The purpose of this paper is to contribute to empirical evidence by recognizing the importance of stock markets in the financial system and consequently its causality to economic growth and vice versa.,The study used the autoregressive distribute lag model (ARDL) with bound testing procedures, the sample covered quarterly time-series data from 2001q1 to 2019q2 in Tanzania.,The results suggest that stock market development have both negative and positive causality for both short-run dynamics and long-run relationship with economic growth. Economic growth is found to only cause and relate negatively to liquidity both in the short-run and in the long-run. The results show predominantly a unidirectional causality flow from stock market development to economic growth and finds partial causality flow from economic growth to stock market development, as represented by stock market turnover which proxied liquidity.,The use of quarterly data to reflect more realistically the dynamics of the variables because yearly data may sometimes cover-up specific dynamics that may be useful for prediction and policy planning. The study uses indices to capture general aspects within the stock market against economic growth as an intuitive way to aggregate the stock market development effects.

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Stock market development and economic growth in Tanzania: an ARDL and bound testing approach

This study on camaraderie reconnaissance explored the long run relationship between stock market development and economic growth in Nigeria from 1981 to 2015. Market capitalization ratio and turnover ratio were used to measure the depth of development of Nigeria’s stock market, whereas growth rate of real gross domestic product facets economic growth. Secondary data were sourced from Nigerian Stock Exchange (NSE) and National Bureau of Statistics (NBS) analysed using Autoregressive Distributive Lag (ARDL) model. From the analysis performed, the depth of development in Nigeria’s stock market has positive but insignificant relationship with economic growth both in short and long run. The granger causality analysis dispelled the adeptness of Nigeria stock market to propel growth. Stock market is growth inducing but in the context of Nigeria, economic growth is independent of stock market operation. The government need to steadfastly tackle inhibiting factors such as infrastructural inadequacy, weak institutional and regulatory framework encumbering the stock market from realization of its objective of capital mobilization for economic growth.

Stock Market Development and Economic Growth in Nigeria: A Camaraderie Reconnaissance

Abstract Aim/purpose – The poor investment climate is one of the reasons advanced for the slow pace of growth in Nigeria; evidenced by the absence or inadequate amount of investible funds in the productive sectors. While the money market in Nigeria provides very limited investment options, the underdevelopment and underutilisation of the Nigerian Stock Market constitute a drawback to the investment climate. However, any economy desiring sustainable development requires a long-term source of fund. Therefore, this study ascertains the performance of the stock market and investment growth nexus in Nigeria. Design/methodology/approach – The study is based on the neoclassical growth theory with a slight modification in the wake of Levine’s specification (2003), an augmented investment growth relationship was specified. This study utilises the Autoregressive Distributed Lag (ARDL) in establishing the co-integration relation between stock market development and investment growth. Gross capital formation was used as a proxy for investment growth while the stock market indicators are market capitalisation ratio, total value traded ratio and turnover ratio. The study utilises data covering 1981 to 2018, sourced from the Nigerian Stock Exchange annual reports and diverse publication of the Nigerian Bureau of Statistics. Findings – The market capitalisation ratio had a negative impact on gross capital formation both in the short run and the long run, but its significance is only evident in the short run. The turnover ratio had a negative and significant impact on investment growth. The total value traded ratio exerted a positive and significant impact on gross capital formation both in the short run and the long run. The coefficient of the error correction term was negative and statistically significant. Research implications/limitations – The total value traded ratio enhanced investment growth in Nigeria. Both market capitalisation and turnover ratio dampen investment growth. The Stock Exchange is not efficient and does not possess the amount of liquidity required to finance long term investment need in Nigeria. Emphasis on measures geared towards increasing efficiency and liquidity should be intensified by the government. Meanwhile, the sectorial analysis of the impact of stock exchange movements in Nigeria and the use of other estimation techniques may create room for more robust relationships. Originality/value/contribution – The study directly investigates the capability of the Nigerian stock market in driving investment, both in the short and long run.

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Stock market development and investment growth in Nigeria

The paper examined capital market performance as a panacea for economic growth in Nigeria from 1986-2016. A number of related literatures have shown that the Nigerian capital market variables studied has satisfactory market performance and has contributed to economic growth. Yet some researchers observed that the capital market has not significantly mobilized and effectively channeled substantial capital to the real sector of the economy. What could have been the reason for the divergences? The study was anchored on the demand following hypothesis. Secondary data were sourced from Central Bank of Nigeria Statistical Bulletin and Nigeria Stock Exchange fact-book of various editions. The paper adopted the ex-post facto research design while ordinary least square regression techniques was used to process the data gathered using E-views 9.0 software. The null hypotheses (Ho) were tested at 5% level of significance. The findings of the paper revealed that there is negative and insignificant relationship between capital market and the variables studied. The paper conclude that liquidity of the capital market is pivotal for economic growth in Nigeria while the study recommended that all tiers of government should be encouraged to fund their realistic long term developmental program through the Nigeria capital market.

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Capital Market Performance as a Panacea for Economic Growth in Nigeria

In this study, the impact of stock market, trade and credit by bank on economic growth for nine Latin American countries are examined. Fixed effect panel model with dummy variable approach is used in this research work. Significant Hausman test statistic conferred for fixed effect panel model to analyze this dataset. The inflation rate, import and credit by banking sector have negative impact on GDP growth whereas the rest of the variables, exports, stock market, board money, credit by private sector and interest rate have positive contribution to the GDP growth. Only interest and credit by banking sector are significant. The GDP for Chile is significantly but GDP for all other countries are not significantly different from that of Argentina. In this panel data analysis, 25% variation of GDP can be explained by the independent variables considered in the model.

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Impact of Stock Market, Trade and Bank on Economic Growth for Latin American Countries: An Econometrics Approach

The objective of the study was to establish relationship between the stock market measures and economic growth in Tanzania. In order to achieve the objective, we need to examine the impact of stock market capitalization, total value of share traded and turnover on Tanzanian economy based on the time series data from 2000 - 2011. The unit root test and wnteestq (Portmanteau) tests were carried out. The findings suggest that Dar-es Salam Stock Exchange (DSE) has no effect on economic growth of Tanzania. We recommended that Tanzania government should establish financial policies, in order to encourage companies develop financial stock market culture, and enhance to push companies to initiate Initial Public Offering (IPO) instead of bank loans when money is needed to increase their investment.

https://article.sciencepublishinggroup.com/pdf/10.11648.j.jfa.20160406.12.pdf

Impact of Stock Market on Economic Growth Evidence: Dar-es Salaam Stock Exchange - Tanzania

In the era of big data, with an increasing number of e-commerce and social media users worldwide, the demand for automated sentiment analysis systems is growing rapidly. With respect to industrial interests, aspect-based sentiment analysis (ABSA), which focuses on the sentiment at the aspect level, has become a popular research topic. ABSA includes two subtasks aspect-term sentiment analysis (ATSA) and aspect-category sentiment analysis (ACSA). This paper proposes a multi-task learning framework based on the pre-trained BERT model as a shared representation layer to jointly learn ATSA and ACSA tasks. To fully exploit the contextual information surrounding the aspects, we add a multi-head self-attention layer with a skip connection on top of the shared BERT model. Experimental results on SemEval datasets show that our multi-task learning model improves the performance of the ATSA task and outperforms baseline multi-task network and single-task models.

Yu Xin Pei

Papers

Impact of Stock Market on Economic Growth Evidence: Dar-es Salaam Stock Exchange - Tanzania

Aspect-Based Sentiment Analysis with Multi-Task Learning