BANKING SECTOR, STOCK MARKET AND ECONOMIC GROWTH: EVIDENCE FROM MENA COUNTRIES

Yıl 2012, Cilt: 4 Sayı: 2, 181 - 190, 01.12.2012

Farzad Rahimzadeh

https://izlik.org/JA58TT77BJ

Öz

Stock market and banking sector has a key role in economic development in each country. Therefore in this paper, using data related to the Middle East and North Africa in the period 1990-2011, the role and importance of stock market and the banking sector on improving production have been studied with panel data. First, stationary of variables has been tested, and then cointegration of model variables has been surveyed with Kao panel data cointegration test. Study results show that the banking sector has positive and significant effect on countries production. One percent increase in domestic credits granted to the private sector, as a symbol of the banking sector development, causes production levels increase between 0.10 0.142 percent. But in this period, the stock market significant effect on the production level is not considered

Anahtar Kelimeler

banking Sector , Stock market , Economic growth , Panel cointegration , MENA countries