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Malaysia is recognized as one of the mega biodiversity countries of the world. However, Malaysia’s biodiversity hotspot experiencing a more pronounce biodiversity loss. Accordingly, the objective of this study is to explore the link between climate change, socio-economic factors and biodiversity loss in Malaysia from 1990 to 2016, with a special focus on different climate change indicators namely rainfall, temperature and carbon dioxide (CO${}_2)$ emissions. Using the autoregressive distributed lag (ARDL) bounds testing approach, this study provides evidence on long-run relation between each of the indicators of climate change and biodiversity loss. The core threats to biodiversity are growing demand for agricultural land, rapid population, elevated temperature, higher CO₂ emissions and rainfall reduction. Interestingly, the biodiversity loss-income nexus is also supportive of the environmental Kuznets curve (EKC) hypothesis; with biodiversity threats increasing with income, beyond a certain level of income, a rise in income reduces the loss of biodiversity. The findings are essential for future studies with a special consideration to reduce the losses of biodiversity.

Analyzing financial development and investment in Turkey between 1960 and 2008, this paper illustrates how financial development affects investment decisions in a dynamic model of the firm under financial frictions. A composite index is constructed of three alternative financial development measures. The bounds testing approach was used to test for the existence of long-run levels relationships and long-run levels relationships were estimated using the autoregressive distributed lag method. Both short- and long-run causality tests were performed. Results indicate that financial development, budget balance, and total credit to the private sector positively and significantly affect investment.

The surge of capital inflow into emerging markets since the 1990s has attracted much research, but capital flight from these economies has received scant attention in research and policy debates, despite its severe implications. The present study attempts to address the issue of capital flight and gap in the literature. Our estimates show a steep increase in the magnitude of capital flight from India since 2003, and empirical results suggest that the significant determinants of capital flight are GDP and exchange rate. We find that higher interest rates discourage capital flight; while keeping interest rates high may partially restrict capital flight, it is infeasible, and may impede future economic growth. Our findings suggest the need for interventions and changes in the current policy framework to improve investment opportunities for residents and arrest capital flight.

This research paper aims to investigate linkages of electricity consumption representing energy security with estimated factors — GDP, population and foreign direct investment (FDI) during 1998–2018 for Laos People Democratic Republic (Lao PDR) by using ARDLbased Bayesian inference. This study provided empirical evidence on a long-run linear relationship analysis under ARDL-based Bayesian inference, which concludes that they have performed real relationships between electricity consumption, GDP, population and FDI. In addition, in the short-run, it was found that explanatory factors have both negative and positive impacts on Laos’ electricity consumption. The results confirm the hypothesis that although Lao PDR has access to domestic energy resources, only relying on one energy resource will make the energy system insecure. Thus, Lao PDR must develop substantial infrastructures and alternative renewable energies to support the campaign of Lao PDRs electricity security in the long-run.

Based on the demand-pull and cost-push theory, this study examines the relationship between foreign direct investment (FDI) and inflation nexus by using time series technique of Autoregressive Distributed Lags (ARDL). Asymmetry assumption was investigated by employing relatively advanced Nonlinear Autoregressive Distributed Lag (NARDL) method. Annual data from 1973 to 2017 has been collected from the World Bank database and DataStream. The results revealed that Bangladesh’s FDI inflow has a significant impact on the inflation rate, which augurs well for the economy. In addition, we also discover an asymmetric relationship in the long run and symmetric relationship in the short run. Several policy recommendations of these findings are provided.

Considering two theories of Halo and Haven and annual data from 1994 to 2021 for the country of Vietnam, this paper has tried to consider two types of foreign direct investment (to Vietnam from abroad and from Vietnam to abroad) to study the impact factor of investment on carbon dioxide emissions in this country. The significant findings reveal that FDI (Foreign Direct Investment), both inward and outward, is an efficient factor in mitigating carbon emissions in the short term in Vietnam. The enhancements in the inward and outward flows of FDI in Vietnam will likely lead to a reduction in carbon emission increase which is in line with the environmental protection policy. In addition, it confirms the Halo pollution hypothesis in Vietnam, meaning that the Vietnamese government can mitigate CO₂ emissions by improving FDI flows (both inward and outward).

