scholarly journals Analysis of FDI and Financial improvements for the Economic growth

2017 ◽  
Vol 4 (1) ◽  
pp. 29-32
Author(s):  
Nadia Bukhari ◽  
Atiq ul Rahman Malik
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Financial Development ◽  
Positive Relationship ◽  
Time Series Data ◽  
Series Data ◽  
Long Run ◽  
Short Run ◽  
Long Term Impact

This study is conducted in order to check the long run as well as short run impact of FDI and Financial Development on the economic growth. The study is conducted in the scenario of Pakistan and the time series data is taken for the year 1972-2013. ARDL methodology is used to determine whether FDI has long-term impact on Economic growth or not. Moreover, Granger Causality is used to check a uni-directional relationship and the results support that FDI has an impact over economic growth. Further, it is depicted from ARDL that there is a positive relationship between FDI and Economic Growth.

scholarly journals Financial Development and Stock Traded Contributions towards Economic Growth

2015 ◽  
Vol 2 (1) ◽  
pp. 5-8
Author(s):  
Shehper Maryam Zafar ◽  
Nadia Bukhari
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Financial Development ◽  
Positive Relationship ◽  
Time Series Data ◽  
Series Data ◽  
Long Run ◽  
Short Run ◽  
Long Term Impact

This purpose of this research is check the long run as well as short run impact of Financial Development and Stock traded on the economic growth in the scenario of Pakistan. The time series data has taken for the year 1988-2013. This paper utilized ARDL methodology to determine long-term impact of Financial Development and Stock Traded on Economic growth. Further Granger Causality Check has used to check a uni-directional relationship. The results of this test support that FD and stock traded has a uni-directional impact over economic growth. Further, it has depicted from ARDL that there is a positive relationship between FD and Economic Growth as well as Stock Traded and Economic Growth.

Does Public Debt Service Expenditure Crowd-Out Economic Growth? Empirical Evidence from an African Developing Country

2019 ◽  
Vol 64 (3) ◽  
pp. 23-38
Author(s):  
Talknice Saungweme ◽  
Nicholas M. Odhiambo
Keyword(s):  
Economic Growth ◽  
Public Debt ◽  
Time Series Data ◽  
Policy Formulation ◽  
Debt Service ◽  
Series Data ◽  
Long Run ◽  
Short Run ◽  
The Impact

Abstract This paper contributes to the ongoing debate on the impact of public debt service on economic growth; and it provides an evidence-based approach to public policy formulation in Zimbabwe. The empirical analysis was performed by applying the autoregressive distributed lag (ARDL) technique to annual time-series data from 1970 to 2017. The study findings reveal that the impact of public debt service on economic growth in Zimbabwe is negative in the short run but positive in the long run. The results are suggestive of the existence of a crowding-out effect of public debt service in Zimbabwe in the short run and a crowding-in effect in the long run. In view of these findings, the government should consider fiscal and financial policies that promote a constant supply of long-term finance, long-term fixed investments, and extension of a government securities maturity structure so as to ensure sustainable short- and long-term public debt service expenditures. The study further recommends the strengthening of non-distortionary revenue mobilisation reforms to reduce market distortions and boost domestic investment.

scholarly journals Political Stability and its Impact on Economic Growth of Pakistan (1988-2018): A Time Series Analysis

2020 ◽  
Vol 6 (1) ◽  
pp. 273-282
Author(s):  
Majid Hussain Phul ◽  
Muhammad Saleem Rahpoto ◽  
Ghulam Muhammad Mangnejo
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Time Series Data ◽  
Political Stability ◽  
Series Data ◽  
Explanatory Variables ◽  
Long Run ◽  
Short Run ◽  
The Impact ◽  
Positive Effect

This research paper empirically investigates the outcome of Political stability on economic growth (EG) of Pakistan for the period of 1988 to 2018. Political stability (PS), gross fixed capital formation (GFCF), total labor force (TLF) and Inflation (INF) are important explanatory variables. Whereas for model selection GDPr is used as the dependent variable. To check the stationary of time series data Augmented Dickey Fuller (ADF) unit root (UR) test has been used,  and whereas to find out the long run relationship among variables, OLS method has been used. The analysis the impact of PS on EG (EG) in the short run, VAR model has been used. The outcomes show that all the variables (PS, GFCF, TLF and INF) have a significantly positive effect on the EG of Pakistan in the long run period. But the effect of PS on GDP is smaller. Further, in this research we are trying to see the short run relationship between GDP and other explanatory variables. The outcomes show that PS does not have such effect on GDP in the short run analysis. While GFCF, TLF and INF have significantly positive effect on GDP of Pakistan in the short run period.

scholarly journals Nexus between Economic Growth, Tourism Revenue and Financial Development in Bangladesh: A Time Series Analysis

