Year 2019, Volume 8, Issue 2, Pages 133 - 147 2019-06-30

THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE

Mohammad Karami [1] , Naser Elahinia [2] , Shekoufeh Karami [3]

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Purpose- The purpose of this study is to examine the impact of manufacturing on economic growth in European economies during the period of deindustrialization. Moreover, the associations between capital, labor force, and technology with economic growth have been investigated.
Methodology- Econometric tests are performed based on a panel data for twenty-five of most competitive European economies for the period 1995 - 2016. To quantify the relationship between explanatory variables and economic growth, an eclectic model consists of both the Kaldor’s first law of growth and the neoclassical growth model was estimated.
Findings- The result of this study revealed that the economic growth has a significantly positive association with manufacturing, labor force, and technology. The unexpected interesting result is that the association between economic growth and investment is significantly negative.
Conclusion- Research stated that policy makers should invest in those policies that can enhance the growth of the manufacturing sector by increases of manufacturing productivity and increases in the manufacturing employment share to create job opportunities in this sector in order to have a sustainable, healthy and competitive economic development in future.
Kaldorian Approach, Deindustrialization, Economic Growth, Manufacturing Value Added and European Economy
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Primary Language en
Subjects Business Finance
Journal Section Articles
Authors

Orcid: 0000-0003-1903-828X
Author: Mohammad Karami (Primary Author)

Orcid: 0000-0002-7280-8872
Author: Naser Elahinia

Orcid: 0000-0003-1006-3032
Author: Shekoufeh Karami

Dates

Publication Date: June 30, 2019

Bibtex @research article { jbef583047, journal = {Journal of Business Economics and Finance}, issn = {}, eissn = {2146-7943}, address = {PressAcademia}, year = {2019}, volume = {8}, pages = {133 - 147}, doi = {10.17261/Pressacademia.2019.1044}, title = {THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE}, key = {cite}, author = {Karami, Mohammad and Elahinia, Naser and Karami, Shekoufeh} }
APA Karami, M , Elahinia, N , Karami, S . (2019). THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE. Journal of Business Economics and Finance, 8 (2), 133-147. DOI: 10.17261/Pressacademia.2019.1044
MLA Karami, M , Elahinia, N , Karami, S . "THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE". Journal of Business Economics and Finance 8 (2019): 133-147 <http://dergipark.org.tr/jbef/issue/46390/583047>
Chicago Karami, M , Elahinia, N , Karami, S . "THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE". Journal of Business Economics and Finance 8 (2019): 133-147
RIS TY - JOUR T1 - THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE AU - Mohammad Karami , Naser Elahinia , Shekoufeh Karami Y1 - 2019 PY - 2019 N1 - doi: 10.17261/Pressacademia.2019.1044 DO - 10.17261/Pressacademia.2019.1044 T2 - Journal of Business Economics and Finance JF - Journal JO - JOR SP - 133 EP - 147 VL - 8 IS - 2 SN - -2146-7943 M3 - doi: 10.17261/Pressacademia.2019.1044 UR - https://doi.org/10.17261/Pressacademia.2019.1044 Y2 - 2019 ER -
EndNote %0 Journal of Business Economics and Finance THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE %A Mohammad Karami , Naser Elahinia , Shekoufeh Karami %T THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE %D 2019 %J Journal of Business Economics and Finance %P -2146-7943 %V 8 %N 2 %R doi: 10.17261/Pressacademia.2019.1044 %U 10.17261/Pressacademia.2019.1044
ISNAD Karami, Mohammad , Elahinia, Naser , Karami, Shekoufeh . "THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE". Journal of Business Economics and Finance 8 / 2 (June 2019): 133-147. https://doi.org/10.17261/Pressacademia.2019.1044
AMA Karami M , Elahinia N , Karami S . THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE. JBEF. 2019; 8(2): 133-147.
Vancouver Karami M , Elahinia N , Karami S . THE EFFECT OF MANUFACTURING VALUE ADDED ON ECONOMIC GROWTH: EMPRICAL EVIDENCE FROM EUROPE. Journal of Business Economics and Finance. 2019; 8(2): 147-133.