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Book part
Publication date: 23 April 2024

Samar H. AlBagoury

Education had proven to be one of the main determinants of economic growth, and it is a reason of the variations in economic growth levels between developed and developing…

Abstract

Education had proven to be one of the main determinants of economic growth, and it is a reason of the variations in economic growth levels between developed and developing countries. One of the main dimensions in studding the relationship between economic growth and education is the gender dimension or the importance of gender equality or female education in achieving economic growth. This chapter aims to test the hypothesis of the existence of a positive relationship between female education and economic growth in Egypt since 1990.

To address this question, Auto Regression Distributed Lag (ARDL) Bound test approach is conducted to analyze the co-integration between female education and economic growth using Egyptian Data for the period 1990–2022. The Empirical analysis for Egypt suggests the existence of positive significant relationship both in the short run and long run and that the impact of female education on economic growth is larger than the impact of education in general on growth. This could be explained by the existence of gender gap in Egypt, labor market, and thus, more educated girls able to enter the labor market will affect the economic growth more than the education of both sexes, in other words, there is still a room for improvement in the female labor market opportunities than for both sexes. The chapter also confirms the existence of a direct link between education in general and economic growth and thus confirms the hypothesis of the positive impact of education economic growth.

Details

Technological Innovations for Business, Education and Sustainability
Type: Book
ISBN: 978-1-83753-106-6

Keywords

Article
Publication date: 6 September 2024

Temitope Abraham Ajayi

A popular convention in the political-economy literature is that causality runs from democracy to economic growth. That thinking has continued to evoke significant debates among…

Abstract

Purpose

A popular convention in the political-economy literature is that causality runs from democracy to economic growth. That thinking has continued to evoke significant debates among scholars. This study aims to propose a new research experiment by investigating whether macroeconomic variables cause democratisation.

Design/methodology/approach

The study uses a panel data set of 48 carefully selected economies in Sub-Saharan Africa spanning 1991 to 2020 and uses the PVAR system generalised method of moment (GMM) approach.

Findings

With the application of three macroeconomic indicators: economic growth, full employment and balance of payment equilibrium, the study suggests that economic growth has a negative implication on the democratisation process and that the incentives that increase national income provide in the global South enable autocratic rulers to impede democratic growth. The Granger causality test demonstrates a unidirectional effect from economic growth to democracy. The eigenvalue stability condition, impulse response function and forecast-error variance decomposition all confirmed the validity of the findings with the PVAR system GMM. Finally, the study proposed policy and theoretical implications for the political stakeholders.

Social implications

Robust development of economic institutions (particularly the anti-corruption and rule of law) in the global South is required to tame the potential for the state actors to turn public resources into personal use to further their parochial political interest in the form of perpetuating themselves in office which negates the ideals of democracy and social norms. Strong institutions could prevent the misuse of national income and enhance a good quality of life for the citizenry, making them grow confidence in the democratisation process.

Originality/value

The research paper makes an insightful contributions from the methodological perspective and the sampling perspective. The author uses a new research method, the PVAR system GMM becoming the first attempt of such a method to be applied in determining the causal effects of macroeconomic variables on democracy in the literature. Another relevant contribution of the study relates to the sample technique of selecting economies from the Sub-Saharan Africa with notable weak or slow democratisation process.

Details

Transforming Government: People, Process and Policy, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-6166

Keywords

Article
Publication date: 17 September 2024

Syed Ali Abbas, Shabib Haider Syed and Qamar Saleem

This study examines the impact of urbanization on growth and the role of international financial flows in the urbanization-growth nexus.

Abstract

Purpose

This study examines the impact of urbanization on growth and the role of international financial flows in the urbanization-growth nexus.

Design/methodology/approach

The study applies the panel least square estimation to examine the impact of urbanization on growth using panel data from 50 developing countries from 1980 to 2016. Further, addressing the endogeneity issues in panel estimations, the study applies the dynamic System-GMM approach to investigate the role of financial flows in urbanization and their impact on economic growth in developing countries.

Findings

Contrary to the conventional literature, we found a non-linear (U-shaped) relationship between urbanization and growth. Our findings demonstrate that growth is reduced at a lower level of urbanization due to less availability, concentration, and synchronization of production factors. The concentration of physical and human capital and technological advancement in urban areas help developing countries achieve economic growth at a higher level of urbanization. Robust estimations divulged that foreign aid spent on infrastructure development and expanding urban regions helps promote economic growth. Nevertheless, as a resilient factor, remittances buffer the rapid pace of urbanization and reduce growth by resisting the migration of labor and capital from rural to urban areas.

