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Article
Publication date: 5 January 2024

Imran Khan

The paper aims to analyse the impact of economic and governance factors on remittance inflows to India from the UK, USA and UAE. India is globally recognised as the largest…

Abstract

Purpose

The paper aims to analyse the impact of economic and governance factors on remittance inflows to India from the UK, USA and UAE. India is globally recognised as the largest recipient of remittances.

Design/methodology/approach

Using a comprehensive time series data set spanning 1996 to 2022, the authors use an innovative non-linear autoregressive distributed lag model approach to examine the influence of economic growth, corruption control and employer availability in the three source countries on remittance inflows to India.

Findings

The results indicate that in the UAE, changes in economic growth and corruption control directly affect remittance outflows. However, the presence of employers in the UAE has minimal impact on remittance outflows to India. Regarding the UK, fluctuations in economic growth primarily drive remittance outflows to India. The effect of corruption control and employment opportunities on remittance outflows is marginal. In the USA, economic growth does not notably impact remittance outflows, whereas corruption control and employment opportunities significantly influence the outflows to India.

Originality/value

These findings have important implications for policymakers. Analysing macroeconomic factors from key remittance-sending nations offers valuable insights for Indian policymakers and their international counterparts to enhance remittance inflows. The study focuses on three countries that collectively contribute to about 50% of India's remittances, providing a unique contribution compared to the usual country-specific or regional focus in existing literature. Finally, leveraging these findings, NITI Aayog, an organisation dedicated to achieving India's sustainable development goals, can effectively monitor macroeconomic indicators related to significant remittance-sending countries.

Details

Journal of Financial Economic Policy, vol. 16 no. 3
Type: Research Article
ISSN: 1757-6385

Keywords

Article
Publication date: 2 January 2024

Amel Belanès, Abderrazek Ben Maatoug and Mohamed Bilel Triki

The paper investigates the dynamic relationship between oil prices, the USA dollar exchange rate and the Saudi stock market index.

Abstract

Purpose

The paper investigates the dynamic relationship between oil prices, the USA dollar exchange rate and the Saudi stock market index.

Design/methodology/approach

The authors perform a novel dynamic simulated the autoregressive distributed lag (ARDL) on weekly data from 2010 to 2021.

Findings

The authors' work reveals three main results: First, a cointegration relationship exists between oil prices and the Saudi stock market index. Second, the Saudi stock market is strongly affected by fluctuations in oil prices in both the short and long run. Third, the exchange rate of the USA dollar has a slight influence on the movements of the Saudi stock market. The simulations show that the Saudi stock market index has a long-run upward trend after an oil price shock, while the dollar index rises moderately after a similar shock. Moreover, the first months of the COVID-19 pandemic coincided with a significant decline in the Saudi stock market index, particularly the substantial drop in oil prices.

Practical implications

These findings encourage domestic and foreign investors to benefit from an upward trend in oil prices, especially after the opening of the Saudi market to foreign investment. On the other hand, it raises questions about the Saudi economy's dependence on oil as the sole vehicle for output growth. It highlights the urgent need for diversification and productivity growth in the non-oil sector and other renewable natural resources to increase Saudi competitiveness.

Originality/value

The novelty of the research lies in the following. First, the authors apply one of the latest developments in time-series modeling techniques. This dynamic ARDL simulation model provides a worthwhile alternative way to explore dynamic correlations in the short and long run and assess the choc effects. Secondly, the study would enable us to track the impact of the COVID-19 health crisis on the Saudi stock market.

Details

The Journal of Risk Finance, vol. 25 no. 1
Type: Research Article
ISSN: 1526-5943

Keywords

Article
Publication date: 12 December 2023

Kanwal Zahid, Qamar Ali, Zafar Iqbal, Samina Saghir and Muhammad Tariq Iqbal Khan

Environmental protection and conservation of resources is a challenge for policymakers to attain sustainable growth and development. The current study uses the variable of…

Abstract

Purpose

Environmental protection and conservation of resources is a challenge for policymakers to attain sustainable growth and development. The current study uses the variable of inclusive growth instead of the traditional measure of growth.

