INFLATION AND UNEMPLOYMENT RELATIONSHIP: A DYNAMIC REPORT OF NIGERIA AND MEXICO IN THE PERSPECTIVE OF PHILLIPS CURVE FROM 1991-2016

2019 ◽  
Vol 10 (2) ◽  
pp. 11-30
Author(s):  
Oluwasefunmi Eunice Irewole
Keyword(s):  
Inverse Relationship ◽  
Phillips Curve ◽  
Positive Impact ◽  
Secondary Data ◽  
The World Bank ◽  
Long Run ◽  
Short Run ◽  
Simple Regression Analysis ◽  
The Government ◽  
The Relationship

This research study investigated the relationship between unemployment and inflation in Nigeria and Mexico from 1991-2016. Secondary data were used to gather data from the World Bank database, Central Bank of Nigeria and Bank of Mexico. In order to determine the set objective, OLS and simple regression analysis of the econometric model were used. The models specified inflation as function unemployment, money supply % GDP, total Gross Formation Products. Based on the above test carried out, the study finds out that: Inflation significantly has little impact on unemployment in Nigeria both in the long – run and short – run within the period under review. In Mexico, there is actually no significant relationship between unemployment and inflation because when inflation is high, unemployment in Mexico is also high. The study shows that investors have an inverse relationship with unemployment in Mexico. There is also an inverse relationship between inflation and GDP in Mexico and Nigeria. And in regard to the findings above the study recommends that the government should use discretionary policy that would reduce unemployment by boosting the level of investment and maintaining stability in the money sup-ply as it had a positive impact on Inflation in the long run. Friedman is of the view that the increase in government spending and the rate at which economy borrows, the higher the inflation.

Effects of Government Expenditure on Private Investment in Nigerian Economy (1980–2016)

2018 ◽  
Vol 4 (2) ◽  
pp. 147-156
Author(s):  
Taiwo Akinlo ◽  
Olusola Joel Oyeleke
Keyword(s):  
Interest Rate ◽  
Positive Impact ◽  
Government Expenditure ◽  
Private Investment ◽  
Correction Model ◽  
Long Run ◽  
Short Run ◽  
The Government ◽  
The Interest Rate ◽  
The Relationship

This study examined the effect of government expenditure on private investment in Nigeria during the period 1980–2016. The error correction model analysis was used in the study to analyze the relationship between the two variables. The study found that there is a long-run relationship among the variables and that the interest rate and inflation have negative but significant impact on private investment in the long run. On the other hand, government expenditure has positive but insignificant impact on private investment in the long run. In the short run, government expenditure and interest rate have a significant positive impact on private investment in Nigeria, while GDP per capita and inflation negatively impact private investment. The study concluded that there is the need for the government to increase its expenditure particularly on the provision of more infrastructural facilities as this will attract more investment from within and outside the country.

scholarly journals ANALISIS PENGARUH REMITANSI, INVESTASI ASING LANGSUNG, IMPOR DAN PERTUMBUHAN EKONOMI DI INDONESIA

2020 ◽  
Vol 2 (4) ◽  
Author(s):  
Regina Septriani Putri ◽  
Ariusni Ariusni
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Direct Investment ◽  
Time Series Data ◽  
Positive Impact ◽  
Series Data ◽  
Long Run ◽  
Short Run ◽  
The Government ◽  
Positive Effect

Abstract : This study examined and analysis the effect of remittances, foreigndirect investment, imports, and economic growth in Indonesia in the long run andshort run. This study using Error Correction Model (ECM) method and using theannual time series data from 1989 to 2018. This study found that: (1) remittancehave an insignificant positive effect on economic growth in the long run and shortrun,(2)foreign direct investment have a significant positive impact on economicgrowth in the long run and short run, (3) import have an insignificant positiveimpact on economic growth both in the long run and short run. To increase theeconomic growth in the future, this study suggests the government to decresingimports of consume goods and increasing the inflow of capital goods, rawmaterial goods, remittances and foreign direct investment.Keyword : Remittance, Foreign Direct Investment, Import, Economic Growth andECM

scholarly journals Inflation and Unemployment Trade-off: Is Phillips Curve True for African Developing Countries? Evidence from Sudan

2021 ◽  
Vol 4 (3) ◽  
Author(s):  
Omer Allagabo Omer Mustafa
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
Phillips Curve ◽  
Economic Thought ◽  
Trade Off ◽  
Long Run ◽  
Short Run ◽  
Wage Inflation ◽  
The Relationship

The relationship between wage inflation and unemployment (Phillips Curve) is controversial in economic thought, and the controversy is centered around whether there is always a trade-off or not. If this relationship is negative it is called The short-run Fillips Curve. However, in the long run, this relationship may probable not exist. The matter of how inflation and unemployment influence economic growth, is debatably among macroeconomic policymakers. This study examines the behavior of the Phillips Curve in Sudan and its effect on economic growth.

