LINEAR AND NON-LINEAR GRANGER CASUALITY BETWEEN FOREIGN DIRECT INVESTMENT AND ECONOMIC GROWTH: EVIDENCE FROM INDIA

The present study tries to understand the association among Foreign Direct Investment (FDI) and Economic growth in India. This paper applies the causality test of Granger (1969) based on the VECM and non-linear causality test of Dike and Panchenko over the period 1993-2016. This study gives a proof about the continuation of a long-run equilibrium association between FDI and Gross Domestic Product (GDP) or Economic Growth for the period being investigated. Unidirectional causality runs from FDI to GDP in the long run. The apparent non-linear causality running from FDI to GDP means that FDI is a policy instrument in stimulating Indian economic growth and provides support for the bi-directional non-linear causal connection between FDI and economic growth with 1, 2 and 4 lags. There has been no definitive investigation as of recently to find “linear and non-linear” Granger causality between Foreign Direct Investment and Economic Growth in India” and this study goes a stage advancing and present exact models that can be used to find the association among Foreign Direct Investment and economic growth

Does contract farming enhance farm efficiency? A case of wheat growers of Haryana, India

This study tries to evaluate the returns to contract farming (CF) in the form of farm efficiency for both contract and non-contract wheat growers in Haryana, North India. Applying the data envelopment analysis and endogenous switching regression model on cross-sectional survey data from 754 wheat farmers, it finds that CF adopters are significantly more efficient than non-adopters. Further, it reveals that farmers who adopt CF would reduce their technical efficiency by 16% if they do not participate in it. But non-adopters would increase their technical efficiency by 12% if they adopt instead. This is attributed to CF provisions of higher quality inputs and improved production technology. However, results also indicate that a small percentage of farmers are dealing with some financial constraints, including delayed payment, high cost of inputs, and lack of timely access to financial assistance. This needs to be addressed adequately in order to enfold the smallholders in the ambit of contracting system

An environmental assessment of the impacts of corruption, foreign investment inflow and trade liberalization in the rapidly emerging Malaysian Economy

In the wake of various catastrophic consequences of climate change, Malaysia, a rapidly developing economy, is also inevitably experiencing environmental degradation that merits prompt and serious attention from policymakers and its government. Hence, this study simultaneously highlights the short and long-run dynamic connections between carbon emission in Malaysia and the trio of corruption levels, foreign investment inflow, and trade liberalization. The study also controls for a combination of other factors including energy use, GDP, and urbanization. A robust empirical analysis was conducted on time series observations for the country based on the recent Dynamic ARDL simulation. It was observed that Malaysia's per capita pollution levels significantly reduces based on the corruption perception levels during the sampling period while the economic expansion’s effect on emission levels is positive. Additionally, urbanization, trade levels and energy use all aggravate the emission levels. On the other hand, although FDI poses an insignificant environmental damage in the short run, its environmental sustainability enhancement roles were supported by its long-run negative impacts on carbon emission. Lastly, the EKC was established and as such, essential policy directions were provided for stakeholders in the rapidly emerging Malaysian economy.©2023 Springer. This is a post-peer-review, pre-copyedit version of an article published in Environmental Science and Pollution Research. The final authenticated version is available online at: http://dx.doi.org/10.1007/s11356-023-28868-0fi=vertaisarvioitu|en=peerReviewed

Exploring the nature of EKC hypothesis in Asia's top emitters: role of human capital, renewable and non-renewable energy consumption

The present study uses both carbon dioxide emission and ecological footprints as proxies for environmental degradation to examine the environmental Kuznets curve hypothesis for the top three emitters from Asia, i.e., China, India, and Japan. To this end, the autoregressive distributed lag model for time series and panel estimation is used for a period spanning over 1980-2016. For carbon dioxide emission, China presents an inverted-U shape of the environmental Kuznets curve, while a U-shape relationship is found for India and Japan. Similarly, when the hypothesis is tested with the ecological footprint, Japan offers an inverted U-shape and U-shaped association is detected for China and India. The panel analysis indicates the existence of the environmental Kuznets curve with both proxies of environmental degradation. Besides, human capital and renewable energy promote environmental sustainability, while non-renewable energy use hinders environmental quality. The findings of this study suggest that in order to meet the combined goals of economic growth and environmental protection, the three economies, i.e., China, India, and Japan, should employ renewable energy-enabled technology