Frequency domain causality analysis of financial development and economic growth in Côte d’Ivoire
In this study, we revisit the finance-growth nexus in Côte d’Ivoire using annual data over the period 1962-2020. We utilize the novel frequency domain causality test to identify the direction of the causality at different frequencies. The results vary depending on the financial development indicator...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
General Association of Economists from Romania
2023-06-01
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| Series: | Theoretical and Applied Economics |
| Subjects: | |
| Online Access: |
http://store.ectap.ro/articole/1668.pdf
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| Summary: | In this study, we revisit the finance-growth nexus in Côte d’Ivoire using annual data over
the period 1962-2020. We utilize the novel frequency domain causality test to identify the direction
of the causality at different frequencies. The results vary depending on the financial development
indicator and the time horizon. First, there is evidence of insignificant causality relationship
between broad money and real GDP per capita. Second, there is evidence of unidirectional causality
running from real GDP per capita to both domestic credit to private sectors ratios, only for low
frequencies, suggesting a permanent or long-run effect. |
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| ISSN: | 1841-8678 1844-0029 |