Does transportation infrastructure impact economic growth in India?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sreenu Nenavath
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Positive Impact ◽  
Transport Infrastructure ◽  
Causality Test ◽  
Content Type ◽  
Long Run ◽  
Short Run ◽  
The Government ◽  
Determinants Of Economic Growth

Purpose This paper aims to show a long run and causal association between economic growth and transport infrastructure. Design/methodology/approach In this study, the authors use ARDL models through the period 1990 – 2020 to investigate the relationship between transport infrastructure and economic growth in India. Findings The infrastructure has a positive impact on economic growth in India for the long run. Moreover, Granger causality test demonstrates a unidirectional relationship between transport infrastructure to economic development. Stimulatingly, the paper highlights the effect of air infrastructure statistically insignificant on economic growth in the long and short-run period. Originality/value The original outcome from the study delivers an inclusive depiction of determinants of economic growth from transport infrastructure in India, and these findings will help the policymakers to frame policies to improve the transport infrastructure. Hence, it is proposed that the government of Indian should focus more to upsurge the transport infrastructure for higher economic development.

On productivity differential of export composition: evidence from India

2014 ◽  
Vol 7 (1) ◽  
pp. 38-50
Author(s):  
Avijit Debnath ◽  
Niranjan Roy ◽  
Priyanka Dasgupta ◽  
Nazira Mazumder
Keyword(s):  
Positive Impact ◽  
Secondary Data ◽  
Spillover Effects ◽  
Aggregate Level ◽  
Content Type ◽  
Export Sector ◽  
Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
Export Composition

Purpose – This paper aims to analyse the relationship between exports and non-export gross domestic product (GDP) in the context of Indian economy during 1988-2012. It considers export both at aggregate and disaggregated levels to examine whether export-led growth (ELG) hypothesis is sensitive to types of goods India exports. Design/methodology/approach – The OLS-based autoregressive distributed lag (ARDL) model has been employed to analyse the potential long-run equilibrium relationship. Further, the error correction model within the ARDL framework is applied to examine the short-run and long-run causal relationship between non-export GDP, export and other variables. The study is based on secondary data. Findings – The study indicates that at aggregate level, exports do not have any significant impact on output of non-export sector, and therefore, it is maintained that ELG hypothesis is not valid at aggregate level in India; when the authors disaggregate exports into merchandise and services exports, the latter has been found to have positive spillover effects on non-export sector of the economy. However, the association between merchandise export and non-export GDP is found to be statistically insignificant. When the authors further disaggregated merchandise exports, the authors observed that primary-product export has a negative association with non-export GDP, but export of manufacturing products found to have a significant positive impact on non-export GDP. Finally, export of petroleum product shows a negative long-run association with non-export GDP, but the association is statistically insignificant. Originality/value – It is not the case that India can simply increase its exports per se and be sure of witnessing economic growth, but instead it is the composition and the concentration of these exports that matters.

scholarly journals An Econometric Analysis of Inflation and Unemployment in Lebanon: A Vector Error Correction Model (VECM)

2018 ◽  
Vol 10 (2) ◽  
pp. 133
Author(s):  
Mohammad Khanssa ◽  
Wafaa Nasser ◽  
Abbas Mourad
Keyword(s):  
Phillips Curve ◽  
Vector Error Correction Model ◽  
Econometric Modeling ◽  
Correction Model ◽  
Vector Error Correction ◽  
Vector Error ◽  
Long Run ◽  
Short Run ◽  
Causality Relationship ◽  
The Relationship

This paper uses econometric modeling to test the nature of the relationship between unemployment and inflation in Lebanon throughout the period 1993-2014. It takes the Phillips curve relationship as a reference for the tests. Cointegration, Granger causality and VECM were used to test the relationship both in the short and in the long run. The study resulted in finding out that the Phillips curve relationship doesn’t hold in Lebanon in the short run and came to a conclusion that there is a one-way causality relationship in the long run from unemployment to inflation and not in the opposite direction.

scholarly journals ANALISIS PENERIMAAN RETRIBUSI PASAR DI KABUPATEN KLATEN

2017 ◽  
Vol 4 (4) ◽  
pp. 261
Author(s):  
Isnaini Kusnindar
Keyword(s):  
Economic Growth ◽  
Human Resources ◽  
Inverse Relationship ◽  
Positive Impact ◽  
Linear Regression Analysis ◽  
Secondary Data ◽  
Multiple Linear Regression Analysis ◽  
Traditional Market ◽  
Resource Data ◽  
The Relationship

This research aims to analyze the relationship and the influence of Human Resources, economic growth and potential retribution to acceptance of retribution market in the district of Klaten. The data used in this research is secondary data from Dinas Perindustrian, Perdagangan, Koperasi dan Usaha Kecil Mikro Menengah including data management market, Human Resource Data and Gross Regional Domestic Product. The population in this study is a traditional market in Klaten regency as many as 50 markets. Testing is done by using a multiple linear regression analysis. The analysis shows that the potential retribution significant and positive impact to acceptance of retribution market in the district of Klaten. While human resources and economic growth has no significant effect and has an inverse relationship the market acceptance of retribution.

