In this paper, for the first time, we investigate relationship between infrastructure and sectoral distribution of FDI inflow in China. We use Estimating Autoregressive Distributed Lag (ARDL) bound testing Vector Error Correction Model (VECM) procedures estimation. To unmask shortcomings previous literature, a composite index with more than 30 indicators. The results show that there is long-run...

We re-examine Sephton and Larsen's (1991) conclusion that cointegration-based tests for market efficiency suffer from temporal instability. We improve upon their research by i) including a drift term in the vector error correction model (VECM) in the Johansen procedure, ii) correcting the likelihood ratio test statistic for finitesample bias, and iii) fitting the model over longer data sets. We...

This paper investigates the relationship between natural gas consumption, price, crude oil Foreign direct Investment and per capita GDP in Nigeria to ascertain their causal effects dependencies by using time series data from 1990 2020 an econometric platform Vector Error Correction model (VECM). The result of VECM estimate, Granger causality test Variance decomposition all suggest presence a st...

This study aims to analyze in depth the influence of Third Party Funds (DPK), Non Performing Financing (NPF), Capital Adequacy Ratio (CAR), Deposit (FDR), and Inflation Rate on Profit Sharing at Islamic Commercial Banks Indonesia . uses secondary data. a quantitative descriptive approach using Vector Error Correction Model (VECM). The results this research data processing indicate that Granger ...

This study aims to analyze the influence of macroeconomic factors on Indonesia's international trade. The variables in this are trade values, exchange rates, exports, imports, Gross Fixed Capital Formation (GFCF), Domestic Income (GDP), and foreign investment (FDI). method used is Vector Error Correction Model (VECM). VECM analysis long- short-term relationships. relationship studied between in...

This study proposed an optimal model to examine the relationship between Bitcoin price and six macroeconomic variables – price, Standard Poor's 500 volatility index, US treasury 10-year yield, consumer gold dollar index. It also examined effectiveness of vector error correction (VECM) in analyzing interrelationship among these variables. The authors employed following approach: first, sampled p...

Current integration and co-movement among international stock markets has been boosted by increased globalization of the world economy, and profit-chasing capital surfing across borders. With a reputation as the fastest growing economy in the world, China’s stock market has continued gaining momentum during recent years and incurred growing attention from academicians, as well as practitioners....

assumption of exchange rate overshooting has significant position in international macroeconomic discussion. this phenomenon is one of the abnormal behaviors of exchange rate that happen in short run. dornbusch (1976) shows that because speed of equilibrium prices is slow relative to asset markets and commodity prices are sticky in the short run, however, over time, commodity prices will rise a...