scholarly journals IMPACT OF CAPITAL INVESTMENT ON THE ECONOMIC GROWTH OF CITIES AND PROVINCES IN THE MEKONG DELTA FROM 2010 TO 2017

2020 ◽  
Vol 1 (4) ◽  
pp. 115-128
Author(s):  
Thuyen Thi Kim Nguyen ◽  
Nghi Quoc Nguyen ◽  
Phuong Hoang Nguyen
Keyword(s):  
Economic Growth ◽  
Capital Investment ◽  
Positive Impact ◽  
Mekong Delta ◽  
Private Investment ◽  
Total Output ◽  
Temporal Dimension ◽  
Significance Level ◽  
State Sector ◽  
The Impact

The study was conducted to evaluate the impact of capital investment on the economic growth of cities and provinces in the Mekong Delta. The data were collected in 13 provinces and cities in the Mekong Delta in the period of 2010-2017 and it was collected in the spatial-temporal dimension. Therefore, it is appropriate to apply the panel data regression to the research model. The research results with the significance level of 90% pointed out several outcomes. In the structure of capital sources, private investment has the strongest impact on GRDP growth, followed by the state sector investment, while the foreign investment had no impact on the total output of the Mekong Delta’s cities and provinces. Besides, the study demonstrated that trained employees aged 15 and above, tourism revenue, and fishery production are factors that have a positive impact on the economic growth of the cities and provinces in the Mekong Delta.

scholarly journals Effect of Public Investment on Private Investment and Economic Growth: Evidence From Vietnam by Economic Industries

2018 ◽  
Vol 5 (2) ◽  
pp. 95 ◽  
Author(s):  
Nguyen Thi Canh ◽  
Nguyen Anh Phong
Keyword(s):  
Economic Growth ◽  
Capital Stock ◽  
Positive Impact ◽  
Public Investment ◽  
Private Investment ◽  
Private Capital ◽  
Short Term ◽  
State Sector ◽  
The Impact

This study is to assess the impact of public investment on private investment and economic growth in Vietnam based on data from 22 economic industries over a 27-year period (1990-2016) by applying PVAR model combined with GMM. The results show that public investment and state sector investment (including public investment and state-owned enterprise investment for production and business activities) has the same positive impact economic growth in most economic industries in the long term, but state sector investment also creates more growth effects in the short term. Public investment has a cyclical impact on private capital stock (domestic private + FDI capital stock) and FDI investment; it has the effect of boosting domestic private investment, FDI investment in the short and long term. Meanwhile, state-sector investment has decreased the private capital stock in the short term, crowds out domestic private and FDI investments in the short term, and in the long term. Both public investment and state sector investment has the effect of increasing public debt in the long term. Based on these results we have some policy recommendations to increase efficiency of public investment and state sector investment.

scholarly journals The Impact of Tourism on the Local Economy in Malaysia

2018 ◽  
Vol 13 (12) ◽  
pp. 151 ◽  
Author(s):  
Chin-Hong Puah ◽  
Meng-Chang Jong ◽  
Norazirah Ayob ◽  
Shafinar Ismail
Keyword(s):  
Economic Growth ◽  
Capital Investment ◽  
Positive Impact ◽  
Economic Transformation ◽  
Tourism Industry ◽  
Local Economy ◽  
Sustainable Growth ◽  
Distributed Lag ◽  
The Government ◽  
The Impact

The local and international communities play an important role in the sustainable growth of the Malaysian tourism industry. The principle of sustainable growth in the tourism industry was proposed by the World Tourism Organization (WTO) in 1988. As the tourism industry is one of the largest and fastest growing industries in Malaysia, the government has poured considerable effort into promoting this industry consistent with the objective of the Economic Transformation Program (ETP) to transform from a resource-based economy to a service-based economy. This study aimed to test the hypothesis of tourism-led growth from Malaysia’s perspective. The tourism revenue earned by the government can be used to invest in industry to further promote economic growth in Malaysia. Hence, tourist receipts and capital investment in the tourism industry are important factors that can affect the nation’s economic growth. Utilizing Malaysian data from 1995 to 2016, the study employed the Autoregressive Distributed Lag (ARDL) approach to examine whether the tourism-led growth is valid in this study. Empirical findings indicated that both variables have a significant positive impact on economic growth and the hypothesis of tourism-led growth is accepted in Malaysia.

scholarly journals The Linkage between Public, Private Investment and Economic Growth—Evidence for the Developing ASEAN and Asian Countries

