Modeling the asymmetric effects of exchange rate, financial development, and oil prices on economic growth
Küçük Resim Yok
Tarih
2024
Dergi Başlığı
Dergi ISSN
Cilt Başlığı
Yayıncı
World Scientific
Erişim Hakkı
info:eu-repo/semantics/closedAccess
Özet
Recent studies on the relationship between exchange rates, oil prices, and economic growth in developing countries like Ghana have used linear methods, but do not account for potential asymmetries. This research investigates the intricate asymmetric effects of exchange rates, financial development, and oil prices on Ghana's growth from 1990-2017 using a nonlinear model. The findings indicate that global oil price has asymmetric effects on short- and long-term growth, with positive price changes having different impacts than negative changes. However, there is no evidence for asymmetric long-term effects of exchange rates and financial development on growth, only short-term asymmetries. The cumulative effects of exchange rates and financial development outweigh oil prices. Recommendations include modernizing fuel efficiency, investing in renewable energy and public transit to address oil price shocks, and increasing market transparency and collaboration between major consumer and producer countries. The nonlinear model provides an evidence-based analysis of the intricate asymmetric relationships between these factors and developing country growth.
Açıklama
Anahtar Kelimeler
Exchange rate; financial development; oil prices; growth; asymmetries; NARDL
Kaynak
Singapore Economic Review
WoS Q Değeri
N/A
Scopus Q Değeri
N/A
