scholarly journals Customers’ Patronage, Earnings of Deposit Money Banks and Nigeria’s Shrinking Economy

2021 ◽  
Vol 28 (42) ◽  
pp. 163-185
Author(s):  
Oliver Ikechukwu Inyiama ◽  
Ethel Chinakpude Inyiama ◽  
Mary Ifeoma Okwo ◽  
Ernest Chike Nwoha
Keyword(s):  
Granger Causality ◽  
Granger Causality Test ◽  
Strong Relationship ◽  
Annual Reports ◽  
Regression Result ◽  
Causality Test ◽  
Ex Post ◽  
Simple Regression Model ◽  
Ex Post Facto ◽  
Simple Regression

Abstract This study investigates the extent to which customers’ patronage has affected, caused and associated with the earnings of deposit money banks in Nigeria in the present Covid-19 era. An ex-post-facto design was adopted leading to data sourced from annual reports and accounts of Deposit Money Banks in Nigeria. A simple regression model was applied in gauging the effect of Customers’ patronage on Profit before Tax, Granger Causality Test determined whether Profit before Tax was caused by Customers’ Patronage while Correlational Analysis confirmed the relationship between the focal variables. Simple regression result reveals that an increase in Total Deposit will significantly increase Profit Before Tax (87%) in the banking industry. Correlation analysis, which is the anchor tool, shows that Total Deposit has a strong relationship with Profit Before Tax of Deposit Money Banks in Nigeria. Lastly, Granger Causality Test reveals that Total Deposit Granger Causes Profit Before Tax in Deposit Money Banks in Nigeria. The findings imply that Total Deposit is a strong determinant of movements in the level of earnings of Deposit Money Banks in Nigeria. It was observed that a greater percentage of customers, even as the economy shrinks into recession after recession, prefer keeping their money with the bank as deposits expecting to earn interest on the investment. The study recommends that banks should strive, through enhanced packages, to mobilize deposits in order to enhance their earnings.

scholarly journals The Research of the Causal Relationship Between Unemployment and Emigration in Lithuania

2014 ◽  
Vol 15 (4) ◽  
pp. 294-301 ◽  
Author(s):  
Gitana Dudzevičiūtė ◽  
Justinas Čekanauskas
Keyword(s):  
European Union ◽  
Causal Relationship ◽  
Granger Causality ◽  
Unemployment Rate ◽  
Granger Causality Test ◽  
Strong Relationship ◽  
Annual Data ◽  
The European Union ◽  
Causality Test ◽  
European Union Countries

This paper aims to investigate the causal relationship between unemployment and emigration in Lithuania using Granger – causality test. The research is based on annual data spanning the period of 2004–2012. The investigation encompasses two steps. Firstly, the authors have analyzed the Lithuanian position regarding relationship between unemployment rate and emigration in the context of the European Union countries; secondly, the causality between unemployment and emigration has been determined in the case of Lithuania. On the basis of the European Union countries statistical data, results of the research have revealed a weak correlation between unemployment rate and emigration. On the contrary, evidence has suggested the existence of a strong relationship between unemployment and emigration in Lithuania. Results of the Granger – causality test have showed that unemployment impacts on emigration in Lithuania.

scholarly journals Audit Committee Characteristics and Investors’ Stake in Nigerian Quoted Companies

2020 ◽  
Vol 19 (1) ◽  
Author(s):  
Olaoye Oladipupo Festus ◽  
Keyword(s):  
Granger Causality ◽  
Internal Control ◽  
Audit Committee ◽  
Granger Causality Test ◽  
Control Mechanisms ◽  
Panel Analysis ◽  
Executive Directors ◽  
Causality Test ◽  
Early 21St Century ◽  
Ex Post

Financial scandals that occurred in the early 21st century have put to test the integrity of financial reports that relay the performance of an entity to its investors. The audit committee has been argued in the extant literature as a factor that can put to rest the prevalence of these scandals. Nevertheless, these scandals still recur. This study investigated the nexus between audit committee qualities and investors’ stake in quoted companies in Nigeria. Ex-post facto was adopted as the research design, while the Fixed Effect Panel Analysis and Pairwise Granger Causality Test were used to analyze the data. The results of the Fixed Panel Analysis revealed that the financial expertise, audit committee meetings, numbers of non-executive directors on the audit committee, audit committee size, and the proportion of nonexecutive directors on the board of the selected companies demonstrated an insignificant effect on investors’ stake in the selected quoted companies in the country, while the Panel Granger Causality Test revealed unidirectional causality between earnings per share and proportion of non-executive directors of the company’s board in selected quoted companies in Nigeria. This study concluded that audit committee quality has affect on investors’ stake depending on the qualities adopted by the audit committee. Based on the above, the study recommended among other things, that the management and government should devise internal control mechanisms or strategies that will ensure the suitability of who could act as an independent nonexecutive director to a company. KEYWORDS: Audit Committee Qualities, Performance, Earning per Share, Standard Variance, Stakeholders.

scholarly journals Relationship between corporate governance and corporate sustainability: a sample of borsa Istanbul, Turkey

