Anatomy and Significance of Public Healthcare Expenditure and Economic Growth Nexus in India

2017 ◽  
pp. 120-144 ◽  
Author(s):  
Sovik Mukherjee
Keyword(s):  
Economic Growth ◽  
Healthcare Expenditure ◽  
Panel Cointegration ◽  
Policy Implications ◽  
Future Research ◽  
Public Healthcare ◽  
Infrastructure Development ◽  
Vector Error Correction ◽  
Health Infrastructure ◽  
Set Up

The objective of this chapter is to take a closer look at the liaison between the two focus variables viz. growth and public healthcare expenditure, and the associated implications for public health infrastructure development. Initially, a theoretical model has been proposed which brings out the link between the focus variables. Panel cointegration and causality are the techniques applied in a Vector Error Correction Mechanism (VECM) set-up using panel data from 1980-2015. Next, a health infrastructure index has been constructed using the Euclidean distance function approach for India for two time points i.e. 2005-06 and 2014-15, to evaluate the interstate performance in public healthcare infrastructure. The findings validate the existence of a cointegrated relationship between health expenditure and economic growth coupled with a bidirectional causality linking the focus variables in this model. It comes to a close by highlighting the policy implications and the future research possibilities in this regard.

Anatomy and Significance of Public Healthcare Expenditure and Economic Growth Nexus in India

2018 ◽  
pp. 122-145
Author(s):  
Sovik Mukherjee
Keyword(s):  
Economic Growth ◽  
Healthcare Expenditure ◽  
Panel Cointegration ◽  
Policy Implications ◽  
Future Research ◽  
Public Healthcare ◽  
Infrastructure Development ◽  
Vector Error Correction ◽  
Health Infrastructure ◽  
Set Up

The objective of this chapter is to take a closer look at the liaison between the two focus variables viz. growth and public healthcare expenditure, and the associated implications for public health infrastructure development. Initially, a theoretical model has been proposed which brings out the link between the focus variables. Panel cointegration and causality are the techniques applied in a Vector Error Correction Mechanism (VECM) set-up using panel data from 1980-2015. Next, a health infrastructure index has been constructed using the Euclidean distance function approach for India for two time points i.e. 2005-06 and 2014-15, to evaluate the interstate performance in public healthcare infrastructure. The findings validate the existence of a cointegrated relationship between health expenditure and economic growth coupled with a bidirectional causality linking the focus variables in this model. It comes to a close by highlighting the policy implications and the future research possibilities in this regard.

ICT infrastructure, innovation development and economic growth: a comparative evidence between two decades in OECD countries

2020 ◽  
Vol 48 (1) ◽  
pp. 141-158
Author(s):  
Meta Ayu Kurniawati
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Panel Cointegration ◽  
Oecd Countries ◽  
Policy Implications ◽  
Innovation Development ◽  
Content Type ◽  
Vector Error Correction ◽  
Information And Communication ◽  
Ict Infrastructure

PurposeThe objective of this study is to examine the causal relationship between economic growth, information and communication technology (ICT) penetration and innovation development in OECD countries.Design/methodology/approachThis study incorporates data for 24 OECD countries from 2000 to 2018, which is divided into the earliest (2000–2009) and the latest (2010–2018) periods. The econometric methodologies of this study employ panel cointegration, estimation procedures and vector error-correction modelling to investigate the potential interconnections between ICT, innovation development and economic growth.FindingsThe results from the latest period illustrate that OECD countries have achieved positive and significant economic development from high ICT penetration, while results from the earliest period show that OECD countries were just beginning to enjoy the benefits of ICT penetration. Moreover, findings show that innovation development is highly significant in the latest period when promoting economic growth.Practical implicationsThe policy implications suggest that promoting ICT infrastructure establishment and expanding the innovation development may drive the process of economic development in OECD countries.Originality/valueThis study employs mobile and Internet penetration as the development of telecommunication which is in line with the enlargement of innovation to foster economic growth in OECD countries. Comparing the evidence from two decades provides significant value for policymakers and decision-makers regarding the advantages of technology expansion and innovation development to promote economic growth in recent conditions.

Unemployment and its Impact on Economic Growth in the European Union

2015 ◽  
pp. 12-22 ◽  
Author(s):  
Murat Cetin ◽  
Davuthan Gunaydın ◽  
Hakan Cavlak ◽  
Birol Topcu
Keyword(s):  
Economic Growth ◽  
Panel Cointegration ◽  
Policy Implications ◽  
The European Union ◽  
Vector Error Correction ◽  
Long Run ◽  
Cointegration Tests ◽  
Causality Tests ◽  
Negative Effect ◽  
The Impact

Unemployment has become an increasingly serious economic and social problem in many European countries. Theoretically, unemployment has a negative effect on economic growth and development. This chapter examines the impact of unemployment on economic growth in 15 EU countries from 1984 to 2012 by using several panel data techniques. Panel unit root tests suggest that the series employed in the study are stationary at first differences. In other words, the series are integrated of order one, I(1). Panel cointegration tests show that the variables are cointegrated over the period implying a long-run relationship between the variables. Panel OLS estimations show that the impact of unemployment on economic growth is negative and statistically significant. This indicates that unemployment decreases economic growth in these countries. Finally, Granger causality tests based on vector error correction model suggest that there is a bi-directional causality between the variables in the short and long run. The findings may provide some policy implications.

