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A general conception is that investment induces economic growth, but there is still debate over which type of investment contributes more to economic growth. The disaggregation of investment into public and private components allows estimation of the impact of the two types of investments on economic growth. This research, therefore, empirically estimates the relationship between each investment component against economic growth by constructing panel data for Ghana and Kenya from 1991 to 2O22. The empirical strategy adopted in this study can be divided into three major stages. First, the LLC unit root test in the panel series is undertaken. Second, if integrated in the same order, a Kao co-integration test is conducted. Finally, if the series is co-integrated, the vector of cointegration in the long run is estimated using the dynamic ordinary least squares (DOLS) method. Our estimation results, based on the panel cointegration approach confirm a long-run relationship between the study variables. Further analysis shows that public investment can promote economic growth in the long run. In contrast, the results indicate that private investment can obstruct growth. The study has shown that private investment did not always increase economic growth in Ghana and Kenya. The study findings indicate that public investment is more efficiently allocated in Ghana and Kenya than private investment, suggesting the best economic strategy is for private investment to be complementary and promote higher public investment to improve public sector productivity. Therefore, policymakers should focus on creating a favourable investment climate, providing fiscal stimulus and promoting public-private partnerships to enhance infrastructure development and stimulate private -sector investment, which can sustain long-term economic growth. [ABSTRACT FROM AUTHOR]

The objective of this study was to establish the relationship between certain institutional variables and the effectiveness of fiscal decentralisation in Latin America. To fulfil this objective, we took a sample of 15 Latin American countries for the years 1996 to 2020 to estimate the logarithm of GDP per capita based on the level of fiscal decentralisation, as well as its interaction with six institutional variables plus three control variables. The results show that institutional variables always modulate the effects of fiscal decentralisation, in most cases significantly and negatively, the exceptions being accountability with a positive result and government effectiveness with a non-significant result. It was concluded that in the presence of weak regulations, political conflicts, and corruption, fiscal decentralisation can worsen social or economic circumstances in Latin America. [ABSTRACT FROM AUTHOR]

Raising economic growth is the primary concern of most of countries especially the developing and emerging economies in order to enhance the living standard of people. However, increase in economic activities increases energy demand which rise carbon dioxide emissions and leads to environmental degradation. Technological innovations might be the remedy to overcome the issue of increased carbon dioxide emission by reducing energy use, raise energy efficiency and also push economic growth activities efficiently. In this regard, this study explores the interrelationship of technological innovation, carbon dioxide emissions, and economic growth from 1985 to 2019 in 35 Belt and Road countries. The study uses ordinary least squares, two-step system generalized method of moments, two-step difference generalized method of moments, seemingly unrelated regression, and three-stage least square models for analysis. The results indicate that technological innovations increase economic growth and enhance environmental quality. Foreign direct investment also increases economic growth while degrading environmental quality. Economic growth increases technological innovation while exerting harmful effects on the quality of the environment. The impact of trade on economic growth is positive, while financial development reduces economic growth. School enrollment has a significant and positive effect and increases technological innovation, while foreign direct investment and research and development reduce it. The results also confirm that research and development expenditures significantly reduce carbon emissions and enhance environmental quality. The findings of this study have considerable policy implications for the sample countries with respect to economic growth, technological innovations, and environmental quality. [ABSTRACT FROM AUTHOR]

This study aims to analyze the effect of banking stability, exchange rates, and external debt on economic growth in BRICS countries (Brazil, Russia, India, China, and South Africa) during the period 2011-2020. The data used in this study is panel data from five BRICS countries, obtained from the International Monetary Fund (IMF) and the World Bank. The method used is a panel data regression model using the Fixed Effect method. This model makes it possible to account for the fixed effects of time as well as the fixed effects of individual states in regression analysis. The results of the analysis show that banking stability has a significant negative influence on economic growth in BRICS countries. On the other hand, exchange rates and external debt have a significant positive impact on economic growth. These findings indicate that policies that promote banking stability, prudent exchange rate management, and effective use of external debt can support sustainable economic growth in BRICS countries. The results of the analysis show that banking stability has a significant negative influence on economic growth in BRICS countries. On the other hand, exchange rates and external debt have a significant positive impact on economic growth. These findings indicate that policies that promote banking stability, prudent exchange rate management, and effective use of external debt can support sustainable economic growth in BRICS countries. [ABSTRACT FROM AUTHOR]

This study aims to investigate the impact of the banking sector on economic growth and commodity prices. Through panel data analysis, the research explores the relationship between the banking sector and economic growth in Spain, France, and Romania from 2000 to 2020. The findings reveal a positive correlation between the strength of the banking sector and economic growth across these nations, underscoring its pivotal role in fostering economic expansion and subsequently improving commodity prices. Additionally, this study evaluates various regulatory measures crucial ensuring the banking sector's sustainability and preventing financial crises, including credit risk management, lending policies, liquidity constraints, and international financing and investment strategies. By analyzing the interplay between regulatory measures and banking sector performance, incorporating variables such as non-performing loans, household debt, liquid liabilities, government consumption expenditure, foreign investments, and trade openness, this research provides policymakers with valuable insights to formulate effective strategies for promoting economic stability and ensuring the sustainability and growth of the banking sector. [ABSTRACT FROM AUTHOR]

The literature has mainly focused on analyzing the relationship of remittances with economic growth and social welfare, neglecting more complex aspects where remittances can have relevant implications. To contribute to the literature, the objective of this research is to examine the dynamic relationship between remittances, capital formation, structural transformation and economic growth in 15 Latin American countries during the period 1996–2019. To meet the objective, a panel vector autoregressive regression (PVAR) model was estimated, focusing on the analysis of the impulse-response function and variance decomposition. The results show a positive effect of remittances on economic growth and capital formation and a negative effect of remittances on structural transformation for initial periods and positive for later periods, framing a non-linear relationship. In addition, it was determined that structural transformation does not have a significant impact on economic growth. Finally, it was found that capital formation has a partial positive effect on economic growth. It is concluded that public policies should generate support mechanisms for the efficient channeling of these resources so that they become engines of growth. [ABSTRACT FROM AUTHOR]

