Insurance Market Development and Macroeconomic Interactions in Twenty-Six Countries *

Q4 Economics, Econometrics and Finance
R. Pradhan, Mak B. Arvin, J. Hall, N. R. Norman
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引用次数: 5

Abstract

This paper examines the cointegrating and causal relationships between insurance market development (IMD) and economic growth based on panel-data estimation techniques. It also investigates the dynamic interrelationships amongst a number of important macroeconomic variables on IMD-growth nexus. The sample consists of 26 countries observed over the period 1980-2013. We use six different indicators of IMD, covered under both insurance density and insurance penetration, to validate the robustness of our results. Our findings affirm a long-run equilibrium relationship between insurance market development, economic growth, and six other macroeconomic variables selected, namely broad money supply (relative to national income), real interest rates, inflation rates, urban population growth, youth dependency ratios, and government consumption expenditure (relative to national income). We use a panel vector auto-regression model to examine the nature of Granger causality among the variables. Most significantly, we find that IMD and some macroeconomic variables Granger-cause economic growth in the long run, irrespective of which measure of IMD we use.
二十六国保险市场发展与宏观经济互动*
本文基于面板数据估计技术研究了保险市场发展与经济增长之间的协整关系和因果关系。它还调查了IMD增长关系中许多重要宏观经济变量之间的动态相互关系。样本包括1980-2013年期间观察到的26个国家。我们使用IMD的六个不同指标,包括保险密度和保险渗透率,来验证我们的结果的稳健性。我们的研究结果证实了保险市场发展、经济增长和其他六个选定的宏观经济变量之间的长期均衡关系,即广义货币供应量(相对于国民收入)、实际利率、通货膨胀率、城市人口增长、青年抚养比和政府消费支出(相对于国家收入)。我们使用面板向量自回归模型来检验变量之间Granger因果关系的性质。最重要的是,我们发现,无论我们使用哪种IMD衡量标准,IMD和一些宏观经济变量Granger都会导致长期的经济增长。
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来源期刊
Journal of economic development
Journal of economic development Economics, Econometrics and Finance-Economics and Econometrics
CiteScore
0.70
自引率
0.00%
发文量
0
期刊介绍: The Journal of Economic Development (JED) promotes and encourages research that aim at economic development and growth by publishing papers of great scholarly merit on a wide range of topics and employing a wide range of approaches. JED welcomes both theoretical and empirical papers in the fields of economic development, economic growth, international trade and finance, labor economics, IO, social choice and political economics. JED also invites the economic analysis on the experiences of economic development in various dimensions from all the countries of the globe.
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