The Impact of Fiscal Policy and Trade Liberalization on Economic Growth: Evidence from Structural Breaks for Jordan

Purpose: The main purpose of this study is to examine the impact of fiscal policy and trade liberalization on Jordan's economic growth. Design/methodology/approach: The study used Augmented Dicky Fuller unit root tests and Kapetanios unit root tests with structural breaks for the empirical investigation.   Findings: Government spending and taxation have a favourable influence on economic growth, according to the simulation results. Public debt has a negative but negligible effect on economic growth. Economic growth is significantly influenced by trade liberalisation.   Research implications: The consequence is the proportion of spending on infrastructure and human resources should be increased by taxes financing rather than foreign loans. Improving the competitiveness of domestic industries is necessary for free trade to have a positive effect.   Originality/value: This study is innovative due to the absence of research that addresses Fiscal Policy, Trade Openness and economic growth with the structural break in Jordan

Nexus of Strategic Thinking, Knowledge-Oriented Leadership, and Employee Creativity in Higher Education Institutes

Purpose: The aim of this study is to examine strategic thinking and knowledge-oriented leadership influence employees' creativity in the setting of Jordanian private universities.   Theoretical framework: The study employed Path Goal Theory to clarify the interaction of the variables used in Higher Education Institutes to address the issue.   Design/methodology/approach: The research used a “partial least squares-structural equation modeling” approach to examine the gathered data. For analysis purpose, was developed and empirically verified with data (n = 143) obtained from a random sample of private universities in Jordan.   Findings: The result found that Strategic thinking promotes and increases employee creativity. However, knowledge-oriented leadership moderates the causal association between strategic thinking and employee creativity.   Research implications: The results are presented taking into account the relevant research as well as the practical implications for higher education administrators.   Originality/value: The novel theoretical contribution that was made by this study is its emphasis on knowledge-oriented leadership as a moderator in the link between strategic thinking and employee creativity

How Spiritual Leadership Influences Creative Behaviors: the Mediating Role of Workplace Climate

Purpose: The aim of this study is to examine the relationship between spiritual leadership and creative behavior with workplace climate as mediating variable in the Jordanian banking.   Theoretical framework: The purpose of this study, which extends the theories of intrinsic motivation and social exchange, is to acquire a deeper knowledge of the mechanisms underlying the relationship between spiritual leadership and innovative workplace behavior.   Design/methodology/approach: The study used quantitative research approach through a survey based on random sampling method from (n= 358) employees of 13 Jordanian commercial banks in Amman. For purposes of analysis, structural equation modeling was then utilized for the examination of the research hypotheses.   Findings: The results of the research indicated that workplace climate mediates the link between spiritual leadership and creative behavior. Specifically, greater levels of creative behavior among employees were related to spiritual leadership, as was a favorable working environment.   Research, Practical & Social implications: The study offers managerial and theoretical implications while considering the study’s limitations to provide guidance for the future.   Originality/value: The study identifies the magnificent influence of spiritual leadership and the workplace climate by delineating how these factors stimulate creative behaviors among employees. Specifically, the study focuses on how spiritual leadership and the workplace climate stimulate creative behaviors among employees. We examine the consequences of these findings for both research and practice

The Impact Of Fiscal Policy On Jordan's Economic Growth

The relationship between fiscal policy and economic growth has attracted a great deal of attention in recent years. The growth experience of several countries during the last decades has generated a growing strand of theoretical and empirical literature trying to explain these events. Although one could argue that economic growth and fiscal policy influence each other. The aim of this paper is to review the research work conducted on fiscal policies and economic growth, noting that there are three tools of fiscal policy; the first type is spending, the second type is taxation, and the third type is debts. In addition, according to previous research, the relationship between fiscal policy and economic growth is not clear and consistent, where in some cases a positive relationship, while in others it may be a negative relationship. In this paper, we will discuss the concept of fiscal policies, economic growth, and the relationship between those two variables through some of the previous research

The relationship between unemployment and economic growth: is Okun's Law valid for the Jordan case?

The purpose of this paper is the validity of Okun’s Law for Jordan’s economy over the period 1990 to 2020. The relation between unemployment and economic growth was tested. It aims to analyze the impact of unemployment on economic growth and to propose recommendations for enhancing economic growth and reducing unemployment in Jordan since the Jordanian economic growth was slow before the Covid-19 outbreaks. The research employed ARDL Bound Cointegration method having validated it’s appropriateness withDickey-Fuller and Philips-Perron tests. The empirical results reveal the existence of Okun’s law in the Jordan economy, with a 1% decrease in Gross Domestic Product which is correlated with a 0.276% increase in the unemployment rate. Based on these empirical outcomes, several policy recommendations are formulated to increase the attraction of foreign direct investment (FDI)which is needed to minimize the country's high unemployment rate. Jordan's policymakers are urged to embrace both labor and growth-inducing measures

