This study analysed the dynamics of the international soybean market using econometric techniques... more This study analysed the dynamics of the international soybean market using econometric techniques and economic models to study the impacts of the US–China trade war. It considered the analysis of “spatial” (horizontal) price transmission during an approximately ten-year period from September 2009 to May 2019 using monthly time-series data. The research focused on the leaders in the international soybean market, namely, China, the USA, the EU, Brazil and Argentina. Several econometric techniques were employed. The stationarity of the price time series was determined using the augmented Dickey–Fuller (ADF) unit root test. Structural breaks were inferred using the ADF test with a breaks test and a Bai–Perron multiple break test. The long-term relation/cointegration amongst the series was determined using the Johansen cointegration test (1988), with the previous breaks input as dummy variables. The direction of the causality was inferred using the Granger causality test (1969). The long...
The longer-term impacts of the COVID-19 pandemic on the European food supply chain may be substan... more The longer-term impacts of the COVID-19 pandemic on the European food supply chain may be substantially different than the short-term adaptation of farmers, food processors and retailers. The main consumer preference changes are likely to be linked to greater on-line ordering, home delivery and in-home consumption. The food industry changes will probably be more persistent and of greater magnitude than those on the consumer side, including a preference for production and processing closer to consumption, and greater flexibility in processing. The COVID-19 pandemic will promote greater automation throughout the food chain with automation of combinable crops leading the way because the engineering is more tractable than for fruits and vegetables. The COVID-19 pandemic will lead to a re-emphasis on food production and food security in agricultural policy throughout Europe. That re-emphasis of food security will be strongest in those countries which saw the largest and longest disruptio...
In this paper we investigate the long-run relationship between national income and government spe... more In this paper we investigate the long-run relationship between national income and government spending by using Greek data from 1833 until 2010. We use 5 different formulations of Wagner’s law (the long run tendency for government expenditure to expand relative to economic growth) and find that empirical results are supportive for Wagner’s law. The data set span covers a period of almost 2 centuries; the long data set thus ensures the reliability of our results in terms of statistical and economic conclusions. Furthermore, the data set covers the early periods of development of the Greek economy, a period of growth, industrialisation and modernisation of the economy, conditions which should be conducive to Wagner’s law. Our analysis provides evidence of long run relationship between government spending and national income, while the Granger causality tests indicate that causality runs from the national income to spending. Moreover we include tests for structural changes to take into...
One of the most important reasons that led Greece to the current macroeconomic instability is the... more One of the most important reasons that led Greece to the current macroeconomic instability is the high military spending during the last decades. Thus, it is necessary to examine the impact of military spending on economic growth for the case of Greece. Furthermore, it will be very useful to examine the arms race hypothesis between Greece and Turkey in order to identify if there is an interaction between these countries that leads to the high level of military spending. In this paper we empirically test the relationship between military spending and economic growth for Greece and Turkey during 1957-2013, and examine the validity of arms race hypothesis between the two countries. We deployed unit root tests, unit root tests with structural changes, cointegration techniques and finally Granger causality tests. Granger causality tests in the case of Greece and Turkey imply that the causality runs from military spending to economic growth, however we find that there is no evidence of ca...
In the last twenty years many developed countries have faced significant public deficits, while t... more In the last twenty years many developed countries have faced significant public deficits, while the ability of government authorities to deal with public deficits has been receiving rising awareness from economists and policy makers. This is an imperative topic, in provisions of economics and public policy, and it is a central subject for the EMU area; hence, they are the main motivations of this paper. Theoretically, equilibrium growth paths have to be supported by adequate fiscal policy. The risk of a default on Greek sovereign debt during the last years has worried the Euro into its first serious crisis and raised the issue of debt sustainability in Europe. There is no universally accepted definition for sustainable fiscal policy. However, economists agree that expanding public debt is not sustainable. Budget policy is constrained by the need to finance the deficit. In this paper we provide a synthesis of empirical research in the validity of the Sustainability of Fiscal Policy o...
