Econometrics Commons^™

The Interaction Between Fiscal Policy And Investment In Moderating Economic Growth: Empirical Evidence From 32 Countries, Fariha Rizqiyah Febriana, Alifa Fauzia Ardania, Aminudin Ma'ruf

Jurnal Ekonomi dan Studi Pembangunan

This study analyzes the moderating role of investment in the relationship between fiscal policy and economic growth across 32 Asian countries during the period 2005-2022. Using balanced panel data and a fixed-effects regression model, this study includes an interaction term between government spending and gross capital formation and controls for inflation, population growth, and trade openness. The results show a statistically significant positive interaction between government spending and investment, reflecting a complementary crowding-in effect on economic growth. Investment itself has a positive effect on growth, while government spending, when considered separately, has a negative correlation. The moderating effect is conditional, …

Microfinance In Latin America: Sustainability, Growth, And Efficiency, Katelyn M. Hoidal

Global Tides

The subsequent research addresses the question: Within populous Latin American countries (Ecuador, Mexico, Panama, Argentina, Chile, and Peru), are microfinance institutions associated with differences in GDP and household consumption equally between 2010 and 2018? Which do they have a stronger correlation with? The essence of this question seeks to answer whether the correlation between MFIs and wealth indicators carries over to a national level or merely persists at an individual level. This research has been informed and influenced by literature and studies conducted across South Asia, Africa, and Latin America focusing on the research of Abdelkader, Naveeda, Annim, Campbell, Armendáriz, …

Renewable Energy And Economic Growth: Evidence From A Global Panel Data Analysis Of Advanced And Emerging Economies, Ryan A. Campbell

Soaring: A Journal of Undergraduate Research

This study assesses the impact of renewable energy consumption on economic growth using a global panel dataset of 136 advanced and emerging and developing economies. Drawing on classifications from the International Monetary Fund, it employs econometric modeling to analyze the long-term effects of renewable energy consumption on economic output and development, while also examining how returns differ based on a country's level of economic development. The results indicate that while renewable energy consumption initially incurs costs for all economies, emerging and developing economies generally experience more moderate returns compared to advanced economies, which ultimately realize greater economic benefits in the …

The Impact Of Technological Change On Achieving Sustainable Development: Panel Data Analysis On Emerging Countries (2004-2024), Mayar Walid Al, Ahmed Tarek Ta

Future Journal of Social Science

This study examines the impact of technological change on sustainable development in five emerging economies—Egypt, China, Brazil, India, and Turkey—over the period from 2004 to 2024 (World Bank, 2020; ITU, 2022). It seeks to understand how advancements in information and communication technologies, renewable energy, and manufacturing processes shape economic, social, and environmental sustainability (Geels et al., 2017; UNEP, 2021). Using panel data analysis, the research quantifies the relationship between technological indicators, such as ICT penetration and renewable energy adoption, and sustainable development outcomes, including GDP growth, environmental health, and social inclusion (Sadorsky, 2010; Shahbaz et al., 2016).

The findings reveal …

Essays On Spatial Econometrics Application In Study Of Conflict And Economic Activity, Ahmed Sadek Yousuf

Graduate Theses and Dissertations

Spatial interaction and the locational structure between observations as well as availability of satellite derived data has meant a richer and more exhaustive exploration of topics relevant in development topics, particularly in areas of subnational economic activity and conflict. This research leverages thus spatial econometric techniques to dynamically decompose impacts from socio-economic determinants on conflict incidence (with setting in Sub-Saharan Africa). Later I also present a statistical framework (based on extension of Henderson’s approach (2012)) to augment official income figures at district / county level with multiple satellite derived signals, with specific context given to developing countries.

In the first …

Budget Deficit And Economic Growth In Nigeria, A. D. Umaru, H. M. Aliero, M. Abubakar

Economic and Financial Review

This paper examines the relationship between budget deficit and economic growth in Nigeria, from a linear and non-linear perspective, using annual time series data from 1981 to 2019. The linear model, which involves the use of an autoregressive distributed lag (ARDL) approach, was compared with a non-linear analysis, using a threshold autoregressive (TAR) model. The ARDL analysis reveals that the growth of national output is positively driven by the persistent budget deficit in Nigeria. This was substantiated by the TAR model which indicates that though budget deficit drives economic growth in Nigeria, the positive relationship holds only if the deficit …

Financial Development And Economic Growth, Chiau-Jiun Jiang

Dissertations and Theses

This paper purposes to discuss the relationship between the financial development and economic growth. In the past, most studies related to the influence of financial development on economic growth used cross-sectional analysis or time series analysis. However, the cross-sectional analysis cannot explain the long-term trend of the time series, and the time series is unable to explain the multiple samples of the cross-section. Based on Arellano and Bond (1991), and Arellano and Bover (1995), this paper utilizes the panel data model to discuss financial development and economic growth. The results point out that bank credit in total GDP and capitalization …

Is Diamond A Resource Curse For Africa?, Karli Hamrick

Undergraduate Economic Review

This paper investigates the resource curse in diamond exporting industry in African countries. The empirical evidence about the “resource curse” is mixed in literature and almost none has been done regarding diamond. Our study aims to bridge that gap. The results suggest that diamond export is positively correlated with well-being in a group of African countries. In other words, the “resource curse” may not occur in diamond mining industry after the Kimberly Process (KP) was put in place in 2002. We argue that the KP serves as a good institution and has created good incentives for firms in the industry. …

Captive Nations: Measuring Economic Growth On Native American Reservations In California, Mahsa Ashabi

