Economic Growth
farhad ghalambaz; Ali Souri; Ghahraman Abdoli; Mohsen Ebrahimi
Abstract
Investigation of factors that affect economic growth has been always attractive. Foreign direct investment is one of the variables that have potential effects on growth. This study carried out to investigate the impact of foreign direct investment on economic growth. We consider the role of natural resources ...
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Investigation of factors that affect economic growth has been always attractive. Foreign direct investment is one of the variables that have potential effects on growth. This study carried out to investigate the impact of foreign direct investment on economic growth. We consider the role of natural resources using panel threshold regression model for 1996 to 2015 period and also emphasis on relationship between foreign direct investment and economic growth in Iran by Markov Switching Approach for 1976-2015. Panel threshold regression model formed based on Hansen’s (1999) suggested model then that estimated by Wang’s (2015) proposed method for fixed effect models. Results of threshold regression model showed that natural resources, domestic capital formation, population growth rate and governance indicator has statistically significant effect on economic growth. Threshold level for natural resources is 28.58 percentages. Foreign direct investment variable has different effect on economic growth in regimes. In first regime foreign direct investment increase economic growth but in second regime, that natural resources is more than threshold level, it decrease growth rate. Results of tow regimes Auto-Regressive Markov Switching model for Iran showed that foreign direct investment in recession regime is insignificant but this variable in boom regime has statistically significant effect and this relationship is negative.
Quality of Environment
Majid Ahmadian; Ghahreman Abdoli; Farkhondeh Jebel Ameli; Mahmood Shabankhah; seyed adel khorasani
Volume 7, Issue 27 , July 2017, , Pages 17-28
Abstract
In recent decades environment has been an important issue more than any other time. Hence, this study investigated the relationship between economic growth and environmental quality indicator in selected developing countries (including 32 country) for the period 2002-2013 by using a dynamic panel method ...
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In recent decades environment has been an important issue more than any other time. Hence, this study investigated the relationship between economic growth and environmental quality indicator in selected developing countries (including 32 country) for the period 2002-2013 by using a dynamic panel method based on generalized method of moments (GMM). The results show that there is a positive and significant relationship between economics growth and degradation of environment (environmental quality degradation), which means that an increase in environment degradation indicator increased the economic growth. This case is because of the rate of resource depletion begins to exceed the rate of resource regeneration and Pollution Haven Hypothesis in the studied countries. The results of Sargen and Arellano-bond autocorrelation test also respectively show, there is correlation between tools and component disruption and model does not have autocorrelation in the first order difference. Meanwhile results of Toda and Yamamoto Causality test show the existence of unilateral relationship from the Environment Degradation indicator to Economic Growth.
