Empirical Analysis of Financial Development Institutions and Economic Growth in Tanzania: Based on ARDL Model
Empirical Analysis of Financial Development Institutions and Economic Growth in Tanzania: Based on ARDL Model
Author(s): Hamis Mirai Ally Simba, Erhan ÇANKALSubject(s): National Economy, Economic history, Methodology and research technology, Economic development, Transformation Period (1990 - 2010), Present Times (2010 - today), Financial Markets
Published by: İşletme Araştırmaları Dergisi
Keywords: Tanzania; FDI; GDP; ARDL; Granger Causality;
Summary/Abstract: Purpose – The financial institutions have a significant contribution to foster economic growth of a country. This study has the intention to investigate the causal relationship between financial development institutions and economic growth in Tanzania. Design/methodology/approach – The study spans from 1989 to 2018. The article uses four proxy of financial development institutions against Gross Domestic Product (GDP) growth (Annual %). Financial proxy of variables of development institutions comprises Broad Money (% of GDP), Domestic credit for private sector (% of GDP), Domestic credit provided by financial sector (% of GDP), and Domestic credit to the private sector by banks (% of GDP). This study uses Autoregressive Distributed Lag (ARDL), Vector Error Correction Model (VECM), and Granger Causality test.
Journal: İşletme Araştırmaları Dergisi
- Issue Year: 12/2020
- Issue No: 2
- Page Range: 1962-1973
- Page Count: 12
- Language: English