scholarly journals INFLATION, INFLATION UNCERTAINTY AND GROWTH IN THE IRANIAN ECONOMY: AN APPLICATION OF BGARCH-M MODEL WITH BEKK APPROACH

2013 ◽  
Vol 14 (5) ◽  
pp. 819-832 ◽  
Author(s):  
Hassan Heidari ◽  
Salih Turan Katircioglu ◽  
Sahar Bashiri
Keyword(s):  
Economic Growth ◽  
Empirical Evidence ◽  
Likelihood Method ◽  
Conditional Heteroskedasticity ◽  
Inflation Uncertainty ◽  
Quarterly Data ◽  
Log Likelihood ◽  
Autoregressive Conditional Heteroskedasticity ◽  
The Relationship ◽  
Empirical Framework

This paper investigates the relationship between inflation, economic growth and their respective uncertainties in Iran for the period of 1988–2008 by using quarterly data. We employ a Bivariate Generalized Autoregressive Conditional Heteroskedasticity-in-Mean (BGARCH-M) model to examine in a unified empirical framework all the possible interactions between inflation uncertainty and growth in Iran. The model is simultaneously estimated by using the maximum log-likelihood method with the BEKK approach. The main findings of the present study are: (1) Inflation causes inflation uncertainty, supporting the Friedman-Ball hypothesis. (2) Inflation uncertainty affects the level of economic growth, supporting the Friedman (1977) hypothesis. (3) Growth uncertainty does not affect the level of economic growth, supporting the Friedman (1968) hypothesis. (4) And finally our empirical evidence shows that growth uncertainty affects the level of inflation, supporting the Deveraux (1989) hypothesis.

scholarly journals Modeling the Impact of Inflation Uncertainty on Food Sector Growth

2020 ◽  
Author(s):  
Mohammad Reza Eslami ◽  
Ali Akbar Baghestany
Keyword(s):  
Economic Growth ◽  
Policy Decision ◽  
Macroeconomic Policies ◽  
Inflation Uncertainty ◽  
Causality Test ◽  
Agricultural Growth ◽  
Growth Variability ◽  
Augmented Dickey Fuller ◽  
The Impact ◽  
The Relationship

Background: One of the most fundamental objectives of the macroeconomic policies is to realize the relationship between economic growth and inflation. According to some monetary policy advisors, inflation reflects erosion in consumer’s purchasing power. Inflation as an important economic variable, affect the economic growth and its impact on economic growth has been proposed in various theories. Agriculture plays an important role in providing the food security in Iran. Methods: A Bivariate GARCH model was employed to investigate the relationship between inflation uncertainty and agricultural growth. Results: The Augmented Dickey Fuller and Phillips Perron tests indicated all variables were stationary. Estimated models were utilized to generate the conditional variances of inflation and agriculture growth as proxies of inflation and growth variability. During the entire period 1990-2012, Bivariate Granger Causality test indicated that inflation uncertainty was the cause of growth in agriculture. This finding was in line with the hypothesis presented by (Logue and Sweeney, 1981). Conclusion: Due to the causality relation of inflation uncertainty and growth in agriculture, macro policy decision-makers are recommended to consider the price policies for improving agricultural production.

scholarly journals The Impact of Public Expenditure on Economic Growth: A Review of International Literature

2019 ◽  
Vol 19 (2) ◽  
pp. 81-101
Author(s):  
Sheilla Nyasha ◽  
Nicholas M. Odhiambo
Keyword(s):  
Economic Growth ◽  
Empirical Evidence ◽  
Government Spending ◽  
Public Expenditure ◽  
Negative Impact ◽  
Positive Impact ◽  
Government Expenditure ◽  
Empirical Literature ◽  
The Impact ◽  
The Relationship

Abstract Research background: Although a number of studies have been conducted on the relationship between public expenditure and economic growth, it is difficult to tell with certainty whether or not an increase in public expenditure is good for economic growth. This lack of consensus on the results of the previous empirical findings makes this study of paramount importance as we take stock of the available empirical evidence from the 1980s to date. Purpose: In this paper, theoretical and empirical literature on the relationship between government expenditure and economic growth has been reviewed in detail. Focus was placed on the review of literature that assessed the impact of government spending on economic growth. Research Methodology: This study grouped studies on the impact of public expenditure on economic growth based on their results. Three groups emerged – positive impact, negative impact and no impact. This was followed by a review of each relevant study and an evaluation of which outcome was more prevalent among the existing studies on the subject. Results: The literature reviewed has shown that the impact of government spending on economic growth is not clear cut. It varies from positive to negative; with some studies even finding no impact. Although the impact of government spending on economic growth was found to be inconclusive, the scale tilts towards a positive impact. Novelty: The study provides an insight into the relationship between public expenditure and economic growth based on a comprehensive review of previous empirical evidence across various countries since the 1980s.