Design/methodology/approach

The link between inclusive growth, renewable energy, industrial production, trade openness and the environment is explored by using panel data from 1995 to 2019 in Brazil, Russia, India, China and South Africa (BRICS) countries. Before applying formal techniques, unit root tests were applied to check the stationarity of each variable. The long-run relationship among factors was found by the Kao cointegration test. The panel dynamic ordinary least squares (DLOS) was employed for regression estimation.

Findings

The results verified a decrease in ecological footprint (EF) in response to a potential rise in renewable energy consumption. An upsurge in EFs was explored due to a rise in gross domestic product (GDP) per person employed and trade openness. The EF significantly decreased by 0.671% in response to a 1% rise in renewable energy consumption.

Research limitations/implications

It is highly suggested to enhance renewable energy usage. To achieve this, policymakers should implement and emphasize efficient energy technologies to ensure improving the environment. Efficient use of renewable energy resources will decrease global warming effects and ensure the sustainable use of scarce resources.

Originality/value

It first took into account the variable of inclusive growth instead of traditional growth measures. It explored the impact of GDP per person employed as an indicator of inclusive growth.

Details

Kybernetes, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 31 May 2023

Jeunesse Noumga, Flavian Emmanuel Sapnken, Aubin Kinfack Jeutsa and Jean Gaston Tamba

This research paper aims to examine the asymmetric impact of income and price on household consumption of kerosene in Cameroon.

Abstract

Purpose

This research paper aims to examine the asymmetric impact of income and price on household consumption of kerosene in Cameroon.

Design/methodology/approach

The methodological approach consists of testing for stationarity using the augmented Dickey–Fuller and Andrews and Zivot tests, determining cointegration using nonlinear autoregressive distributed lag (NARDL) test approach and finally examining asymmetry using the Wald test.

Findings

Results of the stationarity tests reveal that variables are all integrated of order less than two I(2). The NARDL approach indicates that the (positive and negative) income shock and the positive price boom negatively influence consumption in the long- and short-run. The same is true for the negative price shock, but the latter remains insignificant. Furthermore, the Wald test carried out in the study confirms that the cumulative effects of the positive and negative income and price shocks are asymmetric.

Originality/value

The increase in the price of kerosene due to the lifting of subsidies has led to a decrease in household consumption and an unfortunate increase in the loss of tree cover in Cameroon. According to the results, this phenomenon will persist even if the price is reduced. Actions aimed at reducing its production at the expense of liquefied petroleum gas, electricity and renewable energy should be encouraged to limit the loss of vegetation cover. Thus, this study could contribute to solving the problem of deforestation and desertification in Cameroon.

Details

International Journal of Energy Sector Management, vol. 18 no. 3
Type: Research Article
ISSN: 1750-6220

Keywords

Article
Publication date: 10 May 2023

Robert M. Hull, Ashfaq Habib and Muhammad Asif Khan

The main purpose is to explore the impact of major stock markets on China's market where major markets are represented by former G8 nations (current G7 and Russia).

Abstract

Purpose

The main purpose is to explore the impact of major stock markets on China's market where major markets are represented by former G8 nations (current G7 and Russia).

Design/methodology/approach

The article makes use of: stationarity tests (ADF and PP unit root); long-run correlation tests (Johansen integration involving trace and maximum eigenvalue); impact of G8 markets on China (VECM test); influence of G8 markets on volatility in China's market (variance decomposition analysis) and, effect from shocks in G8 markets on China (impulse response function).

