scholarly journals ANALYSIS ON THE IMPACT OF INVESTMENTS, ENERGY USE AND DOMESTIC MATERIAL CONSUMPTION IN CHANGING THE ROMANIAN ECONOMIC PARADIGM

2019 ◽  
Vol 25 (1) ◽  
pp. 59-81 ◽  
Author(s):  
Gheorghe H. Popescu ◽  
Jean Vasile Andrei ◽  
Elvira Nica ◽  
Mihai Mieilă ◽  
Mirela Panait
Keyword(s):  
Error Correction ◽  
Energy Use ◽  
Correction Term ◽  
Material Consumption ◽  
Vector Error Correction ◽  
Vector Error ◽  
Vec Model ◽  
Economic Paradigm ◽  
High Degree ◽  
The Impact

The main aim of the paper is to assess the impact of fix capital, energy use and domestic material consumption in changing the inland Romanian economic paradigm, from an economic perspective, using the intensive form of the Cobb-Douglas function. In order to identify various connections of economic growth, sustainable development, energy usage has determined the application of the vector error correction (VEC) model and the implied error correction term (ECT). This method was chosen based on the premise that it has a high degree of applicability and it can be used in order to revile significant aspects terms of indicator significance and displays. The results obtained during the research confirm that both in Romania and at EU-28 level there are determinant and significant elements shaping a proactive economic policy.

scholarly journals The Impact of Bank Indonesia Regulation No. 17/3/2015 on Exchange Rate: Analysis Using Vector Error Correction Model (VECM)

2021 ◽  
Vol 12 (2) ◽  
pp. 131-141
Author(s):  
Muhamad Yudi Setiawan ◽  
Tanti Novianti ◽  
Mukhamad Najib
Keyword(s):  
Exchange Rate ◽  
Error Correction ◽  
Error Correction Model ◽  
Vector Error Correction Model ◽  
Correction Model ◽  
Vector Error Correction ◽  
Vector Error ◽  
Negative Effect ◽  
The Exchange Rate ◽  
The Impact

The weakening of the Rupiah against the US dollar has encouraged Bank Indonesia to issued Bank Indonesia Regulation (Peraturan Bank Indonesia - PBI) No. 17/3/2015. The research aimed to analyze the factors that affected the Rupiah exchange rate, the effect of PBI No. 17/3/2015 on the movement of the Rupiah exchange rate, and the behavior of exchange rate movement to the shocks on the variables that influenced it. The research applied secondary data, namely monthly data from January 2008 to April 2019 taken from reliable sources such as National Development Planning Agency (Bappenas), Bank Indonesia (BI), and Statistics Indonesia (BPS). It was explanatory research with a quantitative approach. The studied data were processed with the Vector Error Correction Model (VECM) method to identify long and short-term effects. The results of the long-term equation show that export-import has a negative effect on the exchange rate. Similarly, inflation has no significant effect on the exchange rate. Then, the money supply has a significantly negative effect on the exchange rate. However, the interest rate of Bank Indonesia positively affects the exchange rate. Next, the implementation of PBI No. 17/3/2015 has a significant and positive impact on the exchange rate. Last, the crisis condition does not affect the changes in exchange rates.

scholarly journals Εκπαίδευση, χρηματοοικονομικές δαπάνες και οικονομική ανάπτυξη

2019 ◽  
Author(s):  
Γεώργιος Γαράφας
Keyword(s):  
Error Correction ◽  
Vector Error Correction ◽  
Vector Error ◽  
Vec Model ◽  
Penn World Table

