2022_The Effect of Monetary and Fiscal Policy on Economic Growth in Jordan
| Format: | General Document |
|---|
| _version_ | 1860798066456526848 |
|---|---|
| building | INTELEK Repository |
| collection | Online Access |
| collectionurl | https://intelek.unisza.edu.my/intelek/pages/search.php?search=!collection3 |
| copyright | Copyright©PWB2025 |
| country | Malaysia |
| date | 2022-03-24 |
| format | General Document |
| id | 15735 |
| institution | UniSZA |
| internalnotes | Sila masukkan subject wajib Dissertations, Academic. Terima kasih... |
| originalfilename | 15735_f5e7c13488d7df8.pdf |
| person | Bashar Younis Subeih Alkhawaldeh |
| recordtype | oai_dc |
| resourceurl | https://intelek.unisza.edu.my/intelek/pages/view.php?ref=15735 |
| sourcemedia | Server storage Scanned document |
| spelling | 15735 https://intelek.unisza.edu.my/intelek/pages/view.php?ref=15735 https://intelek.unisza.edu.my/intelek/pages/search.php?search=!collection3 General Document Malaysia Library Staff (Top Management) Library Staff (Management) Library Staff (Support) Terengganu Faculty of Business and Management English application/pdf 1.5 Jordan Server storage Scanned document Universiti Sultan Zainal Abidin UniSZA Private Access Universiti Sultan Zainal Abidin SAMBox 2.3.4; modified using iTextSharp™ 5.5.10 ©2000-2016 iText Group NV (AGPL-version) Economic Growth Copyright©PWB2025 2022-03-24 15735_f5e7c13488d7df8.pdf 233 Bashar Younis Subeih Alkhawaldeh Effect Of Monetary Fiscal Policy On Economic Growth Monetary policy—Jordan Fiscal policy Macroeconomics Jordan—Economic conditions 2022_The Effect of Monetary and Fiscal Policy on Economic Growth in Jordan Sustainable economic growth and development are undoubtedly one of the most challenging development issues in developing countries today. The two significant economic policies often used to stabilize any world economy are monetary and fiscal policies. Their cardinal tools are money supply, interest rates, tax rate, and government support. The objectives of this study are first to examine the effect of fiscal and monetary variables on economic growth in Jordan; second, to determine the effect of the 1997 Asian financial crisis and 2015 food crisis on economic growth in Jordan; third, to investigate the causal relationship between fiscal and monetary variables on economic growth in Jordan; and lastly, to examine the extent of responsiveness of economic growth to changes in fiscal and monetary variables in Jordan. The study employed the time series data from 1970-2019. Moreover, the study applied both the traditional and modern unit root to test the data. The unit root tests are: Augmented Dickey Fuller, Phillips-Perron, Saikonen and Lütkepohl and Zivot-Andrews. Also, the study used a recent cointegration test developed by Gregory and Hansen. Similarly, the study used Dynamic Autoregressive Distributive Lags (DARDL), Toda and Yamamoto, Impulse Response and Variance Decomposition. The unit root test results showed that all the variables were non-stationary at a level while stationary at first difference. Also, the cointegration test results showed the long-run effect of the 1997 Asian financial crisis, 2015 food crisis, money supply, taxes, interest rate, and government support for wheat and fuel on economic growth in Jordan. Similarly, the long-run and short-run estimates revealed a positive effect on the economic growth of money supply, taxes, and government support for wheat and fuel. At the same time, the 1997 Asian financial crisis, 2015 food crisis, and interest rate showed a negative effect on economic growth. The interaction term of interest rate and money supply revealed was a negative effect on economic growth, while the interaction term of government support for fuel wheat was positive. Similarly, Impulse Response and Variance Decomposition results showed that the most significant variables affecting Jordan's economic growth are taxes and money supply. The policymakers should encourage Jordan to increase the rate of nontax in support of the growing support. The study results recommend that the government increase the tax rate and non-tax to decline its accrued debt. Government authorities should be transparent to ensure growth stability through prudent and effective policy in aggregate demand using the fiscal instrument in the economy. Dissertations, Academic Sila masukkan subject wajib Dissertations, Academic. Terima kasih... Thesis |
| spellingShingle | 2022_The Effect of Monetary and Fiscal Policy on Economic Growth in Jordan |
| state | Terengganu |
| subject | Economic Growth Monetary policy—Jordan Fiscal policy Macroeconomics Jordan—Economic conditions Dissertations, Academic |
| summary | Sustainable economic growth and development are undoubtedly one of the most challenging development issues in developing countries today. The two significant economic policies often used to stabilize any world economy are monetary and fiscal policies. Their cardinal tools are money supply, interest rates, tax rate, and government support. The objectives of this study are first to examine the effect of fiscal and monetary variables on economic growth in Jordan; second, to determine the effect of the 1997 Asian financial crisis and 2015 food crisis on economic growth in Jordan; third, to investigate the causal relationship between fiscal and monetary variables on economic growth in Jordan; and lastly, to examine the extent of responsiveness of economic growth to changes in fiscal and monetary variables in Jordan. The study employed the time series data from 1970-2019. Moreover, the study applied both the traditional and modern unit root to test the data. The unit root tests are: Augmented Dickey Fuller, Phillips-Perron, Saikonen and Lütkepohl and Zivot-Andrews. Also, the study used a recent cointegration test developed by Gregory and Hansen. Similarly, the study used Dynamic Autoregressive Distributive Lags (DARDL), Toda and Yamamoto, Impulse Response and Variance Decomposition. The unit root test results showed that all the variables were non-stationary at a level while stationary at first difference. Also, the cointegration test results showed the long-run effect of the 1997 Asian financial crisis, 2015 food crisis, money supply, taxes, interest rate, and government support for wheat and fuel on economic growth in Jordan. Similarly, the long-run and short-run estimates revealed a positive effect on the economic growth of money supply, taxes, and government support for wheat and fuel. At the same time, the 1997 Asian financial crisis, 2015 food crisis, and interest rate showed a negative effect on economic growth. The interaction term of interest rate and money supply revealed was a negative effect on economic growth, while the interaction term of government support for fuel wheat was positive. Similarly, Impulse Response and Variance Decomposition results showed that the most significant variables affecting Jordan's economic growth are taxes and money supply. The policymakers should encourage Jordan to increase the rate of nontax in support of the growing support. The study results recommend that the government increase the tax rate and non-tax to decline its accrued debt. Government authorities should be transparent to ensure growth stability through prudent and effective policy in aggregate demand using the fiscal instrument in the economy. |
| title | 2022_The Effect of Monetary and Fiscal Policy on Economic Growth in Jordan |
| title_full | 2022_The Effect of Monetary and Fiscal Policy on Economic Growth in Jordan |
| title_fullStr | 2022_The Effect of Monetary and Fiscal Policy on Economic Growth in Jordan |
| title_full_unstemmed | 2022_The Effect of Monetary and Fiscal Policy on Economic Growth in Jordan |
| title_short | 2022_The Effect of Monetary and Fiscal Policy on Economic Growth in Jordan |
| title_sort | 2022_the effect of monetary and fiscal policy on economic growth in jordan |