Record Details

Estimating Aggregate Demand in Egypt

Journal of Economics and Political Economy

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Field Value
 
Title Estimating Aggregate Demand in Egypt
 
Creator EMARA, Noha; Economics Department
Helwan University, Egypt
Rutgers University, U.S.A.
 
Subject —
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Description Abstract. This econometric study seeks to determine the most important factors of aggregate demand in Egypt so as to provide insight into how this developing nation can grow economically in the coming years. The Ordinary Least Squares estimation method was used in order to estimate nominal GDP for the time period 1975 to 2009. Based on the results the real interest rate, the inflation rate, the growth rate of government expenditure, and the growth rate of the money supply are the most statistically and economically significant factors of the growth rate of nominal GDP for the coming year. A one percent change in the growth rate of the previous year government expenditure is predicted to cause the growth rate of the current year nominal GDP to increase by 54%.The role of government expenditures on public sector wage expansion is discussed in this study as to shed light on this factor’s significant influence on income inequality post-1975 in Egypt, which will continue to impact nominal GDP and social conditions for the developing nation in the coming years.Keywords. GDP, Aggregate Demand, Egypt.JEL. E25, O40, Q11.
 
Publisher Journal of Economics and Political Economy
Journal of Economics and Political Economy
 
Contributor —
 
Date 2016-03-18
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
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Format application/pdf
 
Identifier http://www.kspjournals.org/index.php/JEPE/article/view/616
10.1453/jepe.v3i1.616
 
Source Journal of Economics and Political Economy; Vol 3, No 1 (2016): March; 50-64
Journal of Economics and Political Economy; Vol 3, No 1 (2016): March; 50-64
2148-8347
 
Language eng
 
Relation http://www.kspjournals.org/index.php/JEPE/article/view/616/691
 
Rights Copyright (c) 2016 Journal of Economics and Political Economy
http://creativecommons.org/licenses/by-nc/4.0