Στην παρούσα διατριβή διερευνάται η σχέση ανάμεσα στην εκπαίδευση και την οικονομική ανάπτυξη, στην περίπτωση της Ελλάδας μεταπολεμικά (1950-2009). Η εκπαίδευση προσεγγίζεται μέσα από τις δημόσιες εκπαιδευτικές δαπάνες, τα ποσοστά των εγγεγραμμένων και τα μέσα έτη εκπαίδευσης, και η οικονομική ανάπτυξη μέσα από μία σειρά από θεμελιώδεις μακροοικονομικές μεταβλητές. Για το σκοπό αυτό παρουσιάζεται αναλυτικά η πορεία ενός πλήθους χρονολογικών σειρών που αφορά: εκπαιδευτικές μεταβλητές, χρηματοοικονομικές δαπάνες, παραχθέν προϊόν, πληθυσμιακά δεδομένα, πηγές χρηματοδότησης και δείκτες αξιολόγησης της εκπαίδευσης. Ο κύριος όγκος των δεδομένων συλλέχτηκε από τις εκδόσεις των Στατιστικών της Εκπαίδευσης, των Στατιστικών Επετηρίδων και τους Εθνικούς Λογαριασμούς της ΕΛΣΤΑΤ, καθώς και από τη βάση δεδομένων Penn World Table 9.0 (Feenstra, Inklaar, and Trimmer, 2015). Στην εμπειρική ανάλυση χρησιμοποιώντας την προσέγγιση των Johansen (1988) και Johansen and Juselius (1990) και εφαρμόζοντας ένα Διανυσματικό Υπόδειγμα Διόρθωσης Σφαλμάτων (Vector Error Correction, VEC model), επιδιώκεται να ελεγχθεί η σχέση ανάμεσα στην εκπαίδευση και στο παραγόμενο προϊόν. Τα αποτελέσματα της εμπειρικής ανάλυσης, υποδεικνύουν την ύπαρξη μακροχρόνιας σχέσης συνολοκλήρωσης ανάμεσα στην εκπαίδευση και στο πραγματικό ΑΕΠ. Επίσης, εφαρμόζοντας την προσέγγιση των Toda – Yamamoto (1995) διαπιστώνεται ότι το ανθρώπινο κεφάλαιο αιτιάζει κατά Granger την οικονομική ανάπτυξη, χωρίς να διαπιστώνεται αντίστροφη σχέση αιτιότητας.

scholarly journals Agricultural Mechanization as an Expansion Factor of Cropland in Benin: The Case of Tractors

2018 ◽  
Vol 7 (4) ◽  
pp. 1 ◽  
Author(s):  
Ichaou Mounirou
Keyword(s):  
Agricultural Sector ◽  
Cotton Production ◽  
Vector Error Correction ◽  
The North ◽  
Vector Error ◽  
Agricultural Mechanization ◽  
Vec Model ◽  
The One ◽  
Agricultural Investments ◽  
The Impact

We propose in this paper a methodology based on the vector error correction (VCE) model. This modeling approach makes it possible to use a large database to model the impact of agricultural mechanization on cropland in Benin. The results of the VEC model estimates confirm a positive relationship between agricultural mechanization and the areas planted of paddy rice, millet and yams. Moreover, the findings suggest that agricultural mechanization is still far to boost the land uses of cotton, maize and cassava, despite the importance of cotton in the Beninese economy on the one hand, and the key roles of maize and cassava in diet in Benin, on the other hand. Agricultural mechanization is far from being a reality in Benin's agricultural sector to the extent that public agricultural investments are below the Maputo agreements (Note 1). An effective agricultural mechanization must opt for cereals whose investments in agricultural machinery are less expensive compared to cotton. This strategy of agricultural mechanization makes it possible to better ensure food security, unlike the intensive cotton production, whose terms of trade are always unfavorable and dependent on subsidies from the North.

scholarly journals IDENTIFIKASI BANJIR IMPOR KENTANG DAN DAMPAKNYA TERHADAP HARGA DOMESTIK KENTANG DI INDONESIA

2018 ◽  
Vol 2 (2) ◽  
pp. 156-175
Author(s):  
Hadiwiyono Hadiwiyono ◽  
Muhammad Firdaus ◽  
Lukytawati Anggraeni
Keyword(s):  
Error Correction ◽  
Function Analysis ◽  
Error Correction Model ◽  
Vector Error Correction Model ◽  
Domestic Price ◽  
Correction Model ◽  
Vector Error Correction ◽  
Vector Error ◽  
Safeguard Mechanism ◽  
The Impact

