Project Results

The methodology that we apply is Granger causality for individual analyses for Romania and other emergent countries as Bulgaria, Czech, Estonia, Latvia, Lithuania, Hungary, Poland, Slovak and Slovenia, during 1998-2008. For the whole panel, we employ dynamic panel estimation ( GMM estimator) which is robust in the presence of endogenous covariates, allowing for individual fixed effects, heteroskedasticity and autocorrelation. Interesting results are obtained for private R&D business as an enhancing factor of economic growth. Based on these results, some policy implications are drawn, in accordance with EU 2020 Strategy of intelligent economic growth. When various robustness checks are applied ( sub-samples, sub-periods, averages), our results remain mainly the same.

In what concerns the role of institutions on economic growth, in a panel of emerging economies from other continents too ( America, Africa, Asia) besides some countries from CEE, results indicate a positive impact on economic growth, especially when variables that present monetary, financial and fiscal aspects ( from a qualitative point of view) are included.