Driven by factors such as structural economic shifts, technological breakthroughs, policy changes, and global economic transformations, China’s economic growth drivers have continuously evolved. We constructed a panel dataset encompassing 31 provinces in China from 2002 to 2021 and utilized both panel data models and panel quantile models to delve into the underlying factors driving this transition. We further investigated the varying impacts of these factors across different temporal and geographical contexts based on the stage analysis and spatial cluster analysis. The findings revealed that capital accumulation, digital economy, and technological innovation were the major drivers shaping China’s economic growth momentum transition, exhibiting significant heterogeneity across different quantile levels. Additionally, we observed heterogeneity in the influencing factors across temporal periods and regions. [ABSTRACT FROM AUTHOR]

In many ECOWAS countries, the decision-making process for public service delivery has long remained shrouded in secrecy, rendering the general public largely uninformed. Integrating information and communication technology (ICT) into public service delivery seeks to break these barriers. This study, therefore, investigates the impact of e-governance on economic growth among ECOWAS countries, with the specific objectives of examining the effect of four components of e-governance as well as other postulated determinants on economic growth. By employing annual data across 16 ECOWAS countries spanning from 2003 to 2021, using system generalised method of moment (SGMM) and panel-corrected standard error (PCSE) techniques. The results from the PCSE and SGMM estimations show that e-governance positively influences economic growth among ECOWAS countries both in the long- and short-run. Furthermore, the study identifies the significant influence of various control variables on economic growth, persisting in both short and long-run analyses, except for the labour force variable in the short run. This underlines the intrinsic correlation between e-governance and economic growth. Consequently, it becomes imperative for stakeholders within the sub-region to meticulously link investments in e-governance with measurable economic growth outcomes. By doing so, these investments can substantiate expansive initiatives in public service delivery, while simultaneously bridging the historical gap of opacity that has separated citizens from effective government management. [ABSTRACT FROM AUTHOR]

This study examined the relationship between Islamic financial inclusion and economic development in Indonesia and Iraq using panel data from 2000 to 2014. The study used variables such as GDP per capita growth, education, inflation, government consumption, trade openness, domestic credit, loans by Islamic financial institutions, the rule of law, and regulatory quality. The findings showed significant variation across countries and periods regarding economic development, education, and the adoption of Islamic finance. Correlation analysis revealed both positive and negative relationships between the variables. Panel unit root and cross-sectional dependency tests highlighted the need for advanced methods to analyze panel data. Panel co-integration tests suggested evidence of a long-term relationship between Islamic financial inclusion and economic development. The FMOLS estimators demonstrated the significance and direction of the relationships. The study provided insights into the role of Islamic financial inclusion in promoting economic development in Indonesia and Iraq, emphasizing the potential benefits of integrating Islamic finance into the financial systems of these countries. [ABSTRACT FROM AUTHOR]

Stunting is a critical issue affecting children under five years old, characterized by inadequate growth due to chronic malnutrition and recurrent infections, especially during the crucial first 1,000 days of life (from age 0 to 23 months). Stunting impacts not only height but also vital functions such as brain development and the immune system, potentially leading to decreased intelligence levels and increased susceptibility to diseases later in life. This study examines the impact of the growth of the Gross Regional Domestic Product (GRDP) in the primary, secondary, and tertiary sectors and the level of rural poverty on stunting in Indonesia. This research, which covers time series data from 2015-2020 across 32 provinces in Indonesia, employs a panel data regression model analysis method. The findings indicate that primary sector GRDP growth has a positive effect, whereas secondary sector GRDP negatively impacts stunting. However, the tertiary sector GRDP and rural poverty do not significantly affect stunting rates in Indonesia. [ABSTRACT FROM AUTHOR]

Economic growth is deemed to be a conducive factor in attracting foreign direct investment (FDI) as it often confers location advantage to host countries and fosters business confidence. This paper examines the short-run and the long-run effects of economic growth on FDI inflows. The empirical analysis is conducted through the Generalized Method of Moments (GMM) System estimator for dynamic panel models. The main results show significant positive effects of economic growth on FDI inflows, and they indicate that the magnitudes of these effects are statistically comparable over time and do not diminish with higher economic growth levels. They also reveal important variations in the magnitude of these effects across geo-economic regions and over pertinent economic variables such as economic development level, international trade and foreign investment openness, and endowment in natural resources. These findings underscore the significance of developing growth-enhancing policies that are designed on the basis of the economic and geo-economic characteristics of host countries. Such policies could be coupled with international trade and foreign investment openness directions to stimulate stronger responses of FDI inflows to economic growth and mitigate the implications of unfavorable global and regional political conditions. [ABSTRACT FROM AUTHOR]

The relationships between foreign direct investment (FDI), trade openness, and economic growth are complex and analyzed by many researchers. Still, there are some gaps in our knowledge as literature documents positive, negative, and ambiguous impact of FDI and trade openness on economic growth. This paper addresses one of these gaps and focuses on the similarities and differences among countries from Central and Eastern Europe and West Africa. The econometric analysis covers the 1995-2022 period and employs panel data methods to reveal the long-term positive impact of FDI and trade openness on economic growth in West African countries and long-term positive impact of FDI on economic growth in Central and Eastern European countries. We also demonstrate that apart from cross-border linkages captured by FDI and trade flows, economic growth in Central and Eastern European countries positively correlates with global economic development, however, in case of West Africa this effect is statistically insignificant. [ABSTRACT FROM AUTHOR]