PENGARUH PEMBANGUNAN INFRASTRUKTUR TERHADAP PDRB DI PROVINSI INDONESIA

Wahana ◽  
2019 ◽  
Vol 22 (1) ◽  
pp. 15-27
Author(s):  
Suripto Suripto ◽  
Eva Dwi Lestari
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Panel Data ◽  
Infrastructure Investment ◽  
Water Infrastructure ◽  
Infrastructure Development ◽  
Road Infrastructure ◽  
Health Infrastructure ◽  
Spatial Coverage ◽  
The Government

Economic growth is one indicator to measure  the success of economic development in a country. Economic development is closely related to infrastructure. Infrastructure development will have an impact on economic growth both directly and indirectly. Therefore, the role of the government in determining infrastructure development policies is very important to increase economic growth in Indonesia. The purpose of this study is to determine the effect of infrastructure on economic growth in Indonesia including road infrastructure, electricity infrastructure, investment, water infrastructure, education infrastructure and health infrastructure in Indonesia in 2015-2017.The analytical tool used in this study is panel data regression with the approach of Fixed Effect Model. The spatial coverage of this study is all provinces in Indonesia, namely 34 provinces, with a series of data from 2015 to 2017 with a total of 102 observations. The data used is secondary data obtained from BPS Indonesia.The results of the study show that (1) the road infrastructure variables have a negative and not significant effect on GDRP. (2) electrical infrastructure variables have a negative and not significant effect on GDRP. (3) investment variables have a positive and significant effect on GDRP. (4) water infrastructure variables have a positive and not significant effect on GDRP. (5) educational infrastructure variables have a positive and not significant effect on GDRP. (6) health infrastructure variables have a positive and significant effect on GDRP. Keywords: development, infrastructure, investment, GDRP, panel data

Conclusion and Recommendations

2014 ◽  
pp. 226-238
Keyword(s):  
Economic Growth ◽  
Growth Process ◽  
Financial Sector ◽  
Policy Implications ◽  
Future Research ◽  
Financial Sector Development ◽  
Research Findings ◽  
Potential Channels

This book started with a brief review of different outlooks on the role of financial sector development in the process of economic growth. Then it highlighted the fact that recent studies, particularly those originating from modern growth theory, suggest that financial intermediation affects growth through various channels. To test this proposition, an empirical model was built, data were obtained, empirical tests were carried out, and results were discussed. The final chapter in this book, therefore, summarises key research findings and discusses the potential channels through which financial sector development affects the economic growth process. The chapter further highlights contributions of this research to growth studies, discusses policy implications arising from the findings of this research, and provides directions for future research and analysis.

scholarly journals The Contribution of Sustainable Tourism to Economic Growth and Employment in Pakistan

2019 ◽  
Vol 16 (19) ◽  
pp. 3785 ◽  
Author(s):  
Faiza Manzoor ◽  
Longbao Wei ◽  
Muhammad Asif ◽  
Muhammad Zia ul Haq ◽  
Hafiz ur Rehman
Keyword(s):  
Economic Growth ◽  
South Asian ◽  
Global Economy ◽  
Tourism Industry ◽  
Policy Implications ◽  
Future Research ◽  
Asian Countries ◽  
Long Run ◽  
Augmented Dickey Fuller ◽  
The Impact

In the global economy, tourism is one of the most noticeable and growing sectors. Thissector plays an important role in boosting a nation’s economy. An increase in tourism flow canbring positive economic outcomes to the nations, especially in gross domestic product (GDP) andemployment opportunities. In South Asian countries, the tourism industry is an engine ofeconomic development and GDP growth. This study investigates the impact of tourism onPakistan’s economic growth and employment. The period under study was from 1990 to 2015. Tocheck whether the variables under study were stationary, augmented Dickey–Fuller andPhillips–Perron unit root tests were applied. A regression technique and Johansen cointegrationapproach were employed for the analysis of data. The key finding of this study shows that there isa positive and significant impact of tourism on Pakistan’s economic growth as well as employmentsector and there is also a long‐run relationship among the variables under study. This studysuggests that legislators should focus on the policies with special emphasis on the promotion oftourism due to its great potential throughout the country. Policy implications of this recent studyand future research suggestions are also mentioned.

scholarly journals Contribution of Islamic Social Capital on Green Economic Growth in Malaysia

2020 ◽  
Author(s):  
Nazrah Abdul Hamid ◽  
Ruhaini Muda ◽  
Md. Mahmudul Alam ◽  
Normah Omar ◽  
Farah Aida Ahmad Nadzri
Keyword(s):  
Economic Growth ◽  
Social Capital ◽  
Well Being ◽  
Policy Implications ◽  
Annual Data ◽  
Green Growth ◽  
Vector Error Correction ◽  
Growth Measurement ◽  
Distributed Lag ◽  
Short Run

