The Nexus between Financial Development and Economic Growth in China

• Main Authors: Cheng-Sze, Voon, Rossazana, Ab-Rahim
• Format: Article
• Language: English
• Published: Human Resource Management Academic Research Society 2021
• Subjects: HB Economic Theory
• Online Access: http://ir.unimas.my/id/eprint/35354/1/Voon%20et%20al.%20%282021%29%20the-nexus-between-financial-development-and-economic-growth-in-china.pdf; http://ir.unimas.my/id/eprint/35354/
• Institution: Universiti Malaysia Sarawak

The relationship between financial development and economic growth has been subject to the considerable debate in the literature of development and growth. Hence, this study aims to investigate the long-run relationship between financial development and economic growth of China over the period 1988 to 2018. This study employed Johansen’s Cointegration and Granger Causality analysis to achieve the objectives of the study. The findings of this study indicate there is a long-run relationship between financial development and economic growth in China.