2017 ◽  
Vol 3 (4) ◽  
pp. 580 ◽  
Author(s):  
Nguyen Thi Canh, PhD. Prof. ◽  
Nguyen Anh Phong, PhD.
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Positive Impact ◽  
Public Investment ◽  
Private Investment ◽  
Public Private Partnership ◽  
Long Term Effects ◽  
Private Partnership ◽  
The Impact

<p><em>This study used a quantitative method to assess the impact of public investment on private investment and economic growth based on data from 18 developing countries over a 21-year period (1995-2015) by applying PVAR model combined with GMM. The findings show that all public investment and public-private partnership investments affect private investment as well as affect economic growth but the effects vary cyclically, by time period, and by group of countries.</em></p><p><em>For the ASEAN developing countries, public investment crowds out private investment in short term and crowds in private investment in the medium and long term, but it crowds out public-private partnership investment. For the developing countries in Asia, public investment has a positive impact on economic growth with the inverted U-shaped pattern which stimulates growth in the short and medium term, but in the long-term effects of stimulation growth tend to decrease.</em></p>

An Empirical Re-examination

2017 ◽  
Vol 9 (1) ◽  
pp. 36-48 ◽  
Author(s):  
Onyinye I. Anthony-Orji ◽  
Anthony Orji ◽  
Jonathan E. Ogbuabor ◽  
Emmanuel Nwosu
Keyword(s):  
Economic Growth ◽  
Public Expenditure ◽  
Positive Impact ◽  
Statistical Significance ◽  
Research Work ◽  
Private Investment ◽  
Capital Formation ◽  
Oil Export ◽  
The Government ◽  
The Impact

The current decline in global oil prices and the attendant economic distortions it has caused in many oil-dependent economies, such as Nigeria, have become a cause of concern to researchers and economic managers alike. This research work, therefore, investigates the impact of non-oil export (NOIL) on capital formation and economic growth in Nigeria. It adopts a classical linear macroeconomic model using aggregate data time series from 1980 to 2013. Empirical results from the estimated model show that NOIL has a positive impact on capital formation and economic growth in Nigeria, respectively. However, the level of statistical significance differs between capital formation and economic growth. The study, therefore, recommends that there is a need for diversification of the economy as this will go a long way in boosting the growth of the Nigerian economy. Furthermore, the government should create an enabling environment that will ensure the survival and functioning of the ailing industries in order to diversify the economy. Finally, the problem of infrastructural deficits (water supply, transport system, telecommunication and energy) should be tackled by massive public expenditure and private investment, as this will enhance productivity in the non-oil sectors.

scholarly journals THE IMPACT OF REMITTANCES ON ECONOMIC GROWTH IN WESTERN BALKANS – A PANEL APPROACH

2021 ◽  
Author(s):  
Predrag Trpeski ◽  
◽  
Borce Trenovski ◽  
Gunter Merdzan ◽  
Kristijan Kozeski ◽  
...  
Keyword(s):  
Economic Growth ◽  
Small Businesses ◽  
Capital Investment ◽  
Positive Impact ◽  
Solid Base ◽  
Annual Data ◽  
Western Balkans ◽  
Development Indicators ◽  
The Impact ◽  
The Relationship

The migration is one of the constitutive features of Western Balkans’ historical specificity, which significantly changed Balkan societies in the last two centuries. One crucial effect of intensive emigration is high remittances. Cross-country analyses and evidence from household surveys suggest that migration and remittances reduce poverty in the origin communities. In addition, remittances lead to increased investment in education, health, and small businesses. The diaspora can be a source of capital, investment, knowledge, and technology transfer. The inflow of remittances can contribute to the economic development of the remittance-receiving country, provided that the country can use these funds to finance investments that will enable it to produce export or investment goods to replace imports. This paper examines the impact of remittances on economic growth in the Western Balkans (North Macedonia, Serbia, Albania, Kosovo, Montenegro, and Bosnia and Herzegovina) last two decades. The relationship between economic growth, remittances, final household consumption, domestic investments, and trade is examined through a panel approach. The paper uses annual data obtained from the World Bank World Development Indicators. The results of the empirical analysis help determine the relationship between remittances and economic growth and provide a solid base for policymakers to direct remittances into productive investments. The general conclusion for the region is the need to implement policies that will strengthen the financial system to enable a more significant positive impact of remittances from migrants on economic growth.

scholarly journals Impact of Foreign Direct Investment on Economic Growth in Ethiopia

2021 ◽  
Vol 4 (10) ◽  
pp. 56
Author(s):  
Abdillahi Nedif Muse ◽  
Saidatulakmal Mohd
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Capital Investment ◽  
Positive Impact ◽  
Vector Autoregressions ◽  
Government Consumption ◽  
Long Run ◽  
The Impact