The aim of this paper is to investigate the relationship between government expenditure and econo... more The aim of this paper is to investigate the relationship between government expenditure and economic growth commonly known as Wagner’s law for one single Central and Eastern European country namely Romania. Using a dataset ranging from 1995 to 2015, we apply latest econometric time series techniques such as unit root test, Johansen cointegration and Granger causality test. The cointegration tests indicate support for Wagner’s hypothesis in all of its five versions, thus suggesting the existence of long-run relationship between government spending and national outcome. The causality tests show the absence of any short-run relationship from economic outcome to government expenditure in three out of five versions. However, taking into consideration that in its original formulation Wagner’s law explored the secular correlation between output and government commitments, we can state that the long run cointegration is more consistent with Adolph Wagner’s perspective.
Ee try to answer two very important questions; firstly if the Greek fiscal policy has been consis... more Ee try to answer two very important questions; firstly if the Greek fiscal policy has been consistent with the government intertemporal budget constraint during the two tested periods, 1833-2009 and 1960-2009. We separate the last 50 years which according to most politicians was the problematic period in Greek finances and lead to unsustainable deficits. Secondly, we examine if it is possible to identify structural changes in the conduct of fiscal policy. We are using annual time series data from 1833.We are using several approaches such as Johansen approach, DOLS, Engle-Granger approach, Bohn test and finally Trehan-Walsh approach. Our empirical results are mixed and in contrast with our expectations, because the majority of the tests indicate sustainable fiscal policy in both tested periods. Greek budget deficits are now un-sustainable in the long-run, since public debt cannot grow for an indefinite period faster than the national output. However, we know that Budget policy is con...
One of the most controversial issues in public finance and macroeconomics is the nature of the re... more One of the most controversial issues in public finance and macroeconomics is the nature of the relationship between government spending and revenues. The debate between economists and politicians has been emphasised recently because of the increased budget deficits and defaults in many developed and developing countries. Many economists (Friedman, 1978; Payne, 1997; Darrat, 1998; Albatel, 2002) argued that it is very important to investigate whether the government spending determines the revenues and/or whether government revenue determines the government spending. We are applying an empirical analysis of the spend-tax or tax-spend hypothesis, in order to identify the direction of the causality between government spending and revenues in Greece for the period 1833-2009, a period of industrialisation, urbanisation, increased growth, increased government spending, and enormous budget deficits during the last decades and a serious problem with the public debt. In order to investigate t...
The role of Fiscal policy in the long run growth process has been crucial in macroeconomics since... more The role of Fiscal policy in the long run growth process has been crucial in macroeconomics since the appearance of endogenous growth models. Additionally, a significant debate among economists involves whether several types of spending or taxation enhance economic growth. The main objective of this paper is to highlight the relationship between fiscal policy and economic growth in the EU-15, and make an attempt to determine which of the fiscal policy instruments enhance economic growth.We deployed panel data techniques and included both sides of budget, spending and taxation, in our regressions and used the most recent dataset data for fiscal variables from Eurostat. We made a new classification of public expenditures into homogeneous groups in order to reduce the explanatory variables and increase the efficiency of our model and results since we have data for only 14 years. In our empirical analysis we included OLS, fixed effects models, random effects models and GMM estimators, t...
Abstract. The objective of this study is to provide empirical evidence on the short- and long-run... more Abstract. The objective of this study is to provide empirical evidence on the short- and long-run relationships between the short-term interest rate, London interbank offered rate (LIBOR) and macroeconomic policy objectives, such as price stability, economic growth, and stability of the exchange rate market. For this purpose, we deploy quarterly frequency data from the United Kingdom between 2000 and 2015 and adopt a multiple regression model. Furthermore, this study uses the Johansen, Stock-Watson cointegration test and the Granger Causality test in order to examine the dynamic short- and long-run relationships among LIBOR, the consumer price index as a proxy of price stability, the real gross domestic product as a proxy of economic growth, and the exchange rate as a proxy of exchange rate market stability. The results showed that all variables have the same order of integration and long-run equilibrium relationships exist between them. The results show evidence of long-run equilib...
