External debt and economic growth in Nigeria

AbstractThis study investigates the debt overhang hypothesis for Pakistan in the period 1960-2007. The study examines empirically the dynamic behaviour of GDP, debt services, the employed labour force and investment using the time series concepts of unit roots, cointegration, error correlation and causality. Our findings suggest that debt-servicing has a negative impact on the productivity of both labour and capital, and that in turn has adversely affected economic growth. By severely constraining the ability of the country to service debt, this lends support to the debt-overhang hypothesis in Pakistan. The long run relation between debt services and economic growth implies that future increases in output will drain away in form of high debt service payments to lender country as external debt acts like a tax on output. More specifically, foreign creditors will benefit more from the rise in productivity than will domestic producers and labour. This suggests that domestic labour and capital are the ultimate losers from this heavy debt burden.

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C. PENGARUH UTANG LUAR NEGERI DAN EKSPOR TERHADAP PERTUMBUHAN EKONOMI (Studi pada Produk Domestik Bruto Indonesia Periode 2015-2019)

Inovasi Manajemen dan Kebijakan Publik ◽

10.54980/imkp.v4i1.116 ◽

2021 ◽

Vol 4 (1) ◽

pp. 22

Author(s):

Farah Syahri Maulidiyah

Keyword(s):

Economic Growth ◽

Time Series ◽

Regression Analysis ◽

Linear Regression Analysis ◽

Foreign Debt ◽

External Debt ◽

Multiple Linear Regression Analysis ◽

Analysis Method ◽

Indonesian Government ◽

Independent Variable

ABSTRACT The purpose of this research is to analyze the influence of exports and foreign debt which can affect Indonesia's GDP (Gross Domesty Product). The variables of this research are the foreign debt value of the Indonesian government and the value of Indonesian exports as the independent variable, and the value of Indonesia's GDP as the dependent variable. The data used are supporting data for the 2015-2019 period from the time series (time series) of Bank Indonesia and BPS. The data analysis method used multiple linear regression analysis. The results of this study are the value of the Indonesian government's foreign debt and the value of Indonesia's exports have a significant effect. Meanwhile, the results of the partial test (t-test) show that the value of foreign debt and exports of the Indonesian government greatly affects the value of Indonesia's GDP. Keywords : External Debt, Export, Economic Growth (Menggunakan template jurnal sinta 2 JESP (Jurnal Ekonomi dan Studi Pembangunan) eISSSN : 2502-7115 l pISSN : 2502-7115 Universitas Negeri Malang).

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External Debts and Economic Growth when Debt Rating Matters

Journal of International Commerce Economics and Policy ◽

10.1142/s1793993321500162 ◽

2021 ◽

Author(s):

Ly Dai Hung

Keyword(s):

Economic Growth ◽

Growth Rate ◽

Cross Section ◽

Sovereign Debt ◽

Developing Economies ◽

External Debt ◽

Fixed Effect ◽

Panel Regression ◽

Economic Growth Rate ◽

Determinants Of Economic Growth

The paper investigates the dependence pattern of economic growth on external debt supply by accounting for the safety of debts, measured by the sovereign debt rating. The method of cross-section regression is based on a sample of 145 advanced and developing economies with averaged data over the 1990–2019 period. The pattern of economic growth follows a U-shaped curve, for which the growth rate is first decreasing and then increasing on the external debt supply. A possible explanation can rely on the sovereign debt rating. For low supply of external debts, more supply of debts reduces the debt rating, which, in turn, lowers the economic growth rate. But for high enough supply of debts, more debts raise their rating, improving the growth rate. These results are robust on controlling for various determinants of economic growth and on the fixed effect panel regression.

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The Impact of Public Debt on the Economic Growth of Jordan: An Empirical Study (2000- 2015)

Accounting and Finance Research ◽

10.5430/afr.v6n2p114 ◽

2017 ◽

Vol 6 (2) ◽

pp. 114 ◽

Cited By ~ 1

Author(s):

Tawfiq Ahmad Mousa ◽

Abudallah. M. LShawareh

Keyword(s):

Economic Growth ◽

Empirical Study ◽

Regression Model ◽

Least Squares ◽

Public Debt ◽

Least Squares Method ◽

Negative Impact ◽

External Debt ◽

Using Data ◽

The Impact

In the last two decades, Jordan’s economy has been relied on public debt in order to enhance the economic growth. As such, an understanding of the dynamics between public debt and economic growth is very important in addressing the obstacles to economic growth. The study investigates the impact of public debt on economic growth using data from 2000 to 2015. The study employs least squares method and regression model to capture the impact of public debt on economic growth. The results of the analysis indicate that there is a negative impact of total public debt, especially the external debt on economic growth.

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