scholarly journals RELATIONSHIP BETWEEN POLLUTION AND ECONOMIC GROWTH IN CHINA: EMPIRICAL EVIDENCE FROM 111 CITIES

2015 ◽  
Vol 9 (1) ◽  
pp. 22-31 ◽  
Author(s):  
Haitao Zheng ◽  
Wenxin Huai ◽  
Lele Huang
Keyword(s):  
Economic Growth ◽  
Environmental Pollution ◽  
Environmental Protection ◽  
Empirical Evidence ◽  
Scale Effect ◽  
Composition Effect ◽  
Planning Project ◽  
Environmental Development ◽  
Economic Relationship ◽  
The Relationship

Steady economic growth and environmental protection are two contradictory goals of top priorities in China 2016–2020 Planning Project. Cities play important role in economic and environmental development. The research on cities’ economic-pollution relationship is vital to the choices in city developing patterns. This paper investigates the relationship between economic growth and environmental pollution of 111 Chinese prefectural-level cities in the period 2004–2012 and how it might influence the choice of a city's developing pattern. These 111 cities are classified to five different clusters, one of which has particular pollution-economic relationship and some of which coordinate the EKC theory. The paper suggests that city features, scale effect and composition effect are important in the distribution of cities’ developing patterns.

E-money and Stock: Empirical Evidence from Indonesia and Thailand

2021 ◽  
Vol 10 (1) ◽  
pp. 139-148
Author(s):  
Hasdi Aimon ◽  
Sri Ulfa Sentosa ◽  
Moh. Ridha Mahatir
Keyword(s):  
Central Bank ◽  
Least Squares ◽  
Empirical Evidence ◽  
Two Stage ◽  
Quarterly Data ◽  
Indonesian Government ◽  
Technological Developments ◽  
Two Stage Least Squares ◽  
The Relationship

E-money is a type of electronic or digital payment that replaces cash payments. These technological developments will have an impact on reducing the use of cash. The use of e-money possibly affects stock, which is a form of securities. Therefore, the purpose of this study is to assess the relationship between e-money and stock. The study uses the two-stage least squares model to analyze quarterly data for 2011Q1-2019Q4. The study found no relationship between stock and e-money in Indonesia, whereas, in Thailand, there was a relationship between stock and e-money. There is no relationship between e-money and stock in Indonesia and Thailand. The study recommends the Indonesian government or central bank adopt the policies that Thailand has implemented in stock that affects e-money. Stocks can affect the use of e-money due to the profits or losses of the stock that will impact the use of e-money.JEL Classification: D53, E40How to Cite:Aimon, H., Sentosa, S. U., & Mahatir, M. R. (2021). E-money and Stock: Empirical Evidence from Indonesia and Thailand. Signifikan: Jurnal Ilmu Ekonomi, 10(1), 139-148. https://doi.org/10.15408/sjie.v10i1.15380.

An Econometric Analysis of the Links Between Income Inequality and Economic Growth

2009 ◽  
pp. 130
Author(s):  
Yohannes G. Hailu ◽  
Tesfa G. Gebremedhin ◽  
Randall W. Jackson
Keyword(s):  
Economic Growth ◽  
Income Inequality ◽  
Empirical Evidence ◽  
Growth Model ◽  
Capita Income ◽  
Regional Growth ◽  
County Level ◽  
Income Inequalities ◽  
Per Capita ◽  
The Relationship

This study investigates temporal demographic changes and income inequalities, and more importantly the relationship between income inequality and economic growth inWest Virginia. Departing from earlier studies, a regional growth model is utilized and empirically tested using county level West Virginia data (1990-2000). Results suggest that per-capita income change is positively related to population and employment changes but negatively related to income inequality. This empirical evidence indicates that higher income inequality can potentially hinder economic growth.

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