is also found that GRDP per capita, literacy rates, and road length are negatively associated with poverty. Also, the effect of reducing input tariffs on poverty reduction will be larger if the districts have higher GRDP per capita and higher literacy rates.

scholarly journals PELUANG PARIWISATA DALAM MENURUNKAN KEMISKINAN DI ERA MASYARAKAT EKONOMI ASEAN (MEA)

2016 ◽  
Vol 16 (2) ◽  
pp. 199
Author(s):  
Dody Harris Darmawan ◽  
Adi Yunanto
Keyword(s):  
Economic Growth ◽  
Poverty Reduction ◽  
Fixed Effect Model ◽  
Economic Community ◽  
Estimation Model ◽  
Income Per Capita ◽  
Effect Model ◽  
Tourism Sector ◽  
Per Capita ◽  
Asean Economic Community

ABSTRACTIn 2015, the ASEAN Economic Community (AEC), or better known as Masyarakat Ekonomi ASEAN (MEA) have agreed to jointly deal with the benefit expectations each member state.One of those opportunities to alleviate poverty related MEA is on tourism sector as a result of their visa-free between MEA member countries.Tourism development and economic growth have a mutualism relationship in poverty alleviation.This study analyzes the effect of tourism sector and income per capita on poverty reduction by panel data in 30 provinces of Indonesia in the period 2004 - 2012. Method of analysis uses Least Squaremethod and the estimation model used is Fixed Effect Model (FEM). The empirical results shows the tourism sector and income per capita have a significant effect to poverty reduction. Every 1% increase of tourism sector contribution effects on 0.005% poverty reduction, and every 1% increase of income per capita effects on 0.085%. poverty reduction

scholarly journals FDI Inspired Energy Consumption in Selected Emerging Markets: Does Financial Development Matter?

2018 ◽  
Vol 21 (3) ◽  
pp. 5-23
Author(s):  
Kunofiwa Tsaurai
Keyword(s):  
Energy Consumption ◽  
Stock Market ◽  
Emerging Markets ◽  
Financial Development ◽  
Fixed Effects ◽  
Ordinary Least Squares ◽  
Negative Influence ◽  
Positive Influence ◽  
Private Debt ◽  
The Impact

The study investigated the impact of the complementarity between foreign direct investment (FDI) and financial development on energy consumption in emerging markets. Although the relevance of the FDI‑led energy consumption hypothesis is no longer contestable, the combined influence of FDI and financial development on energy consumption is not yet resolved. Random and fixed effects show that the interaction between outstanding domestic private debt securities and FDI had a significant positive influence on energy consumption whereas pooled ordinary least squares (OLS) noted that the interaction between FDI and outstanding domestic public debt securities positively and significantly affected energy consumption. The dynamic generalized methods of moments (GMM) shows that the interaction between (1) FDI and stock market capitalization and (2) FDI and stock market value traded had a significant negative influence on energy consumption. The study urges emerging markets to deepen the bond sector market in order to enhance FDI‑led energy consumption.

scholarly journals The Impact of Fintech on Poverty Reduction: Evidence from China

2021 ◽  
Vol 13 (9) ◽  
pp. 5225
Author(s):  
Isaac Appiah-Otoo ◽  
Na Song
Keyword(s):  
Economic Growth ◽  
Sustainable Development ◽  
Poverty Reduction ◽  
Sustainable Development Goals ◽  
Third Party ◽  
Development Goals ◽  
Per Capita ◽  
The Impact ◽  
Per Capita Consumption ◽  
Financial Technology

Ending poverty in all its forms by 2030 remains the first agenda of Sustainable Development Goals set by the United Nations in 2015. Motivated by this agenda, this study examined the direct and indirect effect of financial technology (fintech) and its sub-measures of third-party payment and credit on poverty measured by household per capita consumption. We used a panel of 31 provinces in China from 2011 to 2017. The results indicated that fintech and these sub-measures reduce poverty in China. The results further showed that fintech complements economic growth and financial development to reduce poverty in China.

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