THE IMPACT OF FISCAL POLICY ON JORDAN'S ECONOMIC GROWTH

The relationship between fiscal policy and economic growth has attracted a great deal of attention in recent years. The growth experience of several countries during the last decades has generated a growing strand of theoretical and empirical literature trying to explain these events. Although one could argue that economic growth and fiscal policy influence each other. The aim of this paper is to review the research work conducted on fiscal policies and economic growth, noting that there are three tools of fiscal policy; the first type is spending, the second type is taxation, and the third type is debts. In addition, according to previous research, the relationship between fiscal policy and economic growth is not clear and consistent, where in some cases a positive relationship, while in others it may be a negative relationship. In this paper, we will discuss the concept of fiscal policies, economic growth, and the relationship between those two variables through some of the previous research

THE NEXUS BETWEEN FISCAL POLICY AND ECONOMIC GROWTH FOR JORDAN: FRESH INSIGHTS FROM MAKI COINTEGRATION

The current study was carried out to empirically investigate the relationships between government expenditure, taxes, and debt in Jordan, using the annual time series data over the period 1980-2020. Despite the increased awareness of the importance of fiscal policy, Jordan is still seeing a drastic decrease in the volume of growth. Thus, this study was carried out to determine how government expenditure, taxes, and debt affect economic growth. For the empirical analysis, the study adopted Augmented Dicky Fuller, Phillips-Perron unit root tests, Zivot and Andrews and Lumsdaine and Papell unit root tests with structural breaks. It employs recently developed econometric techniques such as Maki cointegration tests allowing for an unknown number of breaks. The results of the cointegration test showed the presence of a cointegration relationship with structural breaks. It was found that the Jordanian crisis that occurred in 1989 harmed economic growth. However, the structural break in 2008 had an affirmative effect on economic growth. According to the study, tax revenues, public deficits, and debt can all be reduced and the economy can thrive if policymakers implement smart fiscal policies that boost gross fixed capital formation

Empirical Analysis of Air Pollution Impacts on Jordan Economy

Pollution and the economy appear to be intertwined throughout human history. Our knowledge of the connection between environmental damage and economic growth is fragmented due to disciplinary biases. Accordingly, the purpose of this research is to gain an understanding of the dynamic relationship that exists between air pollution and the economy of Jordan, as well as to investigate the existence of the Environmental Kuznets Curve (EKC), in order to determine which policy options would be most effective in reducing emissions while still allowing for continued economic growth. This study adopted the Bayer-Hanck Cointegration test and Granger Causality tests to achieve the objectives. Bayer-Hanck cointegration indicate that there exists a long-term relationship between air pollutants and economic growth. Moreover, Granger causality test shows that economic growth has a causal effect on the three air pollutants at a significance level of 0.05. By scholarly contributions to the debate between air pollutants and economic growth, this study aims to fill a gap in the existing literature by investigating the EKC hypothesis and the impacts of air pollution on economic growth in Jordan

Global FDI inflows and outflows in emerging economies Post-COVID-19 era

Abstract FDI (Foreign Direct Investment) is frequently viewed as a critical measure of a country's economic strength and potential. Consequently, this paper investigates why countries attract FDI by utilizing factors and channels such as vertical or horizontal FDI as well as COVID-19’s impact on FDI flows in emerging economies with data from 1990 to 2020. Models of kinked exponential growth for estimating growth rates and the Andrew and Zivot trend formulations are used to analyze the rise in FDI inflows. The FDI inflow channels are estimated using dynamic panel data analysis, with a generalized method of moments for emerging economies as a whole and an autoregressive distributed lag-pooled mean group for specific countries. The countries studied were India, China, Russia, South Africa, and Brazil. Except for India, where the trend has accelerated, the rest of the nations in the emerging economies category has seen significant or minor declines. Overall, vertical and horizontal factors influence FDI inflows to emerging economies. However, estimations show that vertical and horizontal factors promote FDI inflow into the Russian Federation and India. China's horizontal motivation, on the contrary, is critical. Inflows of FDI into Brazil and South Africa appear to be unrelated. The pandemic scenario affects FDI in Brazil but not in other emerging economies. FDI determinants differ per country. In order to improve their economic situation following the pandemic, developing countries may establish adequate FDI policies to attract FDI

The Mediating and Moderating Effects of Top Management Support on the Cloud ERP Implementation–Financial Performance Relationship

Cloud enterprise resource planning (ERP) is one of the most sought-after information technology (IT) solutions for improving business performance due to its affordability, scalability, and pay-per-use subscription model. The impact of cloud ERP implementation on business performance, on the other hand, remains inconclusive. Additionally, an important factor that transverses all organizational processes, including IT implementation, is top management support (TMS). However, the TMS’s role in the latter stage (business value realization) of cloud ERP implementation is unclear. The purpose of this paper is to examine the mediating and moderating impacts of top management support (TMS) on the relationship between cloud ERP implementation and financial performance. A total of 204 small and medium enterprises (SMEs) in Malaysia were surveyed, and data analysis was conducted using partial least square structural equation modelling (PLS-SEM). The results demonstrate that TMS plays a partial mediating role in the relationship between cloud ERP implementation and financial performance and that this relationship is significantly stronger in SMEs with low TMS levels. As a result, it is concluded that top management should provide the required support following successful cloud ERP implementation in order to achieve positive financial results. However, such support must be adjusted in order to avoid the deterioration of the firm’s financial performance