Vol. 3 No. 1 (2022)

Articles

• 18 Pages Download PDF: Exploring the Existence of J-Curve in South Asian Countries: An Empirical Analysis

  Exploring the Existence of J-Curve in South Asian Countries: An Empirical Analysis

  Roeela Kausar, Sidra Ilyas, Shehreen Gul

  https://doi.org/10.36923/jcmi.v3i1.475

  The core purpose of the present study is to investigate the impact of exchange rate devaluation on the trade balance of South Asian countries. For capturing the performance of Maldives, Bhutan, Pakistan, Nepal, Bangladesh, Sri Lanka, and India's economy, the study involves some leading economic measures like Trade Balance, Foreign Direct Investment, Exchange rate, Gross Domestic Product, and Inflation. The study made use of Panel data from the period 1980 to 2020. The study involved the Fix effect Model framework for the investigation of the J-Curve phenomenon. On behalf of the research, the study recommended some valuable suggestions for the betterment of the above-mentioned economies. Governments must implement regulations that encourage investors to utilize investment effectively and efficiently, upgrade technology, or switch to innovative or demand-friendly exports.

  pp. 1-18 Abstract views:198 Downloads:55

• 11 Pages Download PDF: Socio-Economic Factors affecting labor Supply in Pakistan: An Econometric Analysis

  Socio-Economic Factors affecting labor Supply in Pakistan: An Econometric Analysis

  Muhammad Ramzan Sheikh, Sheneela Altaf, Anam Fida

  https://doi.org/10.36923/jcmi.v3i1.474

  Socio- Economic Factors are very much important for labor supply participation in any country. Some of these factors positively affect and some negatively affect the labor force in Pakistan's economy. The data set covered the period from 1972-2020. Data is collected from Hand Book of Statistic, Pakistan Economic Survey and World Development Indicators. Total labor force is taken as a dependent variable and list of independent variables are Fertility rate, Government Current Expenditures, Total Taxes, Trade Openness, GDP Deflator, Gross Domestic Product, Literacy Rate and Life Expectancy. The objective of the study is to analyze the impact of Socio-Economic factors on total labor force in Pakistan. The novelty of this piece of research is to assess the ability and strength of labor force depending on social and economic variables that mainly affect labor supply in Pakistan. The ARDL model estimation technique is used to analyze the data. The study shows that socio-economic factors affect differently human capital formation and labor supply in case of Pakistan. The results of the study shows that life expectancy, literacy rate, gross domestic product, trade openness, government current expenditures and fertility rate are positively related with labor supply, on the other hand GDP deflator reflecting inflation in economy and total taxes are negatively related with labor supply in Pakistan. The long run and short run results of the study shows that socio-economic factors have a great impact on labor supply in Pakistan. The policy suggestions involve the role of Government to improve the social and economic condition of the economy which will be definitely helpful for betterment of labor supply in Pakistan.

  pp. 19-29 Abstract views:244 Downloads:55

• 12 Pages Download PDF: Trade Openness and Poverty: Evidence from a Panel of Developing Countries

  Trade Openness and Poverty: Evidence from a Panel of Developing Countries

  Dr. Rashid Sattar, Dr. Yasir Karim, Dr. Farzana Munir

  https://doi.org/10.36923/jcmi.v3i1.473

  Trade openness supposes a key component of the strategy for growth. The study consists of 45 developing nations of Asia and Africa. And data ranges from 1995-2020, collected from The World Bank. Theoretically the impact of trade openness on poverty and income inequality is ambiguous. GMM methodology uses to an estimate the result. Findings explore that trade has no direct effect on poverty but inequality associated with trade openness. Economic growth found pro-poor which favors the poor on one side and on trade openness on other side. To get the positive effect of trade on poverty and inequality it does not matter that trade is more open or less open. The fruit depends on the policies regarding trade. Financial development support trade openness along with taxes.

  pp. 30-41 Abstract views:218 Downloads:57

• 12 Pages Download PDF: Mapping the Role of Fiscal Decentralization to Improve Female Human Capital: An Empirical Evidence from Pakistan

  Mapping the Role of Fiscal Decentralization to Improve Female Human Capital: An Empirical Evidence from Pakistan

