Timur Mohammadi; hameed nazeman; Younes khodaparast persarai
Volume 3, Issue 10 , April 2014, , Pages 151-178
Abstract
Economic growth is one of the main macroeconomic goals of most countries. It is therefore, of paramount importance to recognize the major factors that influence it. Financial development and trade openness are usually considered as two significant factors that affect economic growth in various ways. ...
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Economic growth is one of the main macroeconomic goals of most countries. It is therefore, of paramount importance to recognize the major factors that influence it. Financial development and trade openness are usually considered as two significant factors that affect economic growth in various ways. Using a vector error correction model (VECM), this study investigates the causality relationship between financial development, trade openness and economic growth in two major oil producing countries , Iran and Norway. The study period for Iran is 1967-2009, and for Norway is 1967-2006.The ratio of liquidity to GDP and the ratio of bank credit to the private sector to GDP have been used as two financial development indices. The trade openness and economic growth have been illustrated using trade intensity index and the GDP per capita. Findings of the study indicate that financial development and trade openness are both significant cause of economic growth in Iran in the short run. There is also a bi-directional causality between both indicators of financial development and economic growth in the long run. In Norwegian economy it is indicated that there is a significant causal relationship between bank credit to the private sector and economic growth in the short-term, and there also is a bi-directional causality between bank credit to the private sector and trade intensity in Norway in the long- term. Therefore, it can be concluded that according to the findings of this study, practically there is the supply side view in Iran, while there is the demand side view in Norway.
Timur Mohammadi; Hamid Nazeman; Mohsen Nasratian Nasab
Volume 2, Issue 5 , January 2013, , Pages 53-170
Abstract
The causal relation between energy consumption and economic growth, as an imperative issue in energy economics, has been a well-studied topic. Previous studies in Iran have ignored the nonlinear behavior which could be caused by structural breaks. In this study, both linear and nonlinear causality test ...
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The causal relation between energy consumption and economic growth, as an imperative issue in energy economics, has been a well-studied topic. Previous studies in Iran have ignored the nonlinear behavior which could be caused by structural breaks. In this study, both linear and nonlinear causality test are applied to examine the causal relationship between energy consumption and economic growth in Iran. The nonlinear causality test, applied here, is based on the conception of correlation integral (an estimator of spatial probability across time). In this study, we find evidence on a unidirectional linear and nonlinear causality running from energy consumption to economic growth.
environmental pollution. On the basis of panel integration and co-integration tests, Stern (2004) and Perman and Stern (1999, 2003) have presented evidence and forcefully stated that the EKC hypothesis does not exist. In this paper by using fractional co-integration test, EKC is evaluated for 27 low middle income countries. The conclusions show according to classical co-integration test there is no co-integrated EKC based on HADRI statistics. Using fractional co-integration, evidences support a common EKC for countries: El Salvador, Nicaragua, Iran, Pakistan, Paraguay, Tunisia but our data does not give useful information about EKC existence.
fareast-font-family:Calibri; mso-bidi-font-family:"Times New Roman";color:#333333;mso-no-proof:no'>FARIMA) were applied using the daily oil price in order to forecast oil prices. To compare the forecast accuracy of the model, the prediction error criteria was used. The results showed that the performance of FARIMA is much better than the other two models.