Purpose – The theoretical debate of corruption’s impact on economic growth remains unsettled, making it an empirical question. This study aims to investigate corruption’s effect on BRICS countries’ economic growth. Design/methodology/approach – A panel dataset on BRICS countries spanning 1996 to 2020 was used. Bias-corrected estimators in small dynamic panels were employed to estimate a growth model as a linear-quadratic function of corruption that accounts for cross-sectional dependence, endogeneity and unobserved heterogeneity due to country and time-specific characteristics. Findings – The results indicate that corruption is detrimental to economic growth in BRICS countries; the quadratic relationship implies corruption is less prevalent in some countries than others. Thus, governments of BRICS countries are encouraged to embark on anti-corruption policies to boost their economic performance. Originality/value – An important limitation of corruption studies is the difficulty in measuring real corruption experiences due to the secretive nature of corruption and the fact that corruption is known not to leave a paper trail. For the uncertainty of the index estimates, the analysis used a continuous corruption composite score measuring the standard deviation of the extent to which public power is exercised for public gain. Furthermore, estimation and inference are robust to small dynamic panels with a general form of cross-sectional dependence. [ABSTRACT FROM AUTHOR]

This study considers the economic importance of export activities, logistics performance and transportation services as key agents of sustainable development. Considering this aspect of economic development, this study investigates the mediating role of logistics performance in determining the effects of export and transportation on the economic growth of the panel data of 35 emerging upper-middle-income countries over the period 2008-2018. By employing the economic growth model and considering essential indicators, this investigation addresses key aspects of development in the examined economies. The empirical results show that logistics performance, exports, human capital, and population have a statistically significant impact on economic growth with respective elasticities of 0.28, 0.36, 1.25, and negative 0.05. Importantly, the study reveals that logistics performance moderates the effect of export and transportation on economic growth, thus aiding the sustainable development of upper-middle-income countries by increasing export-economic growth elasticity from 0.36 to 1.26. Although transportation services do not influence economic growth independently, its economic importance became significant with elasticity of 1.113 when logistics performance is improved. Therefore, policy makers in upper-middle-income countries should maintain strict macroeconomic policies that could effectively engineer the sustainable export of goods and services and ensure high-quality logistics performance even in the transport sector. [ABSTRACT FROM AUTHOR]

Research and Development (R&D) in particular and innovation in general are the best drivers of long-run sustainable economic growth and spending in R&D has been recognized as one of the means to the economic accomplishment of both developed and developing countries. However, the sustainability of the association between R&D & economic growth exclusively depends upon the performance of other macroeconomic determinants. Hence, we examine the effect of R&D on economic growth in the existence of five important macroeconomic determinants. The study focusses on 151 selected countries, including both developed and developing, over the period 1996-2020 and focused on the macro-level analysis. Our research is based on the deployment of system Generalized Method of Moments (GMM) technique. The GMM technique encompasses longitudinal data; and is gathered by pooling time-series across a pool of cross-sectional units, specifically countrywise. The biggest advantage of using the GMM technique is that it allows for addressing the endogeneity problem using lagged explanatory variables as instrumental variables. We have three samples in our analysis, namely pool of developed countries, pool of developing countries, and the pool of both developed and developing countries. Our study deploys four proxies of R&D to work the nexus between R&D and economic growth in presence of five important macroeconomic determinants. In each of these three samples, we run four GMM models, depending upon the deployment of four R&D activities that we used in this study. We observe an evidence that R&D plays a significant role in economic growth when the selected macroeconomic determinants are used as control variables. Our findings are mostly robust to R&D specifications, country specifications, model specifications, and estimation strategies. Most importantly, the effect of lagged economic growth is highly positive, signifying that economies with higher economic growth in the previous years tend to grow faster in presence of R&D intensity. The behaviour of other macroeconomic variables is having diverse nature. Some of these variables behave positively, while others behave negatively. This study suggests that policymakers should focus on improving R&D activities and strengthening the chosen macroeconomic determinants to facilitate economic development. Hence, it contributes to the ongoing policy debate, that is with reference to R&D effect on economic growth, on the finest strategies for attaining sustainable economic growth in all these selected countries. Hence, we can use these findings to develop a targeted policy that promotes R&D intensity in the phases of economic development. [ABSTRACT FROM AUTHOR]

Digital village construction is the key to future rural development in China. This study has empirically examined the impact of digital village construction on county-level economic growth in China, utilizing non-balanced panel data from 16 provinces and 622 counties for the years from 2018 to 2021. The study also investigated the underlying mechanisms and conducted heterogeneity and robustness tests using various analytical methods, including instrumental variables and the difference-in-differences (DID) approach. The findings reveal that digital village construction significantly enhances county-level economic growth, with a more pronounced effect observed in southern regions, eastern regions, and non-agricultural counties. The primary mechanism through which digital village construction drives economic growth at the county level is by promoting entrepreneurship. This study not only points out the key to digital village construction in China, but also enriches the theoretical research on digital village construction for economic growth. However, due to data limitations and the short time span of digital village construction, the results of the study are correct only for the period 2018–2021 in China. As digital village construction continues to progress, its impact on economic growth is likely to be even greater. [ABSTRACT FROM AUTHOR]

