scholarly journals THE TOURISM-LED GROWTH HYPOTHESIS IN TRANSITION ECONOMIES? EMPIRICAL EVIDENCE FROM A PANEL DATA ANALYSIS

2021 ◽  
Vol 38 (4) ◽  
pp. 1076-1082
Author(s):  
Le Thanh TUNG ◽  
Keyword(s):  
Developing Countries ◽  
Panel Data ◽  
Development Strategy ◽  
Transition Economies ◽  
Transition Countries ◽  
Policy Implications ◽  
Research Database ◽  
Fisher Test ◽  
Long Run ◽  
Growth Hypothesis

Tourism has been considered as a potential factor in development strategy in many developed and developing countries worldwide. Besides, tourism is really a key economic sector in some countries. This study aims to examine the tourism-led growth hypothesis for some transition countries, which includes seven high growth economies Bulgaria, Hungary, Poland, Romania, Russia, Ukraine and Vietnam. The research database is collected by an annual form in the period of 1995-2019. These economies are considered successful transitional cases in the global economy, however, the tourism-led growth hypothesis in these countries has been received only a little evidence from academics in recent years. The Johansen-Fisher test and the OLS estimation are applied in the quantitative process. There are some new findings from the empirical results. First, the Johansen-Fisher test confirms the existence of long-run cointegration relationships between tourism (denoted by the tourism revenue and the tourism arrivals) and economic growth in the panel data sample of countries. Second, the long-run coefficients of the tourism variables are positive and significant that concludes the tourism-led growth hypothesis in these transition countries. The contribution of the study is not only to fill the empirical research gap by the estimated results from a group of transition economies but also to confirms the tourism-led growth platform as an efficient development strategy for other developing countries. Furthermore, our study suggests some policy implications for policymakers to use tourism as a key development sector in these countries in the future.

scholarly journals Dynamic Causal Relationships among GDP, Exports, and Foreign Direct Investment (FDI) in the Developing Countries

2013 ◽  
Vol 14 ◽  
pp. 1-19 ◽  
Author(s):  
Mohsen Mehrara ◽  
Amin Haghnejad ◽  
Jalal Dehnavi ◽  
Fereshteh Jandaghi Meybodi
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Foreign Direct Investment ◽  
Strong Evidence ◽  
Direct Investment ◽  
The Other ◽  
Fdi Inflows ◽  
Long Run ◽  
Short Run ◽  
Growth Hypothesis

Using panel techniques, this paper estimates the causality among economic growth, exports, and Foreign Direct Investment (FDI) inflows for developing countries over the period of 1980 to 2008. The study indicates that; firstly, there is strong evidence of bidirectional causality between economic growth and FDI inflows. Secondly, the exports-led growth hypothesis is supported by the finding of unidirectional causality running from exports to economic growth in both the short-run and the long-run. Thirdly, export is not Granger caused by economic growth and FDI inflow in either the short run or the long run. On the basis of the obtained results, it is recommended that outward-oriented strategies and policies of attracting FDI be pursued by developing countries to achieve higher rates of economic growth. On the other hand, the countries can increase FDI inflows by stimulating their economic growth.

scholarly journals Material Well-being and Happiness in Transition Countries

2017 ◽  
Vol 20 (2) ◽  
pp. 21-32 ◽  
Author(s):  
Marko Družić ◽  
Martina Majstorović
Keyword(s):  
Panel Data ◽  
Transition Economies ◽  
Full Employment ◽  
Well Being ◽  
Transition Countries ◽  
Additional Research ◽  
Gdp Growth ◽  
Macroeconomic Variables ◽  
The World ◽  
The Subject

Abstract The purpose of this paper is to further the research of the connection between material well-being and happiness in transition economies. We analyzed panel data obtained from the World Database of Happiness and Eurostat. Our results indicate that out of all the major macroeconomic variables (GDP, employment, inflation, taxes etc.), the most significant (and the only stable) predictor of changes in happiness in transition countries is the level of employment. The results are consistent with a hypothesis of a still prevalent “socialist mentality” in the analyzed sample of countries which are all formerly socialist economies that typically place high (or full) employment as the highest economic priority (as opposed to GDP growth, low inflation etc.). Our results differ from the conclusions of the few studies done on this sample of countries, which suggests additional research on the subject is likely required.

scholarly journals Social Environment Determinants of Life Expectancy in Developing Countries: A Panel Data Analysis

2016 ◽  
Vol 9 (5) ◽  
pp. 105 ◽  
Author(s):  
Fatin Aminah Hassan ◽  
Nobuaki Minato ◽  
Shuichi Ishida ◽  
Norashidah Mohamed Nor
Keyword(s):  
Developing Countries ◽  
Health Status ◽  
Panel Data ◽  
Life Expectancy ◽  
Gross Domestic Product ◽  
Health Expenditure ◽  
Independent Variables ◽  
Long Run ◽  
Improved Sanitation ◽  
The Relationship