Master's Theses

A history of institutional oppression and genocide has shaped Native American communities across the United States today, reflected in large disparities of socioeconomic outcomes and infrastructure. Due to a lack of comprehensive data and macroeconomic research, alternative forms of spatial data and theories regarding human settlement are needed to develop an understanding ofthis stagnation. In our efforts to better understand growth on Native American reservations, we utilize nighttime lights data to proxy for economic output in these geographic areas, measuring the settlement characteristics ofreservations themselves and against surrounding U.S. regions. Through a series of log-log regressions that focus on Zipf’s …

An Economic Growth Analysis Of Native American Reservations In California, Mahsa Ashabi

Economics Faculty Publications

A history of institutional oppression and genocide has shaped Native American communities across the United States today, reflected in large disparities of socioeconomic outcomes and productivity. Due to a lack of comprehensive data and macroeconomic research, alternative forms of spatial data and theories regarding human settlement develop a lens of understanding of this stagnation.In our efforts to better understand growth on Native American reservations, we utilize nighttime lights data to proxy for economic output in these geographic areas, measuring the settlement characteristics of reservations themselves and against surrounding U.S. regions. Through a series of log-log regressions that focus on Zipf’s …

The Impact Of Commercial Banking Development On Economic Growth: A Principal Component Analysis Of Association Between Banking Industry And Economic Growth In Europe, Hugh L. Davis Iii

Dissertations

There are significant differences in the economic growth trajectories of Western, Central and Eastern Europe since the beginning of the democratic movements of the early 1990s. It may be observed that the more developed the region, the lower the growth rate. There are a number of explanations for this growth rate variance, e.g. cultural, resources, institutional and/or political. An explanation this research is pursuing is institutional - the correlation between banking development and economic growth. More specifically, does banking development have a greater impact on growth where economic development begins at a lower level?

Very little research has been directed …

Specification Test For Panel Data Models With Interactive Fixed Effects, Liangjun Su, Sainan Jin, Yonghui Zhang

Research Collection School Of Economics

In this paper, we propose a consistent nonparametric test for linearity in panel data models with interactive fixed effects. To construct the test statistic, we need to estimate the model under the null hypothesis of linearity and then obtain the restricted residuals. We show that after being appropriately centered and standardized, the test statistic is asymptotically normally distributed both under the null hypothesis and a sequence of Pitman local alternatives. To improve the finite sample performance, we propose a bootstrap procedure to obtain the bootstrap p-values. A small set of Monte Carlo simulations illustrates that our test performs well in …

The Resource Curse And Economic Freedom: A Bayesian Perspective, Danielle M. Roberts

CMC Senior Theses

The literature addressing the resource curse has been extensive. Many studies have put forth theories to explain the curse, but these theories are often refuted by new studies. Recently, there has been a theory that natural resource abundance leads to decreased economic freedom, which causes slower economic growth. Many of these studies have using frequentist testing to arrive at their conclusions. Although frequentist testing is widely used, there are several drawbacks. In particular, there is no way of addressing model uncertainty. Unless a study is able to incorporate every significant explanatory variable, the results will suffer from omitted variable bias. …

Influence Of Corruption, Foreign Direct Investment And Net Domestic Credit On Economic Growth, Meng Mi

Applied Economics Theses

In Asia, it is not clear whether governments can attract increased FDI by reducing corruption, or whether corruption is irrelevant to levels of GDP growth, especially if the mechanism of net domestic credit can be used to stimulate economic growth even in the absence of high levels of FDI. The purpose of this study is to examine the potentially distinct effects of both FDI and net domestic credit on economic growth, as well as the relationship between corruption and economic growth. This relationship is studied using ex post facto data from a sample of Asian countries from the years 1980-2012. …

Occupy This: The Effect Of Income Inequality On Gdp Per Capita Growth Using Panel Data In The United States From 1963 To 2009, Dylan B. Lee

CMC Senior Theses

Income inequality and its relationship to long-term GDP per capita growth has been researched for decades since the development of the Kuznet’s Curve. Theoretical and empirical research has shown mixed results including positive, negative, non-existent, or statistically insignificant relationships. Empirical research on income inequality and economic growth in the United States has also shown mixed results. In addition to using existing data, this paper uses originally-constructed Gini Coefficients from 2005 to 2009. A statistically significant negative correlation between income inequality, and both short-term growth and long-term growth is found in the analysis of this data. Finally, this paper attempts to …

Foreign Private Investment And Economic Growth In Nigeria: A Cointegrated Var And Granger Causality Analysis, F. Z. Abdullahi, S. Ladan, Haruna R. Bakari

CBN Journal of Applied Statistics (JAS)

This research uses a cointegration VAR model to study the contemporaneous long-run dynamics of the impact of Foreign Private Investment (FPI), Interest Rate (INR) and Inflation rate (IFR) on Growth Domestic Products (GDP) in Nigeria for the period January 1970 to December 2009. The Unit Root Test suggests that all the variables are integrated of order 1. The VAR model was appropriately identified using AIC information criteria and the VECM model has exactly one cointegration relation. The study further investigates the causal relationship using the Granger causality analysis of VECM which indicates a uni-directional causality relationship between GDP and FDI …

Banking Sector Credit And Economic Growth In Nigeria: An Empirical Investigation, Aniekan O. Akpansung, Sikiru J. Babalola

CBN Journal of Applied Statistics (JAS)

The paper examines the relationship between banking sector credit and economic growth in Nigeria over the period 1970-2008. The causal links between the pairs of variables of interest were established using Granger causality test while a Two-Stage Least Squares (TSLS) estimation technique was used for the regression models. The results of Granger causality test show evidence of unidirectional causal relationship from GDP to private sector credit (PSC) and from industrial production index (IND) to GDP. Estimated regression models indicate that private sector credit impacts positively on economic growth over the period of coverage in this study. However, lending (interest) rate …