2016 ◽  
Vol 2 (2) ◽  
pp. 74 ◽  
Author(s):  
Mehmet Taşkırmaz ◽  
Canan Gamze Bal
Keyword(s):  
Corporate Governance ◽  
Social Responsibility ◽  
Granger Causality ◽  
Corporate Sustainability ◽  
Granger Causality Test ◽  
Strong Relationship ◽  
Causality Test ◽  
The World ◽  
The Relationship ◽  
Brundtland Report

The papers that corporate governance have been examined are widely available in the literature. However, the studies which investigated the relationship between corporate governance and corporate sustainability is limited. Although corporate governance is reputed to some companies’ scandals such as Enron and Parmalat, corporate governance came into question with certain reports such as Cadbury and Hampel. But corporate sustainability conception spreads throught the World by Brundtland report more. The aim of this study is to explore whether there is relationship between corporate governance and corporate sustainability or not and to investigate the direction and strength of the relationship if there is a link. In this context, BIST XKURY and XUSRD indexes are used and Granger causality test is employed to study relationship between said variables. Results emphasize that there is a positively strong relationship between said variables and the causality relation is in two-way. Consequently, an overview has been demonstrated.Keywords: Corporate governance, corporate sustainability, shareholder, stakeholder, social responsibility

scholarly journals Uncertainty Due to Infectious Diseases and Stock–Bond Correlation

Econometrics ◽  
2021 ◽  
Vol 9 (2) ◽  
pp. 17
Author(s):  
Konstantinos Gkillas ◽  
Christoforos Konstantatos ◽  
Costas Siriopoulos
Keyword(s):  
Neural Networks ◽  
Artificial Neural Networks ◽  
Infectious Diseases ◽  
Granger Causality ◽  
Predictive Value ◽  
High Frequency ◽  
Causal Relation ◽  
Granger Causality Test ◽  
Causality Test ◽  
Non Linear

We study the non-linear causal relation between uncertainty-due-to-infectious-diseases and stock–bond correlation. To this end, we use high-frequency 1-min data to compute daily realized measures of correlation and jumps, and then, we employ a nonlinear Granger causality test with the use of artificial neural networks so as to investigate the predictability of this type of uncertainty on realized stock–bond correlation and jumps. Our findings reveal that uncertainty-due-to-infectious-diseases has significant predictive value on the changes of the stock–bond relation.

scholarly journals R&D Investment, Financial and Environmental Performance Nexuses via Bootstrap Fourier Quantiles Granger Causality Test

Economies ◽  
2021 ◽  
Vol 9 (2) ◽  
pp. 85
Author(s):  
Feng-Li Lin
Keyword(s):  
Financial Performance ◽  
Granger Causality ◽  
Environmental Performance ◽  
Co2 Emission ◽  
Positive Relationship ◽  
Granger Causality Test ◽  
Causality Test ◽  
Emission Reductions ◽  
Policy Makers ◽  
D Investment

This study investigated the relationship between R&D investments and financial and environmental performance. The direction, size, and significance of various phases of these variables were generated using the bootstrap Fourier quantiles Granger causality test. In our results, a positive relationship between R&D investment and CO2 emission reductions was found at two tails of quantiles. Additionally, we observed a significantly positive relationship between financial performance and CO2 emission reductions at the 0.5 quantile and above. The correlation between R&D investment and financial performance was identified to be positive under the 0.3, 0.4, 0.5 and 0.9 quantiles and negative under the 0.5 and 0.6 quantiles. The changing linkages among R&D investment, environmental performance and financial performance found in this study provide important information for policy makers, aiding in the development of R&D strategies to upgrade financial and environmental performance simultaneously.

The effect of spillover on the Granger causality test

2010 ◽  
Vol 37 (9) ◽  
pp. 1473-1486 ◽  
Author(s):  
Panagiotis Mantalos ◽  
Ghazi Shukur
Keyword(s):  
Granger Causality ◽  
Granger Causality Test ◽  
Causality Test

The relationship between financial development and economic growth in Eswatini (formerly Swaziland)

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Siphe-okuhle Fakudze ◽  
Asrat Tsegaye ◽  
Kin Sibanda
Keyword(s):  
Economic Growth ◽  
Granger Causality ◽  
Financial Development ◽  
Granger Causality Test ◽  
Causality Test ◽  
Content Type ◽  
Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
The Relationship

PurposeThe paper examined the relationship between financial development and economic growth for the period 1996 to 2018 in Eswatini.Design/methodology/approachThe Autoregressive Distributed Lag bounds test (ARDL) was employed to determine the long-run and short-run dynamics of the link between the variables of interest. The Granger causality test was also performed to establish the direction of causality between financial development and economic growth.FindingsThe ARDL results revealed that there is a long-run relationship between financial development and economic growth. The Granger causality test revealed bidirectional causality between money supply and economic growth, and unidirectional causality running from economic growth to financial development. The results highlight that economic growth exerts a positive and significant influence on financial development, validating the demand following hypothesis in Eswatini.Practical implicationsPolicymakers should formulate policies that aims to engineer more economic growth. The policies should strike a balance between deploying funds necessary to stimulate investment and enhancing productivity in order to enliven economic growth in Eswatini.Originality/valueThe study investigates the finance-growth linkage using time series analysis. It determines the long-run and short-run dynamics of this relationship and examines the Granger causality outcomes.

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