The main aim of this article is to investigate the price transmission of milk between the produce... more The main aim of this article is to investigate the price transmission of milk between the producers and the retailers within the UK to understand the influence of large retailers on the market. In recent times smaller dairy farms have been forced to close down because they believe that prices are not being conveyed from retailers to producers. The research interlinks well established econometric tests, which are frequently used within vertical price transmission research to gain an understanding of the transmission from producer to retailer. These are unit root tests, cointegration tests and causality test. The main findings were that there is a unidirectional transmission of milk prices in the UK between producers and retailers. The Granger causality test shows that causality runs from the retailer to the producer and but not from the producer to the retailer. There was a significant break in 1994, which is when the MMB disbanded and has provided a new research gap. The direction o...
Abstract. The purpose of this study is to examine price transmission between the producer and ret... more Abstract. The purpose of this study is to examine price transmission between the producer and retail in the UK pork industry. It aims to find the direction of causality in the long and short-run, and whether there is a long-run relationship between producer and retail prices. This study used monthly time series data for producer and retail prices ranging from 1988-2016. Econometric tests were used such as the Augmented Dickey-Fuller ( 1979 ) and Phillips-Perron ( 1988 ) Unit Root tests; Bai-Perron ( 1998 ) Unit Root test allowing for multiple structural breaks; Johansen ( 1991 ) and Engle-Granger ( 1987 ) Co-integration tests; Granger ( 1988 ) Causality, and the Error Correction Model showing the speed of recovery in the long-run after a shock. The results of the Unit Root tests found both producer and retail prices to be integrated of order one I(1). Three structural breaks were found occurring in the years of 1996, 2002 and 2012. The Co-integration tests found that there is one lo...
This study examines the dynamic relationship between the London Interbank Offered Rate (LIBOR), t... more This study examines the dynamic relationship between the London Interbank Offered Rate (LIBOR), the inflation rate, the unemployment rate and economic growth in the context of the UK, for the period 1992: Q1 to 2016: Q4. The study aims to evaluate the impact of the LIBOR on the management of macroeconomic stability in the UK during the period under review. The study employs a vector autoregressive (VAR) model to examine the dynamic relationship between interest rates, unemployment and GDP. A co-integration test evaluates the long-run relationship between these variables, and the VAR Granger-causality tests the direction of causation among the variables. The Augmented Dickey-Fuller test shows that the co-integration conditions are not satisfied, as they do not confirm the existence of a long-run relationship between the LIBOR and the other variables. However, the VAR model indicates that there does exist a dynamic short-run relationship between the LIBOR and the consumer price index ...
In this paper we investigate the long-run relationship between national income and government spe... more In this paper we investigate the long-run relationship between national income and government spending by using Greek data from 1833 until 2010. We use 5 different formulations of Wagner’s law (the long run tendency for government expenditure to expand relative to economic growth) and find that empirical results are supportive for Wagner’s law. The data set span covers a period of almost 2 centuries; the long data set thus ensures the reliability of our results in terms of statistical and economic conclusions. Furthermore, the data set covers the early periods of development of the Greek economy, a period of growth, industrialisation and modernisation of the economy, conditions which should be conducive to Wagner’s law. Our analysis provides evidence of long run relationship between government spending and national income, while the Granger causality tests indicate that causality runs from the national income to spending. Moreover we include tests for structural changes to take into...
Purpose One of the main theories regarding the relationship between government expenditure and gr... more Purpose One of the main theories regarding the relationship between government expenditure and gross domestic product (GDP) is Wagner’s law. This law was developed in the late-19th century by Adolph Wagner (1835–1917), a prominent German economist, and depicts that an increase in government expenditure is a feature often associated with progressive states. This paper aims to examine the validity of Wagner’s law in Egypt for 1960–2018. The relationship between real government expenditure and real GDP is tested using three versions of Wagner’s law. Design/methodology/approach To test the validity of Wagner in Egypt, law time-series analysis is used. The methodology used in this paper is: unit-root tests for stationarity, Johansen cointegration approach, error-correction model and Granger causality. Findings The results provide strong evidence of long-term relationship between GDP and government expenditure. Moreover, the causal relationship is found to be bi-directional. Hence, this s...
