2017
DOI: 10.24311/jed/2017.24.4.1
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Local governance, private investment and economic growth: The case of Vietnamese provinces

Abstract: The study examines the role of local governance in the relationship between private investment and economic growth at provincial level in Vietnam. The study data consists of 63 Vietnamese provinces in the period of 2005-2013. Provincial Competitiveness Index (PCI) is a proxy for local governance. Estimated by two-step System Generalized Methods of Moments, the study shows interesting results. First, local governance and private investment have significant effects on economic growth. Second, the growth effect o… Show more

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Cited by 4 publications
(5 citation statements)
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“…Second, a more favorable business environment has a positive effect on the whole formal sector's output growth. This finding is consistent with those of Thanh and Hoai (2020) and Dinh Thanh et al. (2020) who claimed that economic growth at provincial level in Vietnam is affected by quality of local governance, which determines the conducive level of business environment.…”
Section: Resultssupporting
confidence: 92%
See 1 more Smart Citation
“…Second, a more favorable business environment has a positive effect on the whole formal sector's output growth. This finding is consistent with those of Thanh and Hoai (2020) and Dinh Thanh et al. (2020) who claimed that economic growth at provincial level in Vietnam is affected by quality of local governance, which determines the conducive level of business environment.…”
Section: Resultssupporting
confidence: 92%
“…Second, a more favorable business environment has a positive effect on the whole formal sector's output growth. This finding is consistent with those of Thanh and Hoai (2020) and Dinh Thanh et al (2020) who claimed that economic growth at provincial level in Vietnam is affected by quality of local governance, which determines the conducive level of business environment. The transparence in policy-making together with strong dialogue between local government and the business sector can produce better policies that are tailored to the needs of businesses and promote business growth.…”
Section: Modelsupporting
confidence: 92%
“…The GW potential exploitation reserve of the two aquifers Holocene (qh) and Pleistocene (qp) in Ninh Thuan province has been studied and calculated by many studies [4,[9][10][11]. Pham Ngoc Minh (2012) [4] determined the GW potential exploitation reserves by the proportion of separate static reserves for each stratum qh and qp with the average value is 330.59 m 3 /day/km 2 .…”
Section: Introductionmentioning
confidence: 99%
“…The result of calculating the GW potential reserves using the numerical modeling method (Modflow model) of Nguyen Minh Khuyen [9] in the Cai river basin in Phan Rang is 134,374 m 3 /day. Tong Ngoc Thanh et al, (2015) [11] calculated the GW potential exploiting reserves in freshwater areas of Ninh Thuan province by the method of taking the percentage of intrusion of static reserves, resulting in the average of freshwater and saline water being 468,126 m 3 /day and 53,883 m 3 /day, respectively. However, the reserve and quality of groundwater in Ninh Thuan province depend on many factors, such as topography, exploitation flow, natural conditions, rainfall infiltration amount, and demand for groundwater exploitation.…”
Section: Introductionmentioning
confidence: 99%
“…On the other hand, effective governance provides better service delivery in order to achieve a higher quality of life for citizens. Contrarily, weak governance can deteriorate the investment environment and increase risks related to investment decisions in the business sector (Thanh and Hoai, 2019). It is therefore not surprising why good governance has often been used to explain the good economic performance as well as the well-being of a society over the last decade. Although the relationship between public governance and economic growth is well established in existing literature, most empirical studies ignore the fact that the business sector often represents a channel through which public governance affects economic performance.…”
Section: Introductionmentioning
confidence: 99%