Preferencje help
Widoczny [Schowaj] Abstrakt
Liczba wyników
2015 | 9 | nr 2 | 181--192
Tytuł artykułu

Financial Sector Reforms and Economic Growth in Ghana: a Dynamic ARDL Model

Treść / Zawartość
Warianty tytułu
Języki publikacji
This paper examines the relationship between financial sector reforms and sustainable economic growth in Ghana. Employing the autoregressive distributed lag (ARDL) bounds testing approach and using GDP per capita as a growth indicator, this paper establishes a long-run relationship between economic growth and financial reforms, which is represented by an index calculated using principal component analysis (PCA). The paper finds that in the long run, financial sector reforms have an insignificant impact on economic growth in Ghana. This supports numerous past studies that have reported mixed or inconclusive results on the effects of financial reforms on economic growth. The paper concludes that increase in capital stock, not financial sector policy reforms, affects economic growth in Ghana. This paper therefore recommends an increase and modernization of capital stock in order to promote real sector growth in Ghana.(original abstract)
Opis fizyczny
  • AC Nielsen - Data Science, Oxford, United Kingdom
  • University of South Africa, Pretoria, South Africa
  • Adu, G., Marbuah, G., & Tei-Mensah, J. (2013). Financial development and economic growth in Ghana: Does the measure of financial development matter? Review of Development Finance, 3 (4), 192-203.
  • Aryeetey, E. (1994). Private investment under uncertainty in Ghana. World Development, 22 (8), 1211-21.
  • Bahmani-Oskooee, M. & Brooks, T. J. (1999). Bilateral J-curve between U.S and her trading partners. Weltwirtschaftliches Archiv, 135 (1), 156 - 165.
  • Bank of Ghana. (2009). Annual Report various, Accra, Ghana.
  • Barro, J. R., & Sala-i-Martin, X. (2004). Economic growth (2nd ed.). Cambridge, MA: The MIT Press.
  • Beck, T., Demirguc-Kunt, A., Levine, R., & Maksimovic, V. (2000). Financial Structure and Economic Development: Firm, Industry and Country Evidence (Working Paper No. 2423). World Bank.
  • Berthélemy, J. C., Varoudakis, A. (1995). Thresholds in Financial Development and Economic Growth. The Manchester School, 63, 70-84.
  • Caprio, G., Honohan, P., & Stiglitz, J. E. (Eds.). (2001). Financial Liberalization: How Far? How Fast? Cambridge, UK: Cambridge University Press.
  • De Gregorio, J. (1995). Financial Development and Economic Growth. World Development; 23 (3), 433-448.
  • Eschenbach, F. (2004). Finance and Growth: A Survey of the Theoretical and Empirical Literature (Discussion Paper No. TI 2004-039/2). Department of Economics, Erasmus Universiteit Rotterdam, and Tinbergen Institute.
  • Fischer, S. (2005). Globalization and Its Challenges. American Economic Review, 93 (2), 1-30.
  • Fry, M. J. (1995). Money, Interest and Banking in Economic Development (2nd ed.). Baltimore, MD: John Hopkins University Press.
  • Ghana Stock Exchange. (2009). Annual Report. Accra, Ghana.
  • Ghana Stock Exchange. (2010). Monthly Report, August 2010. Accra, Ghana.
  • Hye, Q. M. A. & Wizarat, S. (2011). Financial Liberalization and Services Sector Growth: Empirical Evidence from Pakistan. The IUP Journal of Applied Finance, 17, (2), 16-24.
  • Kapur, B. K. (1976). Alternative Stabilisation policies for Less Developed Countries. Journal of Political Economy, 84 (4), 777-795.
  • Keynes, J. M. (1936). The General Theory of Employment Interest and Money. London, UK: Macmillan.
  • Laeven, L. (2003). Does Financial Liberalization Reduce Financing Constraints? Financial Management, 32 (1), 5-34.
  • Levine, R. & Zervos, S. (1998). Stock Markets, Banks and Economic Growth. American Economic Review, 88 (3), 537-558.
  • Masih, M., Ahmad, A. H., Daud, S. N. M., & Marzuki, A. (2008). Sovereign credit ratings and macroeconomic variables: an application of bounds testing approach to Malaysia. Journal of the Academy of Business and Economics, 8 (1), 109-119.
  • McKinnon, R. I. (1973). Money and capital in Economic development. Washington, DC: Brookings Institution.
  • McKinnon, R. I. (1989). Financial Liberalization and Economic Development: A Reassessment of Interest Rate Policies in Asia and Latin America. Oxford Review of Economic Policy, 5 (4), 29-54.
  • Narayan, P. K. & Smyth, R. (2005). Trade liberalization and economic growth in Fuji: An empirical assessment using the ARDL approach. Journal of the Asian Pacific Economy, 10 (1), 96 - 115.
  • Pesaran, M. H., Shin, Y., & Smith, R. J. (2001). Bounds Testing Approaches to the analysis of level relationships, Journal of Applied Econometrics, 16 (3), 289-326.
  • Phillips, P. C. B. & Peron, P. (1988). Testing for a Unit Root in Time Series Regression. Biometrica, 75 (2), 335-346.
  • Shaw, E. S. (1973). Financial deepening in economic development. New York, NY: Oxford University Press.
  • Shrestha, M. B. & Chowdhury, K. (2006). Financial liberalisation index for Nepal. International Journal of Applied Econometrics and Quantitative Studies, 3 (1), 41-54.
  • Sowa, N. K. & Acquaye, I. K. (1999). Financial and Foreign Exchange Markets Liberalization in Ghana. Journal of International Development, 11 (3), 385 - 409.
  • Stiglitz, J. E. (1989). Financial Markets and Development. Oxford Review of Economic Policy, 5 (4), 55-68.
  • Taylor, L. (1983). Structuralism Macroeconomics: Applicable models for the Third World. New York, NY: Basic Books.
  • Tobin, J. (1965). Money and Economic Growth. Econometrical, 33 (4), 671-684.
  • Van Wijnbergen, S. (1983). Interest rate management in LDCs. Journal of Monetary Economics, 12 (3), 443-452.
  • World Bank. (2009a). World Development Report, various issues to 2009, Washington, DC.
  • World Bank. (2009b). African Development indicators, various issues to 2009, Washington, DC.
Typ dokumentu
Identyfikator YADDA

Zgłoszenie zostało wysłane

Zgłoszenie zostało wysłane

Musisz być zalogowany aby pisać komentarze.
JavaScript jest wyłączony w Twojej przeglądarce internetowej. Włącz go, a następnie odśwież stronę, aby móc w pełni z niej korzystać.