Practical implications

The paper's findings suggest policymakers promote urban infrastructure and development using local and international funds since its increased level spurs economic growth. Further, the results advise policymakers to reduce aid dependency, attract FDI, and facilitate the easy and low-cost transfer of money to promote remittance inflows since both FDI and remittances positively contribute to economic growth.

Originality/value

The paper contributes significantly to the literature by determining the U-shaped relationship between urbanization and growth and highlighting the role of international flows in the urbanization-growth nexus.

Details

Journal of Economic Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0144-3585

Keywords

Article
Publication date: 5 September 2024

Ariful Islam, Sazali Abd Wahab and Shehnaz Tehseen

Malaysian small and medium-sized enterprises (SMEs) are critical for economic development and meeting the sustainable development goals (SDGs); however, many struggle to survive…

Abstract

Purpose

Malaysian small and medium-sized enterprises (SMEs) are critical for economic development and meeting the sustainable development goals (SDGs); however, many struggle to survive in the long term. So, this study aims to present a model for sustainable growth that bridges the gap between desired growth and managerial competencies. By configuring university helix-induced crowdfunding and opportunity recognition competencies with industry helix-driven innovation, the study encourages a quadruple bottom line (QBL) strategy, helping SMEs attain competitiveness for sustainable growth.

Design/methodology/approach

This pilot study used a sequential mixed methods design and adhered to the pragmatic research paradigm. A survey of 52 SCORE-listed manufacturers yielded quantitative data, complemented by qualitative interviews with 7 SME decision makers. This study used NVivo 10 and SmartPLS 4.0 for the necessary analysis. In addition, an effective triangulation strategy has been implemented to explain causation among selected variables.

Findings

The findings show that opportunity recognition and crowdfunding are positively associated with SMEs’ ability to grow in a sustainable manner and that exploitative and explorative innovation also mediate those relationships. The qualitative part highlighted key insights for successfully applying this model in Malaysian SMEs. The interview results also suggest that corporate spirituality might help SMEs adopt sustainability-focused practices.

Research limitations/implications

More research is required regarding both the methods and results of this pilot study. Although conducting a pilot study increases the likelihood of success in the main study, it does not ensure it.

Practical implications

This study equips Malaysian SMEs with a roadmap for achieving sustainable growth. The obtained findings indicate that Malaysian SMEs that develop strong crowdfunding and opportunity recognition competencies are more likely to achieve innovation-focused long-term survival. In addition, incorporating corporate spirituality can enhance their economic, social and environmental performance.

Social implications

By supporting more innovation in SMEs, which can improve sustainability-oriented successes and support a healthy economic system, these findings may have a beneficial social change impact. The concept may also act as the foundation for SMEs’ promotion of the SDGs.

Originality/value

The study uniquely offers a holistic growth model for Malaysian SMEs founded on the helix-QBL understanding that explains a firm’s sustainability-focused competitive advantage.

Details

International Journal of Innovation Science, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1757-2223

Keywords

Article
Publication date: 18 September 2024

Amro Aljbour, Muhammad Ali and Erica French

Talent management can provide an organization with a competitive advantage. However, little is known about how human resource practices pertaining to talent management drive…

Abstract

Purpose

Talent management can provide an organization with a competitive advantage. However, little is known about how human resource practices pertaining to talent management drive positive outcomes. Drawing on social exchange theory, this study investigates the effect of talent management practices usage on employee commitment and intention to leave. Integrating social exchange theory and the theory of met expectations facilitated predicting the mediating role of perceived career growth in the talent management practices usage-employee outcomes relationship.

Design/methodology/approach

Data were collected using a survey from 268 employees from eight organizations from the financial and services industries in Jordan.

Findings

Talent management practices usage has a significant direct positive effect on employee commitment but no direct effect on employees’ intention to leave. Further, there is pioneering evidence that perceived career growth mediates the following relationships: talent management practices usage and commitment and talent management practices usage and intention to leave.

Originality/value

The study provides unprecedented evidence of the effect of TM practices usage on employee outcomes and the role of perceived career growth in the TM practices usage-employee outcomes relationship from an underexplored context of Jordon. Our research results contribute to theory development in TM by supporting, extending and integrating social exchange theory and the theory of met expectations.

