scholarly journals Cashless Payments and Economic Growth: Evidence from Selected OECD Countries

2020 ◽  
Vol 9 (s1) ◽  
pp. 189-213
Author(s):  
Teck-Lee Wong ◽  
Wee-Yeap Lau ◽  
Tien-Ming Yip
Keyword(s):  
Economic Growth ◽  
Credit Card ◽  
Oecd Countries ◽  
Annual Data ◽  
Policy Recommendations ◽  
Debit Card ◽  
Omitted Variable Bias ◽  
Variable Bias ◽  
Card Payment ◽  
The Relationship

AbstractThis study investigates the relationship between cashless payments and economic growth in selected OECD countries. Using annual data from 2007 to 2016, our results indicate that: Firstly, cashless payment stimulates economic growth in OECD countries. Specifically, the growth-enhancing effect is found in debit card payment while credit card, e-money and cheque payment have no impact on economic growth; Secondly, the positive relationship between economic growth and debit card payment is robust after controlling for the effect of endogeneity, omitted variable bias and outliers. Based on the findings, this study offers some imperative policy recommendations.

scholarly journals A Reassessment of the Relationship Between Inequality and Growth

2000 ◽  
Vol 90 (4) ◽  
pp. 869-887 ◽  
Author(s):  
Kristin J Forbes
Keyword(s):  
Economic Growth ◽  
Income Inequality ◽  
Negative Relationship ◽  
Data Set ◽  
Omitted Variable Bias ◽  
Specific Effects ◽  
Variable Bias ◽  
Time Invariant ◽  
The Relationship ◽  
Country Specific

This paper challenges the current belief that income inequality has a negative relationship with economic growth. It uses an improved data set on income inequality which not only reduces measurement error, but also allows estimation via a panel technique. Panel estimation makes it possible to control for time-invariant country-specific effects, therefore eliminating a potential source of omitted-variable bias. Results suggest that in the short and medium term, an increase in a country's level of income inequality has a significant positive relationship with subsequent economic growth. This relationship is highly robust across samples, variable definitions, and model specifications. (JEL O40, O15, E25)

scholarly journals Energy – Growth Nexus- A Case of South Asian Countries

2021 ◽  
Vol 8 (2) ◽  
pp. 58-66
Author(s):  
Saddam Hussain ◽  
Chunjiao Yu ◽  
Liu Wan
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
South Asian ◽  
Fixed Effects ◽  
Asian Countries ◽  
Economic Determinants ◽  
Omitted Variable Bias ◽  
Variable Bias ◽  
Macroeconomic Determinants ◽  
The Relationship

The relationship between energy consumption and economic growth is a hot issue in today's society. This paper aims to empirically verify the relationship between energy consumption and economic growth. This article analyzes the relation of energy consumption with the economic growth taking the case of South Asian countries (Afghanistan, Bangladesh, Bhutan, India, Pakistan, Sri Lanka, and Nepal) along with the macroeconomic determinants that affect the total economic growth – FDI growth, CPI rate and population growth in order to avoid omitted variable bias and misleading results. The time span of this study covers the period of 1980–2019. To examine the significant relation of these determinants and impact of energy consumption on economic growth, In-pooled regression, Fixed-effects, Bidirectional fixed effect, Random-effects, and GLS estimation regression model are used. The estimated results show a positive correlation of energy consumption and all other economic determinants with economic growth except CPI, where there is a negative correlation founded.

Human Capital and Economic Growth in OECD Countries Revisited: Initial Stock versus Changes in the Stock of Human Capital Effects

2021 ◽  
Vol 0 (0) ◽  
Author(s):  
Dimitar Eftimoski
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Oecd Countries ◽  
Interaction Terms ◽  
Omitted Variable Bias ◽  
Real Gdp ◽  
Broad Array ◽  
Real Gdp Per Capita ◽  
Two Measures ◽  
Variable Bias

Abstract This paper investigates the effect of human capital on economic growth in OECD countries by focusing on two different channels: (1) absorption of superior technologies, and (2) augmentation of factors of production. One recent empirical study found that in isolation each channel appears insignificant, which implies that estimates that emanate by restrictive specifications that account for only a subset of these channels are likely to suffer from an omitted variable bias. Using an augmented specification (with interaction terms between the initial level of real GDP per capita and the average years of schooling), we find that OECD countries that start with a higher stock of human capital grow faster, which implies that human capital influences economic growth through the first channel only. Our results differ from previous studies (that investigated both channels), which either confirmed the simultaneous (positive or neutral) effect from both channels, or found that only the second channel had an isolated positive effect. We use a broad array of measures as proxies for human capital (six measures for educational attainment, and two measures for health status). We also account for the quality of human capital.

scholarly journals Revisiting the dynamic interactions between economic growth and environmental pollution in Italy: evidence from a gradient descent algorithm

2021 ◽  
Author(s):  
Marco Mele ◽  
Cosimo Magazzino ◽  
Nicolas Schneider ◽  
Floriana Nicolai
Keyword(s):  
Economic Growth ◽  
Gradient Descent ◽  
Statistical Data ◽  
Stochastic Gradient Descent ◽  
Policy Recommendations ◽  
Dynamic Interactions ◽  
Gradient Descent Algorithm ◽  
The Relationship ◽  
Main Strand ◽  
Yearly Data

