The Relationship between Economic Growth and Financial Development-Evidence from Tibet in 1978-2013
Author(s): Tang Yu-hong, Qi Tian-xiang
Pages: 8-13
Year: 2015 Issue: 2
Journal: Journal of Tibet University
Keyword: Tibet; financial development; economic growth; Granger Causality;
Abstract: In this article the financial and economic statistics data of 1978-2013 is used to analyze the relation?ship between financial development and economic growth in Tibet empirically. The results show that Tibet ’s fi?nancial development always plays a positive role in promoting economic growth;and the economic growth of Ti?bet reacts to the financial development with a lagged effect in the short term;Through the Granger Causality Test we find that financial development and economic growth in Tibet exist mutual Granger Causality in the long term, but not in the short term. Therefore, it is necessary to develop Tibet characteristic advantage industry, to intro?duce industry support and financial preferential policies, to actively build modern financial service system, and to increase the income of urban and rural residents of Tibet in order to accelerate the development of Tibet ’s sus?tained and healthy economic.
Pages: 8-13
Year: 2015 Issue: 2
Journal: Journal of Tibet University
Keyword: Tibet; financial development; economic growth; Granger Causality;
Abstract: In this article the financial and economic statistics data of 1978-2013 is used to analyze the relation?ship between financial development and economic growth in Tibet empirically. The results show that Tibet ’s fi?nancial development always plays a positive role in promoting economic growth;and the economic growth of Ti?bet reacts to the financial development with a lagged effect in the short term;Through the Granger Causality Test we find that financial development and economic growth in Tibet exist mutual Granger Causality in the long term, but not in the short term. Therefore, it is necessary to develop Tibet characteristic advantage industry, to intro?duce industry support and financial preferential policies, to actively build modern financial service system, and to increase the income of urban and rural residents of Tibet in order to accelerate the development of Tibet ’s sus?tained and healthy economic.
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