This paper studies the relationship between social capital on the green growth in Malaysia, with the aim of ascertaining whether faith based social capital has a role in sustaining economic growth. The study utilizes the annual data over the period of 1970-2015. This study employs the Autoregressive Distributed Lag (ARDL) model and causality using the Vector Error Correction Model (VECM). The findings demonstrate the long and short-run associations between social capital and green growth in Malaysia. The causality only runs in a unidirection from social capital to the green economic growth. The findings have important policy implications for green economic growth measurement to account for social well-being and to fulfil the objectives of Islamic Sharia.

scholarly journals Energy and economic growth in G20 countries: Panel cointegration analysis

2020 ◽  
Vol 9 (2) ◽  
pp. 56 ◽  
Author(s):  
Aynur Pala
Keyword(s):  
Economic Growth ◽  
Global Warming ◽  
Energy Consumption ◽  
Energy Demand ◽  
Panel Cointegration ◽  
Cointegration Analysis ◽  
Vector Error Correction ◽  
Long Run ◽  
Equilibrium Relationship ◽  
Dynamic Ols

Rising economic performance has enlarged energy demand, carbon emissions and global warming. Policymakers need to avoid global warming. Therefore, energy-growth nexus is important. This paper empirically investigates the relationship between energy consumption and economic growth for a panel of G20 countries over the period 1990-2016. For this purpose, the paper considers the panel cointegration and panel vector error correction model. Panel cointegration test set out a long-run equilibrium relationship. Long-run relationship is estimated using a Fully Modified OLS (FMOLS) and Dynamic OLS (DOLS). The results show that causality run from energy consumption to GDP. It is indicates that “growth hypothesis” is valid for G20 countries.

scholarly journals THE EFFECT OF HEALTH INFRASTRUCTURE DEVELOPMENT, EDUCATION, AND THE NUMBER OF POPULATIONS ON ECONOMIC GROWTH IN NORTH SUMATERA PROVINCE

2020 ◽  
Vol 8 (2) ◽  
Author(s):  
Mariyatul Kubtiyah Ritonga
Keyword(s):  
Economic Growth ◽  
Secondary Data ◽  
Least Square ◽  
Infrastructure Development ◽  
Linear Regression Models ◽  
Development Education ◽  
Ordinary Least Square ◽  
Health Infrastructure ◽  
North Sumatra ◽  
Positive Effect

Economic Growth in North Sumatera priod 2000 until 2012 shows the condition that increases continuously, but the increase did not have an impact on education, health. This study aimed to analyze the influence of the health infrastructure, education infrastructure and population to economic growth in the province of North Sumatra simultaneously and partially. The data used are secondary data from BPS in North Sumatra time series from 2000 till 2012. Data analysis was performed by using OLS (Ordinary Least Square) with a multiple linear regression models estimated with the help of the program Eviews 7. The results of this study showed that simultaneous variable health infrastructure, education infrastructure and population have a significant effect on economic growth in the province North Sumatra. While partially concluded that variable infrastructure and population health positive and significant effect; educational infrastructure but not significant positive effect on economic growth in the province of North Sumatra. The results of this study also showed that the most dominant variables to economic growth in the province of North Sumatra is the total population.

The role of infrastructure on economic growth in belt and road participating countries

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mui-Yin Chin ◽  
Sheue-Li Ong ◽  
Chew-Keong Wai ◽  
Yee-Qin Kon
Keyword(s):  
Economic Growth ◽  
Capital Expenditure ◽  
Panel Cointegration ◽  
Infrastructure Development ◽  
Content Type ◽  
Long Run ◽  
Belt And Road ◽  
The Impact ◽  
Determinants Of Economic Growth

Purpose This study aims to delve deeply into the role of infrastructure on economic growth in 59 belt and road initiative (BRI) participating countries from various regions of the world as the main objective of BRI is to encourage the participating countries to improve investment and trade facilitation via infrastructure. Besides, the development of infrastructure is in line with the United Nations’ 2030 sustainable development goals (SDG). Design/methodology/approach This study encompasses all of the important physical infrastructure factors to compute a composite infrastructure index. Thereafter, this study used both the panel cointegration and the panel Granger causality tests to investigate the impact of the infrastructure index and other essential factors on economic growth. Findings The empirical results signify the importance of infrastructure development on economic growth in both the long-run and short-run. Besides, it is evident that capital, expenditure on health and education, as well as exports, will accelerate economic growth. Originality/value The findings of this study could contribute to the literature regarding BRI in two ways. First, it will provide insight to the policymakers of China and the BRI participating countries on whether infrastructure development is worthy of huge investment so as to enhance the success of the BRI. Second, the outcome of this study will give policymakers a better understanding of the determinants of economic growth, which, in turn, will help them in designing effective policies.

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