EXAMINING THE RELATIONSHIP BETWEEN ELECTRICITY CONSUMPTION, FINANCIAL DEVELOPMENT AND ECONOMIC GROWTH IN ASEAN COUNTRIES: EVIDENCE FROM A BAYESIAN ANALYSIS

The relationship and causality direction between electricity consumption and economic growth is an important issue in the fields of energy economics and policies towards energy use. Extensive literatures has discussed the issue, but the array of findings provides anything but consensus on either the existence of relations or direction of causality between the variables. This study extends research in this area by studying the long-run and causal relations between economic growth, electricity consumption, labour and capital based on the neo-classical one sector aggregate production technology mode using data of electricity consumption and real GDP for ASEAN from the year 1983 to 2012. The analysis is conducted using advanced panel estimation approaches and found no causality in the short run while in the long-run, the results indicate that there are bidirectional relationship among variables. This study provides supplementary evidences of relationship between electricity consumption and economic growth in ASEAN.

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

African Journal of Economic and Management Studies ◽

10.1108/ajems-06-2021-0291 ◽

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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PENGARUH KORUPSI, DEMOKRASI DAN POLITIK TERHADAP KEMISKINAN DI DELAPAN NEGARA ASEAN DENGAN PERTUMBUHAN EKONOMI SEBAGAI VARIABEL MODERASI

Jurnal Kajian Ekonomi dan Pembangunan ◽

10.24036/jkep.v1i3.7711 ◽

2019 ◽

Vol 1 (3) ◽

pp. 845

Author(s):

Yolanda Yolanda

Keyword(s):

Economic Growth ◽

Time Series Data ◽

Predictor Variable ◽

Combination Method ◽

Annual Reports ◽

Series Data ◽

Transparency International ◽

Negative Effect ◽

Asean Countries ◽

The Relationship

This study aims the influence of corruption, democracy and politics on poverty in ASEAN countries with economic growth as a moderating variable. The method used is using the panel regression model. This data uses a combination method between time series data from 2013 - 2016 and a cross section consisting of 8 countries. Data obtained from World Bank annual reports, Transparency International and Freedom House. The results of this study indicate that (1) Corruption Perception Index (CPI) has a significant and negative effect on poverty, meaning that if the CPI increases then poverty will decrease (2) Democracy has no significant and negative effect on poverty. This means that if democracy increases, poverty will decrease (3) Politics has a significant and negative effect on poverty, meaning that if politics increases, poverty will decrease (4) Economic growth has a significant and positive effect on poverty, meaning if economic growth increases then poverty will decline (3) Economic growth unable to moderate the relationship between corruption, democracy and politics towards poverty in 8 ASEAN countries. Economic growth as an interaction variable is a predictor variable (Predictor Moderate Variable), which means that economic growth is only an independent variable.

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Financial development and growth in Hungary

Risk Governance and Control Financial Markets & Institutions ◽

10.22495/rgcv5i3c2art6 ◽

2015 ◽

Vol 5 (3) ◽

pp. 205-213

Author(s):

Kunofiwa Tsaurai

Keyword(s):

Economic Growth ◽

Data Analysis ◽

Trend Analysis ◽

Financial Development ◽

Case Study Approach ◽

Study Approach ◽

Clear Cut ◽

Single Study ◽

The Relationship

This study investigated the relationship between financial development and economic growth in Hungary using a case study approach. Majority of previous studies on the same or similar topic have so far used regression and or econometric methodologies to examine the nature of the relationship between financial development and economic growth. Not a single study the author is aware of used a case study approach to discuss the relationship between the two variables. It is against this background that the author decided to use the case study approach that allows the author to really deepen an understanding of the relationship between the two variables in Hungary. Apart from being narrowly focused on regression or econometric approaches, previous studies on the same or similar topic in Hungary excluded a broad range of financial development variables. The current study departs from these previous studies as it used a case study approach and taken into account a broad range of financial development variables. From the trend analysis done in section 3, it appears that the relationship between financial development and growth in Hungary during the period under study is not clear. A definite and clear cut conclusion could not be reached about the relationship between the two variables in Hungary hence the use of econometric data analysis approaches in conjuction with the case study approach is recommended.

