Table 1 Variable Definitions with Their Expected Signs
From: Financial innovation and economic growth in Bangladesh
Variables | Definition | Expected sign |
|---|---|---|
GDPPC | Par Capital Economic Growth Rate: The Percentage change in per capita GDP, used as our indicator of economic growth. | Â |
INF | Inflation Rate: Measured in percentage change in the CPI. | Negative |
DCB | Domestic Credit to Private Sector: Measures as total financial support to private sector by financial institution through trade credit, loans and other account receivables as a percentage of GDP | Positive |
TO | Trade Openness: Measured as total trade (exports plus imports) as a percentage of GDP, used to gauge how open the economy is. | Positive |
GCF | Gross Fixed Capital Formation: Measures net physical assets increase in the economy as a percentage of GDP | Positive |
M2/M1 | Broad- to- Narrow Money: Measures the demand for real cash balance as well as interest and income elasticities of money demand as a percentage of GDP. | Positive/Negative |
GEXP | Government Final Consumption Expenditure: Measured as a percentage of GDP to capture the degree of government involvement in the economy. | Negative |