Copyright of Ekonomika is the property of Society of Economists 'Ekonomika' and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This study aimed to analyze the impact of external debt on economic growth and inflation for emerging market economies for the period 1995-2020 using the panel data method. To this end, the study used the data on 12 countries listed in the Morgan Stanley Capital Index (MSCI) Emerging Markets Index. The results of the panel cointegration analysis showed that changes in external debt stock affect economic growth in the opposite direction and inflation rate in the same direction. According to the country-specific results of the panel cointegration analysis, external debt had a negative impact on economic growth in all countries except Mexico, Egypt, India, and Türkiye. External debt increased inflation in all countries except China, Egypt, India, South Africa, and Thailand. The Bootstrap panel causality test results showed a unidirectional causality from economic growth to external debt stock in China, India and Thailand, and a bidirectional causality in China. A unidirectional causality was also found from external debt stock to inflation in Colombia, and a unidirectional causality from inflation to external debt in China, India, Peru, and Thailand. Based on the cointegration analysis results, it is recommended that external debt should be used to finance more productive investments in order to ensure sustainable economic growth in Brazil, China, Colombia, Indonesia, Peru, Philippines, South Africa, and Thailand. The panel causality test results also showed that economic growth in China, India, and Thailand requires more external resources. Based on these results, it is recommended to reduce external debt in order to reduce inflation in Brazil, Colombia, Indonesia, Mexico, Peru, Philippines, and Türkiye. [ABSTRACT FROM AUTHOR]

Innovation networks promote regional innovation and economic growth. Using the patent data of cooperative inventions and the panel data of socio-economic statistics for 2010–2019, this study quantitatively analyzes the spatial structure evolution of intra-city and inter-city innovation networks for 41 cities in the Yangtze River Delta and their influence on economic growth. This study shows that these networks are increasingly connected and have a highly similar Z-shaped spatial structure. City economic growth is generally high, relatively stable, and mainly positively influenced by inter-city innovation networks. Intra-city innovation networks have no significant effect on economic growth; however, they are complementary to the inter-city ones. [ABSTRACT FROM AUTHOR]

The purpose of this study is to estimate the relationship and influence between regional inequality variables, human capital, the open unemployment rate, and economic growth in Indonesia using panel data. The panel data consists of a combination of time series data from the 2010–2020 period, based on information from 32 provinces in Indonesia. The estimation model employed in this study is a panel regression model utilizing three methods: the common effect model (CEM), fixed effect model (FEM), and random effect model (REM). The findings of the study reveal a positive and significant effect of the ETI factor on the LOG (GRDP) factor. Additionally, the HDI variable exhibits a positive and significant impact on the LOG (GRDP) variable, while the UNR variable also shows a positive and significant effect on the LOG (GRDP) variable. Furthermore, the ETI variable is found to have a positive and significant influence on the UNR variable, while the HDI variable has a negative and significant impact on the UNR variable. Finally, the LOG (GRDP) variable demonstrates a positive and significant effect on the UNR variable. [ABSTRACT FROM AUTHOR]

The study examined the effects of agricultural trade openness on economic growth in the EAC. We empirically analyzed the issue in five countries from 2000 to 2021. Panel data estimation methods were used in the study. The variables were found to be integrated of order one and zero. There was presence of cointegration, cross-sectional heterogeneity and cross-sectional dependence. The CS-ARDL results revealed that agricultural trade openness and economic growth enjoyed a long-run relationship. The empirical results indicated that the effect of agricultural trade openness on economic growth was positive and significant in the long run. Bootstrap panel granger causality analysis was applied in testing the nature and direction of causal relationships between variables. The results indicated that a unidirectional causal relationship existed between agricultural trade openness and economic growth. This implies that an increase in trade openness promotes economic growth. Based on the findings of the study, we recommend that strategies aimed at promoting trade openness should be complemented with strong policies to enable EAC countries to reap more growth benefits associated with open trade. [ABSTRACT FROM AUTHOR]

Our research study aims to analyze the effect of government expenditure on goods and services and capital toward regional economic growth in Indonesia. We position local tax effort as a moderating variable between economic growth and government expenditures. Using a panel data set of 24 provinces in Indonesia from 2006 to 2015, a dynamic model of GMM was applied to estimate the effect of public expenditure on growth. The research study provides empirical evidence that the two kinds of public spending positively and significantly affect economic growth. Conversely, local tax efforts negatively affect economic growth. Besides, local tax efforts also reduce the positive impact of capital expenditure on economic growth. In other words, local tax efforts negatively moderate the influence of government expenditure on the output growth of the regional economy. [ABSTRACT FROM AUTHOR]

Green growth is sometimes seen ambivalently, either as requiring economic degrowth, a stingy administration of resources and consumption, or as supporting a robust economic growth but with a dramatic paradigm shift (sustainability, circularity, regenerability etc). The war in Ukraine presents humanity, and especially Europe, with a choice - a world in continuous moral degradation, wildly fighting for resources, or a world in search of viable longterm solutions, in which respect for nature and people it goes without saying. In this context, the article discusses econometrically, using panel data, what could be the contribution of some indicators of the green economy on economic growth at the level of the European Union (EU27) for the period 2011-2021. The results, although not spectacular, still show us which are the areas of vulnerability, but also the areas that deserve to be boosted, both through private and public investments, so that the green economy to mean more and more, in the close future, in relation to the classic GDP. [ABSTRACT FROM AUTHOR]

Territorial cohesion and improved accessibility are among the main objectives of the European Union (EU) Cohesion policy. Although there is a wealth of literature on the impact of investment in transport infrastructure on overall accessibility levels, only a few studies have tried to evaluate the possible link between transport infrastructure investment (TII) and economic growth in the EU. Our research aims to evaluate the impact of TII on economic growth in the EU. The methodology is based on nonlinear neoclassical specification, which includes a multiplicative term to evaluate if the absence of corruption mediates the effect of TII on growth. Our unbalanced panel data covers 27 EU countries (Cyprus is excluded due to missing data and the United Kingdom is a part of the sample) from 2000 through 2019. Our research confirms a positive and statistically significant impact of TII on economic growth but with a diminishing return. Estimating the absence of corruption as a possible moderator of the effect that TII has on growth shows that control of corruption plays a significant role in the TII growth nexus. We find that in countries with a low level of control of corruption, TII has a statistically significant negative effect on growth. [ABSTRACT FROM AUTHOR]

