Is Indonesia’s growth rate balance-of payments-constrained? A time-varying estimation approach

2021 ◽  
pp. 111-127
Author(s):  
Jesus Felipe ◽  
Matteo Lanzafame ◽  
Gemma Estrada
Keyword(s):  
Growth Rate ◽  
Balance Of Payments ◽  
Time Varying

scholarly journals International Trade and Economic Misery in African Countries with Low Human Development

2021 ◽  
Vol 2 (4) ◽  
pp. 212-243
Author(s):  
Uchechukwu C. Nwogwugwu ◽  
Collins C. Umeghalu
Keyword(s):  
Growth Rate ◽  
International Trade ◽  
Exchange Rate ◽  
Trade Agreements ◽  
Balance Of Payments ◽  
Total Export ◽  
Manufacture Export ◽  
African Countries ◽  
Gdp Growth Rate ◽  
Per Capita

Puzzled by the demeaning level of poverty most African countries continue to grapple with despite their extensive participation in international trade, the study attempts to examine the encumbrances that tend to impede African countries from optimally reaping the developmental gains inherent in partaking in international trade, which seems to also worsen the economic misery the inhabitants endlessly contend with. The System Generalized Method of Moments (System-GMM) estimation technique was used in the study which involves 17 African countries and spans from 1995 - 2018. While misery index is used to measure economic misery, the impact of international trade on economic misery is captured by means of its effect via economic misery, economic growth rate, balance of payment, total export, manufacture export and exchange rate. The results of the study reveal that balance of payments, total export, manufacture export, per capita GDP growth rate, exchange rate and lagged form of economic misery all have positive effect on economic misery. While the effects of total export, manufacture export, per capita GDP growth rate, and exchange rate on economic misery are significant, those of balance of payments and lagged form of economic misery are insignificant. While the study recommends that international trade be engaged strategically such that it results in favourable balance of payments, it also encourages the discarding of obsolete trade policies such as outright bans on importation of certain commodities. Bilateral trade agreements are recommended over multilateral trade agreements, since they are more mutually beneficial and binding on the parties involved

Chapter I. The Home Economy

1987 ◽  
Vol 121 ◽  
pp. 6-20
Keyword(s):  
Growth Rate ◽  
Current Account ◽  
Peak Level ◽  
Balance Of Payments ◽  
Capacity Utilisation ◽  
The Uk ◽  
First Time ◽  
The Current Account

For the first time in more than a decade the question is being asked whether the growth of the UK economy this year may be, in some sense, too rapid. Fears have been expressed of ‘overheating’ leading to a rise in inflation and excessive growth in imports. Comparisons have been made with the ‘boom’ conditions of 1972 and 1973. In our view these fears are exaggerated and the comparisons misleading. Nevertheless some increase in the rate of inflation is to be expected, and the underlying position on the current account of the balance of payments seems already to have moved from surplus into deficit. We now expect the rate of the economy this year to be around 3½ per cent, compared with about 3 per cent in 1986. Thus, if we are correct, the acceleration year on year is very slight, well within the error margins of measurement. This contrasts with 1972 and 1973 when the growth rate averaged 4½ per cent for two years. Moreover unemployment was only about 1 million at the beginning of 1972 and about 1/2 million at the end of 1973 whilst last year it at over 3 million and is not expected to fall as low as 2½ million even next year. Even if inflation next year does rise from about 3½ per cent a year to about 5 per cent, as we expect, this is still not comparable with the rates of 7½ and 9 per cent experienced in 1972 and 1973. The CBI index of capacity utilisation is now not far below its peak level in 1973, but we doubt whether an index of this kind is reliable for comparision between periods so far apart in time.