2019 ◽  
Vol 9 (3) ◽  
pp. 134
Author(s):  
Syeda Sumaiya Habib ◽  
Md. Shahanawaz Sharif ◽  
Mohammad Amzad Hossain
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Time Series Analysis ◽  
Financial Development ◽  
Positive Impact ◽  
Series Data ◽  
Series Analysis ◽  
Long Run ◽  
Short Run ◽  
Tourism Revenue

The main objective of this study is to analyze the nexus between economic growth, tourism revenue, and financial development in Bangladesh. This paper uses time series data from 1995 to 2016. Advance technique of time series analysis: Johansen Cointegration Approach is used to test the Cointegration among variables. Moreover, the Vector Error Correction (VECM) has been applied to study the long run and short run association among variables. The outcome of this study reveals that the tourism revenue and financial development has positive impact on economic growth in the long run. Variance decomposition and impulse response function also supports the positive association. According to the estimation of Granger Causality also reveals the unilateral direction in short run economic growth to tourism revenue. Providing more credit by financial sector to invest more on infrastructure and promoting Bangladesh as well as insuring proper security for foreign visitors would increase the revenue of this sector, which in turn stimulates economic growth of the country.

scholarly journals Do banking sector reforms cause economic growth?: Empirical evidence from Africa’s largest economy

2015 ◽  
Vol 13 (1) ◽  
pp. 553-564
Author(s):  
Andy Titus Okwu ◽  
Olusola Babatunde Falaiye ◽  
Rowland Tochukwu Obiakor ◽  
Ajibola Joseph Olusegun
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Banking Sector ◽  
Time Series Data ◽  
Series Data ◽  
Real Sector ◽  
Reform Strategies ◽  
Long Run ◽  
Short Run ◽  
And Control

This paper employed time series data on relevant empirical diagnostics to examine banking sector growth-led nexus within the context of Africa’s largest economy, Nigeria. Diagnostics established stationarity of banking sector indicators and control variables at first difference. Findings showed no causal relationships between banking sector reforms and economic growth in the short-run and that, though liberalisation in particular did not Granger-cause growth of the economy during the study period, banking sector reforms caused growth of the real sector of the Nigerian economy. Hence, the caveat was that long-run growth effects of banking sector reforms on real sectors of economies are functions of policy targets of such banking or financial sectors reform strategies. Consequently, articulation of banking and financial sectors reforms within long-run rather than short-run perspectives and complementarity of liberalisation were recommended.

scholarly journals Islamic Capital Markets and Economic Growth

2019 ◽  
Vol 6 ◽  
pp. 39-58
Author(s):  
Dr. Mohammad Ayaz ◽  
Dr.Hassan Shakeel Shah ◽  
Dr. Talat Hussain ◽  
Majid Iqbal
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Capital Markets ◽  
Quantitative Research ◽  
Time Series Data ◽  
Series Data ◽  
Policy Makers ◽  
Independent Variables ◽  
Long Run ◽  
Short Run

This research was conducted to find out whether Islamic capital markets (ICMs) have any effect on economic growth (EG). The study also made a comparison between three countries including Pakistan, Malaysia and UAE in this regard. Quantitative research technique was used in this study, where secondary and time series data was collected on a quarterly basis for the period 2009-2017. The effect of independent variables (IVs) on the dependent variable (DV) was examined. Co-integration and ARDL test were applied in Eviews 9 and Microfit 5.0. A growth model was developed for the selected countries separately in order to see whether IVs had any effect on DV. GDP was the DV of study while IMCAP, TNI and TNL were its IVs. It was found that in case of Pakistan and Malaysia, all the IVs had a significant effect on EG in the short run, while in the long run only IMCAP and TNI have a significant impact. In case of UAE, only two IVs (IMCAP and TNL) had a significant effect on EG in the short run, while in long run only one IV (IMCAP) has a significant impact. Further, it was found that IVs jointly had a significant effect on EG of the selected countries. So, this study concluded that ICMs do have a significant effect on EG of Pakistan, Malaysia and UAE. Considering the importance of ICMs in EG, regulators and policy makers are likely to benefit from the results of the current study which acts as a guide for developing and reforming the ICMs of Pakistan, Malaysia and UAE.Keywords: , , 

scholarly journals The Impact of Saving and Financial Development on Economic Growth in Turkey

2019 ◽  
Vol 11 (2) ◽  
pp. 1
Author(s):  
Hatem Hatef Abdulkadhim Altaee ◽  
Mohamed Khaled Al-Jafari
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Time Series Data ◽  
Series Data ◽  
Domestic Saving ◽  
Distributed Lag ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
The Impact

Since saving and financial development are vital to economic growth, this research empirically investigates the impact of saving and financial development on economic growth in Turkey. Therefore, a time series data from 1968 until 2017 were tested utilizing both the error correction model (ECM) and the autoregressive distributed lag approach (ARDL). The findings reveal an existence of a short-run and a long-run positive and significant effect of savings and financial development on economic growth. Conventional inputs such as capital and labor proved to be the most important factors in achieving economic growth in Turkey. The study concludes that an appropriate policy mix will enhance domestic saving in the country.

