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Financial Development and Economic Growth in the Organization of Islamic Conference Countries التطور المالي والنمو الاقتصادي في دول منظمة المؤتمر الإسلامي

Author

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  • M. Kabir Hassan

    (Department of Economics and Finance University of New Orleans, New Orleans, USA.)

  • Benito Sanchez

    (Department of Economics and Finance, Kean University Union, USA.)

  • Jung-Suk Yu

    (School of Urban Planning & Real Estate Studies Dankook University, Gyeonggi-do, Korea.)

Abstract

This study provides evidence on the role of financial development in accounting for economic growth in OIC countries. To document the relationship between financial development and economic growth, we estimate not only unbalanced panel regressions, but also variance decompositions of annual GDP per capita growth rates to examine what proxy measures are most important in economic growth over time and how much they contribute to economic growth among OIC countries. We find positive association between financial development and economic growth in OIC developing countries. Moreover, short-term multivariate analysis implies one-way causality that runs from growth to finance. هذه الدراسة تقدم أدلة على دور التطور المالي والمحاسبي في النمو الاقتصادي لدول منظمة المؤتمر الإسلامي. لتوثيق هذه العلاقة بين التطور المالي والنمو الاقتصادي, استخدمنا تحليل الانحدار غير الموزون وتحليل التباين لمعدلات نمو الناتج القومي السنوي لفحص ما هي العوامل الأكثر أهمية في النمو الاقتصادي عبر الزمن وكيف تشارك هذه العوامل في النمو الاقتصادي لدول منظمة المؤتمر الإسلامي. وجدنا علاقة طردية إيجابية بين التطور المالي والنمو الاقتصادي في دول منظمة المؤتمر الإسلامي. علاوة على ذلك, أشار التحليل المتعدد العوامل قصير المدى إلى وجود علاقة سببية أحادية الاتجاه بحيث يؤثر النمو الاقتصادي بالتطور المالي.

Suggested Citation

  • M. Kabir Hassan & Benito Sanchez & Jung-Suk Yu, 2011. "Financial Development and Economic Growth in the Organization of Islamic Conference Countries التطور المالي والنمو الاقتصادي في دول منظمة المؤتمر الإسلامي," Journal of King Abdulaziz University: Islamic Economics, King Abdulaziz University, Islamic Economics Institute., vol. 24(1), pages 145-172, January.
    • Handle: RePEc:abd:kauiea:v:24:y:2011:i:1:no:6:p:145-172
    DOI: 10.4197/Islec.24-1.6
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