Journal of Quantitative Methods (JQM)

Journal of Quantitative Methods (JQM)

Basic info

  • Publisher: University of Management and Technology
  • Country of publisher: pakistan
  • Date added to EuroPub: 2019/Nov/15

Subject and more

  • LCC Subject Category: Business, Finance, Economics, Social Sciences
  • Publisher's keywords: Business and Social sciences
  • Language of fulltext: english
  • Time from submission to publication: weeks

Publication charges

  • Article Processing Charges (APCs): No
  • Submission charges: No
  • Waiver policy for charges? No

Open access & licensing

  • Type of License:
  • License terms
  • Open Access Statement: Yes
  • Year open access content began: 2017
  • Does the author retain unrestricted copyright? True
  • Does the author retain publishing rights? True

Best practice polices

  • Permanent article identifier: DOI
  • Content digitally archived in:
  • Deposit policy registered in:

This journal has '24' articles

Detecting Stationarity of GDP: A Test of Unit Root Tests

Detecting Stationarity of GDP: A Test of Unit Root Tests

Authors: Atiq-ur- Rehman
Year: 2019, Volume: 3, Number: 1
(0 downloads)
Abstract

Despite extensive research of research on unit roots, consensus on several important issues and implications has not emerged to date (Libanio, 2005). There are many series which were being investigated for existence of unit root and for these series, there is conflict between the researchers regarding the existence of unit root. For a given data series it is generally not possible to decide which of unit root tests would be the best suited. The Monte Carlo experiments prove that the performance of unit root tests depends on the type of data generating process (DGP), but for the real data we do not know the true DGP. Hence, we cannot decide which of the tests would perform best for a series. The bootstrap approach of Rudebusch (1993) offers an alternative to measure the performance of unit root test for any real time series with unknown DGP. Rudebusch (1993)’s approach is extended to measure and compare the performance of unit root tests for annual real GDP series of various countries. Our results show that unit root tests have very low ability to discriminate between best fitting trend stationary and difference stationary models for GDP series of most of the countries and that Phillips Perron test is superior to its rivals including Dickey-Fuller, DF-GLS and Ng-Perron tests. The results also support existence of unit root in real GDP series.

Keywords: unit root tests. stationarity. GDP
Determinants of Net Interest Margins in Emerging Markets: A Generalized Method of Moments Approach

Determinants of Net Interest Margins in Emerging Markets: A Generalized Method of Moments Approach

Authors: Adeela Khalil, Umar Farooq
Year: 2019, Volume: 3, Number: 1
(0 downloads)
Abstract

The study focuses on checking the effect of Leverage Risk, Credit Risk, Implicit Interest Payment, Non-Interest Bearing Reserve and Management Efficiency on Net Interest Margin of the banks of Pakistan, India and Bangladesh. This study applies Generalized Method of Moment GMM and panel regression model to explore the impact of risk factors on net interest margin which banks face in providing immediacy. A descriptive analysis of data was performed to get sample characteristics. A set of 33, 37 and 18 banks from Pakistan India and Bangladesh respectively was selected as sample. The data were collected from annual reports of selected banks. The results show that net interest margin has negative and significant effect on the credit risk. Implicit interest payment has positive and significant impact on net interest margin. Leverage risk has significant and negative effect on the net interest margin. Management efficiency has positive and significant effect on the net interest margin. Non-interest bearing reserve also positively and significantly affects the net interest margin. These results recommend the financing policy that banks should consider specific ratios which may increase the net interest margin and also reduce the credit risk.

Keywords: net interest margin. leverage risk. implicit interest payment. non-interest bearing reserve. management efficiency. credit risk
Corruption, Political Instability and Sustainable Development: The Interlinkages

Corruption, Political Instability and Sustainable Development: The Interlinkages

Authors: Rana Ejaz Ali Khan, Sarwat Farooq
Year: 2019, Volume: 3, Number: 1
(0 downloads)
Abstract

The study empirically probed the interdependence among corruption, political instability and sustainable development for a panel of 28 developing economies and disaggregated sample of lower-middle and upper-middle income economies for the time period 2000-2014. The three stage least square (3SLS) estimation revealed that corruption negatively affects sustainable development and political instability. The political instability impedes sustainable development and corruption. The sustainable development reduces political instability and corruption. It explains that corruption enhances political stability and political stability increases corruption. The disaggregated estimates of developing economies are almost same as aggregate estimates of developing economies, however political instability has statistically insignificant effect on sustainable development in upper-middle-income economies. To go forward for sustainable development, the elimination of corruption is imperative.

