he causality between financial development and economic growth : case of Algeria
Joint Authors
Balhajj, Fatihah
Bu Nab, Hibah Ibrahim
Source
Issue
Vol. 20, Issue 1 (31 Dec. 2020), pp.35-46, 12 p.
Publisher
Kasdi Merbah University Faculty of Economics Commercial Sciences and Management Sciences
Publication Date
2020-12-31
Country of Publication
Algeria
No. of Pages
12
Main Subjects
Economy and Commerce
Financial and Accounting Sciences
Topics
Abstract EN
This paper aims to investigate the direction of causality between financial development and economic growth in Algeria over the period 1980-2018 using Toda and Yamamoto (1995) approach for Granger non-Causality test in the context of VAR model.
The study was carried out using two indicators to proxy the level of financial development.
The first proxy is the monetization ratio (M2 / GDP) as an indicator of the financial depth or size of the financial development intermediaries sector.
The second proxy is financial intermediation ratio expressed by the credit to private sector as percentage of GDP.
While, the GDP per capita growth was used as measure of economic growth.
The results suggest unidirectional causality relationship running from the economic growth to the financial sector as explained by the broad money to GDP.
Nevertheless, the findings suggest noncausality between credits to private sector to GDP and economic growth.
American Psychological Association (APA)
Bu Nab, Hibah Ibrahim& Balhajj, Fatihah. 2020. he causality between financial development and economic growth : case of Algeria. Revue du Chercheur،Vol. 20, no. 1, pp.35-46.
https://search.emarefa.net/detail/BIM-1006183
Modern Language Association (MLA)
Bu Nab, Hibah Ibrahim& Balhajj, Fatihah. he causality between financial development and economic growth : case of Algeria. Revue du Chercheur Vol. 20, no. 1 (2020), pp.35-46.
https://search.emarefa.net/detail/BIM-1006183
American Medical Association (AMA)
Bu Nab, Hibah Ibrahim& Balhajj, Fatihah. he causality between financial development and economic growth : case of Algeria. Revue du Chercheur. 2020. Vol. 20, no. 1, pp.35-46.
https://search.emarefa.net/detail/BIM-1006183
Data Type
Journal Articles
Language
English
Notes
Includes appendices : p. 43-45
Record ID
BIM-1006183