scholarly journals The Relationship between Saving and Investment: The Case of Saudi Arabia

2019 ◽  
Vol 11 (11) ◽  
pp. 64
Author(s):  
Abdulelah Alrasheedy ◽  
Hamed Alaidarous
Keyword(s):  
Economic Growth ◽  
Saudi Arabia ◽  
Private Investment ◽  
Economic Policies ◽  
Policy Makers ◽  
Private Saving ◽  
Catch Up ◽  
To Come ◽  
The Impact ◽  
The Relationship

It is an attempt to investigate the relationship between saving and investment and the mechanism of the way they influence the economic growth. It is very vital to study such causality to help policy makers setting out appropriate economic policies. It is taking us too long to come up with the results because of the lack of data, and the complexity of how saving and investment defined in case of Saudi economy. The results show that there is a bidirectional granger causality between private saving and private GDP, and unidirectional causality running from private saving to private investment. However, there is an ambiguous relationship missing between investment and economic growth at both aggregate and private levels. Finally, although this study shows the directional of causality between the three considered variables, the study could not catch up the magnitude of the impact of these variables on each other.

The Impact of Defense Investment on Economic Growth in the Perspective of Time Series

2014 ◽  
Vol 5 (4) ◽  
pp. 44-58
Author(s):  
Bin Pan ◽  
Shih-Yung Wei ◽  
Xuanhua Xu ◽  
Wei-Chiang Hong
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Private Investment ◽  
Investment Risk ◽  
Demand And Supply ◽  
Economic Growth Rate ◽  
Proposed Model ◽  
Endogenous Growth Model ◽  
The Impact ◽  
The Relationship

By considering the demand and supply effects of defense investment and the uncertainty of the stochastic process of the production and defense investment, this study proposes a stochastic endogenous growth model to explore the impact of defense investment on economic growth. The results suggest that the relationship between defense investment and economic growth rate is nonlinear and obtains the optimal percentage of defense investment to maximize economic growth. Moreover, the impact of defense investment volatility on economic growth rate is subject to production and defense investment interference term's covariance and representative private investment risk preference. Finally, the empirical data are used to illustrate the applicability of the proposed model.

scholarly journals The Relationship Between Government Expenditures on Education and Economic Growth: The Case of Azerbaijan

2020 ◽  
Vol 11 (1) ◽  
pp. 195
Author(s):  
Shahriyar Mukhtarov ◽  
Ilkin Mammadov ◽  
Sugra Humbatova
Keyword(s):  
Economic Growth ◽  
Total Population ◽  
Capital Formation ◽  
Government Expenditures ◽  
Educational Investment ◽  
Concerted Effort ◽  
Policy Makers ◽  
Long Run ◽  
The Impact ◽  
The Relationship

This paper investigates the impact of government’s education expenditures, gross capital formation and total population on economic growth in Azerbaijan during 1995-2018 using the different cointegration methods, namely, ARDLBT, DOLS, and CCR. The results from cointegration methods approve presence of long-run relationship among the variables. The estimation results show that government’s expenditures on education, gross capital formation and total population have a positive and statistically significant impact on economic growth in the long-run. The paper concludes that a concerted effort should be made by policy makers to increase educational investment in order to escelate economic growth.

scholarly journals Non-Oil Revenue and Economic Growth on major net oil exporters? Evidence from Saudi Arabia

2020 ◽  
Author(s):  
Raja Almarzoqi ◽  
Assil EL MAHMAH
Keyword(s):  
Economic Growth ◽  
Saudi Arabia ◽  
Private Investment ◽  
Small Scale ◽  
Total Consumption ◽  
Oil Revenue ◽  
Negative Side Effects ◽  
The Government ◽  
The Cost ◽  
The Impact

Abstract This research paper attempts to assess the impact of the economic reforms on the fiscal policy adopted recently by the Kingdom of Saudi Arabia (KSA), which aim to increase non-oil revenues and diversify the government income away from oil. To this end, a small-scale macroeconomic model comprising several econometric equations has been estimated using the OLS method over the period 1990-2018, in order to take into account numerous channels through which macroeconomic drivers can affect economic growth for the KSA’s economy. The results show that, on one hand, increasing non-oil revenue has led to a surge in government spending, which contributed, to a lesser extent, to boost total consumption and private investment. However, this continued rise in revenue, through cutting subsidies, implementing VAT and introducing fees and taxes, has on the other hand put more pressure on the private sector and disposable income starting to weaken the investment and consumption. These measures eventually will increase the cost of living as well as the cost of labor, which contradicts the vision 2030 goals to increase the non-oil export. Our finding revealed also that enhancing non-oil revenue would probably not offset its negative side effects, if the government is still aggressive with these types of policy reforms.JEL codes: E62, O40, O53, Q48

scholarly journals Military Expenditure and Economic Growth Empirical Evidence from Malaysia