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Empirical Study on the Relationship between Financial Development and Economic Growth in China Based on Maximum Flow Algorithm

Tobacco Regulatory Science ◽

10.18001/trs.7.5.2.12 ◽

2021 ◽

Vol 7 (5) ◽

pp. 4463-4473

Author(s):

Qiao Wang

Keyword(s):

Economic Growth ◽

Financial Development ◽

Influencing Factor ◽

Maximum Flow ◽

Theoretical Research ◽

Particle Swarm Algorithm ◽

Model Parameters ◽

Factors Affecting ◽

Flow Algorithm ◽

The Relationship

Objectives: The relationship between finance and economic growth has always been one of the hot issues in theoretical research and empirical analysis. As one of the important factors affecting economic growth, finance has long been recognized by the majority of scholars. Methods: In the context of the development of Internet e-commerce, empirical research on the relationship between China’s financial development and economic growth is conducted based on the maximum traffic algorithm. Results: Based on this, this paper constructs the Probit and Logistic binary discrete selection model for economic growth, and the discrete particle swarm algorithm is used to solve the sequence of influencing factors, estimating the model parameters, and the degree of influence of each influencing factor is calculated. Conclusion: The degree of concurrent employment is a decisive factor in economic growth.

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Financial Development and Economic Growth

Handbook of Research on Strategic Developments and Regulatory Practice in Global Finance - Advances in Finance, Accounting, and Economics ◽

10.4018/978-1-4666-7288-8.ch015 ◽

2015 ◽

pp. 233-245

Author(s):

Filiz Eryılmaz ◽

Hasan Bakır ◽

Mehmet Mercan

Keyword(s):

Economic Growth ◽

Data Analysis ◽

New Zealand ◽

Financial Development ◽

Positive Relationship ◽

Panel Data Analysis ◽

Annual Data ◽

The Subject ◽

The Relationship

The relationship between financial development and economic growth has been the subject of considerable debate in development and growth literature. Therefore this chapter provides evidence on the role of financial development in accounting for economic growth in 23 OECD countries (Italy, Japan, Luxemburg, Holland, New Zealand, Norway, Portugal, Spain, Sweden, Switzerland, England, USA, Australia, Austria, Belgium, Canada, Denmark, Finland, Turkey, France, Germany, Greece, Iceland) via panel data analysis using the annual data for the period 1980-2012. The authors find a positive relationship between financial development and economic growth for all countries. Also this result means that financial development leads economic growth in these countries. So the results may help policymakers formulate effective financial sector policies as a tool to promote economic growth.

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Financial Development and Economic Growth in ASEAN-5 Countries

Global Business Review ◽

10.1177/0972150918802684 ◽

2018 ◽

Vol 20 (1) ◽

pp. 57-71 ◽

Cited By ~ 4

Author(s):

Chinnasamy Agamudai Nambhi Malarvizhi ◽

Yashar Zeynali ◽

Abdullah Al Mamun ◽

Ghazali Bin Ahmad

Keyword(s):

Economic Growth ◽

Financial Development ◽

Economic Efficiency ◽

Capital Accumulation ◽

Physical Capital ◽

Significant Positive Effect ◽

Domestic Investment ◽

The Relationship ◽

Physical Capital Accumulation ◽

Positive Effect

This article explores the relationship between financial sector development and economic growth, using a sample of ASEAN-5 countries (Malaysia, Indonesia, Singapore, Thailand and Philippines) from 1980 to 2011. More specifically, this study investigates whether higher levels of financial development (FD) are significantly and robustly correlated with faster current and future rates of economic growth, physical capital accumulation and economic efficiency improvements. Findings of this study revealed that FD has a significant positive effect on economic growth. However, the estimated models show that the influence of FD, as a determinant for economic growth of ASEAN-5 countries, is less than that of domestic investment and export.

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