• The Journal of Asian Finance, Economics and Business
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• v.7 no.9
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• pp.219-228
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• 2020

The study investigates the impact of inflation rate on economic growth to find the best-fit model for economic growth in Vietnam. The study applied Vector Autoregressive (VAR), cointegration models, and unit root test for the time-series data from 1996 to 2018 to test the inflation impact on the economic growth in the short and long term. The study showed that the two variables are stationary at lag first difference I(1) with 1%, 5% and 10%; trace test indicates two cointegrating equations at the 0.05 level, the INF does not granger cause GDP, the optimal lag I(1) and the variables are closely related as R2 is 72%. It finds that the VAR model's results are the basis to perform economic growth; besides, the inflation rate is positively related to economic growth. The results support the monetary policy. This study identifies issues for Government to consider: have a comprehensive solution among macroeconomic policies, monetary policy, fiscal policy and other policies to control and maintain the inflation and stimulate growth; set a priority goal for sustainable economic growth; not pursue economic growth by maintaining the inflation rate in the long term, but take appropriate measures to stabilize the inflation at the best-fitted VAR forecast model.

• Korea Trade Review
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• v.44 no.6
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• pp.247-265
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• 2019

This research focuses on the influences of FDI on the economic growth of four countries by Mekong river: Vietnam, Laos, Cambodia and Thailand. At the same time, the study also analyzes the contributing of economic growth to attract FDI inflow to these countries. The panel data during the period 1998-2017 were collected from World Bank. Empirical analysis figures out that GDP, mobile phone, labor force are the determinants affecting positive to FDI and vice versa exchange rate, wage are the negative factors. Secondly, FDI, export, exchange rate, government expenditure impact positively on economic growth but inflation and population have negative effect on the economic development. Thirdly, The FDI and economic growth have impact mutually in Vietnam, Laos, Cambodia and Thailand economy. FDI plays a very crucial role in contributing greatly to the economic development of the Mekong sub-region. The economic growth is higher, the FDI inflow is more attractive. From the results, some practical suggestions are offered to enhance the competitiveness in attracting FDI.

• Asian Journal of Business Environment
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• v.2 no.2
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• pp.27-33
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• 2012

Purpose - The article studies aims to construct the center of economy in the upriver area of Chang Jiang, and has realistic significance probing into the contribution of insurance essential factor market to economic development on the contribution role of essential factor market of insurance in financial industry development to economic growth in Chongqing in both aspects of direct and indirect contribution by the way of demonstration analysis. Research data and methodology - The data are from Statistic Yearbook in Chongqing in 1997-2008.The conclusion shows that essential factor market of insurance development falls behind of economic growth in direct aspect; BBD, BLD and FIR could pull economic growth, but ID just restrain economic growth in Chongqing. Results -The estimate coefficient sigh of BDD, BLD, FIR are plus but ID is not, it is to say the increase of bank deposit dump could impel economic growth, which is accord with general thought. Conclusions - At last, the article Having Studied on the contribution role of essential factor market of insurance in financial industry development to economic growth in Chongqing by the way of demonstration analysis.

• SUVANNABHUMI
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• v.15 no.2
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• pp.215-244
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• 2023

This study analyzes the effect of macroeconomic indicators such as foreign direct investment (FDI), domestic investment, trade, inflation, unemployment, population, and governance indicators on economic growth and points out the GDP growth rate in 2002- 2019 among ASEAN countries. Data were compiled from the Worldwide Governance Indicators (WGI) and the World Bank, and the effect of variables on GDP was predicted using the pooled ordinary least squares (POLS), fixed effects model (FEM), and random effects model (REM) methods. As a measure of growth, the GDP growth rate has been taken; FDI and domestic investment, trade, inflation, and governance indicators are positively connected and have an influence on economic growth in these ASEAN countries; domestic investment, population, and unemployment have a negative relationship to economic growth. The macroeconomic indicators and institutional stability of the nation have an effect on its economic growth. Comprehensive institutional stability and well-laid macroeconomic policies are required for growth to materialize.

• Journal of Urban Science
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• v.9 no.1
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• pp.41-49
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• 2020

This study analyzed the factors affecting economic growth using multiple regression model and Geographically Weighted Regression in consideration of population, industry and employment, housing and political characteristics on economic growth by region. The analysis results are summarized as follows. First, the total employment growth rate, manufacturing employment growth rate, local election turnout and the level of party consensus between the central and local governments are having a positive impact on regional economic growth. Second, according to the GWR analysis, the population has a positive impact on economic growth in the southern region of Korea, and the increase in the total number of employees has a positive impact on the southern region of Gyeonggi Province, Gangwon Province, North Chungcheong Province and North Gyeongsang Province. Finally, the voter turnout of urbanites is positively affecting economic growth in South Chungcheong Province, Gangwon Province and the southern coast, while North Jeolla and South Jeolla provinces have a positive impact on economic growth as the parties of the central and local governments are equal. The results of this study may suggest the role of local government for regional economic development.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.5
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• pp.325-334
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• 2021