  Sidra Naeem, Mahnaz Muhammad Ali, Ali Azam

  https://doi.org/10.36923/jcmi.v3i1.472

  Female human capital is particularly a crucial pathway for the development of an economy as women consist of half of human resources. Despite the increasing trend of fiscal decentralization for the improvement of various socioeconomic indicators in Pakistan, there are very few attempts on its impact on human capital. This study increases the knowledge by empirically estimating the research hypothesis that how fiscal decentralization affects female human capital in Pakistan with 18th amendment in NFC as a backdrop taking the period from 1975 to 2020. The robust analysis shows that fiscal decentralization policy is helpful to frame female human capital in Pakistan. These results are particularly important for policy formulation for provinces to increase female human capital as well as for public finance sector in Pakistan.

  pp. 42-53 Abstract views:143 Downloads:25

• 10 Pages Download PDF: Does Foreign Direct Investment Promote Economic Growth: Evidence from Pakistan Based ARDL to Cointegration Approach

  Does Foreign Direct Investment Promote Economic Growth: Evidence from Pakistan Based ARDL to Cointegration Approach

  Ghazia Khoula, Saif ur Rehman, Sadia Idrees

  https://doi.org/10.36923/jcmi.v3i1.471

  The study intends to examine economic growth in terms of national savings in the context Pakistan. It applies yearly data from 1972 to 2021. By means of Auto-Regressive Distributed Lag (ARDL) method the impact of national savings, foreign direct investment as well as employed labor force on economic growth of Pakistan is observed. The findings direct to conclude that there is significant long run relationship exist between national saving, foreign direct investment, employed labor force and economic growth in Pakistan. It suggests that employed labor force encourages foreign direct investment over long run period and savings increases real activity equally before and after the break, whereas economic growth causes saving. Thus, the current study also recommends that productivity-based and incentive-based measures are useful in producing more savings and supporting acceleration of income as well as growth.

  pp. 54-63 Abstract views:360 Downloads:70

• 12 Pages Download PDF: Does Higher Misery Index Dry Up Foreign Direct Investment Inflows in Pakistan? An ARDL Bound Testing Approach

  Does Higher Misery Index Dry Up Foreign Direct Investment Inflows in Pakistan? An ARDL Bound Testing Approach

  Asif Khan, Kashif Bilal Majeed, Habib Asghar

  https://doi.org/10.36923/jcmi.v3i1.477

  Inflows of foreign direct investment are one of the main drivers of globalization and play a significant role in narrowing the investment-savings gap in developing nations. This study's main goal is to examine how the Misery Index has affected FDI inflows to Pakistan between 1980 and 2021. The ongoing study also looks at how the money supply and exchange rate affect FDI inflows. Error Correction Model is utilized to analyze observed short-run relationships, while the long-run relationship is examined using the Autoregressive Distributed Lag approach to co-integration. In the short run, the Exchange Rate and Misery Index are the key FDI factors. The money supply and exchange rate are also important long-term factors of FDI. The study suggest that administration of Pakistan should entirely interest-free exchange rate rule sterile of fixed exchange rates thus as to expand foreign direct investment and provide to GDP, this is because profitable capability of any FDI is constructed on exchange rate constancy.

  pp. 64-75 Abstract views:219 Downloads:50

• 20 Pages Download PDF: Demand Management Policies, External Debt and Growth Nexus in SAARC Countries

  Demand Management Policies, External Debt and Growth Nexus in SAARC Countries

  Zara Amjad, Muhammad Ramzan Sheikh, Kashif Saeed

  https://doi.org/10.36923/jcmi.v3i1.476

  This study has focused on external debt and growth relations along with demand management policies in SAARC countries. Panel data have been collected for a sample time from 1990 to 2019. The ARDL is found suitable after getting mixed results from panel unit root tests. According to the results, external debt is retarding the process of economic growth in SAARC economies. Even when the relationship is explored in the scenario of demand management policies, it is still negative. But multilateral foreign debt is accelerating growth. The nonlinear relationship between external debt and growth is also examined via the Laffer curve. Some policy implications are driven such as the economies may explore and extend internal resources instead of relying on external debt. However, in case of dire needs multilateral external debt may be preferred. Moreover, demand management policies can play a vital role in this respect.

  pp. 76-95 Abstract views:190 Downloads:37