<p>Despite remarkable improvements in health over the past 50 years, there still remain a great number of health challenges around the world. This study examined the relationship between life expectancy rate (as a proxy for health status) with health expenditure, gross domestic product, education index, improved water coverage, and improved sanitation facilities in 108 selected developing countries using annual panel data within the period of 2006–2010. The empirical results from using the panel data approach showed a positive relationship between life expectancy rate and all of those explanatory variables. The relationship between life expectancy with education index and gross domestic product were significant at 1% and 5% significance levels, respectively. Furthermore, the causality finding showed that there is no short-run causality between life expectancy and its determinants. There is a unidirectional causality running from the independent variables of health expenditure, education index, improved water, and improved sanitation to life expectancy at birth. On the other hand, bidirectional causality exists between life expectancy and income in the long-run by employing VECM test.  These independent variables can be considered as important determinants for investment in health status in the long-run. This study could be used as a guideline and may be significant for future researchers and policy makers who aim to improve the life expectancy in developing countries.</p>

scholarly journals STOCK MARKET DEVELOPMENT IN CEE COUNTRIES – THE PANEL DATA ANALYSIS

Ekonomika ◽  
2010 ◽  
Vol 89 (3) ◽  
pp. 20-29 ◽  
Author(s):  
Radosław Kurach
Keyword(s):  
Panel Data ◽  
Stock Market ◽  
Transition Economies ◽  
System Development ◽  
Panel Data Analysis ◽  
Market Development ◽  
Necessary Condition ◽  
Market Segment ◽  
Stock Market Development ◽  
Long Run

Since financial system development is a necessary condition of the long-run economic growth, in this paper we address the question about the factors that may drive in particular the development of stock market segment. We propose a set of potential determinants and then empirically verify their importance, employing panel data methodology. We focus our attention on the thirteen CEE states and look for the conclusions that may be specific for transition economies in this region. Finally, we formulate the finding that large budget deficitshave affected significantly and adversely the CEE countries’ stock markets growth.p>

scholarly journals Causal Nexus between Government Debt, Exports and Economic Growth for Three Eurozone Countries: A Panel Data Analysis

2016 ◽  
Vol 3 (1) ◽  
pp. 47
Author(s):  
Nikolaos Dritsakis ◽  
Pavlos Stamatiou
Keyword(s):  
Economic Growth ◽  
Panel Data ◽  
Government Debt ◽  
The United States ◽  
Mortgage Market ◽  
Least Square ◽  
Policy Implications ◽  
Ordinary Least Square ◽  
Long Run ◽  
The Relationship

<em>The relationship between government debt, exports and economic growth has been the focus of a considerable number of academic studies in recent years. The economic crisis, which started in the United States mortgage market, quickly went global when mortgage-backed securities traded by financial institutions. Europe’s response was immediate regarding the measures to tackle the crisis. The establishment of common strategies was the long term goal of the European Union (EU). This paper examines the relationship between government debt, exports and economic growth in the EU countries with the highest level of government debt, using panel data over the period 1990-2014. The Fully Modified Ordinary Least Square (FMOLS) and Dynamic Ordinary Least Square (DOLS) methods are used to estimate the long run relationship between the variables. In addition, the Vector Error Correction Model (VECM) is used in order to investigate the causal relationship between the examined variables. The empirical results of the study revealed that there are both short and long run relationships. Findings suggest that that there is a unidirectional causality running from exports to economic growth as well as from exports and economic growth to government debt. The results provide evidence to support the export led-growth hypothesis. Exports are an important factor for economic development. Moreover, the results reveal that government debt is affected by exports both directly and indirectly through economic growth. Policy implications are then explored in the conclusions.</em>

scholarly journals Land Inequality and Economic Growth: A Meta-Analysis

2018 ◽  
Vol 10 (12) ◽  
pp. 4655 ◽  
Author(s):  
Maria Cipollina ◽  
Nadia Cuffaro ◽  
Giovanna D’Agostino
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Panel Data ◽  
Negative Impact ◽  
Credit Constraints ◽  
Meta Analysis ◽  
Land Inequality ◽  
Long Run ◽  
Short Run ◽  
Development Levels

Increasing commercial pressure on land may lead to land concentration in developing countries, especially in the context of complex systems of property rights. In this article we review through meta-analysis (MA) the econometric findings of the literature estimating the nexus between land inequality and economic growth. In particular, our MA controls for various features of the studies and for the so-called “publication bias,” and shows that land-inequality negatively affects economic growth, especially at low development levels. Analysis based on panel data, which generally imply a relatively short run perspective, typically report a lower or positive correlation between land inequality and growth, suggesting that the negative impact of land inequality emerges in the long run, possibly through credit constraints and institutional mechanisms.

