scholarly journals Stock Prices and Exchange Rates: Are they Related? Evidence from South Asian Countries

2002 ◽  
Vol 41 (4II) ◽  
pp. 535-550 ◽  
Author(s):  
Naeem Muhammad ◽  
Abdul Rasheed
Keyword(s):  
Developing Countries ◽  
Exchange Rates ◽  
Stock Prices ◽  
Stock Markets ◽  
Negative Relationship ◽  
Developed Countries ◽  
Empirical Literature ◽  
Economic Policies ◽  
Foreign Portfolio Investment ◽  
The Developed Countries

The issue of whether stock prices and exchange rates are related or not has received considerable attention after the East Asian crisis. During the crisis the countries affected saw turmoil in both currency and stock markets. If stock prices and exchange rates are related and the causation runs from exchange rates to stock prices, then the crisis in the stock markets can be prevented by controlling the exchange rates. Moreover, developing countries can exploit such a link to attract/stimulate foreign portfolio investment in their own countries. Similarly, if the causation runs from stock prices to exchange rates then authorities can focus on domestic economic policies to stabilise the stock market. If the two markets/prices are related then investors can use this information to predict the behaviour of one market using the information on other market.1 Most of the empirical literature that has examined the stock prices-exchange rate relationship has focused on examining this relationship for the developed countries with very little attention on the developing countries. The results of these studies are, however, inconclusive. Some studies have found a significant positive relationship between stock prices and exchange rates [for instance Smith (1992); Solnik (1987) and Aggarwal (1981)] while others have reported a significant negative relationship between the two [e.g., Soenen and Hennigar (1998)]. On the other hand, there are some studies that have found very weak or no association between stock prices and exchange rates [for instance, Franck and Young (1972); Bartov and Bodnor (1994)].

scholarly journals Public and Private Savings of Selected Developing Countries in the First UN Development Decade

1976 ◽  
Vol 15 (4) ◽  
pp. 446-457
Author(s):  
Paul Jonas ◽  
Anjum Nasim
Keyword(s):  
Developing Countries ◽  
Developed Countries ◽  
World Population ◽  
Economic Policies ◽  
Public And Private ◽  
Development Decade ◽  
Low Incomes ◽  
Private Savings ◽  
Gross World Product ◽  
The Developed Countries

The developed countries contain about one-third of the world population and they produce more than 80 percent of Gross World Product (GWP). The remaining two-thirds of the population of our Globe who lives in Asia, Latin America and most of Africa produces less than 20 percent of the GWP. A small segment of the population of these countries is wealthy but the over¬whelming majority subsists on substandard incomes and is characterised by mass illiteracy, mal-nutrition, bad housing and lack of medical care. Because of these characteristics they have low productivity, which yields low level of income; low incomes, in turn, imply a small capacity to save resulting in an economic situation where there is barely a possibility to moblize resources for development. The question has often been raised: 'Is there way out for the developing countries' ? 1960s were declared as the First UN Development Decade and it was hoped that during these years the pre-conditions for a successful development would be established in various developing countries. The present study analyses data on public revenue, public expenditure, public savings and private savings for 12 selected developing countries pertaining to the years of the First U.N. Development Decade. The general conclusion that emerges from the study clearly suggests that with appropriate economic policies resources for development can be mobilized in the developing countries.

COVID-19 and Two different Stock Markets: An Event Study Analysis

2021 ◽  
Vol 15 (2) ◽  
Author(s):  
Fakhrul Hasan ◽  
Ahmed Shahbaz
Keyword(s):  
Developing Countries ◽  
Stock Market ◽  
Event Study ◽  
Stock Markets ◽  
Research Question ◽  
Developed Countries ◽  
Stock Market Returns ◽  
Main Research ◽  
Study Methodology ◽  
The Developed Countries

In this study, we examine two different stock markets’ response to the COVID-19 pandemic using event study methodology and a novel linear regression model. We use LSE (UK) as a proxy for the developed countries stock market and DSE (Bangladesh) as a proxy for the developing countries stock market. Using the daily COVID-19 confirmed cases and deaths and stock market returns data from these two countries (UK and Bangladesh) over the period November 01, 2020 to August 07, 2020. Our main research question was, which stock market suffered more during the COVID-19 pandemic, whether developed countries stock market or developing countries stock market. We find that developed countries stock markets (LSE as proxy) responded negatively to the growth in COVID-19 confirmed cases and deaths in COVID-19. We further find that developing countries stock markets (DSE as proxy) did not responded to the growth in COVID-19 confirmed cases and deaths in COVID-19.