Copyright of Journal Public Administration & Social Management / Administração Pública e Gestão Social is the property of Administracao Publica e Gestao Social and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The aim of the present paper is to analyse the effects of digitalisation on economic growth in the European Union. An econometric model with balanced panel data is used, with the analysis spanning over a 22-year time frame from 2000 to 2021. The main conclusion is that digitalisation generates a positive and significant impact on economic growth, even when several control variables are taken into consideration. The results prove their robustness, which is backed by the employment of the DESI as an independent variable. This paper contributes to the existing empirical analyses by extending the research on digitalisation to the entire EU, and separately for the old EU-15 member states and EU-13 new member states since, to our best knowledge, the existing literature has not approached the subject in this manner. As a policy recommendation, we suggest that public decision-makers take measures that support more harmonised digitalisation policies, favouring the new business model based on digitalisation. [ABSTRACT FROM AUTHOR]

This study aimed to investigate the relationship between life expectancy at birth and economic growth in developing countries. The Document and Library review was used to collect data. Then, the relevant information was extracted from the World Bank website. The necessary information was collected through the World Bank website (2000-2020) to analyze the information and hypothesis test. After collecting the required information for the considered countries, the research hypotheses were examined using correlation and regression analysis and the panel data statistical method, and the data was prepared for analysis. Then, Eviews 12 is used to perform the final analysis. The results showed that there is a positive and direct relationship between Healthcare expenditures as one of the indicators of life expectancy at birth and economic growth in developing countries. It is also concluded that there is a negative and inverse relationship between Food Poverty as one of the sub-indicators of life expectancy at birth and economic growth in developing countries, while there was a negative and inverse relationship between the Death Rate as one of the sub-indicators of life expectancy at birth and economic growth in developing countries. In addition, there is a positive and direct relationship between Access to Educational Facilities as one of the sub-indicators of life expectancy at birth and economic growth in developing countries. Finally, there is a positive and direct relationship between Median Household Income as one of the indicators of life expectancy at birth and economic growth in developing countries. [ABSTRACT FROM AUTHOR]

Developing countries often encounter budget deficits by taking loans from internal and external sources. The effectiveness of public debt has been a long debate in the seminal and empirical literature. In this study, we investigate the effectiveness of public debt on economic growth, incorporating the role of governance in 44 developing countries. In doing so, we applied the Quantile Via Moments approach to analyze heterogeneous panel data ranging 1990–2000 considering the scale and location properties under different economic circumstances. Our results show that public debt impedes economic growth in all quantiles. Our empirical finding corroborates our proposition that in the presence of good governance, public debt promotes economic growth in the medium to higher quantiles. The empirical findings of this study confirm that governance is far more important in promoting economic growth. [ABSTRACT FROM AUTHOR]

Human capital is supposed to be an important factor in innovation and economic development. However, the long-run influence of human capital on current innovation and economic development is still unclear, in particular in the MENA region. Therefore, the present study is to investigate the long-run influence of human capital on innovation and economic growth in MENA countries for the years 2010-2012. The data were collected using the library method from the World Bank database and were analyzed using statistical and econometric methods for panel data. The results obtained from this study showed that human capital had a positive, significant influence on innovation and economic growth in MENA countries. The same influence was observed for the population density in some age groups (more educated people) on the patents in MENA countries. [ABSTRACT FROM AUTHOR]

Copyright of Economica (00130419) is the property of Universidad Nacional de La Plata and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

In Indonesia, fiscal decentralisation has been implemented for two decades, and it is expected that the regions will have a sufficient level of independence to increase economic growth and welfare. This study investigates the influence of fiscal decentralisation and human development on regional economic growth. The sample data comprised 484 county-level in Indonesia and utilised the panel data method. The findings showed that the central government grant, locally generated revenue, and human capital development positively influenced regional economic growth, although the degree of decentralisation negatively affected regional growth. Meanwhile, for regions with independence above 50 per cent, decentralisation, locally generated revenue, central government transfer and provincial loans and human capital development positively influenced regional economic growth. In addition, findings also indicated that a dynamic effect exists, implying that the performance of previous regional economic growth influenced current economic achievements. The policy implication of the study is that policymakers cannot equalise policy to boost regional economic growth because every county has its specific characteristics. [ABSTRACT FROM AUTHOR]

This study investigates the effect of Intellectual Property Rights (IPRs) on economic growth in 76 developing countries using panel data analysis over the period of 2008-2019. IPRs and the economic growth relationship have been discussed in the empirical literature. On the other hand, Third World Approach to International Law (TWAIL) scholars promote the idea that international law is a hegemonic tool of developed countries, and IPRs may be subjected to their arguments due to the Trade-Related Aspects of Intellectual Property Agreements (TRIPs). Results provide that IPRs positively and significantly affect economic growth in developing countries, whereas there is no U-Shaped relationship between them. The study suggests that IPRs protection should be highlighted in developing countries to achieve greater economic growth, and approves the perspective of traditional economists’ approach over TWAILers. [ABSTRACT FROM AUTHOR]

In the recent years, the trend of environmental sustainability is rapidly increasing by adopting renewable energy resources. However, the main concern is that whether renewable energy consumption contributes to economic growth. To investigate the issue, this study analyzes renewable energy led economic growth hypothesis in the Next-11 economies over the period 1990–2020. Also, this study aims to examine the influence of industry value added, gross national expenditure, and trade openness on economic growth of these economies. Along with the second-generation panel unit root test, this study employed the non-parametric panel data approach, i.e., quantile method of moments regression. The estimated results reveal the slopes coefficients are heterogeneous and cross-sectional dependency is present in the panel. The non-parametric approach reveals that validity of renewable energy led growth hypothesis. Also, the industry value added, gross national expenditure, and trade openness are found positively affecting economic growth of these economies. The panel causality test gives indication of the two way causal association between the variables. Based on the obtained results, policy implications are also provided for governors and researchers. [ABSTRACT FROM AUTHOR]