The paper examines the relationship between the economic integration and growth nexus in Vietnam using powerful quantitative methods, specifically the Autoregressive Distributed Lag (ARDL) and the Granger causality test. The study focuses on three types of economic integration, including overall integration, financial integration and trade integration, which affected economic growth in Vietnam from 1986 to 2015. The key finding from this study is that when three types of economic integration are considered together, integration provides positive impacts on economic growth. In addition, causal relationship exists between overall integration and financial integration, and between trade integration and financial integration. As such, financial integration is absolutely important to economic growth in Vietnam. On the grounds of these findings, the Vietnamese government should carefully outline socio-economic development strategies to maintain political stability and to derive benefits from economic integration and globalization.

Household consumption and the variables driving it have garnered extensive attention in economic literature. GDP per capita, gross savings, and inflation are among the macroeconomic variables typically considered to affect household spending. The paper examines the effect of these macroeconomic variables on household consumption using the ARDL model. The yearly aggregate data utilized in this analysis spans the period from 1983 to 2018. The paper found a long-run negative relation between household final consumption expenditure and gross domestic saving in the long run. The study showed positive and significant long-run relationships between GDP per capita and household consumption and a significant and negative relationship between savings and household consumption both in the short and long runs.

Equitable income distributions occupy a top spot on the list of the United Nations (UN) Sustainable Development Goals (SDG₁₀). Nonetheless, prior empirical inquiries noted several factors, including globalization as the determinant of income inequality, albeit divergent inferences. However, very little is known about the potential effects of other variants of globalization (economic, social, cultural and political) on income inequality. Hence, this study, through a multi-dimensional scale, provides a comprehensive empirical overview of the effects of globalization on income inequality in the United States and the United Kingdom between 1970 and 2018. The study adopts the Autoregressive Distributed Lag (ARDL) and Kernel Regularized Least Squares (KRLS) models for broad-based empirical narratives. The empirical estimates rectify that globalization and its variants influenced income distributions significantly more in the US than in the UK. Particularly, at the 25th and 50th quantiles, globalization produced significant inequality-reducing effects in the UK. This indicates varying outcomes across the distributions of income inequality. Hence, constant monitoring is critical to curtail the influence of globalization on income distributions. The study also revealed that the existing patterns of income distributions in both countries would not guarantee the attainment of SDG₁₀. However, if laborers are compensated adequately, the attainment of SDG₁₀ is certain. Thus, relevant policy options that will ensure equitable prosperity in both countries are highlighted.

The impact of unconventional monetary policies adopted by advanced economies in the wake of the Global Financial Crisis has had far reaching implications for global economic conditions. Although several transmission channels of quantitative easing to financial market and exchange rate conditions have been identified, there is a lack of empirical investigation on the spillover effects to exports for emerging market economies. The research presented in this paper focuses on assessing the asymmetric transmission of unconventional monetary policy in the US on exports for fifteen emerging market economies. Employing the panel ARDL (Autoregressive Distributed Lag) model, we find that the increase in large-scale asset purchases in the US corresponds to a decline in exports in the emerging market economies. The effect on exports is more sizable in the Fragile Five than in the other 10 emerging markets. Finally, although monetary policy shocks from the US transmit to impact trade in emerging markets, the effect is asymmetric. Specifically, the tapering of the quantitative easing does not have a statistically significant effect on exports.

This study investigates the affiliation of various proxies of economic sentiments and the US Dollar exchange rate, mainly focusing on the real effective exchange rate of USD pairing with three other major currencies (USDEUR, USDGBP, and USDCAD). The study has employed Google Trends data of economy optimistic and pessimistic sentiments index and survey-based economy sentiments data on monthly basis from January 2004 to December 2018. The study engaged Ordinary Least Squares (OLS) and Auto-Regressive Distributed Lag (ARDL) estimation techniques to evaluate the short-run and long-run effects of economy-related sentiments and macroeconomic variables on the exchange rate. The results from the study found that Economy Optimistic Sentiments Index (EOSI) and Economy Pessimistic Sentiments Index (EPSI) appreciate and depreciate the US Dollar exchange rate in the short-run, respectively. Our sentiment measures are robust to survey-based Michigan Consumer Sentiment Index (MSCI), Consumer Confidence Index (CCI), and various macroeconomic factors. The MSCI and CCI sentiments show a long-term impact on the foreign exchange market. This study implies that economic sentiments play a vital role in the foreign exchange market and it is essential to consider behavioral aspects when modeling the exchange rate movements.

