The Nexus of Economic Growth, Trade Openness and Banking Sector Depth In OIC: An Application of Panel Data Analysisİsmail Durak and Ergün Eroğlu Alphanumeric Journal, 2019, vol. 7, issue 2, 205-238 Abstract: This article is investigated the connections between economic growth, trade openness and banking sector depth, using a panel data set including seventeen countries in the Islamic Cooperation Organization (OIC), where participation and conventional banking co-exist, for the period 1990–2016. Using a multivariate framework, it is primarily found that all the variables are not integrated of order one (I). Since the series are not stationary, cross-dependence tests and Westerlund (2007) cointegration analysis are performed to the series and it is determined that the series are cross-dependent and cointegrated. Then, the models are estimated with three estimators by writing the panel as panel ARDL model to determine the long-term and short-term relations. The results of the study indicate a general long-run equilibrium connection between economic growth, trade openness and banking sector depth as well as a short-run connection among these variables. Policy suggestions include those that will increase greater banking sector depth as well as promoted trade openness. Keywords: Banking Sector Depth; Economic Growth; Panel Data Analysis; Participation Banking; Trade Openness (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:anm:alpnmr:v:7:y:2019:i:2:p:205-238 DOI: 10.17093/alphanumeric.640213 Access Statistics for this article More articles in Alphanumeric Journal from Bahadir Fatih Yildirim |
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