Findings

Using a period of 2009–2019 that avoids detecting linkages caused by interdependencies created by two major international crises, the article offers four major findings. First, except for Germany and Russia, G8 markets have a significant causal influence on China with UK having the greatest. Second, G8 markets are not the major source of short-run fluctuation in China's market but over time exercise a noteworthy collective impact with UK having the greatest impact. Third, there are occasions for international portfolio diversification with China's market providing greater diversification than G8 nations. Fourth, all markets provide a short-run window of abnormal profit.

Research limitations/implications

The indexes used to represent national markets are assumed to be adequate representations.

Practical implications

Short-term abnormal profits exist. Investing in China, compared to G8 countries, offers greater portfolio diversification possibilities.

Social implications

Removal of trade and investment barriers cause greater market integration.

Originality/value

By using recent data, this study reveals that G8 stock markets influence China's market.

Details

Managerial Finance, vol. 49 no. 11
Type: Research Article
ISSN: 0307-4358

Keywords

Article
Publication date: 2 December 2022

Veysel Inal, Temel Gurdal, Tunahan Degirmenci and Mucahit Aydin

There is extensive literature on the effect of military expenditure on economic growth. However, there is also a wide gap in the literature on the relationship between…

Abstract

Purpose

There is extensive literature on the effect of military expenditure on economic growth. However, there is also a wide gap in the literature on the relationship between productivity and innovation, which is considered the driving force of economic growth and military expenditures. To this end, this study examines the effect of military expenditures on economic growth, innovation and labor productivity for the period 1995–2019 in most militarized countries.

Design/methodology/approach

The tests used in the study's empirical analysis are techniques that take into account cross-sectional dependence and heterogeneity. The stationarity of the variables was tested with the Pesaran’s (2007) unit root test. Then, empirical findings were revealed based on the analysis through Westerlund’s (2008) cointegration test and Emirmahmutoglu and Kose’s (2011) panel causality test.

Findings

According to the empirical results, there is a long-run relationship, in other words, a cointegration between military expenditures and productivity, innovation and economic growth. Additionally, there are causality relationships between military expenditures and productivity, innovation and economic growth.

Practical implications

These results support the arguments of military Keynesianism and the Benoit hypothesis.

Originality/value

Despite the widespread theoretical debate, no empirical study tests the effect of military expenditure on productivity and innovation to the author's best knowledge. Hence, this study aims to fill this gap in the literature. Moreover, the fact that the econometric method used is based on second generation tests and the timeliness of the period range makes the study's findings more significant.

Details

Kybernetes, vol. 53 no. 3
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 5 July 2022

Mert Akyuz and Cagin Karul

This study aims to examine the effects of industrial production (IP), inflation and investment on suicide mortality in Turkey as a developing country over the 1988–2018 period.

Abstract

Purpose

This study aims to examine the effects of industrial production (IP), inflation and investment on suicide mortality in Turkey as a developing country over the 1988–2018 period.

Design/methodology/approach

Fourier cointegration test and dynamic ordinary least square regression were used in this study.

Findings

IP and investment have a statistically significant and negative impact on suicide mortality, whereas inflation has a statistically significant and positive effect on suicide mortality.

Research limitations/implications

The results of this study have important implications for policymakers and potentially the creation and implementation of suicide prevention policies. Not only do investment promotion, IP and disinflation policies in developing countries have a significant effect on economic growth but they also have a substantial impact on mental health.

Originality/value

Although previous studies have investigated the impact of economic growth and unemployment on suicide deaths in Turkey, no research has probed the effect of economic factors, except for unemployment and gross domestic product, on suicide. Thus, given the hidden unemployment and informal sector in developing economies, it is vital to examine the impact of IP, inflation and investment on mental health.

Details

International Journal of Human Rights in Healthcare, vol. 16 no. 5
Type: Research Article
ISSN: 2056-4902

Keywords

Article
Publication date: 4 March 2024

Shnehal Soni and Manogna RL

This study aims to examine the impact of renewable energy consumption on agricultural productivity while accounting for the effect of financial inclusion and foreign direct…

Abstract

Purpose

This study aims to examine the impact of renewable energy consumption on agricultural productivity while accounting for the effect of financial inclusion and foreign direct investment in Brazil, Russia, India, China and South Africa (BRICS) countries during 2000–2020.

