scholarly journals Regional Stock Exchange Development and Economic Growth in the Countries of the West African Economic and Monetary Union (WAEMU)

Economies ◽  
2021 ◽  
Vol 9 (4) ◽  
pp. 181
Author(s):  
Babatounde Ifred Paterne Zonon
Keyword(s):  
Economic Growth ◽  
Monetary Union ◽  
Stock Exchange ◽  
West African ◽  
Economic And Monetary Union ◽  
The West ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Long Run ◽  
Lag Model

This study used panel data covering 27 years to investigate the causality between regional stock exchange development and economic growth in the West African Economic and Monetary Union (WAEMU) countries. We performed a homogeneous Granger non-causality with an autoregressive distributed lag model (ARDL) and Markov-switching analysis, using six indicators for the stock and financial market and six for control. The results showed a close economic relationship between WAEMU countries and causality from the regional stock exchange, which supports the supply leading hypothesis. The causality was confirmed in the short and long run, depending on the variable. The causal relationships that support the demand-driven hypothesis were recorded from the economic growth for four market measurements.

scholarly journals The impact of education tax and investment in human capital on economic growth in Nigeria

2020 ◽  
Vol 3 (2) ◽  
pp. 77-86
Author(s):  
Abubakar Aminu ◽  
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Tertiary Education ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Long Run ◽  
Lag Model ◽  
The Government ◽  
Capital Development ◽  
The Impact

This paper investigated the impact of education tax and investment in human capital on economic growth in Nigeria utilizing the Non-Linear Autoregressive Distributed Lag Model of cointegration covering the period of 25 years from 1995 to 2019. The findings reveal that education tax and investment in human capital have positive and significant effect on the growth of the Nigerian economy over the sampled period. The paper recommends that in order to boost the economy, Nigeria would need to, among other policy frameworks, provide a suitable environment for ensuring macro-economic stability through effective utilization of income from education tax that will encourage increased investment in human capital in the public sector. In addition to income from education tax, for effective and speedy economic growth and development in Nigeria, the government, beneficiaries (students/parents), employers of labor and other stakeholders in the society should share the responsibility for financing primary, secondary and tertiary education, so as to provide a solid foundation for human capital development. However, as revealed in this paper, the contribution of education tax and investment in human capital is most likely to be realized over a long-run period than in the short term. Keywords: Education Tax; Investment; Human capital; Economic growth

scholarly journals Bounds Testing Approach to Cointegration: A Re-examination of FDI and Growth in Vietnam

2013 ◽  
Vol 218 ◽  
pp. 94-113
Author(s):  
ANH PHẠM THẾ ◽  
ĐÀO NGUYỄN THỊ HỒNG
Keyword(s):  
Economic Growth ◽  
Small Sample Size ◽  
Small Sample ◽  
Adjustment Process ◽  
Bounds Testing ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Long Run ◽  
Short Run ◽  
Lag Model

This study examines the econometric and empirical evidence of both causal and long-run relationship between foreign direct investment (FDI) and economic growth in Vietnam, covering a time span of 21 years from 1991 to 2012. The recent and robust methodology of bounds testing or autoregressive distributed lag model (ARDL) approach to Cointegration is employed for the empirical analysis. This technique can capture both short-run and long-run dynamics of variables, particularly in small sample size cases. The findings indicate the existence of a Cointegration relationship between the two time series and a modest adjustment process from short-run to long-run equilibrium. Further results from Granger causality tests conducted within the error correction model confirm a bi-directional causality between economic growth and FDI over the study period.

scholarly journals The relationship between foreign direct investment, financial development and growth economic in Next-11 Countries: a PMG/ARDL estimation

Management ◽  
2021 ◽  
Vol 25 (1) ◽  
pp. 28-50
Author(s):  
Bilal Louail ◽  
Mohamed Salah Zouita
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Estimation Method ◽  
Distributed Lag ◽  
Dynamic Relationship ◽  
Distributed Lag Model ◽  
Long Run ◽  
Short Run ◽  
Lag Model ◽  
The Relationship

Summary This study investigates the relationship between FDI, economic growth and financial development in the Next 11 countries. An analysis of the results was performed accordingly on the panel data gathered from the Next 11 countries from 1985 to 2019— using the Pooled Mean Group (PMG) estimation method and the Autoregressive Distributed Lag model approach (ARDL). The results indicate an impact of both economic growth and financial development on the FDI flows to the study of countries during the period between 1985 and 2019 in the long run, while no such proof is affirmed in the short run. This study’s contribution provides a better understanding of the dynamic relationship between FDI, economic growth, and financial development by providing decision-makers to understand the nature of the dynamic association between the study variables. This study provides empirical evidence about the association between inflows of FDI, economic growth and financial development within the context of the Next-11 countries. The previous literature lacks empirical study on the relationship between variables of study for the Next-11 countries.

