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The Nexus Between Democracy and Economic Growth: Evidence from Dynamic Simultaneous-Equations Models

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Abstract

The present paper is aimed to estimate an econometric model whereby the interrelationship between democracy and economic growth can be thoroughly investigated. For this purpose, dynamic simultaneous-equation panel data models have been applied to 12 MENA countries studied over the period 1998–2011. The reached empirical results have revealed that a bi-directional causal relationship appears to persist between democracy and economic growth.

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Notes

  1. Tunisia, Algeria, Libya, Morocco, Egypt, Kuwait, Iran, Arabia, Jordan, Bahrain, Lebanon, and Oman

  2. A special report of the Centre for Strategic Studies in Africa (CESA): “Africa and the Arab Spring: A new era of democratic hopes.” November (2011)

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Authors and Affiliations

  1. Unit of Research in Applied Economics URECA, Faculty of Economics and Management, University of Sfax, Airport Road Km 4, Sfax, 3018, Tunisia

    Nedra Baklouti

  2. Faculty of Economics and Management, University of Sfax, Sfax, Tunisia

    Younes Boujelbene

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  1. Nedra Baklouti
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  2. Younes Boujelbene
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Correspondence to Nedra Baklouti.

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Baklouti, N., Boujelbene, Y. The Nexus Between Democracy and Economic Growth: Evidence from Dynamic Simultaneous-Equations Models. J Knowl Econ 9, 980–998 (2018). https://doi.org/10.1007/s13132-016-0380-x

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  • DOI: https://doi.org/10.1007/s13132-016-0380-x

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