scholarly journals Trade Liberalization and Economic Development: Evidence from Pakistan

2006 ◽  
Vol 11 (1) ◽  
pp. 19-34 ◽  
Author(s):  
Bushra Yasmin ◽  
Zainab Jehan ◽  
Muhammad Ali Chaudhary
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Trade Liberalization ◽  
Simultaneous Equation ◽  
Equation Model ◽  
Simultaneous Equation Model ◽  
Per Capita Gdp ◽  
Mediating Factors ◽  
The World ◽  
Per Capita

Unrestricted trade stimulates economic growth and bridges socio-economic gaps existing in different countries of the world. Pakistan has adopted trade liberalization policies since the late 1980s with the same expectations. This study has empirically analyzed how trade liberalization has affected economic development in the country. Its effects have been examined with respect to four measures of economic development: per capita GDP, income inequality, poverty and employment over the period from 1960-2003. The main analysis is based on a simultaneous equation model. Keeping in view the simultaneity of the chosen development measures, the model is estimated with the 2SLS technique of regression analysis. The analysis shows that, over the study period, trade liberalization has not affected all the chosen indicators of development uniformly. It has affected employment positively but per capita GDP and income distribution negatively. However, it has not affected poverty in any way. The obvious message is that trade liberalization has not affected all the indicators of development favorably in Pakistan. It thus implies the need of a cautious move towards liberalization. The focus of trade liberalization should be to bring about improvement in the performance of mediating factors and to focus exports on labor-intensive products.

Remittances, Economic Growth and Poverty: A Case of African OIC Member Countries

2018 ◽  
Vol 57 (2) ◽  
pp. 121-143
Author(s):  
Nasim Shah Shirazi ◽  
Sajid Amin Javed ◽  
Dawood Ashraf
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Poverty Reduction ◽  
Simultaneous Equation ◽  
Equation Model ◽  
Annual Data ◽  
Simultaneous Equation Model ◽  
African Countries ◽  
Alternative Source ◽  
The Impact

This paper investigates the impact of remittance inflows on economic growth and poverty reduction for seven African countries using annual data from 1992-2010. By using the depth of hunger as a proxy for poverty in a Simultaneous Equation Model (SEM), we find that remittances have statistically significant growth enhancing and poverty reducing impact. Drawing on our estimates, we conclude that financial development level significantly increases the remittances inflows and strengthens poverty alleviating impact of remittances. Results of our study further show a signficant interactive imapct of remittances and finacial develpment on economic growth, suggesting the substitutability between remittance inflows and financial development. We further find that 3 percentage point increase in credit provision to the private sector (financial development) can help eliminate the severe depth of hunger in the region. Remittances, serving an alternative source of private credit, can be effective in this regard. Keywords: Remittance Inflow, Poverty Alleviation, Financial Development, Simultaneous Equation Model

Remittances and Economic Growth

2020 ◽  
pp. 325-343
Author(s):  
Mustafe Pllana ◽  
Aida Tmava
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Aggregate Demand ◽  
Trade Deficit ◽  
Financial Capital ◽  
Foreign Direct Investments ◽  
Per Capita Gdp ◽  
Goods And Services ◽  
Multiplicative Effect ◽  
Per Capita

Economic growth has become an important study growth matter. By economists economic growth is defined as capital stock growth, rising per capita GDP, increased access for manufactured goods and services for consumption and so on. In economic growth affect several factors and policies. Corruption, lack of investment, inappropriate institutions, inappropriate education etc. are some of obstacles to economic development. Consumption and investment are important components of aggregate demand with multiplicative effect in development. Remittances of migrants are significant potential financial capital used for investments, reflected in economic development and social prosperity. Remittances in Kosovo since 1960 have always been increasing. Participation of remittances to GDP in Kosovo in 2010 is about 12%. Remittances are the highest contributor to the Kosovo trade deficit coverage and are higher than foreign direct investments. Remittances unfortunately for various reasons are not exploited and are not sufficiently exploited for economic development.

scholarly journals ANALISIS PENGARUH HARGA CRUDE PALM OIL (CPO) DUNIA TERHADAP NILAI TUKAR RIIL RUPIAH

2014 ◽  
Vol 16 (4) ◽  
pp. 315-338
Author(s):  
Hilda Aprina
Keyword(s):  
Exchange Rate ◽  
Real Exchange Rate ◽  
Palm Oil ◽  
Simultaneous Equation ◽  
Equation Model ◽  
Simultaneous Equation Model ◽  
Crude Palm Oil ◽  
The Real ◽  
World Price ◽  
The World