Indonesia needed to be cautious of import surge since it has potential to influence import value and price in the era of trade globalization. The main purpose of this reasearch was to examine whether import surge occurred for horticulture commodities in Indonesia, especially for potato. The methods used for identifying occurrence of import surge was based on Special Safeguard Mechanism framework of World Trade Organization which will strengthened with Vector Error Correction Model to analyse the impact of import surge to domestic prices. Based on Special Safeguard Mechanism framework, volume-based Special Safeguard Mechanism triggered in almost all year during 2002-2012 but price-based Special Safeguard Mechanism is not triggered in those years. Based on Impuls Response Function analysis, the impact of import surge shock to domestic price was relatively low but occurred permanently. Based on Forecast Error Variance Decomposition analysis, import surge variables contributed slightly to the domestic price variability but it tend to increased as time. Keywords: Horticulture, Potato, Special Safeguard Mechanism, Import Surge, Vector Error Correction Model

scholarly journals The Impact Of Dividend Payments On Shareholders Wealth: Evidence From The Vector Error Correction Model

2013 ◽  
Vol 12 (11) ◽  
pp. 1451 ◽  
Author(s):  
Johannes De Wet ◽  
Mvita Mpinda
Keyword(s):  
Error Correction ◽  
Market Price ◽  
Error Correction Model ◽  
Vector Error Correction Model ◽  
Correction Model ◽  
Vector Error Correction ◽  
Dividend Payments ◽  
Vector Error ◽  
Long Run ◽  
The Impact

To date, a vast body of research has been established on dividend policy. However, little research has been done on the impact of dividend payments on shareholders wealth while considering the short- and long-run effects. This study is based on a sample of 46 companies listed on the Johannesburg Securities Exchange (JSE) for the period 1995 to 2010. The Vector Error Correction Model (VECM) was used to describe the short-run and long-run dynamics or the adjustment of the co-integrated variables toward their equilibrium values. Results indicate that in the long run, dividend yield is positively related to market price per share, while earnings per share do not have a significant impact on the market price per share.

scholarly journals Do Diaspora Remittances Guarantee Food Security in Nigeria?

2021 ◽  
pp. 36-53
Author(s):  
Onime, Bright Enakhe ◽  
E. Kalu, Ijeoma
Keyword(s):  
Food Security ◽  
Error Correction ◽  
Correction Term ◽  
Secondary Data ◽  
Vector Error Correction ◽  
Current Period ◽  
Vector Error ◽  
Long Run ◽  
Short Run ◽  
Security Challenge

The burgeoning remittances into Nigeria and their effect on the economy have received renewed attention in recent times. Literature has suggested the existence of a relationship between remittances and food security. The extent to which this is true for Nigeria is uncertain. Using Vector Error Correction Model (VECM), this study examined the link between remittances and food security using secondary data for the period 1980 to 2018. Findings revealed a robust long and short-run relationship between remittances and food security. In the short-run, a positive and significant relationship was found between remittances and food security in the current period such that a 1 per cent increase in remittances was associated with a 5.08 per cent improvement in food security. In the long-run, a cointegrated relationship was observed as the error correction term depicting this relationship was well-behaved, properly signed and significant indicating that any previous period deviation in long-run equilibrium is corrected in the current period at an adjustment speed of 28.8 per cent. In addition, the Granger test suggests a unidirectional causality running from remittances to food security such that past values of remittances determined food security during the period investigated. Consequent to the findings, the study recommended with a caveat, the design and proper implementation of a diaspora and remittances policy to cater for the welfare of Nigerians in the diaspora to improve remittance receipts and by implication, food security. However, since remittances alone cannot guarantee food security in Nigeria, this study further recommends a holistic and multidimensional approach to address the food security challenge and close the food deficit gap.

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