AbstractAlthough the literature on the relationship between economic growth and CO2 emissions is extensive, the use of machine learning (ML) tools remains seminal. In this paper, we assess this nexus for Italy using innovative algorithms, with yearly data for the 1960–2017 period. We develop three distinct models: the batch gradient descent (BGD), the stochastic gradient descent (SGD), and the multilayer perceptron (MLP). Despite the phase of low Italian economic growth, results reveal that CO2 emissions increased in the predicting model. Compared to the observed statistical data, the algorithm shows a correlation between low growth and higher CO2 increase, which contradicts the main strand of literature. Based on this outcome, adequate policy recommendations are provided.

scholarly journals FDI and Economic Growth in EU13 Countries: Cointegration and Causality Tests

2020 ◽  
Vol 12 (3) ◽  
pp. 47-63
Author(s):  
Vlatka Bilas ◽  
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
European Union ◽  
Annual Data ◽  
Foreign Direct Investments ◽  
Causality Test ◽  
Panel Ardl ◽  
Long Run ◽  
Causality Tests ◽  
The Relationship

Foreign direct investments are seen as a prerequisite for gaining and maintaining competitiveness. The research objective of this study is to examine the relationship between foreign direct investment (FDI) and economic growth in “new” European Union member countries using various unit root, cointegration, as well as causality tests. The paper employs annual data for FDI and gross domestic product (GDP) from 2002 to 2018 for the 13 most recent members of European Union (EU13): Bulgaria, Croatia, Cyprus, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Romania, Slovakia and Slovenia. An estimated panel ARDL (PMG) model found evidence that there is a long-run equilibrium between the LogGDP, LogFDI and LogFDIP series, with the rate of adjustment back to equilibrium between 3.27% and 20.67%. In the case of the LogFDI series, long-run coefficients are highly statistically significant in all four models, varying between 0.0828 and 0.3019. These coefficients indicate that a 1% increase in LogFDI increases LogGDP between 0.0828% and 0.3019%. Results of a Dumitrescu-Hurlin panel causality test indicated that a relationship between the GDP growth rate and FDI growth rate is only indirect. Finally, only weak evidence was shown that FDI had a statistically significant impact on GDP in the EU13 countries over the period 2002-2018. This report of findings contributes to the literature concerning FDI and economic growth, namely regarding the current understanding of the relationship between these two factors.

scholarly journals The Relationship Between Public Expenditures, Total Factor Productivity and Economic Growth: A Panel Data Analysis

2021 ◽  
Author(s):  
Remzi Can Yılmaz ◽  
Ahmet Rutkay Ardoğan
Keyword(s):  
Economic Growth ◽  
Total Factor Productivity ◽  
Developing Economies ◽  
Panel Data Analysis ◽  
Statistical Significance ◽  
Data Availability ◽  
Public Expenditures ◽  
Annual Data ◽  
Factor Productivity ◽  
The Relationship

According to the economics literature, there are two main sources of economic growth. While the first of the resources is the accumulation of production factors, the other is the part of the output that cannot be explained by the amount of input used in production, in other words, the total factor productivity. The level of total factor productivity is measured according to how efficiently the inputs are used in the production process. In this study, the hypothesis that public spending affects real economic growth through total productivity is investigated. In the first stage, whether the changes in public expenditures affect the total factor productivity or not; if it does, to what extent and in what direction it has been tried to be revealed. In the second stage, the effect of total factor productivity on economic growth was examined and the statistical significance, direction and extent of the relationship between variables were investigated. Annual data were used in the study and the year range is 2000-2017. The sampling economies were selected according to data availability, and there are a total of 20 developed and developing economies. Research was conducted using multiple panel regression analysis. According to the findings, the relationship between public expenditures and total factor productivity is statistically significant. An increase in public expenditures reduces the total factor productivity. The relationship between total factor productivity and economic growth is statistically significant, and an increase in total factor productivity also increases economic growth. An increase in public expenditures affects economic growth negatively by reducing the total factor productivity.

Research on the Development of the Logistics Industry

2014 ◽  
Vol 687-691 ◽  
pp. 4568-4572
Author(s):  
Hai Chen Zhan
Keyword(s):  
Economic Growth ◽  
Decision Making ◽  
Economic Development ◽  
Division Of Labor ◽  
Gansu Province ◽  
Policy Recommendations ◽  
Logistics Industry ◽  
The Social ◽  
Econometric Approach ◽  
The Relationship

Modern logistics industry as an emerging industry, with the industrial division of labor with the social refinement and depth, to promote China's economic development has become an important industry and new economic growth point. This paper uses econometric approach to relations of the logistics industry and economic growth in Gansu Province made an empirical analysis reveals and Reveals the relationship between logistics industry and economic development in Gansu Province And for the results of the analysis are summarized and give relevant policy recommendations, hoping to provide a reference for the development of decision-making in Gansu.

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