scholarly journals International Demand for Medical Tourism in Malaysia: Evidence from Panel Data

2021 ◽  
Vol 22 (3) ◽  
pp. 1240-1255
Author(s):  
Norsiah Kadir ◽  
Sabri Nayan

The present paper attempts to investigate the significance influence of some selected economic variables on the international demand for medical tourism in Malaysia by utilizing Pooled Mean Group (PMG)/Autoregressive Distributed Lag (ARDL) model based on panel data set of ASEAN-4 countries spanning from 2001 to 2017. Findings of the study indicate that the price of medical tourism, travelling cost, real per capita income, exchange rate and health expenditure are statistically significant in influencing international demand for medical tourism in Malaysia for both long run and short run. Moreover, price of tourism in the substitute destination (Indonesia) and inflation are also statistically significant in determining international demand for medical tourism in Malaysia in the short run. The findings are in line with the economic theory. Therefore, to attract more international medical tourists, Malaysia needs to maintain it price competitiveness relative to other substitute destinations in the region, reduce the transport cost as well as improve the quality of medical services provided. Besides, private operators and market participants should influence necessary changes in medical tourism framework to ensure that services are effective and efficient. Ultimately, market players in medical tourism sector should practice Sustainable Responsible Investment (SRI) with aim to stabilize between medical tourism development and social responsibility.

2018 ◽  
Vol 37 (2) ◽  
Author(s):  
Adenuga Fabian Adekoya ◽  
Nor Azam Abdul-Razak

This study examines the link between unemployment and violence by controlling for income and security expenditure as an antidote to reduce violence in Nigeria. Violence claims many lives and properties in the country, which further increased the demand for public security as tax on the nation’s resources. Also, the increased unemployment in Nigeria, deserving urgent attention to be reduced, as literature has pointed out, causes idleness, deception, frustration and anger. The idea of criminal motivation and strain as an inducement to violence are supported by evidence. Considering the nature of the variables in this study, we tested for endogeneity by using annual data set from 1980 to 2015 before proceeding to test for the long-run and short-run relationship. The Bound Test used to test the cointegration while the Autoregressive Distributed Lag Model (ARDL) approach was used to conduct endogeneity test. ARDL Instrumental Variable is also employed to determine long-run and short-run estimates. The results showed that unemployment causes violence while income as a variable to economic growth reduces violence at the 1% level of significance. Similarly, the deterrence variable of security expenditure adversely affects violence at the 10% level of significance. Therefore, this study suggests policy to promote economic growth as the means of income-employment generation among the youth and the unemployed. Youth programs should be provided especially among the unemployed by granting credit facilities to finance their own projects and further strengthen the deterrence institutions. RESUMEN Este estudio examina el vínculo entre el desempleo y la violencia mediante el control de los ingresos y el gasto de seguridad, como un antídoto para reducir la violencia en Nigeria. La violencia se cobra muchas vidas y propiedades en el país, lo que aumenta aún más la demanda de seguridad pública, traducida como un impuesto a los recursos de la nación. Además, el aumento del desempleo en Nigeria, la cual merece una atención urgente que se reduzca ya que, la literatura señala, provoca ociosidad, engaño, frustración e ira. La idea de la motivación y la tensión delictiva como un incentivo a la violencia está respaldada por la evidencia. Teniendo en cuenta la naturaleza de las variables en este estudio, probamos la endogeneidad mediante el uso de datos anuales de 1980 a 2015, antes de proceder a la prueba de la relación de largo y corto plazo. El Bound Test se usó para probar la cointegración, mientras que el enfoque del Modelo de retardo distribuido autorregresivo (ARDL), se usó para realizar pruebas de endogeneidad. La variable instrumental de ARDL también se emplea para determinar estimaciones a largo y corto plazo. Los resultados mostraron que el desempleo causa violencia; mientras que el ingreso, como variable del crecimiento económico, reduce la violencia, al nivel de significancia del 1%. De manera similar, la variable de disuasión del gasto en seguridad afecta adversamente la violencia, al nivel de significancia del 10%. Por lo tanto, este estudio sugiere una política para promover el crecimiento económico como el medio de generación de empleo-empleo entre los jóvenes y los desempleados. El empoderamiento de la juventud debe proporcionarse especialmente entre los desempleados mediante la concesión de servicios de crédito para financiar proyectos propios y fortalecer aún más las instituciones de disuasión.


