Maritime Trade and Economic Development: A Granger Causality and Bound Test Approach
| Autor: | C. Blessing Uzoma, Richard Osadume |
|---|---|
| Jazyk: | angličtina |
| Rok vydání: | 2020 |
| Předmět: |
Macroeconomics
050210 logistics & transportation new trade theories 05 social sciences 0211 other engineering and technologies trade openness Transportation 02 engineering and technology Management Science and Operations Research economic development less developed countries Test (assessment) Granger causality Management of Technology and Innovation maritime trade 021105 building & construction 0502 economics and business Automotive Engineering Economics Business and International Management Business management Transportation and communications Civil and Structural Engineering HE1-9990 |
| Zdroj: | LOGI, Vol 11, Iss 2, Pp 23-32 (2020) |
| ISSN: | 2336-3037 |
| Popis: | This paper investigates Maritime trade and economic development: A granger causality and Bound test approach. Most scholars believe that maritime trade openness will transform economy into a developed nation while some disagree. The main objective of this research is to examine the relationship between maritime trade and economic development; specifically, to ascertain whether maritime trade granger-causes economic development; and to determine whether there is a co-integration between maritime trade and economic development. The study used secondary data obtained from the Central Bank of Nigeria and the United Nations development Programme, and tested the effect of independent variables on a dependent variable. The variables were tested using Stationarity, heteroskedasticity, Ramsey reset, granger-causality and ARDL Bounds test at the 5% level of significance. The findings revealed that maritime trade proxy by trade openness had a significant effect on economic development captured by HDI and the ARDL Bound test showed a significant effect of trade openness on economic development. The study concludes that maritime trade granger-causes economic development with a Bi-directional causal relationship and significant co-integration exists between them; and recommends among others the provision of conducive environment and cheap funding by the government to encourage the growth of maritime trade. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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