Details

Employee Relations: The International Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0142-5455

Keywords

Article
Publication date: 16 September 2024

Opeoluwa Adeniyi Adeosun, Philip Akani Olomola, Adebayo Adedokun and Mosab I. Tabash

The study investigates the influence of inclusive growth on tax revenue. It validates the fiscal exchange and resource bargaining theories, which suggest that tax compliance…

Abstract

Purpose

The study investigates the influence of inclusive growth on tax revenue. It validates the fiscal exchange and resource bargaining theories, which suggest that tax compliance improves when citizens perceive that their tax contributions lead to enhanced welfare and that the government negotiates with people to provide public goods and services in exchange for taxes received.

Design/methodology/approach

The paper employs inclusive growth measures, including an integrated GDP and equity growth measure and alternative proxies based on GDP per person employed and Asian Development Bank (ADB) inclusive growth indicators. Using 39 sub-Saharan African countries as a sample, our analysis captures spatial interactions across these contiguous countries using the Fixed-Effect model with the Driscoll and Kraay non-parametric consistent covariance matrix and the spatial Durbin Arellano–Bond linear dynamic panel generalized method of moment (Spatial GMM) approach with an interaction weight matrix to capture interactions between countries in the region.

Findings

The paper shows that inclusive growth positively influences tax revenue in the region. This validates the fiscal exchange and resource bargaining hypotheses, demonstrating that tax compliance is positively influenced by public goods provision and the government’s ability to emphasize the necessity of taxes for service provision. It indicates that citizens are more willing to pay taxes when the government effectively promotes welfare. We find a significant positive spatial spillover effect, suggesting that inclusive growth not only boosts tax revenue within a specific country but also extends its benefits to neighboring countries, aligning with the spillover theory.

Practical implications

The study posits that the government implements policies that guarantee effectiveness and accountability in public welfare delivery as well as sufficient tax bases and tax revenue. An inclusive growth policy that engenders GDP growth, employment and equity growth should be implemented since the rate of tax compliance of the citizens improves for every welfare provided by the government.

Originality/value

This study tests the validity of the fiscal exchange and resource bargaining theories in Sub-Saharan Africa. Accommodating spatial dependence and cross-border effects, the study sheds light on how inclusive growth impacts tax revenue across contiguous countries in the region. As such, the region should prioritize regional integration, fostering economic ties and harmonizing policies through knowledge sharing and cross-border investment.

Details

African Journal of Economic and Management Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2040-0705

Keywords

Article
Publication date: 13 September 2024

Jiawei Xu, Baofeng Zhang, Jianjun Lu, Yubing Yu, Haidong Chen and Jie Zhou

The importance of the agri-food supply chain in both food production and distribution has made the issue of its development a critical concern. Based on configuration theory and…

Abstract

Purpose

The importance of the agri-food supply chain in both food production and distribution has made the issue of its development a critical concern. Based on configuration theory and congruence theory, this research investigates the complex impact of supply chain concentration on financial growth in agri-food supply chains.

Design/methodology/approach

The cluster analysis and response surface methodology are employed to analyse the data collected from 207 Chinese agri-food companies from 2010 to 2022.

Findings

The results indicate that different combination patterns of supply chain concentration can lead to different levels of financial growth. We discover that congruent supplier and customer concentration is beneficial for companies’ financial growth. This impact is more pronounced when the company is in the agricultural production stage of agri-food supply chains. Post-hoc analysis indicates that there exists an inverted U-shaped relationship between the overall levels of supply chain concentration and financial growth.

Practical implications

Our research uncovers the complex interplay between supply chain base and financial outcomes, thereby revealing significant ramifications for agri-food supply chain managers to optimise their strategies for exceptional financial growth.

Originality/value

This study proposes a combined approach of cluster analysis and response surface analysis for analysing configuration issues in supply chain management.

Details

International Journal of Physical Distribution & Logistics Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0960-0035

Keywords

Article
Publication date: 18 September 2024

Balraj Verma, Mandeep Bhardwaj, Sugandh Arora and Sumit Oberoi

The present study reviews the theoretical and empirical literature about the significance of international migrants' remittance to empirically analyse the effect of remittance on…

Abstract

Purpose

The present study reviews the theoretical and empirical literature about the significance of international migrants' remittance to empirically analyse the effect of remittance on the productivity growth of developing countries using a panel dataset from 1991 to 2021.

