The Relationship between Financial Markets and Economic Growth in the Middle East Countries

Subject Areas : Agricultural Economics Research

حسن Soltani ¹ , مسعود Pourkiani ² , علی Darijani ³ , حمید Tbeli ⁴

1 - عضو هیئت علمی دانشگاه آزاد اسلامی واحد مرودشت.
2 - عضو هیئت علمی دانشگاه آزاد اسلامی واحد کرمان
3 - استادیار گروه مهندسی اقتصاد و مدیریت تولید کشاورزی، دانشگاه پیام نور
4 - دانشیار گروه مدیریت، دانشگاه پیام نور

Received: 2016-10-12 Accepted : 2017-02-27 Published : 2017-03-21

Keywords: Economic Growth, Financial Market, Money Market, Capital Market,

Abstract :

    With respect to importance of financial markets, this study examines the relationship between the development of financial markets and economic growth in the Middle East countries over a period of thirty years, from 1985 to 1915. To this end, panel data regression approach was used as an experimental model of endogenous growth.In this study, two hypotheses of volume of bank credit and securities market size were tested.The results indicate a negative correlation between the volume of bank credit and economic growthwhile there is a positive relationship between sizesof stock market with economic growth in countries studied.