Papers by Shujahat Hashmi
Natural Resources Research
Mineral resources are indispensable in manufacturing clean energy equipment, and this technology ... more Mineral resources are indispensable in manufacturing clean energy equipment, and this technology is going through a flourishing era at the stake of climate change. However, the extraction of these mineral resources poses several environmental concerns. This article aims to evaluate the effects of mineral resources, energy intensity, urbanization, and economic development on carbon dioxide (CO 2) emissions and test the environmental Kuznets curve (EKC) hypothesis. For this purpose, this study sampled 33 African mineral resources endowed countries with available data from 1990 to 2015. The empirical analysis focused on the main panel and its subpanels-low income (LI), lower middle income (LMI), upper middle income (UMI) panels-to capture the income inequality effects. We employed the heterogeneous fully modified ordinary least squares and dynamic ordinary least squares models to generate robust and reliable long-run parameters. The estimation results suggest that mineral resources endowment worsens carbon diffusion in the panel countries, such as LI, LMI, and overall. Similarly, energy intensity increases CO 2 emissions for LMI, UMI and overall panels. As for urbanization, it has a bicephalous inference that harms the environment at the panel level of LI countries while it decarbonizes at the level of LMI, UMI, and overall panels. The LI, UMI, and overall panels support a U-shaped curve rather than an EKC. Moreover, CO 2 emissions have a feedback Granger causality relationship with all its determinants. The findings have useful policy insights for green policy.
NUML International Journal of Business & Management
The present study assesses the trade facilitating role of regional trade agreements (RTAs) of BRI... more The present study assesses the trade facilitating role of regional trade agreements (RTAs) of BRICS and the Next Eleven (N-11) economies using annual bilateral trade over the period 2000–2019. For empirical estimation, we applied structural gravity with Poisson pseudo maximum likelihood estimator. The findings show higher effect of the RTAs for imports compared to exports for both BRICS and the N-11 countries. While the RTAs of BRICS countries mostly facilitate exports of metals, chemical products, plastic and rubber; the RTAs’ role is more pronounced for the exports of animal products, cereals, fruits, vegetable, in addition to labor intensive industries such as textile, footwear, and leather in the N-11 economies. Furthermore, the findings show that the adjustment in the exporting process in response the entry of an FTA is affected by the governance quality prevailing in the source country. In this context, Bangladesh, Egypt, Iran, Nigeria, and Pakistan particularly need to improv...
Natural Resources Research
Mineral resources are indispensable in manufacturing clean energy equipment, and this technology ... more Mineral resources are indispensable in manufacturing clean energy equipment, and this technology is going through a flourishing era at the stake of climate change. However, the extraction of these mineral resources poses several environmental concerns. This article aims to evaluate the effects of mineral resources, energy intensity, urbanization, and economic development on carbon dioxide (CO 2) emissions and test the environmental Kuznets curve (EKC) hypothesis. For this purpose, this study sampled 33 African mineral resources endowed countries with available data from 1990 to 2015. The empirical analysis focused on the main panel and its subpanels-low income (LI), lower middle income (LMI), upper middle income (UMI) panels-to capture the income inequality effects. We employed the heterogeneous fully modified ordinary least squares and dynamic ordinary least squares models to generate robust and reliable long-run parameters. The estimation results suggest that mineral resources endowment worsens carbon diffusion in the panel countries, such as LI, LMI, and overall. Similarly, energy intensity increases CO 2 emissions for LMI, UMI and overall panels. As for urbanization, it has a bicephalous inference that harms the environment at the panel level of LI countries while it decarbonizes at the level of LMI, UMI, and overall panels. The LI, UMI, and overall panels support a U-shaped curve rather than an EKC. Moreover, CO 2 emissions have a feedback Granger causality relationship with all its determinants. The findings have useful policy insights for green policy.
This study is conducted to find out financial performance of Islamic and conventional banks opera... more This study is conducted to find out financial performance of Islamic and conventional banks operating in Pakistan for the year 2006-2014. For comparison purpose five Islamic and five similar sized conventional banks have been selected. The comparison has been made on average values of different ratios of both Islamic and conventional banks. The comparison shows that Islamic banks performance has been better in terms of efficiency, return and asset quality. However Islamic banks are struggling in terms of advances, investment, liquidity, deposits and capital as conventional banks performance is better in these areas. Islamic banks are charging higher spread and share of distributable income to depositors is far less as compared to conventional banks. Islamic banks need to focus on fair distribution of profit to its depositors in order to increase its credibility and help in achieving overall Islamic socio economic objectives of justice and equality. Islamic banks should focus on new ...
The research is aimed at investigating the impact of stock market performance and inflation on fo... more The research is aimed at investigating the impact of stock market performance and inflation on foreign portfolio investment (FPI) in China. For this purpose, time series quarterly data from 2007Q1 to 2015Q4 is used. On the basis of stationarity results, auto regressive distributed lag model is used to examine the impact of the stock market prices and inflation on FPI. The results show that there is significant positive impact of stock market performance on the FPI, whereas inflation is found to be negatively associated with the FPI. The study also reveals that some historical events like Asian financial crisis of 2008, and the Shanghai Composite Stock Index crash of 2015, significantly affected the FPI in China. The investors should consider these two factors while investing in foreign financial markets.