The Southern African Development Community (SADC) has continued to experience an unprecedented increase in foreign direct investment (FDI) inflows for the past three decades. Evidence of their quantitative impact on the economy is still quite mixed. We use panel data methods on data from the (SADC) for the 1980-2020 period, where our results show that FDI has a positive and statistically significant effect on economic growth; thus, agreeing with some work that has been done on the community and in Sub-Saharan Africa. Our study calls for the development of human capital, the promotion of market liberalization, the improvement of the financial sector and the need for policy measures that prioritize productive investment that is supportive of the local private and foreign sectors; the latter provides positive spillovers to other sectors. [ABSTRACT FROM AUTHOR]

The economic growth of developing countries has been associated with their exports, and the existing research suggests that exchange rates significantly influence the exports. This study used panel data to investigate the potential nexus of gross domestic product (GDP), exports and exchange rates in Asian countries over the period of 1981–2016. The results portray that nexus between exchange rate and exports holds true for Export-led Growth (ELG) and Growth-led Exports (GLE) hypotheses. This study used the Wald test under Vector Error Correction Model (VECM) with all necessary specifications tests to identify the possible nexus of variables, and applied the fixed effects model along with control variables. The results imply that an undervalued currency enhances exports and has a significant impact on economic growth. Additionally, the results of Fully Modified Ordinary Least Squares (FMOLS) model with financial crises dummy suggested that the estimations are robust. Keeping in view the aforementioned findings, a timely and balanced policy can play a pivotal role in improving the long term nexus of exchange rates, exports and economic growth. [ABSTRACT FROM AUTHOR]

Purpose: This longitudinal study analyzes the impact of the digital economy on economic growth in Organisation for Economic Co-operation and Development (OECD)'s countries, divided into groups by their level of development (transition and innovation countries). Originality/value: Empirical studies on information and communications technology (ICT)'s impact on countries' economic growth have increased over the last few years. However, there are still no studies that analyze this problem for the group of OECD countries, let alone divide these countries according to their level of economic development to assess the differences between more developed countries and less developed. The study of this gap in the literature allows us to infer important implications for policymakers to implement the digital agenda more efficiently. Design/methodology/approach: We used a panel data sample from the World Bank covering 36 OECD countries from 2000 to 2019. A statistical analysis of the variables was carried out separately for all OECD countries and the transition and innovation countries groups. We then performed a correlation analysis between the variables, and three models were estimated using the generalized moments panel method (GMM) using a fixed cross-section. Findings: The impact of the digital economy as measured by the technology proxy -- internet, mobile phone, and fixed-broadband -- on the economic growth of OECD countries depends on their level of development and the measures of the technologies that capture the digital economy. ICTs positively influence the development of the economies of OECD countries and can be used as instruments by policymakers. These agents must implement policies that strengthen the physical and technological infrastructures of the ICTs, the digital empowerment of human capital, and more significant social equity in accessing the ICTs. [ABSTRACT FROM AUTHOR]

With economic growth, people's living standards improve, and more cultivated land is needed to meet food demand. Meanwhile, the economic growth and urban expansion in China since 1978 has led to the loss of considerable amounts of cultivated land. Thus, the contradiction between "economic growth" and "food security" becomes increasingly prominent. Studying the impact of economic growth on cultivated land population support pressure is the basis for easing this problem. This study uses the cultivated land pressure index to represent cultivated land population support pressure, and explores the relationship between economic growth and cultivated land pressure based on the panel data of 31 provinces in China from 2000 to 2017. The feasibility generalized least squares estimation and the fixed effect model based on Driscoll and Kraay standard errors are used. The results show that: (1) the impact of economic growth on cultivated land pressure is an N-shaped or U-shaped curve; and (2) there are regional differences in the impact of economic growth on cultivated land pressure. The cultivated land pressure in economically developed regions and main grain production regions responds slowly to the impact of economic growth. Therefore, some policy recommendations are put forward, such as paying attention to cultivated land protection and controlling disorderly urban expansion. [ABSTRACT FROM AUTHOR]

In addition to their often‐cited role as global service hubs, world cities are also global innovation hubs with their connectivity in knowledge networks crucial for the innovation clusters they harbour. While both aspects of world cities' global connectivity may allow their urban economies to grow, we argue that specialization in one of these two networks may increase economic performance. We provide systematic evidence of this substitution effect by examining the changing positions of 129 world cities in inter‐city innovation and service firm networks (2000–2012). Fixed effects panel analysis of city GDP growth confirm that the two networks are partial substitutes. [ABSTRACT FROM AUTHOR]

Theory and practice suggest that entrepreneurship is the engine of economic growth. The speed with which a nation moves from economic growth to economic development depends on the performance of entrepreneurial initiatives. Given the role played by entrepreneurship for the development of an economy, increasing its performance can help the development of national markets and the increase in national competitiveness. The main objective of our paper is to investigate the link between entrepreneurial performance and economic development of countries. The research was carried out on a sample of 27 European Union countries in a period of twelve years. We used panel data regression models. As dependent variables for expressing the economic development, we considered the global competitiveness index and the gross domestic product per capita growth. As independent variables, we used a set of indicators measuring entrepreneurial performance. Our findings highlight the significant role played by increased entrepreneurial performance for enhancing the economic development of EU countries. We also find that some indicators expressing entrepreneurial performance might have different effects on the economy depending on the stage of economic development of countries. Our research provides empirical evidence regarding the need for performant entrepreneurial activities for enhancing economic development. [ABSTRACT FROM AUTHOR]

