Can Book-to-Market, Size, and Momentum Be Risk Factors That Predict Economic Growth?

Author(s):  
Jimmy Liew ◽  
Maria Vassalou
2021 ◽  
Vol 8 (4) ◽  
pp. 610-627
Author(s):  
Daniel Francois Meyer

nvestors assess the environment and the level of risk before they invest in a specific region or country. Several country risk indexes have been developed since the beginning of the 1990s, using risk factors such as politics, the economy and sovereign risk factors. This study aims to determine the relationships between the country risk index, economic performance and good governance. The study implemented a quantitative research methodology with panel data, focusing on the four Visegrad countries, using time-series data from 1996 to 2019. The results indicate both long- and short-run relationships. Both GDP and good governance significantly impact the country risk index with coefficients of between 0.17 to 0.31 and 0.02 to 0.15 according to different estimation models. The Granger causality results indicated that both GDP and good governance cause changes in the country risk indexes of the countries, and good governance causes increased economic performance. In conclusion, the study showed clear evidence that a lower country risk index is important to attract investment and sustained economic growth and good governance is critical in this process.          


2011 ◽  
Vol 11 (1) ◽  
pp. 1850220 ◽  
Author(s):  
David A. Mayer-Foulkes

Non-communicable chronic diseases (NCDs) are currently the largest global cause of adult mortality, one of the principal burdens of disease in developed and underdeveloped countries. Their main causes are well known, tobacco use, unhealthy diet, physical inactivity and the harmful use of alcohol. The prevalence of these risk factors is directly related to the activities of transnational corporations (TNCs). For example, just the TNC budgets dedicated to advertising risky consumption are larger than the budget of the World Health Organization. A literature survey shows that NCDs have important long-term macroeconomic impacts, whose detailed evaluation has only just begun. The sheer burden on the working and aged population implies strong impacts on labor, saving and investment, as well as increased human capital depreciation. These will all impact long-term economic growth. It is a research priority to quantify these impacts. However, in the context of globalization, NCD is developing faster than its rigorous analysis. Research results show that what is needed is preventive action. This requires a global institutional framework capable of controlling NCD risk factors, which can also promote health and economic growth in general. Developing legal mechanisms to slow the negative impact of the deficient nutrition transition would be a step in that direction. Global markets need to be balanced with global governance holding TNCs responsible for their impact, promoting cooperative solutions when available, and taxing them so that they carry their fair share of social weight.


2021 ◽  
Vol 14 (4) ◽  
pp. 126
Author(s):  
Yang Feng ◽  
Yang Wang

Foreign direct investment (FDI) is an important force to promote economic growth and social development in both developed and developing countries, while the distribution of FDI in the world and within countries is extremely uneven. This paper systematically summarizes the main determinants that affect the location choice of FDI in recent theoretical and empirical studies, including institution and investment environment, trade cost and industrial agglomeration, market size and natural resource, cultural distance and social network. Based on the work of this paper, it is helpful to better understand the location preference of multinational enterprises (MNEs) in FDI activities, and provide a reference basis for the host country to attract investment and promote economic growth.


2016 ◽  
Vol 1 (1) ◽  
pp. 26
Author(s):  
Adi Lumadya

The main objective of this study was to examine the influence of some economic variables that include market size proxied with income per capita, economic growth, and exports to the Foreign Direct Investment in the member countries of ASEAN-9. The analytical tool used is the Least Squares Regression (Ordinary Least Square) and Panel Data. In the Data Panel will look for similarities in effect is Fixed (Fixed Effect) and the effect is Random (Random Effect). The results of the analysis are: Based on the analysis of OLS concluded that the variable size of the market (market size) were proxied with Per Capita Income (GDPP), Economic Growth (EG), and exports (EG) significantly affects the Direct Foreign Investment. Based on the analysis of Panel Data with Fixed Effect Method concluded that the variable size of the market (market size) were represented with per capita income (GDP), Economic Growth (EG), and exports (EG) significantly affects the Direct Foreign Investment. Based on the analysis of Panel Data with Random Effect method concluded that the variable size of the market (market size) were proxied with per capita income (GDP), Economic Growth (EG), and exports (EG) significantly affects the Direct Foreign Investment. Keywords: Foreign Direct Investment, Fixed Effect, Random Effect


