Abolghasem Golkhandan; Mojtaba Khansari; Davood Golkhandan
Volume 5, Issue 18 , March 2015, , Pages 50-31
Abstract
This paper examines the effect of military expenditure on economic growth in MENA region countries. High share of military expenditure in GDP of the MENA region countries on the one hand and strategic position of Middle East countries in this region, on the other hand, need to examine the effect of military ...
Read More
This paper examines the effect of military expenditure on economic growth in MENA region countries. High share of military expenditure in GDP of the MENA region countries on the one hand and strategic position of Middle East countries in this region, on the other hand, need to examine the effect of military spending on economic growth in the MENA region countries. In this regard, an augmented Solow model (proposed by Knight et al. (1996) about military expenses and economic growth) during the period 1995-2012 is used. Long-run equilibrium relationship between the variables of this model verified by Pedroni (2004) and Kao (1999) panel cointegration tests. The results of this research by using generalized method of moments (GMM( of dynamic panel data, show the negative impact of military spending on economic growth in the MENA region countries. So can be said that although military spending is required in order to increase security of many countries in the region, but these expenditure will reduce economic growth.
Shahram Arianmehr; Abolfazl Yahyaabadi; Amir Hortamani
Volume 4, Issue 13 , January 2014, , Pages 28-11
Abstract
The transference of economic activities to the private sector and the government withdrawal of its economic activities are introduced as dominant solutions to today's economic problems and growth in countries, over the past two decades. This strategy -which takes place in order to return the government ...
Read More
The transference of economic activities to the private sector and the government withdrawal of its economic activities are introduced as dominant solutions to today's economic problems and growth in countries, over the past two decades. This strategy -which takes place in order to return the government activities to the private sector known as privatization- can make fundamental changes in behavior and nature of the economic activities. Unlikely to the previous studies, which have been extremely done so far regarding the effects of privatization but in micro scale there are still few studies regarding the practical experiences of the privatization in different countries, in macro scale. This research demonstrates the effects of privatization on economic growth with controlling of critical Levine and Renelt (1992) growth models, as well as, empirical findings from previous studies, about D-8 countries, for the period between 2001-2009 and by using of the dynamic panel generalized method of moments (GMM). The results confidently prove that, as was expected, the privatization strategy has positive (although negligible) and significant impacts on economic growth in the mentioned countries.
Bahram Sahabi; Mansor Etesami; Khaled Aminpour
Volume 3, Issue 12 , November 2013, , Pages 118-105
Abstract
Growth of financial economics literature in recent decades has clearly shown that financial development facilitates economic growth. Important question is that why some countries have more developed financial sectors than others. In this study, effect of government size and good governance on financial ...
Read More
Growth of financial economics literature in recent decades has clearly shown that financial development facilitates economic growth. Important question is that why some countries have more developed financial sectors than others. In this study, effect of government size and good governance on financial development was considered by using statistical data, including 76 developing and developed countries in time period of 1996 to 2011. The relationship between the variables was estimated with Generalized Moment Method (GMM). The results showed that government size and good governance has negative and positive effects on financial sector development, respectively. Also, for the purpose of adapting and improving of the results, effect of government size and good governance on financial sector development was separately examined in developing and developed countries, which supported the previous results. The results confirmed the political view and the analysis of results also demonstrated that inflation has the highest influence on financial sector development in developing countries.
