EVALUATION OF THE EFFECT OF LIQUIDITY GROWTH ON SAVING RATE IN THE DEVELOPING COUNTRIES
Journal Title: Asian Economic and Financial Review - Year 2014, Vol 4, Issue 7
Abstract
The role of savings in determining economic growth and investment is among issues that have always been considered in the formulation of policy and economic theories. This fact has been accepted that it is a quite necessary action to put aside a part of production i.e. to create saving to be converted in to production capital for maintaining the level of existing welfare and also achieving a higher level of welfare.The aim of the present study is to evaluate the role of liquidity growth on saving rates in 11 developing countries (Ecuador, Venezuela, Colombia, Armenia, Brazil, Iran, Azerbaijan, Turkey, Tunisia, China and Thailand) within the period 2001-2010. In this paper, the software EVIEWS and panel data analysis were used to evaluate the effect of liquidity growth on savings rates.Present study demonstrates the undeniable role of economic growth on saving, because the estimations results indicate that although both variables of liquidity ratio and economic growth have significant and positive effect on saving, but economic growth is more effective which is fully reasonable.
Authors and Affiliations
Mohammad Reza Monjazeb| Faculty Member of University of Economic Sciences, Marzieh Rashvand Sadeghi| Master student of University of Economic Sciences, Kobra Oladi| Master student of University of Economic Sciences
Keywords
Related Articles
- EP ID EP2052
- DOI -
- Views 461
- Downloads 21
PRODUCT MARKET STRUCTURE AND EARNINGS QUALITY: EVIDENCE TEHRAN STOCK EXCHANGE
The purpose of this paper is to examine the relationship between product market structure and earnings quality in listed companies of Tehran Stock Exchange. To achieve this goal, we used Herfindahl - Hirschman Index, Ler...
FINANCIAL ACCOUNTING FRAUD DETECTION USING BUSINESS INTELLIGENCE
The paper investigates the inherent problems of financial fraud detection and proposes a forensic accounting framework using business intelligence as a plausible means of addressing them. The paper adopts an empirical ca...
ASSESSMENT OF THE EFFECTS OF FIRMS’ CHARACTERISTICS ON EARNINGS MANAGEMENT OF LISTED FIRMS IN NIGERIA
This study assessed the effects of firms? characteristics on earnings management of listed companies in Nigeria. To achieve the objectives of this study, a total of 20 listed firms in the Nigerian stock exchange market w...
DOES BANKING SECTOR REFORM BUY EFFICIENCY OF BANKING SECTOR OPERATIONS? – EVIDENCE FROM RECENT NIGERIA’S BANKING SECTOR REFORMS
There is a growing concern associated with the recent banking sector reform on whether it achieved its purpose of making banks efficient or not. Several studies have had several opinions with respect to the real impacts...
USAGE OF DERIVATIVES IN EMERGING MARKETS: THE CASE OF BOSNIA AND HERZEGOVINA
During the last decade, financial derivatives have gained increased attention; they were one of the leading causes of the latest financial crisis. Their primary purpose is to provide instruments for hedging risks linked...