Albania has experienced a rapid transition from a centrally planned economy to a mixed economy si... more Albania has experienced a rapid transition from a centrally planned economy to a mixed economy since the fall of communism in 1989. Policy changes, trade liberalization, and privatization have come about at a rapid pace, allowing foreign direct investment (FDI) and international trade to become key components of Albania’s economy. Against this backdrop, this study investigates the relationships among FDI, trade, and economic growth in Albania. Annual time-series data were obtained from the World Bank. Then, the following econometric tests were performed on the variables representing FDI inflows, exports, and GDP as proxies for FDI, trade, and economic growth: the unit root test; the unit root test with a structural break; Johansen cointegration analysis; the error correction model; and the Granger causality test. The results revealed a long-term relationship between FDI, trade, and economic growth. The Granger causality tests found unidirectional causality. Economic growth brought a...
The aim of this study is to characterize the relationship between food consumption and socio-demo... more The aim of this study is to characterize the relationship between food consumption and socio-demographic characteristics in several groups of individuals. This is achieved by capturing the quantity of food purchased in categories on a microeconomic level. The empirical analysis is approached through the estimation of (a) expanded generalized linear models, (b) quantile regression models, (c) quadratic almost ideal demand system models and (d) Deaton’s (1988) approach. The results reveal that the composition of a household has a significant impact on the quantity of food consumed. In addition, price and income elasticities are estimated, confirming that the majority of food items are inelastic with respect to price and income except for meat. These findings can be used as a basis for considering food policy implications while evaluating the potential gains from applying specific policies.
This study analysed the dynamics of the international soybean market using econometric techniques... more This study analysed the dynamics of the international soybean market using econometric techniques and economic models to study the impacts of the US–China trade war. It considered the analysis of “spatial” (horizontal) price transmission during an approximately ten-year period from September 2009 to May 2019 using monthly time-series data. The research focused on the leaders in the international soybean market, namely, China, the USA, the EU, Brazil and Argentina. Several econometric techniques were employed. The stationarity of the price time series was determined using the augmented Dickey–Fuller (ADF) unit root test. Structural breaks were inferred using the ADF test with a breaks test and a Bai–Perron multiple break test. The long-term relation/cointegration amongst the series was determined using the Johansen cointegration test (1988), with the previous breaks input as dummy variables. The direction of the causality was inferred using the Granger causality test (1969). The long...
The longer-term impacts of the COVID-19 pandemic on the European food supply chain may be substan... more The longer-term impacts of the COVID-19 pandemic on the European food supply chain may be substantially different than the short-term adaptation of farmers, food processors and retailers. The main consumer preference changes are likely to be linked to greater on-line ordering, home delivery and in-home consumption. The food industry changes will probably be more persistent and of greater magnitude than those on the consumer side, including a preference for production and processing closer to consumption, and greater flexibility in processing. The COVID-19 pandemic will promote greater automation throughout the food chain with automation of combinable crops leading the way because the engineering is more tractable than for fruits and vegetables. The COVID-19 pandemic will lead to a re-emphasis on food production and food security in agricultural policy throughout Europe. That re-emphasis of food security will be strongest in those countries which saw the largest and longest disruptio...
