scholarly journals Financial development, income inequality and governance institutions

2020 ◽  
pp. 4-4
Author(s):  
Cristiano Perugini ◽  
Ipek Tekin
Keyword(s):  
Financial Development ◽  
Political Stability ◽  
Dynamic Panel Data ◽  
Panel Data Models ◽  
Dynamic Panel ◽  
Mediating Role ◽  
Regulatory Quality ◽  
Governance Institutions ◽  
The Relationship ◽  
Control Of Corruption

The paper investigates empirically how governance institutions mediate the link between financial development and inequality. To this aim, we assemble a dataset of 48 middle- and high-income countries for the period 1996-2014. Results, obtained by means of instrumental variables dynamic panel data models, reveal that financial development is pro-inequality; however, the strength of the relationship is attenuated in contexts with stricter control of corruption, better regulatory quality, political stability and rule of law. Institutional domains less directly related to the market economy - political voice and accountability and government effectiveness - do not play any mediating role.

scholarly journals An econometric study of the role of the political stability on the relationship between democracy and economic growth

2020 ◽  
Vol 67 (2) ◽  
pp. 187-206
Author(s):  
Nedra Baklouti ◽  
Younes Boujelbene
Keyword(s):  
Economic Growth ◽  
Data Model ◽  
Generalized Method Of Moments ◽  
Political Stability ◽  
Dynamic Panel Data ◽  
The Political ◽  
Dynamic Panel ◽  
Mena Countries ◽  
The Relationship

This article examines the nexus between democracy and economic growth while taking into account the role of political stability, using dynamic panel data model estimated by means of the Generalized Method of Moments (GMM) over the period 1998 to 2011 for 17 Middle East and North Africa (MENA) countries. Our empirical results showed that there is a bidirectional causal relationship between democracy and economic growth. Moreover, it was found that the effect of democracy on economic growth depends on the political stability. The results also indicated that there is important complementarity between political stability and democracy. In fact, political stability is a key determinant variable of economic growth. Eventually, democracy and political stability, taken together, have a positive and statistically significant effect on economic growth. This finding suggests that, if accompanied by a stable political system, democracy can contribute to the economic growth of countries. Thus, the MENA governments should use policies to promote political stability in the region.

scholarly journals Connotation among Structure, Conduct, and Performance: A Panel Data Analysis of Selected Financial Firms in Pakistan

2017 ◽  
pp. 78-101
Author(s):  
Muhammad Jamil Et al.,
Keyword(s):  
Panel Data ◽  
Data Model ◽  
Panel Data Analysis ◽  
Positive Association ◽  
Dynamic Panel Data ◽  
Panel Data Models ◽  
Dynamic Panel ◽  
Financial Firms ◽  
And Performance ◽  
The Relationship

The study of Structure, Conduct, and Performance (SCP) paradigm is important to evaluate the performance of firms. The study scrutinizes the relationship among SCP paradigm of selected financial firms (Banks, Insurance, Modaraba and Exchange companies) in Pakistan. Panel data of 103 financial firms of Pakistan from 2007 to 2015 is employed for this purpose. Various models of panel data have been employed to find the more parsimonious one. It is concluded that there is positive association among SCP using panel data models and dynamic panel data model. It is recommended that all firms are needed to enhance their management regarding expenditures and they also need to increase the number of shareholders to boost the firm’s performance

scholarly journals Financial Development, Institutional Quality and Economic Growth: Evidence from ECOWAS Countries

2020 ◽  
Vol 11 (1) ◽  
pp. 6-17
Author(s):  
Michael Appiah ◽  
Fanglin Li ◽  
Doreen Idan Frowne
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Emerging Economies ◽  
Positive Impact ◽  
Institutional Quality ◽  
Positive Association ◽  
Regulatory Quality ◽  
And Control ◽  
The Relationship ◽  
Control Of Corruption

