Month: December 2020

INVESTIGATING THE IMPACT OF ATM AND POS TERMINALS ON MONEY DEMAND IN NINE EUROPEAN COUNTRIES IN THE CONTEXT OF A RANDOM EFFECT MODEL AS THE APPROPRIATE PANEL DATA MODEL

Payam MOHAMMAD ALIHA

Ph.D student, Universiti Kebangsaan Malaysia (UKM), Malaysia

payammaliha@gmail.com

Tamat SARMIDI

Associate Professor Dr. at Faculty of Economics and Management, Universiti Kebangsaan Malaysia (UKM), Malaysia

tamat@ukm.edu.my

Fathin FAIZAH SAID

Associate Professor Dr. at Faculty of Economics and Management, Universiti Kebangsaan Malaysia (UKM), Malaysia

fatin@ukm.edu.my

Abstract

This study investigates the effects of financial innovations on the demand for money using panel data for 9 European countries from 2014 to 2018. Such models assist in controlling for unobserved heterogeneity when this heterogeneity is constant over time and correlated (fixed effects) or uncorrelated (random effects) with independent variables. Hausman test and Breusch and Pagan Lagrangian multiplier test (LM) both indicate that the random effects model is appropriate. We use the conventional money demand that is enriched with the number of automated teller machines (ATM) and the number of point-of-sale (POS) terminals to proxy for the financial innovations. The estimation result of the chosen random effects regression indicate that the elasticity of the demand for real money to POS is about 10 percent meaning that money demand is not elastic with regard to POS. Also, the estimated coefficient of ATM is not significant.

Keywords: EU, money demand, random effects, fixed effects, financial innovation, panel data

JEL classification: C13, C40, C51, E40, E44

read more

THE IMPORTANCE OF SOUTHEAST MEDITERRANEAN NATURAL GAS RESERVES TO EU’S ENERGY SECURITY; A GEOPOLITICAL AND ECONOMIC APPROACH

Antonios STRATAKIS

PhD Candidate, University of Piraeus – Department of Maritime Studies,

stratakismaritime@gmail.com

Theodore PELAGIDIS

Professor of Economics, University of Piraeus – Department of Maritime Studies, Deputy Governor – Bank of Greece, pelagidi@unipi.gr

Tpelagidis@bankofgreece.gr

Abstract

It has been more than a decade since the Southeast Mediterranean region came to the forefront after the discovery of significant gas reserves in offshore fields located within the maritime territories of Egypt, Cyprus and Israel (Levantine Basin). Gradually, the region drew the attention of major oil companies (Total, Statoil, ENI, Exxon Mobil, BP, Rosneft Qatargas) which intensified their drilling operation activities; aiming to share the exploitation of the potential regional gas deposits with the involved countries in the future. Τhe aim of this paper is to investigate (a) the economic impact of these discoveries on the countries concerned, (b) what role can these discoveries play in EU’s energy plans, given the stated policy to reduce dependence on Russian supplies and (c) the implementation of a forthcoming energy hub in Southeast Mediterranean region, its viability and competitiveness towards other well-established or emerging gas producing areas. Finally, the paper examines the conflicted interests of European Union, Russia and USA in the energy equation of the region.

Keywords: Energy Corridors, Pipeline Networks, EastMed Project, LNG Terminals, Southeast Mediterranean

JEL classification: F10, F51, R41, R42, R48

read more