2019 ◽  
Vol IV (IV) ◽  
pp. 381-387
Author(s):  
Muhammad Awais ◽  
Nazima Ellahi ◽  
Ahmed Sher

International migrant remittances are possibly the largest source of external finance in developing countries and this inflow have has considerable importance in the development of the financial sector. The present study aimed to analyze the link between workers remittances and development of the financial sector in the context of Pakistan. To carry out this empirical analysis, the study utilized a data set of annual frequency ranging from 1980 to 2015 (post-liberalization period). The econometric methodology of Auto-Regressive Distributed Lag (ARDL) has been used to get the short-run and long-run elasticities of the model. Overall findings suggested that there is a strong positive link between the inflow of remittances and the development of the financial sector in the context of Pakistan.


Economies ◽  
2021 ◽  
Vol 9 (2) ◽  
pp. 51
Author(s):  
Lorna Katusiime

This paper examines the effects of macroeconomic policy and regulatory environment on mobile money usage. Specifically, we develop an autoregressive distributed lag model to investigate the effect of key macroeconomic variables and mobile money tax on mobile money usage in Uganda. Using monthly data spanning the period March 2009 to September 2020, we find that in the short run, mobile money usage is positively affected by inflation while financial innovation, exchange rate, interest rates and mobile money tax negatively affect mobile money usage in Uganda. In the long run, mobile money usage is positively affected by economic activity, inflation and the COVID-19 pandemic crisis while mobile money customer balances, interest rate, exchange rate, financial innovation and mobile money tax negatively affect mobile money usage.


2019 ◽  
Vol 20 (2) ◽  
pp. 279-296 ◽  
Author(s):  
Syed Tehseen Jawaid ◽  
Mohammad Haris Siddiqui ◽  
Zeeshan Atiq ◽  
Usman Azhar

This study attempts to explore first time ever the relationship between fish exports and economic growth of Pakistan by employing annual time series data for the period 1974–2013. Autoregressive distributed lag and Johansen and Juselius cointegration results confirm the existence of a positive long-run relationship among the variables. Further, the error correction model reveals that no immediate or short-run relationship exists between fish exports and economic growth. Different sensitivity analyses indicate that initial results are robust. Rolling window analysis has been applied to identify the yearly behaviour of fish exports, and it remains negative from 1979 to 1982, 1984 to 1988, 1993 to 1999, 2004 and from 2010 to 2013, and it shows positive impact from 1989 to 1992, 2000 to 2003 and from 2005 to 2009. Furthermore, the variance decomposition method and impulse response function suggest the bidirectional causal relationship between fish exports and economic growth. The findings are beneficial for policymakers in the area of export planning. This study also provides some policy implications in the final section.


2021 ◽  
Vol 14 (8) ◽  
pp. 350
Author(s):  
Odunayo Olarewaju ◽  
Thabiso Msomi

This study analyses the long- and short-term dynamics of the determinants of insurance penetration for the period 1999Q1 to 2019Q4 in 15 West African countries. The panel auto regressive distributed lag model was used on the quarterly data gathered. A cointegrating and short-run momentous connection was discovered between insurance penetration along with the independent variables, which were education, productivity, dependency, inflation and income. The error correction term’s significance and negative sign demonstrate that all variables are heading towards long-run equilibrium at a moderate speed of 56.4%. This further affirms that education, productivity, dependency, inflation and income determine insurance penetration in West Africa in the long run. In addition, the short-run causality revealed that all the pairs of regressors could jointly cause insurance penetration. The findings of this study recommend that the economy-wide policies by the government and the regulators of insurance markets in these economies should be informed by these significant factors. The restructuring of the education sector to ensure finance-related modules cut across every faculty in the higher education sector is also recommended. Furthermore, Bancassurance is also recommended to boost the easy penetration of the insurance sector using the relationship with the banking sector as a pathway.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Siphe-okuhle Fakudze ◽  
Asrat Tsegaye ◽  
Kin Sibanda

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.


