THE ROLE OF PRODUCTIVITY IN ECONOMIC GROWTH AND EQUILIBRIUM
Journal Title: Asian Economic and Financial Review - Year 2013, Vol 3, Issue 11
Abstract
This study reexamines the evidence for the Balassa-Samuelson effect for the 1985-2007 period. Cointegrating relationships between the real exchange rate and productivity, real price of oil and government spending are estimated using the Johansen and Stock-Watson procedures. The findings show that for each percentage point in the US-Euro area productivity differential there is a three percentage point change in the real dollar/euro valuation. These findings are robust to the estimation methodology, the variables included in the regression, and the sample period. We suggest that economic disequilibrium can result in a decline in economic growth. This study will utilize von Neumann’s “A Model of General Economic Equilibrium” as an economic equilibrium standard.
Authors and Affiliations
Ordean Olson| Economics Department Nova Southeastern University
Keywords
Related Articles
- EP ID EP1976
- DOI -
- Views 441
- Downloads 23
THE IMPACT OF TRADER BEHAVIOR ON OPTIONS PRICE VOLATILITY
Because relatively few studies have examined the behavior among different types of traders in the options market, this investigation conducts an empirical study examining the impact of trader type on price volatility in...
THE IMPACTS OF THE QUALITY OF THE ENVIRONMENT AND NEIGHBOURHOOD AFFLUENCE ON HOUSING PRICES: A THREE - LEVEL HIERARCHICAL LINEAR M ODEL APPROACH
This paper employs a three-level hierarchical linear model (HLM) to examine the impacts that the quality of the environment and neighbourhood affluence have on housing prices. The empirical results suggest that there are...
ECONOMIC FREEDOM AND ECONOMIC GROWTH IN MENA COUNTRIES
Most studies of the relationship between economic freedom and growth of GDP have found a positive correlation. One problem in this area is the choice of measure of economic freedom. A single measurement does not reflect...
Examining CSR Reporting and Economic Crisis a Study of GRI Reporting Companies
This paper explores the relationship between CSR Reporting and the last global economic crisis that started in the late half of the year 2007. The sample of the study is composed of companies included in the "GRI Report...
THE CAUSALITY BETWEEN INCOME INEQUALITY AND ECONOMIC GROWTH: EMPIRICAL EVIDENCE FROM THE MIDDLE EAST AND NORTH AFRICA REGION
This paper explores the causality problem between income inequality and economic growth for 9 countries of Middle East and North Africa (MENA) region for the period ranging from 1960 to 2011. In this study, we applied th...