Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment

Volume: 6 Number: 2 April 1, 2016
  • Rashid Sbia
  • Sahel Alrousan
EN

Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment

Abstract

This paper examines the association between financial progress and economic growth in the United Arab Emirates over the period 1975Q1-2012Q4. We have employed Bayer-Hanck (2013) combined non-cointegration to test the long run relationship. Our analysis revealed the existence of cointegration between financial development and economic growth. It also revealed that capitalization and FDI stimulate economic growth. The findings suggest that proper use of FDI and financial policy redesign will sustain economic growth in long term.

Keywords

Details

Primary Language

English

Subjects

-

Journal Section

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Authors

Rashid Sbia This is me

Sahel Alrousan This is me

Publication Date

April 1, 2016

Submission Date

April 1, 2016

Acceptance Date

-

Published in Issue

Year 2016 Volume: 6 Number: 2

APA
Sbia, R., & Alrousan, S. (2016). Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment. International Journal of Economics and Financial Issues, 6(2), 703-710. https://izlik.org/JA32PB88SL
AMA
1.Sbia R, Alrousan S. Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment. IJEFI. 2016;6(2):703-710. https://izlik.org/JA32PB88SL
Chicago
Sbia, Rashid, and Sahel Alrousan. 2016. “Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment”. International Journal of Economics and Financial Issues 6 (2): 703-10. https://izlik.org/JA32PB88SL.
EndNote
Sbia R, Alrousan S (April 1, 2016) Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment. International Journal of Economics and Financial Issues 6 2 703–710.
IEEE
[1]R. Sbia and S. Alrousan, “Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment”, IJEFI, vol. 6, no. 2, pp. 703–710, Apr. 2016, [Online]. Available: https://izlik.org/JA32PB88SL
ISNAD
Sbia, Rashid - Alrousan, Sahel. “Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment”. International Journal of Economics and Financial Issues 6/2 (April 1, 2016): 703-710. https://izlik.org/JA32PB88SL.
JAMA
1.Sbia R, Alrousan S. Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment. IJEFI. 2016;6:703–710.
MLA
Sbia, Rashid, and Sahel Alrousan. “Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment”. International Journal of Economics and Financial Issues, vol. 6, no. 2, Apr. 2016, pp. 703-10, https://izlik.org/JA32PB88SL.
Vancouver
1.Rashid Sbia, Sahel Alrousan. Does Financial Development Induce Economic Growth in UAE? The Role of Capitalization and Foreign Direct Investment. IJEFI [Internet]. 2016 Apr. 1;6(2):703-10. Available from: https://izlik.org/JA32PB88SL