This article analyses the impact of foreign direct investment (FDI) on Ethiopia’s economic growth. For this purpose, it uses Vector Autoregressions (VARs) model for the period comprised by years 1981-2017. It finds that FDI had a significant positive impact on Ethiopia’s economic growth for both the short and long-run periods. Adequate human capital and stable macroeconomic envirornment have catalysed the contribution of FDI to economic growth. Gross fixed capital formation and government consumption exerted a negative and significant effects on economic growth during the period of interest. Moreover, the study reveals that there is no causal relationship between FDI and economic development. Ethiopia needs to open up the economy and restructure the financial sector to attract foreign multinational companies (MNC), especially in the manufacturing and agro-industry sectors. Human capital investment should be strength to absorb more foreign direct investment and transform the agricultural-based economy to a modern one. Effective budgeting system and prioritisation of government consumption will support a more rapidly growing economy.

How Does Public Debt Affect the Indian Macroeconomy? A Structural VAR Approach

2020 ◽  
Vol 14 (3) ◽  
pp. 253-284
Author(s):  
Ranjan Kumar Mohanty ◽  
Sidheswar Panda
Keyword(s):  
Economic Growth ◽  
Interest Rate ◽  
Public Debt ◽  
Positive Impact ◽  
Decomposition Analysis ◽  
Structural Var ◽  
Adverse Impact ◽  
Mixed Effect ◽  
Domestic Debt ◽  
The Impact

The study investigates the macroeconomic effects of public debt in India during 1980–2017 using a structural vector autoregression framework. The objective is to examine the impact of public debt on the interest rate, investment, inflation and economic growth in India. The results of the impulse response functions show that public debt has an adverse impact on economic growth but a positive impact on the long-term interest rate in the short run and a mixed effect (both negative and positive) on investment and inflation. We also find that domestic debt has a more adverse impact on the economy than external debt. The estimated variance decomposition analysis finds that much of the variation in selected macro variables are explained by public debt and growth in India. This study suggests that public debt especially domestic debt should be controlled and channelled productively to have a favourable impact on the economy. JEL Classification: H63, O40, C40

The nexus between financial development and energy consumption: Estimating the role of foreign direct investment, economic growth and urbanization

2021 ◽  
pp. 0958305X2110453
Author(s):  
Jaleel Ahmed ◽  
Shuja ur Rehman ◽  
Zaid Zuhaira ◽  
Shoaib Nisar
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Energy Consumption ◽  
Financial Development ◽  
Latin American ◽  
Direct Investment ◽  
Negative Impact ◽  
Positive Impact ◽  
Supply And Demand ◽  
The Impact

This study examines the impact of financial development on energy consumption for a wide array of countries. The estimators used for financial development are foreign direct investment, economic growth and urbanization. The study employed a panel data regression on 136 countries with time frame of years 1990 to 2019. The model in this study deploys system GMM technique to estimate the model. The results show that financial development has a significant negative impact on energy consumption overall. Foreign direct investment and urbanization has significant impact on energy consumption. Also, economic growth positive impact on energy consumption its mean that economic growth promotes energy consumption. When dividing further the sample into different groups of regions such as Asian, European, African, North/Latin American and Caribbean countries then mixed results related to the nexus between financial development and energy consumption with respect to economic growth, urbanization and foreign direct investment. The policymakers in these different groups of countries must balance the relationship between energy supply and demand to achieving the sustainable economic development.

scholarly journals Impacts of Monetary Policy on Commercial Banks’ Profits: The Case of Vietnam

2017 ◽  
Vol 13 (8) ◽  
pp. 32
Author(s):  
Thanh Nhan Nguyen ◽  
Ngoc Huong Vu ◽  
Ha Thu Le
Keyword(s):  
Monetary Policy ◽  
Commercial Banks ◽  
Positive Impact ◽  
Monetary Policies ◽  
Significance Level ◽  
Doing Business ◽  
Panel Data Regression ◽  
Banking Market ◽  
Data Regression ◽  
The Impact

This paper mainly concentrates on examining the impact of monetary policy on commercial banks’ profit in Vietnam by using panel data regression. In our study, the data is collected from 20 commercial banks which were doing business in Vietnam’s banking market, ranging from 2007 to 2014 in annually frequency. Monetary base (MB), discount rate (DIS) and required reserve ratio (RRR) are used as proxies for monetary policy. Profit before tax (PROFIT) is used to represent commercial banks’ performance. The results show that there is a positive relationship between banks’ profits and monetary policies. Among those chosen variables representing SBV’s monetary policy, only MB has a significant positive impact on bank’s profit at the significance level of 10%. On this premise, the study recommends that MB should be one of the variables in the center of being concerned in the SBV’s policies regarding the banking performance and stability.

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