Design/methodology/approach

The study utilised the data envelopment analysis (DEA)-based Malmquist Productivity Index (MPI) to measure nationwide production efficiencies. It first performed a unit root test, cointegration test and pool mean group autoregressive distributed lag (PMG-ARDL) technique. To assess the robustness of the findings, the study also uses dynamic ordinary least squares (DOLS) and fully modified OLS (FMOLS) estimators.

Findings

The results demonstrated that remittances are a significant source of funding that promotes innovation [i.e. technological progress (TEC)] and hastens the country's total factor productivity (TFP) growth. However, the study needed to have established the effect of inward remittances on the nation's technical efficiency (EFF).

Research limitations/implications

As remittances encourage innovation and TFP growth (TFPG), the concerned governments must create favourable and enabling economic environments to increase remittance inflows, which will have far-reaching growth repercussions.

Originality/value

The present study emphasises the connection between remittances and productivity growth, the disintegration of TFP, advanced econometric techniques and contribution to research policy. Despite prior literature exploring the effect of remittances on economic growth, a dearth of literature exists on how remittances affect a country's productivity. The output-based MPI methodology used in this study offered a nuanced understanding of how remittances affect many facets of productivity growth in developing nations.

Details

International Journal of Productivity and Performance Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 18 September 2024

Inzamam Ul Haq, Chunhui Huo and Irum Saba

This paper aims to examine the dynamic relationship between economic growth and sustainable development, integrating the Environmental Kuznets Curve (EKC) in 22 Organization of…

Abstract

Purpose

This paper aims to examine the dynamic relationship between economic growth and sustainable development, integrating the Environmental Kuznets Curve (EKC) in 22 Organization of Islamic Cooperation (OIC) member countries across income groups.

Design/methodology/approach

Using annual data between 1990 and 2022, the authors apply the cross-correlation coefficient (CCC) approach of Narayan et al. (Economic Modeling, 2016, 53, 388–397) to examine the lead/lag relationship between GDP per capita and sustainable development. This study further validates the findings through a panel Granger causality test and a fixed panel regression model.

Findings

This research provides evidence of a U-shaped EKC for only 1 out of 22 (5%) OIC countries. For 13 out of the 22 (59%) OIC countries, increasing income growth is expected to enhance sustainable development in the future. The results show that as income levels rise, there will be a more significant decline in sustainable development for high-income OIC countries in the future than for both middle-income groups, contradicting the EKC hypothesis. The findings from the panel Granger causality and panel regression models also support the CCC results.

Originality/value

This study proposes a reverse version of the EKC hypothesis and contributes to the literature on economic growth and environmental sustainability. With increasing economic growth, the results can assist OIC member governments and policy-makers in designing tailored policies and practical measures for future sustainable development.

Details

International Journal of Islamic and Middle Eastern Finance and Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1753-8394

Keywords

Open Access
Article
Publication date: 30 August 2024

Marcos Paulo da Silva Falleiro and Pedro Cezar Dutra Fonseca

In this paper we investigate why the process of structural change in Brazil was growth accelerating before 1980 and why it was growth reducing after this year.

Abstract

Purpose

In this paper we investigate why the process of structural change in Brazil was growth accelerating before 1980 and why it was growth reducing after this year.

Design/methodology/approach

We investigate the causes of this change in behavior using the shift-share decomposition method.

Findings

The results indicate that in the first period there were high productivity gains as result of improvement in economic fundamentals such as the quality of capital and of labor and innovations. In this way, reallocation of workers between sectors, that is part of the process of structural change, was an inducer of economic growth. However, after 1980, mainly between 1991 and 2011, sectors that achieved productivity gains did so by reducing labor, which was absorbed by sectors with poor performance in terms of productivity growth. Furthermore, factors such as the deindustrialization that developed countries have been undergoing, the international situation, the stage of Brazilian economic development and its possible premature deindustrialization contributed to a growth reducing structural change.

Originality/value

Our differential to the matter is applying the shift-share methodology without combining any of the ten sectors analyzed, adopting a slightly different time frame than similar studies and presenting the shift-share results in a graphically manner in addition to the traditional numbers. By representing graphically how much each of the ten sectors is contributing to the structural change in the economy we are emphasizing the specificities of each of these sectors instead of just considering the aggregated view like manufacturing industry versus other industries or modern services versus traditional services.

Details

EconomiA, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1517-7580

Keywords

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