Financial Development and Economic Growth: The Empirical Evidence of the Southern Mediterranean Countries (SMC)
This paper analyzes empirically the links between financial development and the economic growth of the (SMC). The study is based on a VAR approach: The Johansen Tests for Cointegration and VECM models. The debate on the relation between the financial sphere and the real economic sphere was very amb...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
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EconJournals
2017-06-01
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| Series: | International Journal of Economics and Financial Issues |
| Online Access: | https://econjournals.com/index.php/ijefi/article/view/4671 |
| _version_ | 1797908071679262720 |
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| author | Mohamed Aydi Abdelkader Aguir |
| author_facet | Mohamed Aydi Abdelkader Aguir |
| author_sort | Mohamed Aydi |
| collection | DOAJ |
| description |
This paper analyzes empirically the links between financial development and the economic growth of the (SMC). The study is based on a VAR approach: The Johansen Tests for Cointegration and VECM models. The debate on the relation between the financial sphere and the real economic sphere was very ambiguous Some studies have shown a positive association between these two spheres while others presented the opposing view perfectly. On the basis of the data relative to the PSM, observed during period 1981-2014, we tried to show there is or not a positive relationship between the financial development and the economic growth. This relationship and increasingly intense for the role of the banking development and and refers to an innovation effort and modernization of the financial system.
Keywords: Financial development, economic growth, Southern Mediterranean countries, Var approch.
JEL Classifications: G10, O47
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| first_indexed | 2024-04-10T10:48:07Z |
| format | Article |
| id | doaj.art-cb5f63fdfb5040ed9f8a4fc34dde275f |
| institution | Directory Open Access Journal |
| issn | 2146-4138 |
| language | English |
| last_indexed | 2024-04-10T10:48:07Z |
| publishDate | 2017-06-01 |
| publisher | EconJournals |
| record_format | Article |
| series | International Journal of Economics and Financial Issues |
| spelling | doaj.art-cb5f63fdfb5040ed9f8a4fc34dde275f2023-02-15T16:20:15ZengEconJournalsInternational Journal of Economics and Financial Issues2146-41382017-06-0173Financial Development and Economic Growth: The Empirical Evidence of the Southern Mediterranean Countries (SMC)Mohamed AydiAbdelkader Aguir0BETA LAb This paper analyzes empirically the links between financial development and the economic growth of the (SMC). The study is based on a VAR approach: The Johansen Tests for Cointegration and VECM models. The debate on the relation between the financial sphere and the real economic sphere was very ambiguous Some studies have shown a positive association between these two spheres while others presented the opposing view perfectly. On the basis of the data relative to the PSM, observed during period 1981-2014, we tried to show there is or not a positive relationship between the financial development and the economic growth. This relationship and increasingly intense for the role of the banking development and and refers to an innovation effort and modernization of the financial system. Keywords: Financial development, economic growth, Southern Mediterranean countries, Var approch. JEL Classifications: G10, O47 https://econjournals.com/index.php/ijefi/article/view/4671 |
| spellingShingle | Mohamed Aydi Abdelkader Aguir Financial Development and Economic Growth: The Empirical Evidence of the Southern Mediterranean Countries (SMC) International Journal of Economics and Financial Issues |
| title | Financial Development and Economic Growth: The Empirical Evidence of the Southern Mediterranean Countries (SMC) |
| title_full | Financial Development and Economic Growth: The Empirical Evidence of the Southern Mediterranean Countries (SMC) |
| title_fullStr | Financial Development and Economic Growth: The Empirical Evidence of the Southern Mediterranean Countries (SMC) |
| title_full_unstemmed | Financial Development and Economic Growth: The Empirical Evidence of the Southern Mediterranean Countries (SMC) |
| title_short | Financial Development and Economic Growth: The Empirical Evidence of the Southern Mediterranean Countries (SMC) |
| title_sort | financial development and economic growth the empirical evidence of the southern mediterranean countries smc |
| url | https://econjournals.com/index.php/ijefi/article/view/4671 |
| work_keys_str_mv | AT mohamedaydi financialdevelopmentandeconomicgrowththeempiricalevidenceofthesouthernmediterraneancountriessmc AT abdelkaderaguir financialdevelopmentandeconomicgrowththeempiricalevidenceofthesouthernmediterraneancountriessmc |