scholarly journals Symmetric and Asymmetric Impacts of Commercial Energy Distribution from Key Sources on Economic Progress in Pakistan

2021 ◽  
Vol 13 (22) ◽  
pp. 12670
Author(s):  
Abdul Rehman ◽  
Rasim Ozcan ◽  
Waqar Badshah ◽  
Magdalena Radulescu ◽  
Ilhan Ozturk
Keyword(s):  
Economic Growth ◽  
Thermal Energy ◽  
Nuclear Energy ◽  
Energy Generation ◽  
Hydroelectric Energy ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Installed Capacity

This paper aims to determine the interaction of commercial energy distribution, including the installed capacity of hydroelectric energy, hydroelectric energy generation, the installed capacity of thermal energy, thermal energy generation, the installed capacity of nuclear energy, and nuclear energy generation, with economic progress in Pakistan over the 1970–2019 period. Both linear and non-linear autoregressive distributed lag models were used to ascertain the symmetric and asymmetric short- and long-run effects. The findings from the linear autoregressive distributed lag model analysis revealed evidence that increases in the installed capacity of nuclear energy, alongside higher levels of hydroelectric energy generation and thermal energy generation, have positively affected economic growth in the short run, while a greater installed capacity of nuclear energy has positively affected economic growth in the long run. The findings from the non-linear autoregressive distributed lag model analysis showed that negative shocks to installed capacities related to hydroelectric, thermal, and nuclear energy reduced economic growth, while positive shocks to hydroelectric energy generation and the installed capacity of nuclear energy boosted economic growth in the short run. Furthermore, in the long run, negative shocks to the installed capacities of hydroelectric and thermal energy reduced economic growth, negative shocks to the installed capacity of nuclear energy enhanced economic growth, and positive shocks to hydroelectric energy generation and the installed capacity of nuclear energy have stimulated economic growth in Pakistan.

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.

scholarly journals The Relationship between Democracy and Economic Growth in Tunisia: An Application of Autoregressive Distributed Lag Model

2016 ◽  
Vol 4 (1) ◽  
pp. 137
Author(s):  
Lamia Arfaoui ◽  
Azza Ziadi ◽  
Sonia Manai
Keyword(s):  
Economic Growth ◽  
Negative Impact ◽  
Empirical Studies ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Equilibrium Relationship ◽  
Lag Model ◽  
The Relationship

This paper aims to identify the nature of the relationship between democracy and economic growth. We will answer the question: Does democracy improve economic growth? We study the case of Tunisia during the period from 1980 until 2014; this country has experienced a democratic transition after the revolution of 14 th January 2011. Our study is divided into two parts. The first part is a literature review of overview on the causality between democracy and economic growth. The second part as an application uses the Autoregressive Distributed Lag Model (ARDL). The choice of the technical SARL aimed the study of the existence of a long-run equilibrium relationship between two variables in level, a procedure co-integration has been proposed by Pesaran et al (2001). The results of different empirical studies were inconclusive. Some generated a negative impact of democracy on growth while others showed the opposite. The empirical results of our work have shown that in a nascent democracy such is the case of Tunisia; democracy has no effect on economic growth in the short term.  It is to add an observation rate of GDP during the period post -revolution generated a sawtooth trend which demonstrates the unstable economic situation in the country.

A new look at the tourism development and economic growth nexus: International evidence

2020 ◽  
pp. 135481662093848
Author(s):  
Ramzi Benkraiem ◽  
Amine Lahiani ◽  
Anthony Miloudi ◽  
Muhammad Shahbaz
Keyword(s):  
Economic Growth ◽  
Relative Weight ◽  
Tourism Development ◽  
Tourism Industry ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Lag Model ◽  
Tourism Destinations

This article tests the relationship between tourism development and economic growth in major tourism destinations in the world. The study relies on the quantile autoregressive distributed lag model. The main findings show a nonlinear cointegrating relationship between tourism development and economic growth in France, Mexico, Spain, and Italy. Indeed, in these countries, the long-run cointegrating parameter and speed of adjustment parameter differ across quantiles of economic growth distribution. They also show a nonlinear contemporaneous and lagged influence of tourism development on economic growth except in China and Germany. These differences between countries may be attributed to differences in the relative weight of the tourism industry in the overall economy of each country, whereas the differences across quantiles may be explained by the negative externalities caused by tourism growth. These findings have important policy and decision implications because tourism has differing impacts on economic growth in the short and long run in major tourism destinations. Thus, they may have new and helpful insights in planning for tourism development policies that facilitate the stimulation of economic growth.