scholarly journals IMPLICATIONS OF CAPITAL FLOWS FOR DOMESTIC CREDIT GROWTH: EVIDENCE FROM PANEL DATA ANALYSIS

2020 ◽  
Vol 8 (4) ◽  
pp. 231-245
Author(s):  
Aylin Soydan ◽  
◽  
Serap Bedir Kara ◽  
Keyword(s):  
Developing Countries ◽  
Data Analysis ◽  
Panel Data ◽  
Capital Flows ◽  
Panel Data Analysis ◽  
Capital Inflows ◽  
Policy Implications ◽  
Credit Growth ◽  
Credit Creation ◽  
The Impact

Following the 2007-2009 global crisis, high credit growth became an issue of concern with an emphasis on its relationship with capital flows. It is argued that large and volatile international capital flows lead to credit expansion, which in turn, may cause economic and financial instabilities when it reaches excessive levels, particularly in developing countries. This paper aims to investigate the association between credit growth and capital inflows in the context of developing countries by using panel data analysis. The methodology employed in the study offers a number advantages by allowing for heterogeneity and cross-sectional dependence in the panel, while also considering the endogeneity issue. The overall results of the study provides evidence for the impact of capital inflows, more particularly other capital inflows, on credit growth in the sample. This finding suggests a more direct relationship between capital inflows and credit creation as other inflows mostly comprise international banking and trade credits. It is not surprising given the fact that banking sector has a critical role in the financial systems of developing countries. The significance of international dimension for credit creation through other capital inflows and the intermediary role of the banking system should have monetary policy implications, in the macroprudential or more conventional fashion.

scholarly journals IMF programs and policies assessment in the transition economies during the transition and the post-transition period

2016 ◽  
Vol 3 (2) ◽  
pp. 102-127
Author(s):  
Sotirios K. Bellos
Keyword(s):  
Panel Data ◽  
Transition Economies ◽  
Impact Evaluation ◽  
Transition Period ◽  
Transition Countries ◽  
Export Promotion ◽  
Financial Assistance ◽  
Imf Programs ◽  
Fdi Attraction

Abstract We analyze empirically whether IMF financial assistance in 31 transition countries, during the transition and the post-transition period, has achieved the purposes stated in the IMF's own articles of agreement, namely employment enhancement, confidence provision and export promotion. By employing panel data and impact evaluation analysis, we find that IMF presence persistently fails to be correlated with upgrades in sovereign rating, FDI attraction and employment improvement. By focusing on specific IMF policies, we present some intriguing results, which reveal whether these individual policies actually contribute to the achievement of the official IMF purposes or not.

scholarly journals The Economic Determinants of Foreign Direct Investment in Developing Countries and Transition Economies

2008 ◽  
Vol 47 (3) ◽  
pp. 285-299
Author(s):  
İSmail ÇEviŞ ◽  
Burak ÇAmurdan
Keyword(s):  
Developing Countries ◽  
Foreign Direct Investment ◽  
Panel Data ◽  
Transition Economies ◽  
Direct Investment ◽  
Inflation Rate ◽  
Host Countries ◽  
Fdi Inflows ◽  
Economic Determinants ◽  
Determinants Of Fdi

The economic growth rates have dramatically increased in developing economies, such as in Latin American, Asian, and Eastern European countries, following the financial liberalisation attempt, especially during the 1990s. Foreign direct investment (FDI) has become an increasingly important element for economic development and integration of developing countries and transition economies in this period with the world economy. The main purpose of this study is to develop an empirical framework to estimate the economic determinants of FDI inflows by employing a panel data set of 17 developing countries and transition economies for the period of 1989:01-2006:04. In our model there are seven explanatory economic variables. They are, respectively, the previous period FDI (the pull factor for new FDI), GDP growth (measures market size), Wage (unit labour costs), Trade Rate (measures the openness of countries), the real interest rates (measures macroeconomic policy), inflation rate (as country risk and macroeconomic policy), and domestic investment (Business Climate). Hence, throughout the paper, only the economic determinants (being separated and apart from the other studies in the literature) of FDI inflows to developing countries and transition economies are studied. It is found out that the previous period FDI which is directly related to the host countries’ economic resources is important as an economic determinant. Besides, it is also understood that the main determinants of FDI inflows are the inflation rate, the interest rate, the growth rate, and the trade (openness) rate and FDI inflows give power to the economies of host countries. JEL classification: F21, R19, C23 Keywords: Foreign Direct Investment, the Determinants of FDI, the Developing Countries, Transition Economies, Panel Data Analysis

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