Keywords: corruption. political instability. sustainable development. income inequality. resource curse. sand the wheels
Quality of Life and Globalization: Econometric Evidence from Asian Economies

Quality of Life and Globalization: Econometric Evidence from Asian Economies

Authors: Muhammad Tariq Majeed
Year: 2019, Volume: 3, Number: 1
(0 downloads)
Abstract

The impact of global integration on economic growth is largely discussed in the literature. However, little attention has been paid to analyze the association of globalization with quality of life. In particular, the role of globalization in influencing the quality of life in Asian economies has not been yet analyzed. This study investigates the effect of globalization on quality of life of Asian economies using a comprehensive measure of globalization including its disaggregated dimensions that are economic, social and political forms of globalization. The results show that globalization helps to enhance quality of life of Asian economies. All dimensions of globalization, however, are not causing significant effect on quality of life. Political globalization does not increase quality of life while other forms of globalization increase quality of life.

Keywords: wellbeing. socioeconomic globalization. political globalization. Asian countries. panel data
Nexus between Financial Development and Investment in Pakistan: A Vector Auto-regressive Model Approach

Nexus between Financial Development and Investment in Pakistan: A Vector Auto-regressive Model Approach

Authors: Arslan Khalid
Year: 2019, Volume: 3, Number: 1
(0 downloads)
Abstract

This study has been conducted to analyze the impacts of Financial Development on Investment in Pakistan. The objectives of this study are to generate Financial Development Index for Pakistan and to analyze the impact of Financial Development on Investment along with key explanatory variables. The time period for this study is from 1975 to 2011. An index has been constructed for exact measurement of financial development by using five main indicators, and for calculation of financial development index weighted average method has been used. In our investment’s model VAR model has been for results because of different order of integration and no proves of cointegration in our data, we have also applied the causality test on our model. It has been observed by the causality test that during the period of our study financial development cause investment and investment causes financial development. By the help of impulse response function it has also been observed that the impulse of financial development has decreased the investment in Pakistan and it could be due to a fact that Pakistan is at early stage of financial development and the saved resources are not properly mobilized to investment.

Keywords: financial development. investment. foreign direct investment. principal component analysis. vector autoregressive model. augmented dickey fuller test
Modified Shewhart Control Chart Based on CEV for Gamma Distributed Lifetimes in the Presence of Type-I Censored Data

Modified Shewhart Control Chart Based on CEV for Gamma Distributed Lifetimes in the Presence of Type-I Censored Data

Authors: Syed Muhammad Muslim Raza, Muhammad Moeen
Year: 2018, Volume: 2, Number: 1
(0 downloads)
Abstract

This article explains the modified version of Shewhart control charts for monitoring the mean level of the Gamma lifetimes under the Type-I censored data. Shewhart control chart based on the conditional expected values (CEV) is developed which can efficiently monitor the Type-I censored. The results of the proposed control chart are compared with simple/traditional Shewhart control chart using different censoring rates (Pc). The main focus is the stability of the mean level for which we have considered the specified parameter(s) as well as the unspecified parameter(s) cases (where Maximum Likelihood Estimates (MLE) has been considered). It is observed that in the presence of Type-I censored observation the CEV Shewhart X Control chart outperforms traditional Shewhart X control chart. The proposed censoring control charts always outperform when known parameters are used rather than the MLE estimate cases. The proposed charting methodology is also illustrated by an example.

Keywords: conditional expected values (CEV). Gamma lifetimes. outperforms. Shewhart control charts. Type-I censored
Drivers of Green Supply Chain Management Practices and their Impact on Firm Performance: A Developing Country Perspective

Drivers of Green Supply Chain Management Practices and their Impact on Firm Performance: A Developing Country Perspective

Authors: Haris Aslam, Kamran Rashid, Asadur Rahman Wahla, Uzma Tahira
Year: 2018, Volume: 2, Number: 1
(0 downloads)
Abstract

The purpose of this paper is to identify the drivers of Green Supply Chain Management (GSCM) practices among the manufacturing firms of a developing country, and to examine the impact of GSCM practices on firms’ economic and environmental performance. A structural equation model is developed to study the hypothesized relationships between three drivers and GSCM practices. Furthermore, the relationship between GSCM practices and firm’s economic and environmental performance is also investigated. A sample of manufacturing firms is taken from the companies listed in the local stock exchange. Cross-sectional data of 80 responses from these manufacturing firms is collected. The developed model is tested through Partial Least Square Structural Equation Modeling (PLS-SEM) technique. Results show that customer’s pressure and firm’s internal drive (enviropreneurship) positively impacts the adoption of GSCM practices whereas the relationship between governmental legislation GSCM practices adoption is not significant. GSCM practices positively impact the supply chain buying firm’s economic and environmental performance.