Design/methodology/approach

The study has used the latest data from World Bank and International Monetary Fund databases. The dependent variable in the study is agricultural productivity. Renewable energy consumption, carbon emissions, financial inclusion and foreign direct investment are independent variables. Autoregressive distributed lag (ARDL) approach was used to examine the short-run and long-run impact of renewable energy consumption, carbon emissions, foreign direct investment and financial inclusion on agricultural productivity.

Findings

The findings imply that consumption of renewable energy, carbon emissions and foreign direct investment have a positive impact on agricultural productivity while financial inclusion in terms of access does not seem to have any significant impact on agricultural productivity. Providing farmers, access to financial services can be beneficial, but its usage holds more importance in impacting rural outcomes. The problem lies in the fact that there is still a gap between access and usage of financial services.

Research limitations/implications

Policymakers should encourage the increase in the usage of renewable energy and become less reliant on non-renewable energy sources which will eventually help in tackling the problems associated with climate change as well as enhance agricultural productivity.

Originality/value

Most of the earlier studies were based on tabular analysis without any empirical base to establish the causal relationship between determinants of agricultural productivity and renewable energy consumption. These studies were also limited to a few regions. The study is one of its kind in exploring the severity of various factors that determine agricultural productivity in the context of emerging economies like BRICS while accounting for the effect of financial inclusion and foreign direct investment.

Details

International Journal of Energy Sector Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-6220

Keywords

Article
Publication date: 7 March 2024

Karan Raj and Devashish Sharma

The purpose of this study is to construct a new index to assess the impact of an energy price shock on macroeconomic indicators of India. This paper also shows a comparative…

Abstract

Purpose

The purpose of this study is to construct a new index to assess the impact of an energy price shock on macroeconomic indicators of India. This paper also shows a comparative analysis of the constructed index along with pre-existing World Bank and International Monetary Fund indices on energy.

Design/methodology/approach

This paper uses three vector autoregressions and compute the long-term impact of the indices on the considered macroeconomic variables through impulse response functions.

Findings

This paper finds that an energy price shock has a detrimental impact on the macroeconomic indicators of India in the long run. This study also finds that the constructed index acts as a relatively more sensitive index in comparison to the International Monetary Fund and World Bank indices, which is bespoke to a developing economy case. This sensitivity is ascribed to dynamic weighting for a different basket of energy components, which are more pertinent to an Indian context.

Originality/value

The novelty of this research lies in the construction of a new index and its comparison to the existing ones. This study justifies why a developing economy would require a different measure of energy as opposed to the existing indices.

Details

International Journal of Energy Sector Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-6220

Keywords

Article
Publication date: 22 December 2023

Veli Yılancı, Mustafa Kırca, Şeri̇f Canbay and Muhlis Selman Sağlam

This study aims to test the unemployment hysteresis hypothesis for Nordic countries by considering age and gender differentials at various frequencies.

Abstract

Purpose

This study aims to test the unemployment hysteresis hypothesis for Nordic countries by considering age and gender differentials at various frequencies.

Design/methodology/approach

First, the authors test the linearity of the unemployment series and apply appropriate unit root tests based on the linearity test results. The authors use these tests for both original and wavelet-decomposed unemployment rates.

Findings

The authors' findings indicate that the results obtained from the original and decomposed series differ. While the authors find evidence of unemployment hysteresis in the six unemployment rates in the short run, they observe supportive results for hysteresis in the three unemployment rates in the long run.

Originality/value

The authors take into account different age and gender groups. Furthermore, the authors propose a testing strategy for unemployment hysteresis that considers the nonlinearity and structural breaks in unemployment rates. Finally, the authors determine whether the unemployment hysteresis is valid at various frequencies.

Details

International Journal of Manpower, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0143-7720

Keywords

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