This study implies finding the linkages among financial inclusion, non-performing loans (NPLs), and economic growth. The study uses large panel data of 21 Organization for Economic Corporation and Development (OECD) countries for the dynamic panel estimation by using the Driscoll-Kraay standard errors with fixed effect. The results of the dynamic panel estimation technique revealed the existence of a long-run relationship among financial inclusion, NPLs, and economic growth. Financial inclusion contributes positively to economic growth by reducing NPLs. Furthermore, NPLs negatively impact financial inclusion as well as economic growth. The study presents important policy recommendations to control NPLs and boost the level of financial inclusion in the selected economies. [ABSTRACT FROM AUTHOR]

The last decade has seen the rapid development of digital information technology, the intellectualization of control systems, the increase in the number and capacity of mobile and computer devices, and the accumulation of large amounts of data and its processing through machine learning algorithms, which inevitably leads to new opportunities for economic development. Rapid digitalization and its penetration into various spheres of public life contributed to increasing the level of transparency of public administration, strengthening public control, and reducing the bureaucratization of society. Hence, digital technologies can serve as tools to fight corruption and create conditions for intensive economic growth. Therefore, the topic based on the study of transmission effects in the chain "corruption-digitization-economic growth" is relevant. The work aims to develop methodological tools for assessing the transmission effects between digitalization, corruption level decrease, and economic growth. The following methods were used for the study: Levin-Lin-Chu, Hadri, Pesaran, and Chin tests, Dickey-Fuller tests - to check stationary variables; statistical criterion Kao - to check the existence of cointegration relationship between variables; modified least-squares method - to estimate regression coefficients based on panel data; coefficient of determination and Jarque-Bera test – to verify the adequacy of the econometric model. An empirical study confirmed the hypothesis of the presence of transmission effects between indicators that characterize the level of corruption in the economy, digitalization, and economic growth. It has been proven that the reduction of corruption and the growth of digitalization in studied countries contributes to economic growth. [ABSTRACT FROM AUTHOR]

Using province-level data for South Korea, we analyze the dynamic relationship between economic growth and several energy parameters. Specifically, we decompose the growth effect into scale, composition, and technique effects, and control for regional spillovers through the use of a dynamic GMM estimator for spatial panel data models. The analyzed period, ranging from 2000 to 2017, allows us to look for changes in the regional growth effects following the implementation of the National Strategy for Green Growth in 2009. Our estimates show that the scale and composition effect tended to increase both per capita final energy use and energy intensity, outweighing reductions through the technique effect. In contrast, when considering renewable energy production, the scale and technique effect increased and the composition effect decreased the corresponding figures. Thereby, the technique effect was the main driver of increases in renewable energy production. Despite the larger, yet comparatively small share of renewables in Korea's energy mix, no considerable change of the growth effects can be observed since 2009. Therefore, to reduce the risks for the economy and achieve the political objectives of the green growth strategy throughout the whole country and in a timely manner, a stronger commitment seems to be required. [ABSTRACT FROM AUTHOR]

Objective: The goal of this article is to analyse the impact of different measures of entrepreneurial activity, namely through attitudes and behaviour, on the economic growth of 21 European countries. The goal is to assess the impact of entrepreneurial activity, measured by perceived capabilities, perceived opportunities, entrepreneurial activity, and total early stage, on the economic growth of these countries. Research Design & Methods: This study is based on a quantitative methodology and uses a data panel covering 21 European countries and a period from 2001 to 2019 (196 observations). A statistical analysis of the dependent, independent and control variables was performed, panel data stationarity analysis was carried out, and three multiple linear regression models were estimated using the generalized method of moments (dynamic panel data). Findings: The results suggest that the entrepreneurial activity driven by the opportunity has a positive impact on the gross domestic product per capita and, as such, stimulate the economic growth of the European countries considered in this sample. However, entrepreneurial activity at an early stage and the skills and knowledge to start a new business have a negative impact on the economic growth of these countries. Implications & Recommendations: In general, this study suggests that entrepreneurship driven by opportunity (directly or indirectly by perceived capacities) is a key factor in stimulating the European countries' economic growth considered in this sample. Contribution & Value Added: This study complements the existing literature that analyses the impact of entrepreneurship on economic growth, but using a sample of countries in Europe (there are few empirical studies for this purpose on European countries), and it is innovative because three different measures of entrepreneurial activity are tested, a more generic one and two other measures of entrepreneurial behaviour and attitudes collected by the global entrepreneurship monitor (GEM) to assess their impact of entrepreneurship on countries' economic growth. [ABSTRACT FROM AUTHOR]

South-East European (SEE) countries are experiencing high emigration, resulting in a significant increase in remittance inflows, exceeding FDI flows. Today the most important challenge facing SEE countries is how to grow at a higher speed to achieve faster economic convergence with the EU. The objective of the paper is to empirically examine the relevance of remittances as a factor of economic growth, using quarterly balanced panel data set of six SEE countries: Albania, Bosnia and Herzegovina, Croatia, Montenegro, the Republic of North Macedonia, and Serbia (SEE6) over 2008q1-2020q2. Panel regression with the fixed-effects model is employed to account for potential cross-section heterogeneity. This study provides original econometric evidence that remittances have a significant positive impact on economic growth in our panel of SEE6. Those results will be useful both to scholars and policymakers in the process of the creation of policies that will direct remittances into investments in the economy. [ABSTRACT FROM AUTHOR]

Official sub-national gdp figures in South Africa are usually published with long delays or not at all, i.e. relevant, reliable, and real-time economic data on a provincial and local (municipal) level are often non-existent, causing a significant data asymmetry at the sub-national level. The search for an 'optimal' sub-national proxy for regional economic growth focuses on the possible use of regional business confidence. This article, therefore, investigates the use of regional business confidence indices (RBCI) as an early indicator or proxy of the regional economic growth rate (RGDP). To this end, the study employed panel cointegration methodology and techniques to interrogate the possible association between regional business confidence and regional economic growth, focusing on three specific regions of KwaZulu-Natal, South Africa. The results suggest that the utilisation of regional business confidence indicators indeed has merit. Constraints experienced in the study indicate the direction that further studies may follow, especially concerning the scope of the period and crosssections. The research, therefore, addresses a fundamental gap in the data asymmetry in South Africa, while also setting a benchmark for other researchers to follow. [ABSTRACT FROM AUTHOR]

