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Finance-growth nexus in China revisited: New evidence from principal components and ARDL bounds tests

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  • Jalil, Abdul
  • Feridun, Mete
  • Ma, Ying

Abstract

This article re-examines the finance-growth nexus in China using principal components analysis and ARDL bounds testing approach to cointegration. The results suggest that principal components have an effective role in examining the links between growth and financial development and, that financial development fosters economic growth.

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  • Jalil, Abdul & Feridun, Mete & Ma, Ying, 2010. "Finance-growth nexus in China revisited: New evidence from principal components and ARDL bounds tests," International Review of Economics & Finance, Elsevier, vol. 19(2), pages 189-195, April.
    • Handle: RePEc:eee:reveco:v:19:y:2010:i:2:p:189-195
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