scholarly journals Revisiting the Contribution of Islamic Banks’ Financing to Economic Growth: The Indonesian Experience

2021 ◽  
Vol 6 (1) ◽  
Author(s):  
Indri Supriani ◽  
Bayu Arie Fianto ◽  
Najim Nur Fauziah ◽  
Ryan Rahmah Maulayati
Keyword(s):  
Economic Growth ◽  
Trade Openness ◽  
Substantial Contribution ◽  
Islamic Banks ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
Lag Model

The contribution of Islamic banking towards economic growth remains debatable amongst academicians and practitioners. This study investigates the relationship between Islamic banks’ financing and economic growth in Indonesia which is the largest Muslim population country. This study adopts Autoregressive-Distributed Lag (ARDL) and utilizes time-series quarterly data from 2011Q1 to 2019Q3. The study uses four predictors: financing to deposit ratio; inflation; gross capital fixed formation; and trade openness. The results from the auto-regressive distributed lag model indicate that, in the long-run, Islamic banks' financing has a significant impact on the Indonesian economy. However, in the short-run, financing does not make a substantial contribution to Indonesian economic growth. The study’s key implication is that financing by Islamic banks still makes a limited contribution to economic growth in Indonesia. This study enhances the literature review, specifically on evaluating the contribution of Islamic banks towards economic growth. Numerous existing studies on this topic covering the crisis period data, which might suffer from data bias. Therefore, this study addresses this topic, excluding the global financial crises period such as 1998, 2008, and 2020, to demonstrate Islamic banks' evident contribution to Indonesian economic growth.

Energy efficiency cycle and the export-oriented economic growth style in China

2021 ◽  
pp. 0958305X2110453
Author(s):  
Pengfei Sheng ◽  
Haohao Wei ◽  
Chunjie Lou
Keyword(s):  
Economic Growth ◽  
Energy Efficiency ◽  
Statistical Simulation ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
Lag Model ◽  
The Relationship

Few studies addressed the relationship between the energy efficiency cycle and the export-oriented economic growth style, and our work aimed to contribute this research in the literature using China's dataset during 1985–2018. Results of the autoregressive-distributed-lag model there were two cycles in China's energy efficiency, and the first ranged from 1989 to 2002 while the second was over the period 2003–2012. Meanwhile, the estimations suggested that a 1% export increase was linked to a 0.107% increase in energy efficiency in the long run. However, the export was significantly and negatively associated with the short-run fluctuation of energy efficiency. As a result, the statistical simulation confirmed that export would raise the fluctuation range of energy efficiency.

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 The Determinants of Food Prices in Pakistan

2012 ◽  
Vol 17 (1) ◽  
pp. 101-128 ◽  
Author(s):  
Henna Ahsan ◽  
Zainab Iftikhar ◽  
M. Ali Kemal
Keyword(s):  
Active Role ◽  
Food Prices ◽  
Significant Variable ◽  
Demand And Supply ◽  
Distributed Lag ◽  
Distributed Lag Model ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
Lag Model

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.

scholarly journals Does the Export-Led Growth Hypothesis Hold for Services Exports in Emerging Economies?

2021 ◽  
Vol 14 (27) ◽  
pp. 63-75
Author(s):  
Okpeku Lilian ONOSE ◽  
◽  
Osman Nuri ARAS ◽  
Keyword(s):  
Economic Growth ◽  
Emerging Economies ◽  
Emerging Countries ◽  
Distributed Lag ◽  
Autoregressive Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
Per Capita ◽  
Positive Effect ◽  
Growth Hypothesis

The export-led growth hypothesis states a positive relationship between the growth of exports and long-run economic growth. This study examines the validity of the export-led growth hypothesis of services exports in 5 emerging economies, including Brazil, India, Nigeria, China, and South Africa (BINCS), for the period of 1980-2019. The study employs the panel mean group autoregressive distributed lag (ARDL) procedure to identify a causal relationship between services exports and gross domestic product (GDP) per capita. The findings show that the export-led growth hypothesis in services only has a positive effect on economic growth in the short run while other variables, including foreign direct investment (FDI), gross capital formation, and labour, increase economic growth in the long run. Hence, the emerging countries should focus more on internal investment to boost growth in the long and short run.

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.

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