Financial development and economic growth: evidence from panel data

This study examines the relationship between financial development and growth in ASEAN by using panel ordinary least squares and causality analysis. In this study gross domestic products (GDP) is used to represent growth and the ratio of money supply to GDP represents financial development. There ar...

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Main Author:	Nurzamira, Ahmat
Format:	Thesis
Language:	eng eng
Published:	2016
Subjects:	HC Economic History and Conditions HG Finance
Online Access:	https://etd.uum.edu.my/6110/1/s812400_01.pdf https://etd.uum.edu.my/6110/2/s812400_02.pdf
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id	my-uum-etd.6110
record_format	uketd_dc
institution	Universiti Utara Malaysia
collection	UUM ETD
language	eng eng
advisor	Nayan, Sabri
topic	HC Economic History and Conditions HG Finance
spellingShingle	HC Economic History and Conditions HG Finance Nurzamira, Ahmat Financial development and economic growth: evidence from panel data
description	This study examines the relationship between financial development and growth in ASEAN by using panel ordinary least squares and causality analysis. In this study gross domestic products (GDP) is used to represent growth and the ratio of money supply to GDP represents financial development. There are also other variables such as exchange rates, foreign direct investment (FDI) and total population are being used as independent variables. Panel Ordinary Least Squares (POLS) had been used to investigate the relationship between growth and financial development and we found that all the independent variables in this study generally have significant relationship with growth. In addition, this study conducted Granger causality test and the test results confirmed that a unidirectional causal relationship exists between foreign direct investment and population has causal impact which run from foreign direct investment to population. There is also a unidirectional causal relationship can be found to exist running from the exchange rate to financial development. Finally in conclusion, in order to improve growth of the country, government as a policy maker play an important role to encourage investment by providing or upgrading infrastructures and facilities in order to generate more opportunities furthermore to create competition and productivity in the economy.
format	Thesis
qualification_name	other
qualification_level	Master's degree
author	Nurzamira, Ahmat
author_facet	Nurzamira, Ahmat
author_sort	Nurzamira, Ahmat
title	Financial development and economic growth: evidence from panel data
title_short	Financial development and economic growth: evidence from panel data
title_full	Financial development and economic growth: evidence from panel data
title_fullStr	Financial development and economic growth: evidence from panel data
title_full_unstemmed	Financial development and economic growth: evidence from panel data
title_sort	financial development and economic growth: evidence from panel data
granting_institution	Universiti Utara Malaysia
granting_department	Othman Yeop Abdullah Graduate School of Business
publishDate	2016
url	https://etd.uum.edu.my/6110/1/s812400_01.pdf https://etd.uum.edu.my/6110/2/s812400_02.pdf
_version_	1747828022783770624
spelling	my-uum-etd.61102021-04-19T04:35:14Z Financial development and economic growth: evidence from panel data 2016 Nurzamira, Ahmat Nayan, Sabri Othman Yeop Abdullah Graduate School of Business Othman Yeop Abdullah Graduate School of Business HC Economic History and Conditions HG Finance This study examines the relationship between financial development and growth in ASEAN by using panel ordinary least squares and causality analysis. In this study gross domestic products (GDP) is used to represent growth and the ratio of money supply to GDP represents financial development. There are also other variables such as exchange rates, foreign direct investment (FDI) and total population are being used as independent variables. Panel Ordinary Least Squares (POLS) had been used to investigate the relationship between growth and financial development and we found that all the independent variables in this study generally have significant relationship with growth. In addition, this study conducted Granger causality test and the test results confirmed that a unidirectional causal relationship exists between foreign direct investment and population has causal impact which run from foreign direct investment to population. There is also a unidirectional causal relationship can be found to exist running from the exchange rate to financial development. Finally in conclusion, in order to improve growth of the country, government as a policy maker play an important role to encourage investment by providing or upgrading infrastructures and facilities in order to generate more opportunities furthermore to create competition and productivity in the economy. 2016 Thesis https://etd.uum.edu.my/6110/ https://etd.uum.edu.my/6110/1/s812400_01.pdf text eng public https://etd.uum.edu.my/6110/2/s812400_02.pdf text eng public other masters Universiti Utara Malaysia Adu G., Marbuah G., & Mensah J.T (2013), “Financial development and economic growth in Ghana: Does the measure of financial development matter? ”, Review of Development Finance 3(2003), 192-203. Alfanro L., Chanda A., Ozcan S.K., & Sayek S (2006), “How does foreign direct investment promote economic growth? Exploring the effects of financial markets on linkages”, National Bureau Of Economic Research, working paper, no. 12522. 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Financial development and economic growth: evidence from panel data

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