This study aims to investigate whether economic growth is elevated by banking industry development in Jordan. The study adopts time-series econometric methodologies, which comprise the bounds testing approach within the autoregressive distributed lag (ARDL) and the conditional causality analysis. Consistent with the assumptions of the adopted methodology, the study utilized annual time-series data for a relatively long period of thirty-nine years, between 1980 and 2018. The empirical results show that Jordan's economic growth is strongly responsive in respect to any changes in banking industry development. Also, the results reveal the harmful impact of rising lending interest rate; as this rate increases, economic growth will decrease. The findings are in line with the conceptual arguments of the supply-leading hypothesis, which confirmed that banking development is considered as one of the main pillars that have stimulating effects on economic growth. The evidence of the current study may provide important implications for policymakers and bankers. Those professionals should work to maintain a stable regulatory system that enhances the banking system function in activating economic growth. Also, a considerable focus should be placed on designing a steady interest rate policy to avoid the inherently undesirable impacts of high-interest rates on the Jordanian economy.

• The Journal of Asian Finance, Economics and Business
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• v.10 no.2
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• pp.213-222
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• 2023

This paper mainly studies the relationship between financial development, inbound tourism development, and economic growth rate in Fujian Province, China. This study uses the data of real GDP, foreign exchange income from international tourism, and financial interrelations ratio from 1994 to 2019. In the analysis process, the Johansen cointegration test is first used to analyze whether the three have a long-term equilibrium relationship. Then the vector error correction model is established to test the restrictive relationship among the three. Next, the Granger causality test assesses whether the three have a causal relationship. Finally, the contribution rate of the three is analyzed by variance decomposition. The above methods show the following conclusions: first, the three have a long-term equilibrium relationship. Secondly, in the short term, local economic growth is constrained by inbound tourism and financial development. Thirdly, there is a causal relationship between economic growth and inbound tourism in Fujian, while there is a unidirectional causal relationship between financial development and economic growth, financial development, and inbound tourism. Fourthly, the contribution rate of inbound tourism to economic growth fluctuations in Fujian is higher than that of financial development.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.6
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• pp.109-116
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• 2020

The study examines the nexus between financial development and economic growth in India during Q1: 1996 to Q3: 2018. This study employs time-series data of real GDP and ratio of broad money to GDP as a proxy for economic and financial development, respectively. The data are obtained from RBI database on the Indian economy. All variables are seasonally adjusted using X12-arima technique and expressed in natural logarithm form. Non-linear Autoregressive Distributed Lag (NARDL) bound test has been used to check for cointegrating relationship of these two variables. Empirical findings suggest that, unlike in the short run, in the long run financial development does impact economic growth positively. Further, a symmetric effect of positive and negative components of financial development is found for the Indian economy, whereas the effect of control variable like exchange rate and trade openness is in consonance with common economic intuition. Exchange rate is in consonance with intuitive economic logic that a fall in exchange rate makes exports cheaper and increases the quantity of export, which improves the balance of payment and leads to a rise in aggregate demand, hence improves economic growth. This paper contributes to the existing literature on India by breaking down financial indicator into positive and negative components to examine the finance-growth relationship.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.2
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• pp.305-312
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• 2022

Each country's economic progress creates opportunities for its citizens to raise their income. Meanwhile, the country has secured the people's social security policies, particularly the protection of income equality, to promote harmonious and sustained economic development. Vietnam has been located in a dynamic economic development area in Southeast Asia since the 1986 economic reforms, with an annual growth rate of around 7%. Meanwhile, having achieved a middle-income status of roughly 3500 USD per person per year, Vietnam is attempting to maintain income equality and access to welfare systems for its inhabitants. As a result, the primary goal of this study is to use an autoregressive distributed lagged model to investigate the effects of income inequality and other economic factors such as foreign direct investment and trade openness on Vietnam's economic growth from 1992 to 2019. The research focuses attention on literature on income inequality, economic development indicators, and economic development in unique ways in this study. Income inequality slows the rate of change in economic development in the same year, according to our findings. Finally, the study will make policy suggestions to the Vietnamese government.

• The Journal of Asian Finance, Economics and Business
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• v.6 no.1
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• pp.121-128
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• 2019

This study analyses the relationship between the real estate market and economic growth in Vietnam, a country with a fledgling real estate market. Research data included economic growth rate and growth rate of the real estate market in Vietnam. The research used quarterly data for the period from 2005: Q1 to 2018: Q1. With the characteristics of Vietnam, there has been no real estate index up to now; therefore, the research used data on growth rates of the real estate market. In addition, the real estate market in Vietnam is still young, so the data series is very short, which is a limitation of this research. With qualitative and quantitative methods especially with the Vector Auto Regressive (VAR) model; the results of the study indicate new findings, unlike previous studies, including: (1) The real estate market positively impacts Vietnam's economic growth, most noticeably in the second quarter lag and the fourth quarter lag, and then its trend impacts inversely; (2) The real estate market and economic growth in Vietnam have fluctuated over time with many risks that are affected by the past shocks of these factors. From these findings, we proposed some managerial implications for managing the real estate market with economic growth in Vietnam sustainably.