The Analysis of Competitiveness and Economic Growth: A Case Study of Transition Countries

Abstract

This study examined the effects of competitiveness on the economic growth of transition countries between the years 1995 and 2009. Panel ARDL (Autoregressive distributed lag) models were applied for 23 countries. The competitiveness of industrial sectors and sub-sectors were calculated by Balassa index, and the effects of the indexes on transition economies (TEs) were checked via the control variables of: capital formation per capita, and globalization index in the Cobb-Douglas production function framework. The findings indicate that some sectors affect TEs positively whereas others affect them negatively.

Do financial development and personal remittances matter in South African economic growth? A bound testing investigation

“…A thorough examination of the relationship between financial development, remittances and economic growth in South Africa revealed that all the variables were stationary at level and first difference respectively. This is in tandem with the ARDL requirements established by Gerni et al (2013), which clearly stated that ARDL accommodates variables that were stationary at level and at first difference. The long-run bound test revealed the existence of a long-run relationship amongst the variables under investigation, hence establishing the need for long-run and short-run estimates using the ARDL technique.…”

“…ARDL was chosen for this study due to its flexibility it places no restriction on having the variables integrated in the same order. It can be applied to variables integrated at both order I (0) and I (1) (Gerni, Kabadayı, Yurttançıkmaz, & Emsen, 2013). Additionally, Pesaran et al (2001) averred that ARDL provides consistent and efficient estimates in the long run that are asymptotically normal, regardless of their order of integration.…”

The Nexus of Economic Growth, Trade Openness and Banking Sector Depth In OIC: An Application of Panel Data Analysis

“…For this reason, Westerlund (2007) error correction cointegration test and panel ARDL cointegration analysis, which is consistent for series that do not reach at the same level of stationarity, have been used (Pesaran and Smith, 1995;Pesaran, Shin and Smith (1999); Gerni et al, 2013). Also, the fact that the series is I (1) is a prerequisite for the cointegration analysis (Koçbulut and Altıntaş, 2016).…”

Şanghay İşbirliği Örgütü Ülkelerinde Makroekonomik Göstergelerin İhracat Rekabet Gücüne Etkisi

“…Panel ARDL (Autoregressive Distributed Lag) model was applied to 23 countries in the study. The results show that competitiveness in some sectors has a positive impact on economic growth, while in some sectors it has a negative impact (Gerni et al, 2013). In a study conducted by Muratoğlu and Muratoğlu (2016), for the period 1999-2010, the determinants of export competitiveness in the manufacturing industry sector of 12 OECD countries were analyzed.…”

“…the Balassa index). Gerni et al (2013), examined the impact of competitiveness on economic growth in transition economies. In the study covering the period 1995-2009, the Balassa index was used as an indicator of industrial sector competitiveness.…”