In this paper we investigate the long-run relationship between national income and government spe... more In this paper we investigate the long-run relationship between national income and government spending by using Greek data from 1833 until 2010. We use 5 different formulations of Wagner’s law (the long run tendency for government expenditure to expand relative to economic growth) and find that empirical results are supportive for Wagner’s law. The data set span covers a period of almost 2 centuries; the long data set thus ensures the reliability of our results in terms of statistical and economic conclusions. Furthermore, the data set covers the early periods of development of the Greek economy, a period of growth, industrialisation and modernisation of the economy, conditions which should be conducive to Wagner’s law. Our analysis provides evidence of long run relationship between government spending and national income, while the Granger causality tests indicate that causality runs from the national income to spending. Moreover we include tests for structural changes to take into...
One of the most important reasons that led Greece to the current macroeconomic instability is the... more One of the most important reasons that led Greece to the current macroeconomic instability is the high military spending during the last decades. Thus, it is necessary to examine the impact of military spending on economic growth for the case of Greece. Furthermore, it will be very useful to examine the arms race hypothesis between Greece and Turkey in order to identify if there is an interaction between these countries that leads to the high level of military spending. In this paper we empirically test the relationship between military spending and economic growth for Greece and Turkey during 1957-2013, and examine the validity of arms race hypothesis between the two countries. We deployed unit root tests, unit root tests with structural changes, cointegration techniques and finally Granger causality tests. Granger causality tests in the case of Greece and Turkey imply that the causality runs from military spending to economic growth, however we find that there is no evidence of ca...
In the last twenty years many developed countries have faced significant public deficits, while t... more In the last twenty years many developed countries have faced significant public deficits, while the ability of government authorities to deal with public deficits has been receiving rising awareness from economists and policy makers. This is an imperative topic, in provisions of economics and public policy, and it is a central subject for the EMU area; hence, they are the main motivations of this paper. Theoretically, equilibrium growth paths have to be supported by adequate fiscal policy. The risk of a default on Greek sovereign debt during the last years has worried the Euro into its first serious crisis and raised the issue of debt sustainability in Europe. There is no universally accepted definition for sustainable fiscal policy. However, economists agree that expanding public debt is not sustainable. Budget policy is constrained by the need to finance the deficit. In this paper we provide a synthesis of empirical research in the validity of the Sustainability of Fiscal Policy o...
The aim of this paper is to investigate the relationship between government expenditure and econo... more The aim of this paper is to investigate the relationship between government expenditure and economic growth commonly known as Wagner’s law for one single Central and Eastern European country namely Romania. Using a dataset ranging from 1995 to 2015, we apply latest econometric time series techniques such as unit root test, Johansen cointegration and Granger causality test. The cointegration tests indicate support for Wagner’s hypothesis in all of its five versions, thus suggesting the existence of long-run relationship between government spending and national outcome. The causality tests show the absence of any short-run relationship from economic outcome to government expenditure in three out of five versions. However, taking into consideration that in its original formulation Wagner’s law explored the secular correlation between output and government commitments, we can state that the long run cointegration is more consistent with Adolph Wagner’s perspective.
Ee try to answer two very important questions; firstly if the Greek fiscal policy has been consis... more Ee try to answer two very important questions; firstly if the Greek fiscal policy has been consistent with the government intertemporal budget constraint during the two tested periods, 1833-2009 and 1960-2009. We separate the last 50 years which according to most politicians was the problematic period in Greek finances and lead to unsustainable deficits. Secondly, we examine if it is possible to identify structural changes in the conduct of fiscal policy. We are using annual time series data from 1833.We are using several approaches such as Johansen approach, DOLS, Engle-Granger approach, Bohn test and finally Trehan-Walsh approach. Our empirical results are mixed and in contrast with our expectations, because the majority of the tests indicate sustainable fiscal policy in both tested periods. Greek budget deficits are now un-sustainable in the long-run, since public debt cannot grow for an indefinite period faster than the national output. However, we know that Budget policy is con...