Keywords: green supply chain management (GSCM). developing country. environmental performance. structural equation modeling. partial least square (PLS)
Quality Academic Process: A Panacea for Student Development in University Education

Quality Academic Process: A Panacea for Student Development in University Education

Authors: David Jimoh Kayode, Rhoda Olape Oduwaiye, Patricia A. O. Etejere, Adaramaja Adebayo Sheu, Jacob O. Kutu
Year: 2018, Volume: 2, Number: 1
(0 downloads)
Abstract

There has been a discussion on the quality of student development in the Nigerian university system as one of the roles of university education, is a manpower development. However, there has been a decline in the quality of graduates produced. This study was carried out to determine the impact of quality academic process on student development. The study adopted a survey research method where an instrument titled quality academic process questionnaire (QAPQ) and student development questionnaire (SDQ) were administered on faculty members in public universities in Nigeria. Out of 450 questionnaires that were given out, only 305 were returned and usable for data analysis after the data cleaning. The findings of the study revealed that university curriculum, instruction, assessment, research and development significantly determined the quality of student development while service learning was found not to be significantly related to student development. Therefore, some practical and theoretical implications were made and future research directions were suggested.

Keywords: student development. quality academic process. PLS-SEM. hierarchical model. process management. Nigerian university education
Determinants of Export Survival: The Case of Ghanaian Manufacturers

Determinants of Export Survival: The Case of Ghanaian Manufacturers

Authors: Abdul Rahim Adada Mohammed
Year: 2018, Volume: 2, Number: 1
(0 downloads)
Abstract

In this study, we sought to investigate the factors that affect the export survival of Ghanaian manufacturing firms, using the survival (or duration) analysis technique. The study used a panel dataset (of Ghanaian manufacturing firms) spanning from 1991 to 1998, obtained from the regional program for enterprise development (RPED)/Ghana Manufacturing Enterprise surveys, which was jointly conducted by the Centre for the Study of African Economies (CSAE), the University of Oxford, the University of Ghana (Legon), and the Ghana Statistical Office. Our findings suggest that median duration of Ghanaian manufacturers in export markets is 5-6 years. The study also reveals that the longer a firm remains exporting, the greater the likelihood of survival in exporting. Other factors including firm age, size and export intensity each enhance the probability of firms’ survival in exporting while exporting a final product reduces the probability of survival.

Keywords: survival analysis. export survival. Ghanaian manufacturing firms. panel data. and market.
An Empirical Investigation on the Relationship between Onshore and Offshore Indian Rupee Market

An Empirical Investigation on the Relationship between Onshore and Offshore Indian Rupee Market

Authors: Udit Kumar, Gautam Jain
Year: 2018, Volume: 2, Number: 1
(0 downloads)
Abstract

Exchange rate movements have important ramifications for the economy’s business cycle, trade and capital flows. For India, the exchange rates fluctuations have consequences for being competitive in terms of international trade and capital flows, tourist destination and for maintaining a healthy international reserve. This paper attempts to explore the relationship between rupee-dollar exchange rate in spot market, domestic forward market and off-shore forward i.e. non-delivery forward market (Singapore) to understand the information flow in between these markets. Suitable econometric techniques including causality analysis was used for the study for the period 2002 to 2014 after considering structural breaks and sub period analysis was also done. It was found that the relationship between all three markets is quite dynamic with evidences of causality in one sub period and reverse direction or no causality in other sub periods, conditional upon intervention done by RBI to curb the volatility and on various macroeconomic shocks such global financial crisis.

Keywords: exchange rate. spot market. forward market. causality. structural breaks.
Creating Optimal Portfolio and the Efficient Frontier Using Microsoft Excel®: Teaching Module

Creating Optimal Portfolio and the Efficient Frontier Using Microsoft Excel®: Teaching Module

Authors: Saurav Roychoudhury
Year: 2018, Volume: 2, Number: 2
(0 downloads)
Abstract

Portfolio managers and investors strive to achieve the best possible trade-off between risk and return, and one of the tools they use is constructing mean-variance efficient portfolios. Finance students learn about optimal portfolios and efficient frontiers, though it is difficult to replicate them unless they have access to sophisticated software. This paper develops a teaching module that uses Microsoft Excel® to create mean-variance portfolios and traces out the efficient frontier using real-world data. In the process, the students learn to determine optimal investment allocations in a portfolio, select the optimum investment portfolio given investor’s objectives and preferences and learn about factors that influence different asset allocations. For multiple assets (N>3), the paper uses Matrix algebra in Excel®. The paper enables students and investors to learn how to construct real-world mean-variance efficient portfolios using Excel®.

