Stock market development and economic growth : an empirical analysis for Belgium
Part of : Αρχείον οικονομικής ιστορίας ; Vol.XXIV, No.1, 2012, pages 57-67
Issue:
Pages:
57-67
Author:
Abstract:
This study investigated the causal relationship between stock market development and economic growth for Belgium for the period 1965-2007 estimating a vector error correction model (VECM). The purpose of this study was to investigate the short-run and the long-run relationship between the examined variables applying the Johansen cointegration analysis based on panel unit root tests theory. The results of Granger causality tests indicated that there is unidirectional causal relationship between stock market development and economic growth for Belgium.
Subject:
Subject (LC):
Keywords:
stock market, economic growth, panel unit roots, Granger causality
Notes:
JEL classification: O11, C22
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