scholarly journals Impact of Exchange Rate Volatility on Unemployment in Pakistan

2021 ◽  
Vol VI (II) ◽  
pp. 49-66
Author(s):  
Atiq Ur Rahman ◽  
Salyha Zulfiqar Ali Shah ◽  
Qamar uz Zaman
Keyword(s):  
Developing Countries ◽  
Exchange Rate ◽  
Exchange Rate Volatility ◽  
Stability Tests ◽  
Long Run ◽  
Short Run ◽  
The Government ◽  
The Relationship ◽  
Long Run Equilibrium

Unemployment is an alarming issue for bothdeveloped and developing countries, which sometimesvaries from region to region as well. Unemployment accompaniedwith Exchange Rate Volatility (ERV, hereafter) worsens thesituation. This paper tries to explore the relationship between ERVand unemployment and other selected factors in the case ofPakistan from 1980 to 2018. After necessary simulation, the studysupported the analyses through the autoregressive distributed lagmodel. Where, long-run coefficient reveals that ERV and exportsboth are positively affecting unemployment; whereas, import isinversely related to unemployment. Alternatively, export and GDPare inversely affecting unemployment in the short run; further,stability tests also support the relationship between the selectedvariables to achieve the long-run equilibrium. The study furthersuggests that the Government of Pakistan need to stabilizeexchange rate to control unemployment, which is 8 percent in thelong-run and 11 percent in the short run.

scholarly journals Dynamic Impact of Trade Openness on the Economic Growth in Nigeria

2019 ◽  
Vol 8 (5C) ◽  
pp. 609-616
Keyword(s):  
Economic Growth ◽  
Trade Openness ◽  
Unit Root Test ◽  
Secondary Data ◽  
Dynamic Impact ◽  
Long Run ◽  
Short Run ◽  
Private And Public ◽  
The Government ◽  
The Masses

In theory, it was conforming to the accepted standard the open economies grow faster than the closed economies, and respectable economic development level could be achieved. This paper investigates the dynamic impact of trade openness on the economic growth in Nigerian economy between 1980 - 2016 empirically. Secondary data were sourced, from the 2016 Central Bank of Nigeria Statistical Bulletin’. The tests of diagnostic conducted are: cointegration test, unit root test and error correction model. The analysis result revealed the trade openness was found to have negatively impacted on the economic growth in both the short run and long run. Based on study findings, it is recommended that since the imports of the country are more than its export; the government needs to have the present efforts to sustain the diversification of the economy to achieve economic growth led by exports. Furthermore, the collaborative effort of government with private sectors should encourage the export substitute in the nation to discourage importation and promote export of primary commodities especially the ones that have absolute advantages to the nation. Lastly, the study also recommended that the government of the country should sustain the policy of Treasury Single Account (T.S.A) so as that the loopholes will be blocked in the private and public sectors of the nation, and also to make sure there is equity in the utilization of the revenue generated internally for the masses to benefit.

scholarly journals The Moderation of Human Characteristics in the Control Mechanisms of Rumours in Social Media: The Case of Food Rumours in China

2022 ◽  
Vol 12 ◽  
Author(s):  
Sangluo Sun ◽  
Xiaowei Ge ◽  
Xiaowei Wen ◽  
Fernando Barrio ◽  
Ying Zhu ◽  
...  
Keyword(s):  
General Public ◽  
Negative Impact ◽  
Positive Impact ◽  
Control Process ◽  
Control Mechanisms ◽  
Analysis Model ◽  
Long Run ◽  
The Government ◽  
Positive Comment ◽  
The Relationship

Social networks are widely used as a fast and ubiquitous information-sharing medium. The mass spread of food rumours has seriously invaded public’s healthy life and impacted food production. It can be argued that the government, companies, and the media have the responsibility to send true anti-rumour messages to reduce panic, and the risks involved in different forms of communication to the public have not been properly assessed. The manuscript develops an empirical analysis model from 683 food anti-rumour cases and 7,967 data of the users with top comments to test the influence of the strength of rumour/anti-rumour on rumour control. Furthermore, dividing the users into three categories, Leaders, Chatters, and General Public, and study the influence of human characteristics on the relationship between the strength of rumour/anti-rumour and rumour control by considering the different human characteristics as moderator variables. The results showed that anti-rumours have a significant positive impact on the control of rumours; the ambiguity of rumours has a significant negative impact on the Positive Comment Index (PCI) in rumour control. Further, the Leaders increased the overall level of PCI, but negatively adjusted the relationship between evidence and PCI; the Chatters and the General Public reduced the overall level of PCI, and Chatters weakened the relationship between the specific type of anti-rumour form and PCI while the General Public enhanced the relationship between the specific type of anti-rumour form and PCI. In the long run, the role of Leaders needs to be further improved, and the importance of the General Public is growing in the food rumour control process.

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