One of the most controversial issues in public finance and macroeconomics is the nature of the re... more One of the most controversial issues in public finance and macroeconomics is the nature of the relationship between government spending and revenues. The debate between economists and politicians has been emphasised recently because of the increased budget deficits and defaults in many developed and developing countries. Many economists (Friedman, 1978; Payne, 1997; Darrat, 1998; Albatel, 2002) argued that it is very important to investigate whether the government spending determines the revenues and/or whether government revenue determines the government spending. We are applying an empirical analysis of the spend-tax or tax-spend hypothesis, in order to identify the direction of the causality between government spending and revenues in Greece for the period 1833-2009, a period of industrialisation, urbanisation, increased growth, increased government spending, and enormous budget deficits during the last decades and a serious problem with the public debt. In order to investigate t...
The role of Fiscal policy in the long run growth process has been crucial in macroeconomics since... more The role of Fiscal policy in the long run growth process has been crucial in macroeconomics since the appearance of endogenous growth models. Additionally, a significant debate among economists involves whether several types of spending or taxation enhance economic growth. The main objective of this paper is to highlight the relationship between fiscal policy and economic growth in the EU-15, and make an attempt to determine which of the fiscal policy instruments enhance economic growth.We deployed panel data techniques and included both sides of budget, spending and taxation, in our regressions and used the most recent dataset data for fiscal variables from Eurostat. We made a new classification of public expenditures into homogeneous groups in order to reduce the explanatory variables and increase the efficiency of our model and results since we have data for only 14 years. In our empirical analysis we included OLS, fixed effects models, random effects models and GMM estimators, t...
Abstract. The objective of this study is to provide empirical evidence on the short- and long-run... more Abstract. The objective of this study is to provide empirical evidence on the short- and long-run relationships between the short-term interest rate, London interbank offered rate (LIBOR) and macroeconomic policy objectives, such as price stability, economic growth, and stability of the exchange rate market. For this purpose, we deploy quarterly frequency data from the United Kingdom between 2000 and 2015 and adopt a multiple regression model. Furthermore, this study uses the Johansen, Stock-Watson cointegration test and the Granger Causality test in order to examine the dynamic short- and long-run relationships among LIBOR, the consumer price index as a proxy of price stability, the real gross domestic product as a proxy of economic growth, and the exchange rate as a proxy of exchange rate market stability. The results showed that all variables have the same order of integration and long-run equilibrium relationships exist between them. The results show evidence of long-run equilib...
The main aim of this article is to investigate the price transmission of milk between the produce... more The main aim of this article is to investigate the price transmission of milk between the producers and the retailers within the UK to understand the influence of large retailers on the market. In recent times smaller dairy farms have been forced to close down because they believe that prices are not being conveyed from retailers to producers. The research interlinks well established econometric tests, which are frequently used within vertical price transmission research to gain an understanding of the transmission from producer to retailer. These are unit root tests, cointegration tests and causality test. The main findings were that there is a unidirectional transmission of milk prices in the UK between producers and retailers. The Granger causality test shows that causality runs from the retailer to the producer and but not from the producer to the retailer. There was a significant break in 1994, which is when the MMB disbanded and has provided a new research gap. The direction o...
Abstract. The purpose of this study is to examine price transmission between the producer and ret... more Abstract. The purpose of this study is to examine price transmission between the producer and retail in the UK pork industry. It aims to find the direction of causality in the long and short-run, and whether there is a long-run relationship between producer and retail prices. This study used monthly time series data for producer and retail prices ranging from 1988-2016. Econometric tests were used such as the Augmented Dickey-Fuller ( 1979 ) and Phillips-Perron ( 1988 ) Unit Root tests; Bai-Perron ( 1998 ) Unit Root test allowing for multiple structural breaks; Johansen ( 1991 ) and Engle-Granger ( 1987 ) Co-integration tests; Granger ( 1988 ) Causality, and the Error Correction Model showing the speed of recovery in the long-run after a shock. The results of the Unit Root tests found both producer and retail prices to be integrated of order one I(1). Three structural breaks were found occurring in the years of 1996, 2002 and 2012. The Co-integration tests found that there is one lo...