2021 ◽  
pp. 001946622110352
Author(s):  
Alisha Mahajan ◽  
Kakali Majumdar

Many countries are under constant fear that environmental policies might negatively influence the international competitiveness of polluting industries. In this study, we aim to evaluate the relationship and impact of the environmental tax on comparative advantage of trade in food and food products industry, considered to be one of the highly environmentally sensitive industries. This study also investigates, whether this relationship differs among countries covered in G20, with the help of correlation analysis. We select panel autoregressive distributed lag approach for this study as it can analyse long-run as well as short-run association even when the variables are stationary at different orders of integration. Using panel data from G20 countries over the period of 21 years that is from 1994 to 2015, it is concluded that when we allow environmental taxes to interact with the revealed comparative advantage (RCA) of G20 nations, the overall impact of the environmental tax on the RCA is negative in the long period. It is therefore suggested that countries should follow Porter hypothesis to stimulate innovations resulting from strict environmental regulations that affect the environment in least possible manner. JEL Codes: C01, C23, C33, F18, O57, Q5


2018 ◽  
Vol 4 (2) ◽  
pp. 192-217 ◽  
Author(s):  
Phillip Akanni Olomola ◽  
Tolulope Temilola Osinubi

This study analyzed the macroeconomic and institutional determinants of total factor productivity (TFP) in the MINT (Mexico, Indonesia, Nigeria, and Turkey) countries during the period 1980–2014. Annual data covering the period between 1980 and 2014 were used. Data on real gross domestic product (real GDP), labor force, gross fixed capital formation, foreign direct investment (FDI), human capital, and inflation were sourced from the World Development Indicators published by the World Bank. Also, data on corruption, government stability, and law and order were obtained from the database of International Country Risk Guide. Panel autoregressive distributed lag (PARDL) regression technique was used to estimate the model. Results showed that TFP growth rate declined on average by 1.4 per cent and 1.8 per cent in Mexico and Turkey, respectively, while Indonesia and Nigeria did not experience productivity growth on the average. Results also showed that in the long run, human capital and government stability had positive and significant effects on TFP, while FDI and corruption had negative but significant effects on TFP. In the short run, there existed a significant negative relationship between TFP and inflation. However, the effects of human capital and corruption on TFP were positive and significant. The study concluded that human capital and corruption were key drivers of TFP in the MINT countries both in the long run and short run.


2019 ◽  
Vol 1 (1) ◽  
pp. 131
Author(s):  
Zul Azhar ◽  
Alpon Satrianto ◽  
Nofitasari Nofitasari

This study aims to analyze the effect of money supply M2, interest rate, government spending and local tax on the inflation in West Sumatera. This type of research is descriptive research and secondary datain the form of time-series from quartely 1 2007 to 2017 quartely 4 using the method of Autoregresive Distributed Lag analysis. The results of this study indicate that money supply in the long run have a significant and positive effect on inflation West Sumatera. In the short run  and long run the interest rate has a significant and positive effect on inflation in West Sumatera. Government spending in the Long run has a significant and negative effect on inflation in West Sumatera. Based on the result of this study can be concluded that there is inflation in West Sumatera is monetery of phenomenon in the long run. 


2012 ◽  
Vol 17 (1) ◽  
pp. 101-128 ◽  
Author(s):  
Henna Ahsan ◽  
Zainab Iftikhar ◽  
M. Ali Kemal

Controlling prices is one of the biggest tasks that macroeconomic policymakers face. The objective of this study is to analyze the demand- and supply-side factors that affect food prices in Pakistan. We analyze their long-run relationship using an autoregressive distributed lag model for the period 1970–2010. Our results indicate that that the most significant variable affecting food prices in both the long and short run is money supply. We also find that subsidies can help reduce food prices in the long run but that their impact is very small. Increases in world food prices pressurize the domestic market in the absence of imports, which cause domestic food prices to rise. If, however, we import food crops at higher international prices, this can generate imported inflation. The error correction is statistically significant and shows that market forces play an active role in restoring the long-run equilibrium.


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