Keywords: Optimal Portfolio. Efficient Frontier. Risk. Expected Return and Risk-free asset.
Infrastructure Development in Punjab, Pakistan: From Assessment to Spatiotemporal Analysis at District Level

Infrastructure Development in Punjab, Pakistan: From Assessment to Spatiotemporal Analysis at District Level

Authors: Iqra Paras, Ghulam Mohey-ud-din, Faisal Fareed
Year: 2018, Volume: 2, Number: 2
(0 downloads)
Abstract

Access to inclusive and sustainable infrastructure to the masses of each spatial unit of any country and region is of the paramount importance. This paper aims at examining the level of infrastructure development, analysis of spatial disparities in infrastructure and temporal comparison of infrastructure development across the districts in Punjab, Pakistan. For this purpose, the current study uses a wide range of indicators to depict the real picture of infrastructure development in Punjab and to analyze the spatiotemporal dynamics. The overall infrastructure development has been divided into three sub-dimensions; publicutilities infrastructure, communication infrastructure and social infrastructure. All the data has been taken from Multiple Indicators Cluster Survey (MICS) Punjab, Census of Healthcare Establishments in Punjab, and Punjab Development Statistics (PDS). For the temporal assessment, the two different time periods of 2011 and 2014 have also been compared. The Analytical Hierarchical Process (AHP) technique has been used to assign the weights to indicators in sub-dimensions and to each subdimension in composite index. Geographic Information System (GIS) tools have also been applied for spatial mapping and representation of analysis results. The study finds that the Southern and South-Western districts of Punjab are the most deprived districts in all dimensions of infrastructure studied in this study. Whereas, the districts of North and North-Eastern Punjab are the best districts in almost all dimensions of infrastructure development. The temporal analysis reveals that the level of infrastructure development depreciated in most of the districts as it could not be developed as per the increase in population. These findings emphasize the need for prioritizing the public investment on infrastructure in the deprived districts on Southern and South-Western border of Punjab to remove the disparities.

Keywords: Infrastructure Development. Infrastructure Development Index. Spatial Mapping. Spatial Ranking. Temporal Analysis. Punjab – Pakistan
Econometric Test on Growth-Unemployment Nexus in India

Econometric Test on Growth-Unemployment Nexus in India

Authors: Debesh Bhowmik
Year: 2018, Volume: 2, Number: 2
(0 downloads)
Abstract

Generally, the economic growth boosts employment growth rate but empirical evidences do not support these views in all cases. In this paper, the author endeavors to relate growth with unemployment rate during 1991-2016 in India using regression models, Granger Causality test, Johansen Cointegration test and Vector Error Correction model. Impulse response functions were fitted for testing stationary. Unit circle was found out to check stability of the Vector Error Correction. Output gap is measured by deducting Hodrick-Prescott Filtered trend value from the actual output. Unemployment gap is measured by deducting natural growth rate of unemployment from the actual unemployment rate. The data on Indian unemployment rate, growth rate and GDP from 1991 to 2016 have been taken from the World Bank. The paper concludes that growth-unemployment nexus is significantly negative at 10% level. Their relation is not causal but is co-integrated at 10% level. VECM is stable and nonstationary where in one error correction process the speed of adjustment is high and significant. The relation between output gap and unemployment is negative and insignificant. They are not co-integrated and have no causality. The nexus between output gap and unemployment gap is significantly negative but the relation has no causality and co-integration. VAR model is a good fit where variables are related with previous periods. The relation between growth and unemployment gap is insignificantly negative and co-integrated where VECM is stable but non-stationary and one speed of adjustment is significantly fast and other is insignificantly slow in error correction process.

Keywords: Output gap. Unemployment Gap. Cointegration. Vector Error Correction.
Financial Development and Economic Growth: The Role of Energy Consumption

Financial Development and Economic Growth: The Role of Energy Consumption

Authors: Hafiz Muhammad Abubakar Siddique, Sadaf Usman, Junaid Ishaq
Year: 2018, Volume: 2, Number: 2
(0 downloads)
Abstract

The study investigates financial development and economic growth nexus, incorporating use of energy resources for Pakistan for 1980- 2016, using Johansen co-integration and granger causality approach. The results of Johansen test for co-integration show the link between financial development, energy and economic growth in the long time span. The findings of granger causation test uncovered a two-way causality between capital and economic growth. The one-way causality exists from economic growth in energy and financial development. The findings also exposed the one-way causality from capital formation and exports to use of energy. The government should take steps to make financial sectors stronger as it has a great role in increasing the growth of an economy.

Keywords: Financial Development. Energy Consumption. Johansen co-integration. Pakistan.

About Europub

EuroPub is a comprehensive, multipurpose database covering scholarly literature, with indexed records from active, authoritative journals, and indexes articles from journals all over the world. The result is an exhaustive database that assists research in every field. Easy access to a vast database at one place, reduces searching and data reviewing time considerably and helps authors in preparing new articles to a great extent. EuroPub aims at increasing the visibility of open access scholarly journals, thereby promoting their increased usage and impact.