2019 ◽  
Vol 8 (2S9) ◽  
pp. 1-5
Keyword(s):  
Economic Growth ◽  
Negative Relationship ◽  
Military Expenditure ◽  
Policy Makers ◽  
Long Run ◽  
Job Opportunities ◽  
The Impact ◽  
The Relationship ◽  
Domestic Products ◽  
Defence Expenditure

The relationship between military expenditure and economic growth has attract ample interest among economists as well as policy makers. The importance of expanding defence expenditure is substantially to coincide with national security and defence. The purpose of this study is to explore the impact of military expenditure on economic growth in Malaysia. An econometrics time series analysis is employed using ARDL estimates spanning from the year 1979 to 2017. The empirical findings reveal a negative relationship between military expenditure and Gross Domestic Products (GDP). Despite the inverse relationship between defence expenditure and economic growth, Malaysia should not neglect the investment on efficient military expenditure, as it has proven that in some countries, defence expenditure promotes a long run economic growth by promoting more job opportunities, protecting the nation and thus, achieving sustainable development. It is recommended to add more variables in future study that can relate security and defence for the country like numbers of crime, and numbers of migrants and refugees. Conclusively defence and security are the important factors for the country in generating the world and public’s confidence and to captivate foreign direct investment. Hence, adequate policy making on military expenditure are utmost important to promote economic growth

Research on Relationship between Expenditure for Science & Technology Activities and Economic Growth in China

2012 ◽  
Vol 433-440 ◽  
pp. 1528-1534 ◽  
Author(s):  
Lei Zhang
Keyword(s):  
Economic Growth ◽  
Regression Model ◽  
Grey Model ◽  
National Bureau ◽  
Grey Theory ◽  
Economic Policies ◽  
Policy Makers ◽  
Research Results ◽  
Model Research ◽  
The Relationship

Based on the statistical data during the period from 1978 to 2006 released by National Bureau of Statistics of China, this paper aims to apply the compensative GM (1, N) model and regression model to simulate the relationship between the expenditure for science & technology activities and economic growth in China. In the numerical experiment, the established grey model simulates the China’s GDP values during the period from 2000 to 2006. The empirical research results reveal that the established mathematical model based on grey theory for the relationship between the expenditure for science & technology activities and economic growth has a higher precision than regression model. Research results show that this grey model established in this paper could provide valuable information to policy makers in their efforts to make technological and economic policies.

scholarly journals The Impact of Economic Growth on Unemployment Case study:  The King of Saudi Arabia during the period 1980- 2018: أثر النمو الاقتصادي على البطالة- دراسة حالة المملكة العربية السعودية خلال الفترة: 1980- 2018م

2020 ◽  
Vol 4 (6) ◽  
Author(s):  
Abbas Fouad Abbas Hasan
Keyword(s):  
Economic Growth ◽  
Saudi Arabia ◽  
Primary Source ◽  
Strong Relationship ◽  
Economic Policies ◽  
Negative Effects ◽  
Kingdom Of Saudi Arabia ◽  
Causality Test ◽  
Integration Test ◽  
The Impact

The study seeks to analyze and measure the relationship between rates of unemployment and economic growth in the Kingdom of Saudi Arabia during the period 1980- 2018 and stand on the economic measures by the authorities to address the negative effects of high unemployment rates using the correlation matrix, Granger causality test, the methodology of the Co- integration test, error correction model and Okun model. The study found that there is strong relationship between economic growth and the unemployment rate in the Kingdom of Saudi Arabia during the study period.  The study depends on the data from the Saudi Arabian Monetary Agency (SAMA)، the World Bank and other resources. One of the most important hypotheses of the study there is statistically significant relationship between economic growth and unemployment. The study recommended several recommendations one of them is: develop new economic policies to reduce dependence on oil as a primary source of revenue reducing inflation and working to increase investments, which leads to an increase in the size of the labor market. 

