Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries

Elham Mohammad Alhaj Yousef

doi:doi:10.11648/j.ijber.20200904.14

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Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries

Elham Mohammad Alhaj Yousef

Published in International Journal of Business and Economics Research (Volume 9, Issue 4)

Received: 26 April 2020 Accepted: 1 June 2020 Published: 17 June 2020

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Abstract

This paper aims at investigating the impact of public governance on the economic growth in Non-Oil-Exporting Arab countries (NOEAC). The study used panel data for six NOEAC over the period from 1998 to 2017. Some study variables were not stationary at level but they became stationary after taking the first difference for them. The result of applying Kao panel cointegration test revealed that the study model was cointegrated. Therefore, Fully Modified Ordinary Least Squares (FMOLS) model was applied for estimation showing that governance factors have the greatest significant positive effects on the economic growth in such countries. Gross fixed capital formation, labor force growth rate, trade openness, economic freedom, rule of law, regulatory quality, control of corruption, and voice and accountability have statistically significant positive impact on their economic growth during the study period, while the Global Financial Crisis of 2008 (GFC) with its slow recovery has a significant negative impact on their economic growth. Political stability and government effectiveness have insignificant effects. The main conclusion derived from this paper is that political and institutional aspects can play an important role in the economic progress, and they are responsible for major contribution to economic growth and development. Therefore, attracting domestic and foreign direct investments, increasing labor and capital productivities, strengthening governance, improving public administration and eradication of corruption have the first priorities in NOEAC.

Published in	International Journal of Business and Economics Research (Volume 9, Issue 4)
DOI	10.11648/j.ijber.20200904.14
Page(s)	183-191
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2020. Published by Science Publishing Group

Keywords

Governance, Economic Growth, Economic Freedom, Trade Openness

References

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Elham Mohammad Alhaj Yousef. (2020). Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries. International Journal of Business and Economics Research, 9(4), 183-191. https://doi.org/10.11648/j.ijber.20200904.14

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Elham Mohammad Alhaj Yousef. Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries. Int. J. Bus. Econ. Res. 2020, 9(4), 183-191. doi: 10.11648/j.ijber.20200904.14

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AMA Style

Elham Mohammad Alhaj Yousef. Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries. Int J Bus Econ Res. 2020;9(4):183-191. doi: 10.11648/j.ijber.20200904.14

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@article{10.11648/j.ijber.20200904.14,
  author = {Elham Mohammad Alhaj Yousef},
  title = {Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries},
  journal = {International Journal of Business and Economics Research},
  volume = {9},
  number = {4},
  pages = {183-191},
  doi = {10.11648/j.ijber.20200904.14},
  url = {https://doi.org/10.11648/j.ijber.20200904.14},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijber.20200904.14},
  abstract = {This paper aims at investigating the impact of public governance on the economic growth in Non-Oil-Exporting Arab countries (NOEAC). The study used panel data for six NOEAC over the period from 1998 to 2017. Some study variables were not stationary at level but they became stationary after taking the first difference for them. The result of applying Kao panel cointegration test revealed that the study model was cointegrated. Therefore, Fully Modified Ordinary Least Squares (FMOLS) model was applied for estimation showing that governance factors have the greatest significant positive effects on the economic growth in such countries. Gross fixed capital formation, labor force growth rate, trade openness, economic freedom, rule of law, regulatory quality, control of corruption, and voice and accountability have statistically significant positive impact on their economic growth during the study period, while the Global Financial Crisis of 2008 (GFC) with its slow recovery has a significant negative impact on their economic growth. Political stability and government effectiveness have insignificant effects. The main conclusion derived from this paper is that political and institutional aspects can play an important role in the economic progress, and they are responsible for major contribution to economic growth and development. Therefore, attracting domestic and foreign direct investments, increasing labor and capital productivities, strengthening governance, improving public administration and eradication of corruption have the first priorities in NOEAC.},
 year = {2020}
}

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TY  - JOUR
T1  - Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries
AU  - Elham Mohammad Alhaj Yousef
Y1  - 2020/06/17
PY  - 2020
N1  - https://doi.org/10.11648/j.ijber.20200904.14
DO  - 10.11648/j.ijber.20200904.14
T2  - International Journal of Business and Economics Research
JF  - International Journal of Business and Economics Research
JO  - International Journal of Business and Economics Research
SP  - 183
EP  - 191
PB  - Science Publishing Group
SN  - 2328-756X
UR  - https://doi.org/10.11648/j.ijber.20200904.14
AB  - This paper aims at investigating the impact of public governance on the economic growth in Non-Oil-Exporting Arab countries (NOEAC). The study used panel data for six NOEAC over the period from 1998 to 2017. Some study variables were not stationary at level but they became stationary after taking the first difference for them. The result of applying Kao panel cointegration test revealed that the study model was cointegrated. Therefore, Fully Modified Ordinary Least Squares (FMOLS) model was applied for estimation showing that governance factors have the greatest significant positive effects on the economic growth in such countries. Gross fixed capital formation, labor force growth rate, trade openness, economic freedom, rule of law, regulatory quality, control of corruption, and voice and accountability have statistically significant positive impact on their economic growth during the study period, while the Global Financial Crisis of 2008 (GFC) with its slow recovery has a significant negative impact on their economic growth. Political stability and government effectiveness have insignificant effects. The main conclusion derived from this paper is that political and institutional aspects can play an important role in the economic progress, and they are responsible for major contribution to economic growth and development. Therefore, attracting domestic and foreign direct investments, increasing labor and capital productivities, strengthening governance, improving public administration and eradication of corruption have the first priorities in NOEAC.
VL  - 9
IS  - 4
ER  -