Technological progress, non-price factors competitiveness, and changes in trade income elasticities: empirical evidence from South Korea and Hong Kong

2020 ◽  
pp. 1-26
Author(s):  
Marco Flávio Cunha Resende ◽  
Vitor Leone ◽  
Daniele Almeida Raposo Torres ◽  
Simeon Coleman
Keyword(s):  
Growth Rate ◽  
Hong Kong ◽  
South Korea ◽  
Empirical Evidence ◽  
Technological Progress ◽  
Innovation System ◽  
Balance Of Payments ◽  
Income Elasticities ◽  
Long Run ◽  
Catch Up

In the balance-of-payments-constrained growth model literature, income elasticities (IEs) are considered as the crucial element determining a country's long-run growth rate. Although the extant literature accepts that technology matters for IEs magnitude, explanations linking technology and IEs magnitude are limited. In this paper, we make use of the National Innovation System (NIS) concept from the Evolutionary School to explain the channels through which the size of a country's IEs is influenced by the level of development of its NIS, which in turn is a channel through which the non-price competitiveness factors work. Additionally, we empirically test the hypothesis that the catch-up allowed by NIS developments achieved in South Korea and Hong Kong improved their IEs over the 1980–1995 period. Our empirical results suggest a link between the level of NIS development and the size of the IEs.

A performance evaluation of surplus production models with time-varying intrinsic growth in dynamic ecosystems

2019 ◽  
Vol 76 (12) ◽  
pp. 2245-2255 ◽  
Author(s):  
Geneviève M. Nesslage ◽  
Michael J. Wilberg
Keyword(s):  
Growth Rate ◽  
Time Series ◽  
Survey Data ◽  
Atlantic Menhaden ◽  
Data Sets ◽  
Time Varying ◽  
Intrinsic Growth Rate ◽  
Surplus Production ◽  
Production Models ◽  
Exploitation Rate

We conducted a simulation study to evaluate performance of surplus production models (SPMs) with a time-varying intrinsic growth rate (SPMTVr) for stocks with predation-driven changes in productivity. Data sets were simulated using an age-structured, linked, predator–prey model of Atlantic menhaden (Brevoortia tyrannus), a forage fish native to the Northwest Atlantic, and Atlantic striped bass (Morone saxatilis), its primary predator, with differing time series of fishing mortality on both predator and prey. Simulations generated test data sets for Atlantic menhaden SPMs that included either a static or time-varying intrinsic growth rate parameter. The SPMTVr largely produced more accurate, less variable estimates of exploitation rate and biomass than models with static intrinsic growth. We also applied SPMTVr to empirical Atlantic menhaden catch and survey data for 1964–2016. The SPMTVr fit the survey data well, estimated an intrinsic growth rate time series that mirrored long-term juvenile survey trends, and produced biomass and exploitation rate trends that mirrored a statistical catch-at-age model. The SPMTVr estimated dynamic, maximum sustainable yield (MSY)-based reference points that reflected changing stock productivity.

scholarly journals Estimating Time-Varying Long-Run Growth Rate of Russian GDP in the ARX Model with Oil Prices

2020 ◽  
Vol 15 (1) ◽  
pp. 40-63 ◽  
Keyword(s):  
Growth Rate ◽  
Growth Rates ◽  
Oil Prices ◽  
Likelihood Method ◽  
Time Varying ◽  
Arx Model ◽  
Long Run ◽  
Unobserved Components Model ◽  
The Impact ◽  
Trend Growth

The paper estimates the path of trend growth rates for Russian GDP based on an autoregressive model with exogenous variables and with a time-varying parameter of trend growth, which, by assumption, is described by a random walk process. In conditions of a high dependence of the Russian economy on commodity exports, terms of trade are used as a control exogenous variable for GDP dynamics. For the purpose of econometric estimation, the ARX model is presented as an unobserved components model and estimated using the maximum likelihood method with the Kalman filter applied. It is shown that in the first half of the 2000s the trend growth rate was at 4%, which can be interpreted as recovery growth after a transformational recession. The higher growth rates actually achieved during this period are explained by the intensive growth of world oil prices. Later, the potential for recovery growth was exhausted, and after the crisis of 2008 the rates of trend growth were remaining at the level of 2% per year for a long period of time. However, following the 2014 crisis, trend growth rates began to decline steadily, and had reached about 1% per year by the beginning of 2019, which can be interpreted as the impact of sanctions and geopolitical uncertainty on the economic development of the Russian Federation. The results of an econometric analysis of the model on household consumption and investment data also suggest that the trend growth rate is approximately 1% per year at present.

Sign in / Sign up

Export Citation Format

Share Document