Since the first quarter of 2020, due to the spread of the Covid-19 pandemic, which is continuing unabated with the periodical emergence of new variants, international tourism has become one of the most affected sources of external earnings for developing countries. For the South Asian countries, the crisis was predicted to result in a 42% to 60% drop in tourist arrivals in 2020 and 2021. Tourism has been providing a great impetus to the growth of the informal sector supported by information and communication technology and the participation of women, both full-time and part-time in several small and minienterprises. This panel study employing a nonlinear econometric methodology confirms the existence of an asymmetric association between tourism and economic growth for six South Asian countries for the period 1995 to 2018 for which data series are complete and officially available. While the positive partial-sum decomposition of tourism increased economic growth, the negative-sum decomposition of tourism had a much greater adverse effect on economic growth. There are some relevant conclusions with policy implications in the context of continuing uncertainties. [ABSTRACT FROM AUTHOR]

The management process of fiscal policy incorporates a wide analysis of various factors. The dynamic financial approach should be applied in deciding the level of centralization. The article offers the usage of the multicriteria method in selecting fiscal variables as a new instrument for financial evolution. In this article, the hypothesis of decentralization's impact on economic growth is tested to show the growth opportunities. The implications of the fiscal decentralization index on economic growth across the Baltic States for 2005-2017 were examined using a panel data approach with dynamic effects. The Baltic countries (Estonia, Latvia, and Lithuania) are often considered as a single region with similar economic profiles and common political and social values. They are closely related geographically and historically, particularly during the Soviet era. Although their post-Soviet development has been similar, there are significant differences in local administrative systems and government finances. After restoring independence, the three Baltic countries have been reorganizing their public institutions according to western standards. Each country has some differences in organizing the management of local governments. The study's novelty is emphasized by supplementing the analysis with a fiscal decentralization index, including 24 fiscal decentralization indicators. The fiscal decentralization index ranges from 0.29 to 0.51. Lithuania (0,29) has the lowest fiscal decentralization index, the highest - Latvia (0.52) in the Baltic countries. The investigated model has revealed that the facts considered produce a statistically significant effect. Results showed a negative relationship between fiscal decentralization and economic growth in the Baltic States from 2005 to 2017. It should not be forgotten that, in some cases, regions are not capable of implementing green and inclusive growth without the influence of the central government. [ABSTRACT FROM AUTHOR]

Purpose: This paper aims to examine the convergence in per-capita income (measured as per-capita net state domestic product) of regions in India during the period 1990–1991 to 2017–2018. Two separate analyses have also been done for the sub-periods, i.e., 1990–1991 to 2003–2004 and 2004–2005 to 2017–2018, to find out the effect of the second phase of economic liberalization in India. Design/methodology/approach: In a panel data study, the estimation of absolute and conditional beta (β)-convergence and sigma (σ)-convergence across 17 Indian regions have been done. To measure the dispersion of per-capita income across the regions in India, the standard deviation of logs, Gini coefficient, Mehran measure, Piesch measure, Kakwani measure and Theil index have been estimated. In addition to this, these indices have been regressed over time. Findings: This study finds the presence of absolute and conditional β-convergence; the regions with low initial per-capita income have grown faster than the regions with high initial per-capita income. Further, this study finds that foreign direct investment (FDI) inflow and the availability of power enhance growth across regions. However, this study finds the presence of σ-divergence, which indicates that the economic inequality among the regions in India has widened over the periods, calling for policy interventions to promote growth in the backward regions through the promotion of FDI inflow and the availability of power. Originality/value: This study highlights the rising economic inequality among the regions in India by analyzing the latest available data through appropriate econometric techniques. [ABSTRACT FROM AUTHOR]

The impact of foreign financial inflows on the economic growth of recipient countries is a controversial issue in many empirical studies. The majority of the previous studies use one variable as an indicator of foreign financial inflows; they fail to incorporate many variables. The study fills this gap by using remittance inflows, foreign direct investment, official development assistance, and external debt as an indicator of foreign financial inflows. This study investigates the impact of foreign financial inflows on the economic growth of 31 sub-Saharan African countries over the period 2009 to 2019. The study employed a two-step system GMM due to its practical advantage on the dynamic panel data set. The finding shows that only foreign direct investment has a significant and positive contribution to economic growth. Official development assistance and external debt affect economic growth negatively, and they are statistically significant. Remittance inflow affects economic growth negatively, but it is statistically insignificant. The study suggests that policymakers should work on the way that remittance inflow promotes investment and reduce dependency on official development assistance. In addition, external borrowing should be used for productive purposes. [ABSTRACT FROM AUTHOR]

Using panel data regression of 48 countries during 2000–2019, the research aims to examine the role of budget balance on economic growth in Asia. Also, with the application of Panel Threshold Regression (PTR), the author tests the nonlinear relationship and to identify an optimal budget balance threshold to achieve the most effective economic growth. The study shows that the lower national budget deficit level is remained, the greater economic growth in Asia is driven. Additionally, it is revealed that an effective economic growth is best promoted with budget balance ranging from 22.6935% GDP to 25.1950% GDP. However, only a few of nations in the sample have achieved the optimal threshold of budget balance above during the period of research. Meanwhile, several countries in Asia have been suffering from the budget deficit for many years. Therefore, in order to stabilize the economic development, most of the Asian countries should adjust the national budget revenue and expenditure process to keep the balance properly. [ABSTRACT FROM AUTHOR]