This study examines the dynamic relationship between the London Interbank Offered Rate (LIBOR), t... more This study examines the dynamic relationship between the London Interbank Offered Rate (LIBOR), the inflation rate, the unemployment rate and economic growth in the context of the UK, for the period 1992: Q1 to 2016: Q4. The study aims to evaluate the impact of the LIBOR on the management of macroeconomic stability in the UK during the period under review. The study employs a vector autoregressive (VAR) model to examine the dynamic relationship between interest rates, unemployment and GDP. A co-integration test evaluates the long-run relationship between these variables, and the VAR Granger-causality tests the direction of causation among the variables. The Augmented Dickey-Fuller test shows that the co-integration conditions are not satisfied, as they do not confirm the existence of a long-run relationship between the LIBOR and the other variables. However, the VAR model indicates that there does exist a dynamic short-run relationship between the LIBOR and the consumer price index ...
In this paper we investigate the long-run relationship between national income and government spe... more In this paper we investigate the long-run relationship between national income and government spending by using Greek data from 1833 until 2010. We use 5 different formulations of Wagner’s law (the long run tendency for government expenditure to expand relative to economic growth) and find that empirical results are supportive for Wagner’s law. The data set span covers a period of almost 2 centuries; the long data set thus ensures the reliability of our results in terms of statistical and economic conclusions. Furthermore, the data set covers the early periods of development of the Greek economy, a period of growth, industrialisation and modernisation of the economy, conditions which should be conducive to Wagner’s law. Our analysis provides evidence of long run relationship between government spending and national income, while the Granger causality tests indicate that causality runs from the national income to spending. Moreover we include tests for structural changes to take into...
Purpose One of the main theories regarding the relationship between government expenditure and gr... more Purpose One of the main theories regarding the relationship between government expenditure and gross domestic product (GDP) is Wagner’s law. This law was developed in the late-19th century by Adolph Wagner (1835–1917), a prominent German economist, and depicts that an increase in government expenditure is a feature often associated with progressive states. This paper aims to examine the validity of Wagner’s law in Egypt for 1960–2018. The relationship between real government expenditure and real GDP is tested using three versions of Wagner’s law. Design/methodology/approach To test the validity of Wagner in Egypt, law time-series analysis is used. The methodology used in this paper is: unit-root tests for stationarity, Johansen cointegration approach, error-correction model and Granger causality. Findings The results provide strong evidence of long-term relationship between GDP and government expenditure. Moreover, the causal relationship is found to be bi-directional. Hence, this s...
Albania has experienced a rapid transition from a centrally planned economy to a mixed economy si... more Albania has experienced a rapid transition from a centrally planned economy to a mixed economy since the fall of communism in 1989. Policy changes, trade liberalization, and privatization have come about at a rapid pace, allowing foreign direct investment (FDI) and international trade to become key components of Albania’s economy. Against this backdrop, this study investigates the relationships among FDI, trade, and economic growth in Albania. Annual time-series data were obtained from the World Bank. Then, the following econometric tests were performed on the variables representing FDI inflows, exports, and GDP as proxies for FDI, trade, and economic growth: the unit root test; the unit root test with a structural break; Johansen cointegration analysis; the error correction model; and the Granger causality test. The results revealed a long-term relationship between FDI, trade, and economic growth. The Granger causality tests found unidirectional causality. Economic growth brought a...
The aim of this study is to characterize the relationship between food consumption and socio-demo... more The aim of this study is to characterize the relationship between food consumption and socio-demographic characteristics in several groups of individuals. This is achieved by capturing the quantity of food purchased in categories on a microeconomic level. The empirical analysis is approached through the estimation of (a) expanded generalized linear models, (b) quantile regression models, (c) quadratic almost ideal demand system models and (d) Deaton’s (1988) approach. The results reveal that the composition of a household has a significant impact on the quantity of food consumed. In addition, price and income elasticities are estimated, confirming that the majority of food items are inelastic with respect to price and income except for meat. These findings can be used as a basis for considering food policy implications while evaluating the potential gains from applying specific policies.
Uploads
Papers by Dimitrios Paparas