Globalization, Poverty, Environmental Degradation and Economic Growth Nexus: Empirical Analysis of SAARC Regions

2020 ◽  
Vol 39 (1) ◽  
Author(s):  
Adiqa Kiani ◽  
Ejaz Ullah ◽  
Khair Muhammad
Keyword(s):  
Economic Growth ◽  
Sri Lanka ◽  
Empirical Analysis ◽  
Environmental Degradation ◽  
Negative Relationship ◽  
Policy Makers ◽  
Significant Negative Relationship ◽  
The Impact

The main objective of this study is to investigate the impact of poverty, globalization, and environmental degradation on economic growth in the selected SAARC countries. This study is employed panel Autoregressive Distributive Lag (ARDL) technique for empirical analysis using selected SAARC regions including India, Pakistan, Bangladesh, Nepal and Sri Lanka over the period of 1980 to 2018. Globalization impacts economic growth positively and significantly.  In addition to this the significant negative relationship is found between population and economic growth. The results show that poverty is positively related with environmental degradation. Furthermore, the results indicate that globalization is positively and significantly associated with environmental degradation in the SAARC region. Finally, the results show that urbanization is positive and significantly associated with environmental degradation, which could be the serious concerns for the policy makers to control.

An Analytical Approach to Cruise Tourism As an Option For Development: a Case Study of the Sultanate of Oman

2020 ◽  
Vol 15 (2) ◽  
pp. 95-109
Author(s):  
Heba Aziz ◽  
Osman El-Said ◽  
Marike Bontenbal
Keyword(s):  
Capital City ◽  
Sultanate Of Oman ◽  
Policy Makers ◽  
Cruise Tourism ◽  
The Impact ◽  
The Relationship ◽  
Average Expenditure ◽  
Return Intention

The objective of this study was to measure the level of cruise tourists' satisfaction as well as the relationship between satisfaction, recommendation, return intention, and expenditure. Also, the impact of factors such as nationality, length of the visit, and age on the level of expenditure was measured. An empirical approach for data collection was followed and a total of 152 questionnaires were collected from cruise tourists visiting the capital city of Oman, Muscat, as cruise liners anchor at Sultan Qaboos Port. Results of the regression analysis supported the existence of a causal relationship between satisfaction with destination attributes, overall satisfaction, recommendation, return intention, and expenditure. It was found that the average expenditure varies according to age and length of the visit. Recommendations for policy makers were suggested on how to increase the role of cruise tourism in strengthening the economy.

scholarly journals The Relationship between Economic Growth and Pollution in Some New European Union Member States: A Dynamic Panel ARDL Approach

Energies ◽  
2021 ◽  
Vol 14 (9) ◽  
pp. 2363
Author(s):  
Mihaela Simionescu ◽  
Carmen Beatrice Păuna ◽  
Mihaela-Daniela Vornicescu Niculescu
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Ghg Emissions ◽  
Kuznets Curve ◽  
Renewable Energy Consumption ◽  
Panel Ardl ◽  
Domestic Credit ◽  
The Impact ◽  
The Relationship

Considering the necessity of achieving economic development by keeping the quality of the environment, the aim of this paper is to study the impact of economic growth on GHG emissions in a sample of Central and Eastern European (CEE) countries (V4 countries, Bulgaria and Romania) in the period of 1996–2019. In the context of dynamic ARDL panel and environmental Kuznets curve (EKC), the relationship between GHG and GDP is N-shaped. A U-shaped relationship was obtained in the renewable Kuznets curve (RKC). Energy consumption, domestic credit to the private sector, and labor productivity contribute to pollution, while renewable energy consumption reduces the GHG emissions. However, more efforts are required for promoting renewable energy in the analyzed countries.

The Impact of Rural Finance on Rural Economic Development from the Perspective of Efficiency of Discrete Differential Algorithm

2021 ◽  
Vol 7 (5) ◽  
pp. 4358-4365
Author(s):  
Mingxu Peng ◽  
Jiawen Huang
Keyword(s):  
Economic Growth ◽  
Rural Economy ◽  
Choice Model ◽  
Influence Factors ◽  
Maximum Flow ◽  
Pso Algorithm ◽  
Significant Degree ◽  
Theoretical Research ◽  
The Impact ◽  
The Relationship

Objectives: Finance is the core of the national economy. The development of modern rural economy is inseparable from financial support. The relationship between finance and economic growth has always been one of the hot topics in theoretical research and empirical analysis. Methods: Under the background of the development of Internet e-commerce, the maximum flow algorithm was based on the empirical research on the relationship between China’s financial development and economic growth. Results: Based on this, the two-element discrete choice model of Probit and Logistic for economic growth was constructed. Discrete particle swarm optimization (PSO) algorithm was used to estimate the parameters of the model. The significant degree of the influence factors was calculated. Conclusion: Finally, it was calculated that concurrent business was the decisive factor of economic growth.

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