Author(s):  
Saurabh Agarwal

<div><p><em>Economic growth in India has to be inclusive in order to make it sustainable. Inclusiveness is an essential element in a democracy. If policies that bring about economic growth do not benefit the people in a wide and inclusive manner, they will not be sustainable. Equally, inclusive growth is essential to grow the market size, which alone will sustain growth momentum. Inclusive growth is the only just and equitable way that any society can grow. Financial Inclusion rests on three pillars viz. access to <strong>financial services, affordability of such services and actual utilization of such services.</strong> Financial Inclusion can be achieved only if all the three pillars show affirmative results. It may prove to be very useful for the banking Industry and the overall Indian economy. It will be useful for policy makers, academicians and researchers in the field.</em></p></div>


2021 ◽  
Vol 12 (2) ◽  
pp. 17
Author(s):  
Aziz Sodikov ◽  
Zuhriddin Rizaev ◽  
Lee Chin ◽  
Shahnoza Ochilova

This paper investigates the impact of national competitiveness on productivity, economic growth and income per capita in the selected post-Soviet countries between 2004 and 2018. In this paper, 2019 edition of the Global Competitiveness Index (GCI), which is composed of 12 pillars such as namely institutions, infrastructure, ICT adoption, macroeconomic stability, health, skills, product market, labour market, financial system, market size, business dynamism and innovation capability, is used as a proxy for the national competitiveness and productivity for the empirical analysis purposes. The findings reveal that: (1) the GCI is highly correlated with productivity level and the selected post-Soviet countries with higher level of national competitiveness had higher long-term economic growth and income per capita, (2) Russia and Kazakhstan more benefited from rising per capita income associated with enhanced national competitiveness (or productivity growth) compared to other selected former Soviet states, (3) among the GCI factors, ICT adoption, macroeconomic stability, market size and healthy life expectancy were major levers of productivity growth that influenced the national competitiveness, positively and significantly contributing to an increase in the income level in the selected post-Soviet countries in 2004-2018 period.


PLoS ONE ◽  
2021 ◽  
Vol 16 (8) ◽  
pp. e0256235
Author(s):  
Md. Ashfikur Rahman ◽  
Henry Ratul Halder ◽  
Md. Sazedur Rahman ◽  
Mahmood Parvez

Background Malnutrition contributes to children’s morbidity and mortality, and the situation undermines the economic growth and development of Bangladesh. Malnutrition is associated with lower levels of education that decrease economic productivity and leads to poverty. The global burden of malnutrition continues to be unacceptably high amid social and economic growth, including in Bangladesh. Therefore, identifying the factors associated with childhood malnutrition and poverty is necessary to stop the vicious cycle of malnutrition leaded poverty. Methods The study utilized the 2017–18 Bangladesh Demographic and Health Survey (BDHS), accumulating 7,738 mother-child pairs. Associations between potential risk factors and nutritional status were determined using chi-square tests, and multivariate logistic regression models were utilized on significant risk factors to measure their odds ratio (OR) with their 95% confidence intervals (CI). Results The prevalence of moderate and severe wasting was 7.0% and 1.8%, respectively, whereas the prevalence of moderate and severe stunting was 19.2% and 8.0%, while 16.4% and 3.6% of children were moderately and severely underweight. Children from the poorest and poor households were suffering from at least one form of malnutrition. Adjusted ORs were estimated by controlling socio-economic and demographic risk factors, such as poor maternal body mass index, parents’ lower education level, use of unhygienic toilet, child age in months, and recent experience of diarrhea and fever. The pattern was almost similar for each malnutrition status (i.e., stunting, underweight, and wasting) in the poorest and poor households. Conclusion Bangladesh achieved the Millennium Development Goals, focusing primarily on health-related indicators and working to achieve the Sustainable Development Goals. Even considering this success, the prevalence of malnutrition and poverty in same household remains relatively high compared to other developing countries. Therefore, the study recommends the implementation of nationwide systematic measures to prevent poverty and malnutrition.


Author(s):  
Murali Patibandla

The chapter demonstrates the internal reforms undertaken in the mid-1980 and major internal and external reforms the early-1990 and their effect on product and factor markets and institutional conditions. It also shows inter-relationship between international trade and investment behaviour. The reforms allowed TNCs in most industries. It was argued the reforms in general resulted in positive outcomes because India possessed critical industrial and skill endowments and capitalist conditions. The reforms resulted in augmentation of economic growth rate between 6 and 7 per cent which increased market size. This, in turn, gave incentives TNCs to bring in their assets and compete in domestic market. Apart from product markets, the reforms improved competitive conditions in input markets such as labour in sectors like software and services and automobiles and electronics. Furthermore, supply chain conditions improved significantly with entry of Japanese and South Korean multinationals.


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