Most of the literature that explored the relationship between financial development and economic growth taking into consideration the roles played by institutional quality in the ECOWAS region still debates on the roles of institutional quality on economic growth. This study used data from 1996-2017 for 15 emerging economies within the ECOWAS by applying two-step SYS GMM (SGMM) estimators. The following conclusions were developed: first, the study discovered that financial development has no significant and positive impact on economic growth in the ECOWAS region. Secondly, regulatory quality and control of corruption, which are considered as institutional quality variables, have opposing results with control of corruption reducing growth as well as regulatory quality variable increasing growth. Again, the results indicate that capital formation has a positive association with growth and labor force influencing growth negatively. Finally, due to a lack of proper corruption control systems in the region and poor financial sector development, growth cannot improve.

scholarly journals Does Good Governance Matter? Kazakhstan’s Economic Growth and Worldwide Governance Indicators

2020 ◽  
Vol 10 (1) ◽  
pp. 1-13
Author(s):  
Aikozha Absadykov
Keyword(s):  
Economic Growth ◽  
Economic Performance ◽  
Good Governance ◽  
Political Stability ◽  
Gdp Per Capita ◽  
Governance Indicators ◽  
Regulatory Quality ◽  
Per Capita ◽  
The Relationship ◽  
Control Of Corruption

Good governance is generally believed to improve country’s economic performance. This paper studies the relationship between the World Bank’s Worldwide Governance Indicators (Voice and Accountability, Political Stability and Absence of Violence, Government Effectiveness, Regulatory Quality, Rule of Law, Control of Corruption) and economic growth in terms of GDP per capita in Kazakhstan. The findings of the research indicate that there is a significant positive relationship between good governance and economic performance of Kazakhstan. Specifically, results show that the Control of Corruption has the strongest impact on GDP per capita. 

scholarly journals Determinants Du Developpement Financier Dans Les Pays De La Zone Franc Cfa: Le Role De La Qualite Des Institutions

2016 ◽  
Vol 12 (28) ◽  
pp. 285
Author(s):  
Kos à Mougnol Alice ◽  
Pr Kamajou François
Keyword(s):  
Financial Development ◽  
Political Stability ◽  
Dynamic Panel Data ◽  
Institutional Factors ◽  
Dynamic Panel ◽  
Franc Zone ◽  
Institutional Convergence ◽  
Cfa Franc

This paper aims at analysing the role of the quality of institutions (institutional factors) on financial development within the fourteen countries of the CFA Franc zone. For that purpose, the Pool Mean Group (PMG) method is used in order to estimate a linear model in dynamic panel data over the period 1996-2011. Findings show that the quality of some institutions (corruption, political stability, quality of regulation…) conditions or affects the improvement level of financial system of the above-listed countries. To contribute to the emergence of better developed finance and of course more productive, the paper stands for an “institutional convergence” as one of the assets of financial development in the CFA Franc countries.

scholarly journals Financial Development and Economic Sustainability in ECOWAS Countries: the Role of Institutional Quality

ETIKONOMI ◽  
2020 ◽  
Vol 19 (1) ◽  
pp. 41-50
Author(s):  
Fanglin Li ◽  
Michael Appiah ◽  
Benjamin Korankye
Keyword(s):  
Financial Development ◽  
Emerging Economies ◽  
Institutional Quality ◽  
Positive Association ◽  
Economic Sustainability ◽  
Regulatory Quality ◽  
And Control ◽  
The Relationship ◽  
Control Of Corruption

The literature explored the relationship between financial development and economic sustainability, taking into consideration the roles played by institutional quality in the ECOWAS region. Most literature still debates on the roles of institutional quality on economic growth. The study used data from 1996-2017 for 15 emerging economies within the ECOWAS by applying two-step SYS GMM (SGMM) estimators.  The study discovered that financial development has no significant and positive alliance on economic sustainability in the ECOWAS region. Besides that, regulatory quality and control of corruption, considered institutional quality variables have conflicting results with control of corruption reducing growth as well as regulatory quality increasing growth. Again, the results came out that capital formation has a positive association with growth and labor force influencing negatively on growth.  Finally, due to a lack of proper corruption control systems in the region and poor financial sector development, growth cannot improve.JEL Classification: O11, O43, C23How to Cite:Li, F., Appiah, M., & Korankye, B. (2020). Financial Development and Economic Sustainability in ECOWAS Countries: The Role of Institutional Quality. Etikonomi: Jurnal Ekonomi, 19(1), 41 – 50. https://doi.org/10.15408/etk.v19i1.13709.

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