scholarly journals The Nexus Between Taxation, Government Expenditure and Economic Growth in South Africa. A fresh evidence from combined cointegration test

2021 ◽  
Vol 39 (3) ◽  
Author(s):  
Delani Moyo ◽  
Ahmed Samour ◽  
Turgut Tursoy
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
Government Expenditure ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Integration Test ◽  
Lag Model ◽  
The Relationship

The relationship between taxation, government expenditure and economic growth. is a widely debated issue in the literature. The aim of this research is to present a fresh evidence from the nexus of taxation, government expenditure and economic growth in for the period 1991-2018 in South Africa, using recently developed combined co-integration test. Autoregressive Distributed Lag model(ARDL) is utilized to examine coefficients between the variables in the short and long-run The newly advanced Bayer-Hacks (BH) combined co-integration approach is employed so as to verify the ARDL bounds result. The empirical results from ARDL model revealed that there is a positive and significant relationship between government expenditure and economic growth in both short and long run. In addition, the study shows that tax revenue has a significant positive relationship with the economic growth. Therefore, levels of taxation and government expenditure are favorable to the growth of economy in South Africa. The research proposed that decision makers in South Africa should pay more attention on Taxation and government expenditure policies and the gains from economic growth such as channel much of its expenditure towards the manufacturing and agricultural sectors, which have great potentials of increasing the supply of the products. Which in turn leads to reduce prices and increase in the rates of employment. This would, also make the country’s exports prices competitive.

Growth and Structural Transformation In the Waemu Countries

2019 ◽  
pp. 631-656
Author(s):  
Tchétché N’Guessan
Keyword(s):  
Economic Growth ◽  
Structural Transformation ◽  
Monetary Union ◽  
Gross National Product ◽  
Swot Analysis ◽  
West African ◽  
Economic And Monetary Union ◽  
Total Production ◽  
The West ◽  
Agricultural Employment

This chapter examines the extent to which the new economic growth that began in 2000 in the West African Economic and Monetary Union (WAEMU) has led to the structural transformation of member countries. To answer this question, four indicators of structural transformation are used: the share of final consumption in the gross national product, the share of each sector in total production, the decline of agricultural employment, and the diversification of the exports of WAEMU member countries. After discussing these indicators in greater detail, the chapter provides a background on WAEMU as well as the evolution of economic growth in member countries. It then considers the structural transformation of the WAEMU economies and presents a SWOT analysis emphasizing these economies’ principal strengths, weaknesses, and opportunities, and the threats to them. It also offers recommendations for removing obstacles to the structural transformation of the WAEMU economies.

Effects of Terms of Trade on Economic Growth of Pakistan

2017 ◽  
Vol 53 (1) ◽  
pp. 1-11 ◽  
Author(s):  
Khalil Jebran ◽  
Amjad Iqbal ◽  
Zia Ur Rehman Rao ◽  
Arshad Ali
Keyword(s):  
Economic Growth ◽  
Time Series Data ◽  
Terms Of Trade ◽  
Series Data ◽  
Economic Policies ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Long Run ◽  
Short Run ◽  
Lag Model

This paper analyzes the effect of terms of trade on economic growth of Pakistan considering annual time series data from 1980 to 2013. This study opted autoregressive distributed lag model for purpose of analyzing short- and long-run relationship. The results reveal significant negative long-run and short-run effects of terms of trade on economic growth. The analyses also indicate significant positive long-run and short-run effects of labour on economic growth. Further, capital stock is influencing positively the economic growth in long run only. We suggest that economic policies may be implemented to deteriorate terms of trade which will further enhance the economic growth of Pakistan. JEL: F13, F43

Transport Infrastructure and Economic Growth: New Evidence from Tunisia an ARDL Bounds Testing Approach

2017 ◽  
Vol 9 (2) ◽  
pp. 98-112
Author(s):  
Radhia Amairia ◽  
Bouzid Amaira
Keyword(s):  
Economic Growth ◽  
Jel Classification ◽  
Transport Infrastructure ◽  
Annual Data ◽  
Positive Contribution ◽  
Bounds Testing ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Long Run ◽  
Lag Model

The achievement of an effective infrastructure, reliable and fair, is essential for economic growth. Indeed, the transport infrastructure is essential to the prosperity of regions. To investigate the relationship between transport infrastructure and economic growth, we use the autoregressive distributed lag model (ARDL), we find that transport infrastructure is cointegrated with economic performance, indicating the affirmed presence of long-run equilibrium relationships among them. We use annual data for the period from 1980 to 2013. The study found that the transport infrastructure and investment in transport infrastructure in Tunisia have a significant positive contribution to growth, which shows that each impact is strong and statistically significant. The Tunisian experience suggests that it is necessary to design an economic policy that will improve the transport infrastructure and to increase investment made to the sector for sustainable economic growth in Tunisia. It is necessary to improve the existing road and rail networks. JEL Classification: F63, L91, R41

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