The purpose of this paper is to study the relationship between bitcoin and energy commodities through the period of study from August 11, 2015 to March 31, 2018. For the econometric methodology, we utilize ARDL model, the cointegration relationship and the Granger Causality. From the empirical findings, we can observe that the presence of a short-term relationship between the variables with respect to the long-term relationship is significant and low. This result indicates the excessive volatility of bitcoin. The Granger causality test demonstrates the presence of unidirectional relationship between bitcoin and the variables representing energy and commodity products. Our paper contributes to the literature by applying for the first time many approaches together such as ARDL model, Granger Causality, Causality of Tada and Yamamoto, Cointegration relationship in short term and long term.

The service sector in Uganda emerged prematurely as the leading driver of economic growth. This was before the country fully industrialised as described under the dual economic development model. Despite the enormous contribution of the service sector to economic growth in Uganda, an empirical analysis of its drivers is still in shortage. The main objective of this study is to examine the drivers of rapid growth in Uganda’s service sector using an Autoregressive Distributed Lag (ARDL) model and a long annual time series spanning the period 1980-2020. The results of this study showed that the past level of service performance determines how the sector performs at present. Also, the Human Capital Index (HCI), Foreign Direct Investment (FDI) and Gross National Expenditure (GNE) significantly improve service sector growth in both the short run and long run. Also, if the service sector experiences a shock, the sector will adjust to its long-run equilibrium at an adjustment speed of 24.2%. The findings of this study, therefore, highlight the need for government to increase funding for human capital development through investing in the education and healthcare sectors. Further, the government should implement favourable trade policies aimed at attracting more FDI. Foreign investors should be provided free land and tax holidays. Given the important role that the service sector plays in Uganda’s economy, a large share of GNE should be directed to the service sector to stimulate its performance.

This study empirically evaluates the effect of consumer confidence on consumer spending in Nigeria. Relatively little attention has been paid to the existence of a long-run relationship between consumer confidence and consumer spending in Nigeria, and this study aims to contribute to the existing literature in this regard by utilising quarterly data spanning from 2009 to 2023. Examining the relationship through the autoregressive distributed lag (ARDL) model, it was found that consumer confidence, money supply, and inflation have a significantly positive impact on consumer spending, while interest rates possess an adverse relationship with consumer spending in Nigeria in the long run. The findings of the study recommend that good infrastructure, ease of doing business, and reduction of tax rate on everyday purchasing are key contributors to consumers’ optimism. Additionally, efficient responses to economic shocks and effective policy reformation according to the shift of the dynamic financial world are also crucial to making the economy well-run and maintaining the level of consumers’ confidence.

There is twofold contribution in this paper. First, by using monthly data for 16 industrialized countries for the period 1973–2011 we find evidence of time-varying cointegration relationship between effective exchange rates and national stock market indices. Second, we present that the cointegration relationship affects exchange rate exposure. We propose that the exchange rate exposure effect changes when the connection between the exchange rate and stock market emerges. This is a new result and reflects importance of these markets’ joint role in international risk sharing.

This paper examines the behaviour of Indian aggregate imports during the period 1980–81 to 2013–14. The stability of aggregate import demand function is examined using five types of cointegration tests including the ARDL bounds test. In order to estimate the long-run elasticities, we have applied three alternative fully efficient cointegrating regressions, autoregressive distributed lag (ARDL) model and Johansen maximum likelihood method. Our results reveal cointegration relationship between import demand, relative prices of import, domestic activity and foreign exchange reserves. Results evince that, in the long-run, the response of import demand to relative import prices is negative and less than unity, whereas it’s response to domestic activity/income is positive and more than unity. The foreign exchange reserve has a positive effect on imports.

This article evaluates the transmission through intermediaries taking into consideration the dichotomy between peripheral and core banking systems with regards to the ECB’s standard and non- standard measures of monetary policy by the use of “shadow rate” as an indicator of the monetary policy stance. Bank sector is represented by lending surveys data (BLS) which contain robust quarterly information on changes in loan terms, conditions and standards for both firms and households. By using a Factor Augmented VAR (FAVAR) methodology, we conclude that our model performs well, but it only contradicts the predictions of theory as far as it concerns the credit volume impulse responses functions (IRFs). Selecting a sample of core and peripheral banking systems to apply our methodology, we find the theoretical predictions are confirmed only when the peripheral banking systems are neutralized, indicating that the erratic behaviour of IRFs results from the periphery’s banking system inclusion. We conclude that dislocation in the peripheral segment of European banking system impairs seriously the monetary policy transmission mechanism and, importantly, steps should be undertaken towards risk-sharing in EMU and risk reduction in peripheral banking systems to cure banking system imbalances in the context of EMU.