International Economic Assistance in the 1970's — A Critique of Partners in Development (Review Article)

1970 ◽  
Vol 10 (4) ◽  
pp. 469-490
Author(s):  
Nurul Islam
Keyword(s):  
Developing Countries ◽  
Foreign Aid ◽  
International Aid ◽  
Developed Countries ◽  
Armed Conflicts ◽  
Economic Assistance ◽  
Self Help ◽  
Service Charge ◽  
The Developed Countries ◽  
Defence Expenditure

Foreign economic aid is at the cross-roads. There is an atmosphere of gloom and disenchantment surrounding international aid in both the developed and developing countries — more so in the former than in the latter. Doubts have grown in the developed countries, especially among the conservatives in these countries, as to the effectiveness of aid in promoting economic development, the wastes and inefficiency involved in the use of aid, the adequacy of self-help on the part of the recipient countries in husbanding and mobilising their own resources for development and the dangers of getting involved, through ex¬tensive foreign-aid operations, in military or diplomatic conflicts. The waning of confidence on the part of the donors in the rationale of foreign aid has been accentuated by an increasing concern with their domestic problems as well as by the occurrence of armed conflicts among the poor, aid-recipient countries strengthened by substantial defence expenditure that diverts resources away from development. The disenchantment on the part of the recipient countries is, on the other hand, associated with the inadequacy of aid, the stop-go nature of its flow in many cases, and the intrusion of noneconomic considerations governing the allocation of aid amongst the recipient countries. There is a reaction in the developing countries against the dependence, political and eco¬nomic, which heavy reliance on foreign aid generates. The threat of the in¬creasing burden of debt-service charge haunts the developing world and brings them back to the donors for renewed assistance and/or debt rescheduling.

A Decade of the World Trade Organization and the Trade Performance of Muslim Countries

2010 ◽  
Vol 27 (4) ◽  
pp. 23-44
Author(s):  
Ruzita Mohd. Amin
Keyword(s):  
Developing Countries ◽  
World Trade Organization ◽  
World Trade ◽  
Developed Countries ◽  
Playing Field ◽  
Muslim Countries ◽  
The World ◽  
The Developed Countries ◽  
Merchandise Trade ◽  
Wto Agreements

The World Trade Organization (WTO), established on 1 January 1995 as a successor to the General Agreement on Tariffs and Trade (GATT), has played an important role in promoting global free trade. The implementation of its agreements, however, has not been smooth and easy. In fact this has been particularly difficult for developing countries, since they are expected to be on a level playing field with the developed countries. After more than a decade of existence, it is worth looking at the WTO’s impact on developing countries, particularly Muslim countries. This paper focuses mainly on the performance of merchandise trade of Muslim countries after they joined the WTO. I first analyze their participation in world merchandise trade and highlight their trade characteristics in general. This is then followed by a short discussion on the implications of WTO agreements on Muslim countries and some recommendations on how to face this challenge.

scholarly journals Taxing impact of terrorism on global economic openness of developed and developing countries

2018 ◽  
Vol 68 (3) ◽  
pp. 311-335
Author(s):  
Abubakr Saeed ◽  
Yuhua Ding ◽  
Shawkat Hammoudeh ◽  
Ishtiaq Ahmad
Keyword(s):  
Developing Countries ◽  
Negative Impact ◽  
Developed Countries ◽  
Terrorist Attacks ◽  
Economic Openness ◽  
Significant Negative Impact ◽  
Military Expenditures ◽  
The Developed Countries ◽  
The Impact ◽  
The Relationship

This study examines the relationship between terrorism and economic openness that takes into account both the number and intensity of terrorist incidents and the impact of government military expenditures on trade-GDP and foreign direct investment-GDP ratios for both developed and developing countries. It uses the dynamic GMM method to account for endogeneity in the variables. Deaths caused by terrorism have a significant negative impact on FDI flows, and the number of terrorist attacks is also found to be significant in hampering the countries’ ability to trade with other nations. The study also demonstrates that the developing countries exhibit almost similar results to our main analysis. The developed countries exhibit a negative impact of terrorism, but the regression results are not significant.

scholarly journals Financial Markets’ Governance, Transparency and Informational Efficiency: Role of IfRS Norms, Auditors and Financial Analysts