scholarly journals Pre-COVID-19 evaluation of external debt, corruption and economic growth in South Africa

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ebenezer Gbenga Olamide ◽  
Andrew Maredza
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
Time Series ◽  
Time Series Data ◽  
External Debt ◽  
Public Institutions ◽  
Series Data ◽  
Content Type ◽  
Long Run ◽  
Short Run

PurposeThis study is a pre-COVID-19 exposition of the existing situation about external debt-GDP relationship, incorporating corruption into the hypothesis, making South Africa the object of the study. The aim is to examine the causal relationship between corruption, economic growth and external debt, and in the end proffer solutions to the problems arising therefrom.Design/methodology/approachThe study employed ARDL technique on time series data running from 1990 to 2019 with real gross domestic product as the dependent variable and external debt, external debt servicing, corruption, inflation and capital formation as regressors. Necessary tests that include unit root, cointegration, CUSUM and CUSUMSq, normality, serial correlation and heteroscedasticity were performed on the model.FindingsThe study shows that corruption, inflation and external debt servicing exert negative influences on economic growth while the effect of investment on growth was positive. External debt's effect in the short run was positive while its long-run effect on growth was negative. Among other things, the need to improve and strengthen public institutions in addition to targeting tax evaders and avoiders for increased government revenue were emphasized.Originality/valueThe study incorporates corruption into the country specific debt-GDP debate as against earlier studies that excluded corruption in their time series analysis or that were cross-country based. The authors also exposit the existing knowledge of the debt-GDP hypothesis before the outbreak of COVID 19 pandemic. This is expected to serve as a precursor to subsequent studies on the rising debt of South Africa during and after the pandemic.

scholarly journals Inter-Sectorial Linkage of Economic Sectors and Their Contribution to Economic Growth: A Time Series Evidence from Ethiopia and China

2018 ◽  
Vol 5 (1) ◽  
pp. 25-32
Author(s):  
Abrham Tezera Gessesse ◽  
Zheng Xungang ◽  
He Ge
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Time Series Data ◽  
Least Square ◽  
Series Data ◽  
Economic Sectors ◽  
Long Run ◽  
Johansen Cointegration ◽  
Short Run ◽  
Johansen Cointegration Test

Purpose: The aim of this paper is to investigate the inter-sectorial linkage of economic sectors and their contribution to the economic growth using time series data from 1978-2014 and 1992-2014. Design/methodology/approach: This study employed a Johansen cointegration test and Ordinary Least Square (OLS) model. Findings: The Johansen cointegration and multiple regression results indicate that all economic sectors have strong, positive and significant long-run and short-run relationship with economic growth during the study period in both countries. The result revealed that MNF giant is an engine for Chinese economic growth while agriculture took the lion-share for Ethiopian economy. The MNF has bi-directional Granger cause with economic growth, agriculture and SRV for China, while GDP and AGR are the only bi-directional Granger causes variables for Ethiopia. Implications: Therefore, from a policy perspective, Ethiopian policymakers need to formulate agro-processing industries to ensure the transformation of the AGR to the MNF as well as maintain inter-sectorial linkage and sustain the country’s economic growth.  

scholarly journals EXAMINING THE FINANCE- GROWTH NEXUS IN CAMEROON USING COINTEGRATION APPROACH

2020 ◽  
Vol 4 (2) ◽  
Author(s):  
Achamoh Ngimanang
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Time Series Data ◽  
Relevant Literature ◽  
Empirical Relationship ◽  
Series Data ◽  
Unique Contribution ◽  
Real Gdp ◽  
Long Run ◽  
Short Run

Purpose: This study explores the empirical relationship between growth rate of real GDP and financial development using Cameroons time series data spanning from 1978 to 2017.  Methodology: After shedding light to the evolution of financial development in Cameroon and exploring some relevant literature, the study assesses the finance-growth linkages in Cameroon by specifying and estimating the long run and short run functions for financial development using cointegration and Error Correction modeling (ECM) techniques in addition to Engle and Granger causality testing.   Findings: Growth of real GDP used in this paper to capture economic growth was reported to have a positive and highly significant relationship with the variable for financial development and the relation was more significant in the short run than in the long run after controlling for other variables. Bidirectional causality was also noticed between the two set of variables. Unique contribution to theory, practice and policy: Results of this paper suggests that financial sector of Cameroon can efficiently allocate credit to the private sector as an indicator of financial development by stimulating economic activities with the aim of raising gross domestic product of the country in both short and long run. Keywords: Economic growth, financial development, cointegration, Cameroon

Sign in / Sign up

Export Citation Format

Share Document