“Financial Sector Development and Pecuniary Growth: Evidence from India and the Republic of Korea”
Abhay Singh Chauhan1, Tarika Singh Sikarwar2
1Dr. Abhay Singh Chauhan, Professor, Finance & Accounting Department of Commerce, Prestige Institute of Management, Gwalior India.
2Dr. Tarika Singh Sikarwar, Professor, Finance, Specialization Head Finance, Prestige Institute of Management, Gwalior, India.
Manuscript received on January 02, 2020. | Revised Manuscript received on January 15, 2020. | Manuscript published on January 30, 2020. | PP: 590-595 | Volume-8 Issue-5, January 2020. | Retrieval Number: E5042018520/2020©BEIESP | DOI: 10.35940/ijrte.E5042.018520
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© The Authors. Blue Eyes Intelligence Engineering and Sciences Publication (BEIESP). This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/)
Abstract: Pecuniary growth is the basic indicator by which a nation is always acknowledged, we can identify the pecuniary growth by measuring the GDP of the country. A nation is generally regarded as more developed if its growth is more. Simultaneously, overall pecuniary development of any nation takes place. A profusion of works indicates the existence of causation between growth of economy and “financial sector development”. Further an endeavor has been made for exploring the causation amongst financial sector enhancement and development of economy with special reference to India and Republic of Korea. Causality test was employed with the help of VAR. Further in the work it has been found that deepening of financial sector shows unidirectional relationship, financial sector efficiency leads to no causality and financial sector stability shows partial causal relationship with “Pecuniary Growth” in Indian context. While on the other hand, in case of republic of Korea almost no causality was found in financial sector deepening, bidirectional and unidirectional causality in case of financial sector efficiency and partial causality was found in financial efficiency with “Pecuniary Growth”. Thus, vigorous results were evaluated and examined which supported the literature.
Keywords: “Financial Sector Development”, “Pecuniary Growth”, Vector Auto-Regressive Model.
Scope of the Article: Probabilistic Models and Methods.