Indonesia is a biggest producer of Crude Palm Oil (CPO) in the world. Production and export volumes continued to increase from year to year. CPO products have an important role in the Indonesian economy, one of them as the country’s largest foreign exchange earner in the plantation sector. Given that Indonesia has adopted a floating exchange rate regime since 1978, the export of commodities such as palm oil will have an important influence on the real exchange rate. Therefore, this study aimed to see how much the world price of CPO influence the development of the real exchange rate of rupiah. The analytical method used is a simultaneous equation model using time series data from 1984 to 2011. The results showed that the increase in CPO price will lead to real exchange rate rupiah appreciated. Therefore, Indonesia as a major producer of CPO should be able to control the world price of crude palm oil in order to control the stability of the real exchange rate of the rupiah. Keywords : world CPO price, simultaneous equation model, the real exchange rate of rupiah.JEL Classification: E2

The interaction between economic growth in the EU and South‐East Asia

1995 ◽  
Vol 95 (2) ◽  
pp. 40-47
Author(s):  
Mokhtar M. Metwally
Keyword(s):  
Economic Growth ◽  
East Asian ◽  
Simultaneous Equation ◽  
Equation Model ◽  
South East Asia ◽  
Simultaneous Equation Model ◽  
Asian Countries ◽  
Feedback Effects ◽  
Asian Economy ◽  
The Eu

Develops and tests a simultaneous equation model to assess the effect of growth in exports to the EU on the economic development of five South‐East Asian countries. Emphasizes the role played by economic interdependence and estimates the degree of feedback effects between each Asian economy and the EU.

scholarly journals ANALISIS DANA OTONOMI KHUSUS TERHADAP HUMAN DEVELOPMENT DAN PERTUMBUHAN EKONOMI DI KABUPATEN MERAUKE

2019 ◽  
Vol 1 (2) ◽  
pp. 113-118
Author(s):  
Yuan Williamson Tamberan ◽  
Romualdus Turu Putra Maro Djanggo
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Data Collection ◽  
Human Development ◽  
Human Development Index ◽  
Simultaneous Equation ◽  
Equation Model ◽  
Simultaneous Equation Model ◽  
Development Index ◽  
Model Approach

This research aims to determine the effect of allocation of special Autonomy Fund in Education, special autonomy Fund in health education and special autonomy fund in the field of infrastructure education to economic growth directly or indirectly through the human development index in Merauke Regency. The type of data used is data time series and data collection is done by the documentation method. Data was analyzed using the simultaneous equation model approach with the help of SPSS Amos 21 software. The results showed that the special Autonomy fund variable has been positively significant to the economic growth directly, indirectly through the human development Index of Special Autonomy Fund fields Education is not significant to economic growth. Health special Autonomy fund variables and special autonomy fund infrastructure areas are directly significant to economic growth. Meanwhile, indirectly through human development index a variable of special autonomy fund in Health and Special Autonomy fund areas of infrastructure are positively significant to the economic growth Key words: Special autonomy, human development index, economic growth

scholarly journals ANALISIS DETERMINAN PERTUMBUHAN EKONOMI DAN KEMISKINAN DI SUMATERA BARAT

2019 ◽  
Vol 1 (3) ◽  
pp. 769
Author(s):  
Lili Manaulisda Fitri ◽  
Hasdi Aimon
Keyword(s):  
Economic Growth ◽  
Time Series ◽  
Cross Section ◽  
Simultaneous Equation ◽  
Equation Model ◽  
Least Square ◽  
Simultaneous Equation Model ◽  
Exogenous Variables ◽  
West Sumatra ◽  
Determinants Of Economic Growth

This study aims to explain the determinants of economic growth and poverty in West Sumatra. This study using Simultaneous Equation Model to determine the effect of exogenous variables on endogenous variable, the analysis uses Indirect Least Square (ILS) method. This study uses a data panel (cross section and time series) sourced from the Central Statistics Agency of West Sumatra. The analysis results show that labor, investment, and unemployment has a significant effect on economic growth, otherthat investment, unemployment, and education has a significant effect on poverty, and poverty has a significant effect on economic growth.

scholarly journals Analysis of Human Capital on Economic Growth and Labor Demand in Indonesia

2020 ◽  
pp. 124-130
Author(s):  
Is Sugiyanti ◽  
Bambang Juanda ◽  
Tony Irawan
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Human Capital ◽  
Significant Relationship ◽  
Labor Demand ◽  
Simultaneous Equation ◽  
Equation Model ◽  
Education Level ◽  
Simultaneous Equation Model ◽  
Educational Variables

The effect of human capital on economic growth has been an issue since the existence of endogenous growth theories that include human capital as a factor of production. Likewise with the influence of human capital on labor demand. Different results from the theory are sometimes found, especially in the case of developing countries. Research that using workers' variables by calculating the underemployment rate is still rarely conducted in Indonesia. This study uses labor data in Indonesia at the provincial level from 1996 to 2018. The labor variable used takes into account open unemployment and underemployment rates. Educational variables are used to proxy human capital. Using the simultaneous equation model, we find a significant relationship between human capital factors on economic growth and labor demand. The higher the education level of the workforce, the greater the influence donated on economic growth.

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