The nexus between remittance, exchange rate and economic growth of E7 economies: Frequency domain analysis
This study investigates the nexus between economic growth (GDP), trade openness, remittances, exchange rate, and agricultural output in E7 (Russia, Indonesia, Mexico, China, India, Brazil, and Turkey) economies, covering the data from 1990 to 2020. In the first step, we adopted the Dumitrescu and Hu...
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| Format: | Article |
| Language: | English |
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Elsevier
2023-11-01
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| Series: | Heliyon |
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| Online Access: | http://www.sciencedirect.com/science/article/pii/S2405844023087625 |
| _version_ | 1827615928961990656 |
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| author | Khalid Usman |
| author_facet | Khalid Usman |
| author_sort | Khalid Usman |
| collection | DOAJ |
| description | This study investigates the nexus between economic growth (GDP), trade openness, remittances, exchange rate, and agricultural output in E7 (Russia, Indonesia, Mexico, China, India, Brazil, and Turkey) economies, covering the data from 1990 to 2020. In the first step, we adopted the Dumitrescu and Hurlin time domain Granger causality test, which shows that economic growth (GDP) and agriculture do not have any causal relationship, not even at 3-lags. However, uni-directional causality exists between agriculture and economic growth at the first level difference. In the second step, we used Granger causality analysis in the frequency domain, presented by Croux and Reusens, showing a bivariate correlation among economic growth, trade, remittance, and agricultural output. The panel Granger causality outcome indicated that the causality between variables with various frequencies differs. Policymakers in these economies may consider these pragmatic results to formulate valuable and appropriate short-, medium-, and long-term economic strategies. |
| first_indexed | 2024-03-09T09:18:38Z |
| format | Article |
| id | doaj.art-3098376662024318808294afa217972d |
| institution | Directory Open Access Journal |
| issn | 2405-8440 |
| language | English |
| last_indexed | 2024-03-09T09:18:38Z |
| publishDate | 2023-11-01 |
| publisher | Elsevier |
| record_format | Article |
| series | Heliyon |
| spelling | doaj.art-3098376662024318808294afa217972d2023-12-02T07:02:46ZengElsevierHeliyon2405-84402023-11-01911e21554The nexus between remittance, exchange rate and economic growth of E7 economies: Frequency domain analysisKhalid Usman0School of Economics and Management, Guangzhou City Construction College, Guangzhou City, Guangdong Province, China; School of Business Administration, University of Science and Technology of China, Hefei City, Anhui Province, China; School of Business Administration, University of Science and Technology of China, Hefei City, Anhui Province, China.This study investigates the nexus between economic growth (GDP), trade openness, remittances, exchange rate, and agricultural output in E7 (Russia, Indonesia, Mexico, China, India, Brazil, and Turkey) economies, covering the data from 1990 to 2020. In the first step, we adopted the Dumitrescu and Hurlin time domain Granger causality test, which shows that economic growth (GDP) and agriculture do not have any causal relationship, not even at 3-lags. However, uni-directional causality exists between agriculture and economic growth at the first level difference. In the second step, we used Granger causality analysis in the frequency domain, presented by Croux and Reusens, showing a bivariate correlation among economic growth, trade, remittance, and agricultural output. The panel Granger causality outcome indicated that the causality between variables with various frequencies differs. Policymakers in these economies may consider these pragmatic results to formulate valuable and appropriate short-, medium-, and long-term economic strategies.http://www.sciencedirect.com/science/article/pii/S2405844023087625F24O13F43F31F1C33 |
| spellingShingle | Khalid Usman The nexus between remittance, exchange rate and economic growth of E7 economies: Frequency domain analysis Heliyon F24 O13 F43 F31 F1 C33 |
| title | The nexus between remittance, exchange rate and economic growth of E7 economies: Frequency domain analysis |
| title_full | The nexus between remittance, exchange rate and economic growth of E7 economies: Frequency domain analysis |
| title_fullStr | The nexus between remittance, exchange rate and economic growth of E7 economies: Frequency domain analysis |
| title_full_unstemmed | The nexus between remittance, exchange rate and economic growth of E7 economies: Frequency domain analysis |
| title_short | The nexus between remittance, exchange rate and economic growth of E7 economies: Frequency domain analysis |
| title_sort | nexus between remittance exchange rate and economic growth of e7 economies frequency domain analysis |
| topic | F24 O13 F43 F31 F1 C33 |
| url | http://www.sciencedirect.com/science/article/pii/S2405844023087625 |
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