2016 ◽  
Vol 9 (5) ◽  
pp. 100
Author(s):  
Imen Lamiri ◽  
Adel Boubaker
Keyword(s):  
Financial Markets ◽  
Stock Prices ◽  
Stock Price ◽  
Financial Analysts ◽  
Negative Relationship ◽  
Developed Countries ◽  
Coefficient Of Determination ◽  
Specific Information ◽  
Informational Efficiency

<p>This article explores the informational role of three essential modern financial markets actors such IFRS norms, the Big”4” and the financial analysts for a panel of emergent and developed countries during the period from 2001 to 2010. We hypothesis that these mechanisms help improving the quality of specific information incorporated into stock prices measured by the stock price synchronicity (SPS). The main result is that both financial analyst’s coverage and IFRS adoption's effects seem to be stronger for emerging than developed markets. The results also show a negative relationship between auditors’ opinion and coefficient of determination (R<sup>2</sup>).</p>

scholarly journals Research and Publication from Developing Countries

2020 ◽  
Vol 42 (3) ◽  
Author(s):  
Mohan R Sharma
Keyword(s):  
Developing Countries ◽  
Burden Of Disease ◽  
Disease Burden ◽  
Developed Countries ◽  
Publishing Research ◽  
Economic Factors ◽  
Middle Income ◽  
High Burden ◽  
Middle Income Countries ◽  
The Developed Countries

In 2002, Richard Smith wrote an editorial, “publishing research from developing countries” in the Journal “Statistics in Medicine” highlighting the importance of research and publication from the developing countries (DCs).1 In that article, he mentioned the disparity in research and publication between the developed and developing countries. Almost two decades on, the problem still largely remains the same. It is estimated that more than 80% of the world’s population lives in more than 100 developing countries.2 In terms of disease burden, the prevalence and mortality from diseases in the low and middle-income countries are disproportionately high compared to developed countries.3 Although there is a high burden of disease, we base our treatment inferring results from research and publication from the developed countries which may not be fully generalizable due to geographical cultural, racial, and economic factors. This is where the problem lies.

Cycle of Poverty in Developing Countries

2021 ◽  
pp. 126-139
Author(s):  
Opeyemi Idowu Aluko
Keyword(s):  
Developing Countries ◽  
Developed Countries ◽  
Economic Situation ◽  
Economic Cycle ◽  
The Social ◽  
Political Cycle ◽  
The World ◽  
The Developed Countries ◽  
Cycle Of Poverty ◽  
Do So

Poverty is no longer fashionable even in the less developed countries of the world. The world has deemed poverty-ridden regions of the world as ‘anathema', forbidden, and ignoble. At the same time ways to get out of the menace are regularly strategised over a period of time. The developed countries of the world had been able to nip poverty to the bud significantly, but the developing countries still have a lot to do so as to overcome the menace. Poverty in the developing countries operates in a cycle of repetitions. This makes it difficult to curtail. How can poverty be reduced in the developing countries? This study reveals the reason while poverty has become a domestic phenomenon in developing countries and the way forward. The theory on poverty is evaluated alongside the present economic situation in Africa. The cycle of poverty, which includes the social cycle of poverty (SCP), political cycle of poverty (PCP), and the economic cycle of poverty (ECP), are examined. This study analyses the strategies to break the cycle of poverty in Africa and other developing countries.

scholarly journals Making Communicative Language Teaching Work in Pakistan

2017 ◽  
Vol 7 (3) ◽  
pp. 226
Author(s):  
Abdul Hameed Panhwar ◽  
Shahnaz Baloch ◽  
Sanam Khan
Keyword(s):  
Developing Countries ◽  
Teaching And Learning ◽  
Language Teaching ◽  
Developed Countries ◽  
Communicative Language Teaching ◽  
Traditional Methods ◽  
Large Classes ◽  
The Developed Countries ◽  
Causes Of Failure ◽  
Language Teaching And Learning

This paper examines communicative language teaching (CLT) and its significance in terms of language teaching and learning. The actual purpose of the paper is to explore the causes of failure of CLT in Pakistan and other developing countries in order to suggest the ways to make it successfully effective in the context. It is found that contextual problems such as overuse of traditional methods of teaching such as lecturing and large classes always come into clash with the use of CLT in the developing countries such as Pakistan because CLT is in fact a method developed and used in the developed countries where the contextual issues found in the educational institutes are rare as compared to developing countries.

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