Assessing the Triple Deficit Hypothesis for Major South Asian Countries: A Panel Data Analysis

Shruti Shastri; A.K. Giri; Geetilaxmi Mohapatra

Makale detayları

Assessing the Triple Deficit Hypothesis for Major South Asian Countries: A Panel Data Analysis

Yazarlar:

Shruti Shastri | A.K. Giri | Geetilaxmi Mohapatra

Yayıncı:

İlhan ÖZTÜRK

Dergi:

International Journal of Economics and Financial Issues 2017 Vol.7 Issue 4, pp.292-299

Belge Tipi:

Makale

Yayın Tarihi:

11/2017

Belge Dili:

Türkçe

Document ID (Org No.):

2000811436

Sıklık:

İki Aylık

eISSN:

2146-4138

Özet:

 

The paper examines the “triple deficit hypothesis” - An extension of the “twin deficit hypothesis” with inclusion of private saving gap for a panel of
 five South Asian countries, namely India, Pakistan, Bangladesh, Srilanka and Nepal for the period 1985-2015. The results based on first and second
 generation panel cointegration tests indicate long-run relationship among budget balance (BB), current account balance (CAB) and private saving gap.
 The long-run coefficients obtained using mean group (MG)-dynamic ordinary least square, MG-fully modified ordinary least squares and common
 correlated effect MG indicate positive impact of BB and private saving gap on CAB thus confirming triple deficit hypothesis. The causality analysis
 reveals feedback relationship between CAB and BB implying that improvement in CAB requires fiscal austerity but fiscal adjustment is not fully
 policy controlled and requires adjustment in current account. Further, the causation also runs from saving gap to CAB and BB implying that plugging
 the saving gap would help improve both current account and BB.

Makale detayları

Assessing the Triple Deficit Hypothesis for Major South Asian Countries: A Panel Data Analysis

Yazarlar: Shruti Shastri | A.K. Giri | Geetilaxmi Mohapatra

Yayıncı: İlhan ÖZTÜRK

Dergi: International Journal of Economics and Financial Issues 2017 Vol.7 Issue 4, pp.292-299

Belge Tipi: Makale

Yayın Tarihi: 11/2017

Belge Dili: Türkçe

Document ID (Org No.): 2000811436

Sıklık: İki Aylık

eISSN: 2146-4138

Sayı

Yazarlar:

Shruti Shastri | A.K. Giri | Geetilaxmi Mohapatra

Yayıncı:

İlhan ÖZTÜRK

Dergi:

International Journal of Economics and Financial Issues 2017 Vol.7 Issue 4, pp.292-299

Belge Tipi:

Makale

Yayın Tarihi:

11/2017

Belge Dili:

Türkçe

Document ID (Org No.):

2000811436

Sıklık:

İki Aylık

eISSN:

2146-4138