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Insurance Activity and Economic Growth Nexus in 31 Regions of China: Bootstrap Panel Causality Test

  • Hongbing HU

    ()

    (Zhongnan University of Economics and Law, Wuhan.)

  • Meng SU

    ()

    (ZNUFE)

  • Wenhua LEE

    ()

    (ZNUFE)

Registered author(s):

    This study applies the bootstrap panel Granger causality test to investigate the relationship between insurance activity and economic growth using data from 31 regions of China over the period 1997-2011. Empirical results indicate that the direction of causality seems to be in favor of the neutrality hypothesis in 21 out of 31 regions and a one-way Granger causality running from economic growth to insurance activity in 7 regions. Regarding the direction of insurance activity to economic growth nexus, we find a one-way Granger causality from insurance activity to economic growth for Jiangsu, Zhejiang, and Shandong.

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    File URL: http://www.ipe.ro/rjef/rjef3_13/rjef3_2013p182-198.pdf
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    Article provided by Institute for Economic Forecasting in its journal Romanian Journal for Economic Forecasting.

    Volume (Year): (2013)
    Issue (Month): 3 (October)
    Pages: 182-198

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    Handle: RePEc:rjr:romjef:v::y:2013:i:3:p:182-198
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