The Relation Between Economic Growth and Oil Production in the Gulf Cooperation Countries: Panel Ardl Approach

Abstract

This study investigated the impact of oil Petroleum production on economic growth in the Gulf Cooperation Council countries using panel autoregressive distributed lag model covering the period from 1960 to 2018. The results indicated that oil Petroleum production have significant positive impact on economic growth in both the long-run and the short-run period, also results show that variables are Co integrated by using the pool mean group (PMG) method. Panel Causality Test indicates that there is a causal relationship between Oil production and economic growth. There exists unidirectional causality running from economic growth (GDP) to petroleum production (PP).

Dynamics Analysis of Credit Transmission on Foreign Bank Penetration in Indonesia

“…The selection of the lag of the variables in this study is based on the best lag determination criteria according to Akaike Information Criterion (AIC), Hanan-Quiin Information (HQ), and Schwarz Information Criteria (SC). Table 6 shows the smallest AIC value chosen to determine the PMG Model Specification Pesaran et al (1999) in Hafsi et al (2021). Other AIC specification values are not displayed.…”

“…The MPG model (Hafsi et al 2021) indicates a short-term relationship between various variables. The short-run equation is more appropriate if it is referred to as the correction equation (ECM).…”

“…Table 4 shows the results of model selection for FBO and FAB data. Therefore, interpretation is not carried out on the impact parameters of the independent variables (Hafsi et al, 2021). The analysis was carried out on the COINTEQ variable parameters.…”

“…The COINTEQ parameter captures the speed of adjustment of the Loan to the long-term Loan. The long-term Loan is determined by its determinant in the long-term equation (Attiaoui et al, 2017;Hafsi et al, 2021). Table 10 shows that FAB data for both types of interest (JIBR and BI-7DR) has a correction factor.…”

Tax Buoyancy in Indonesia: An Evaluation of Tax Structure and Policy Reforms

“…The PMG ARDL method is a widely employed statistical technique that serves to address the issue of panel data heterogeneity, while also accounting for both the short-and long-term dynamics of all variables under consideration (Attiaoui et al 2017;Hafsi et al 2021;Pesaran et al 1999). The PMG estimator takes into account individual heterogeneity, such as slope and intercept, in the short term and homogeneity in the long term.…”