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Author Information

Elham Mohammad Alhaj Yousef

Business Economics Department, Faculty of Business, University of Jordan, Amman, Jordan

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APA Style

Elham Mohammad Alhaj Yousef. (2020). Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries. International Journal of Business and Economics Research, 9(4), 183-191. https://doi.org/10.11648/j.ijber.20200904.14

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ACS Style

Elham Mohammad Alhaj Yousef. Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries. Int. J. Bus. Econ. Res. 2020, 9(4), 183-191. doi: 10.11648/j.ijber.20200904.14

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AMA Style

Elham Mohammad Alhaj Yousef. Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries. Int J Bus Econ Res. 2020;9(4):183-191. doi: 10.11648/j.ijber.20200904.14

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@article{10.11648/j.ijber.20200904.14,
  author = {Elham Mohammad Alhaj Yousef},
  title = {Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries},
  journal = {International Journal of Business and Economics Research},
  volume = {9},
  number = {4},
  pages = {183-191},
  doi = {10.11648/j.ijber.20200904.14},
  url = {https://doi.org/10.11648/j.ijber.20200904.14},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijber.20200904.14},
  abstract = {This paper aims at investigating the impact of public governance on the economic growth in Non-Oil-Exporting Arab countries (NOEAC). The study used panel data for six NOEAC over the period from 1998 to 2017. Some study variables were not stationary at level but they became stationary after taking the first difference for them. The result of applying Kao panel cointegration test revealed that the study model was cointegrated. Therefore, Fully Modified Ordinary Least Squares (FMOLS) model was applied for estimation showing that governance factors have the greatest significant positive effects on the economic growth in such countries. Gross fixed capital formation, labor force growth rate, trade openness, economic freedom, rule of law, regulatory quality, control of corruption, and voice and accountability have statistically significant positive impact on their economic growth during the study period, while the Global Financial Crisis of 2008 (GFC) with its slow recovery has a significant negative impact on their economic growth. Political stability and government effectiveness have insignificant effects. The main conclusion derived from this paper is that political and institutional aspects can play an important role in the economic progress, and they are responsible for major contribution to economic growth and development. Therefore, attracting domestic and foreign direct investments, increasing labor and capital productivities, strengthening governance, improving public administration and eradication of corruption have the first priorities in NOEAC.},
 year = {2020}
}

Copy | Download

TY  - JOUR
T1  - Public Governance and Economic Growth of Non-Oil-Exporting Arab Countries
AU  - Elham Mohammad Alhaj Yousef
Y1  - 2020/06/17
PY  - 2020
N1  - https://doi.org/10.11648/j.ijber.20200904.14
DO  - 10.11648/j.ijber.20200904.14
T2  - International Journal of Business and Economics Research
JF  - International Journal of Business and Economics Research
JO  - International Journal of Business and Economics Research
SP  - 183
EP  - 191
PB  - Science Publishing Group
SN  - 2328-756X
UR  - https://doi.org/10.11648/j.ijber.20200904.14
AB  - This paper aims at investigating the impact of public governance on the economic growth in Non-Oil-Exporting Arab countries (NOEAC). The study used panel data for six NOEAC over the period from 1998 to 2017. Some study variables were not stationary at level but they became stationary after taking the first difference for them. The result of applying Kao panel cointegration test revealed that the study model was cointegrated. Therefore, Fully Modified Ordinary Least Squares (FMOLS) model was applied for estimation showing that governance factors have the greatest significant positive effects on the economic growth in such countries. Gross fixed capital formation, labor force growth rate, trade openness, economic freedom, rule of law, regulatory quality, control of corruption, and voice and accountability have statistically significant positive impact on their economic growth during the study period, while the Global Financial Crisis of 2008 (GFC) with its slow recovery has a significant negative impact on their economic growth. Political stability and government effectiveness have insignificant effects. The main conclusion derived from this paper is that political and institutional aspects can play an important role in the economic progress, and they are responsible for major contribution to economic growth and development. Therefore, attracting domestic and foreign direct investments, increasing labor and capital productivities, strengthening governance, improving public administration and eradication of corruption have the first priorities in NOEAC.
VL  - 9
IS  - 4
ER  -

Copy | Download