Environmental Science and Pollution Research, 2021
This study attempts to determine the untapped factors that affect sustainable development in 64 B... more This study attempts to determine the untapped factors that affect sustainable development in 64 Belt and Road Initiative (BRI) countries from 2006 to 2019. The study employed the two-step system Generalized Method of Moments (GMM) validated through Two-stage Least Square (2SLS). The findings of system-GMM revealed a significant dynamic nature of the relationship between sustainable development and its determinants. Findings demonstrate that financial development, financial inclusion, energy efficiency ratio, per capita health expenditure, per capita income growth, governance, and integration of before and after BRI dummy show a significant positive impact by contributing to BRI countries’ sustainable development path. However, e-government, natural resource rent, macroeconomic conditions, and government size have a significant but negative effect by hurting sustainable development. Integration of BRI further enhances and promotes a country and regional sustainable development path. Therefore, better regional policies for financial development, financial inclusion for poverty alleviation, and e-government development are required, boosting per-capita income and sustainable development in the coming years. The study concludes that BRI country’s natural resources rent contributes to national saving but declines the natural resources. Also, it endorses the theory that a nation should adopt the “Hartwick rule” to reinvest rents from the depletion of the natural resources in reproducible capital forms to shift from a weak sustainable path. This study also proposes significant policy implications for balanced and sustainable growth in light of the current research findings.
Jinnah Business Review, 2013
The proceduresetfor mediation analysis in the Baron and Kenny's (1986) classical research art... more The proceduresetfor mediation analysis in the Baron and Kenny's (1986) classical research article did not go without criticism (MacKinnon and Fairchild, 2009; Hayes, 2009; Bullock, Green, & Ha, 2010; Zhao, Lynch and Chen, 2010), and thanks to those critics, that Kenny (2012) had to bring a number of modifications and improvements through his today's contemporary mediation analytic procedure. This paper presents a comparison of what Baron and Kenny (1986) had originally proposed, and what Kenny (2012) has now suggested after incorporating critics' concerns. For this purpose, the two approaches of mediation analysis have been practically applied on an organizational justice trust in supervisor - employees' job satisfaction case, wherein variable 'trust in supervisor' was used to mediate between various facets of organization justice and employees' job satisfaction. Whereas the classic approach required the estimation of the four paths (c, a, b & d), through...
PLOS ONE, 2021
This study evaluates the nexus of regional integration, socioeconomic determinants and sustainabl... more This study evaluates the nexus of regional integration, socioeconomic determinants and sustainable development (SD) by investigating the effect of health, humans and age structure on sustainable development, with the regional integration (RI) as the moderating variable. Socioeconomic determinants have an important role in sustainable development, while regional integration has fueled up the development process. The sample is based on 64 Belt and Road (BRI) countries from 2003–2018. Pair-wise correlation results indicate that human development, health expenditure and age structure showed a positive relationship with sustainable development. Two-step System-GMM direct effect outcomes are mixed and reveal that human development, health expenditure per capita, age structure, governance index and population size have a positive impact on sustainable development. On the other hand, e-government, government size, and globalization showed negative effects on SD. Apart from that, the moderat...
Environmental Science and Pollution Research, 2021
This study determines the dynamic linkages between road transport intensity, road transport passe... more This study determines the dynamic linkages between road transport intensity, road transport passenger and road transport freight, and road carbon emissions in G20 countries in the presence of economic growth, urbanization, crude oil price, and trade openness for the period of 1990 to 2016, under the multivariate framework. This study employs the residual-based Kao and Westerlund cointegration technique to find long-run cointegration, and continuously updated bias-corrected (CUP-BC) and continuously updated fully modified (CUP-FM) methods to check the long-run elasticities between the variables. The long-run estimators’ findings suggest a positive and significant impact of road transport intensity, road passenger transport, road freight transport on road transport CO2 emissions. Economic growth and urbanization are significant contributing factors in road transport CO2 emissions, while trade openness and crude oil price significantly reduce road transport CO2 emissions. The Dumitrescu and Hurlin causality test results disclose unidirectional causality from road transport intensity and road transport freight to the road transport CO2 emissions. However, the causality between road passenger transport and road transport CO2 emissions is bidirectional. Finally, comprehensive policy options like subsidizing environmental-friendly technologies, developing green transport infrastructure, and enacting decarbonizing regulations are suggested to address the G20 countries’ environmental challenges.
Environmental Science and Pollution Research, 2021
Over the last few years, global warming and rapid climate change have become major risk factors t... more Over the last few years, global warming and rapid climate change have become major risk factors that pose a serious threat to global security. A key factor behind these risk factors is greenhouse gases, which emit mainly carbon dioxide (CO 2 ). The existing literature seeks to determine the economic and non-economic aspects of CO 2 emissions to prevent environmental degradation. However, the effects of economic policy uncertainty and foreign direct investment on CO 2 emissions are undeniable. This study examines the impact of economic policy uncertainty and foreign direct investment on CO 2 emissions in the panel of 24 developed and developing nations from 2001 to 2019. After verifying cross-sectional dependency and co-integration among parameters, the dynamic seemingly unrelated regression and panel vector error correction model (VECM) Granger causality methods are used for long-run estimates and verify the causal link among variables. Our findings show that economic policy uncertainty, economic growth, trade, and energy consumption adversely impact the environment, while foreign direct investment enhances sample countries’ environmental quality. Furthermore, a bidirectional relationship exists between CO 2 , economic policy uncertainty, economic growth, trade, and energy consumption. In addition, this study observed similar results in a robustness analysis using the dynamic common correlated effects and fixed effect panel quantile regression frameworks. Based on the inclusive outcomes, this study forms significant suggestions for policy implications. Specifically, policymakers should design environmental-friendly trade policies, explore renewable energy options, and implement green investment and financing strategies to improve the environment. Graphical abstract
Urban Climate, 2021
Abstract This study investigates the non-linear relationship between urbanization paths and CO2 e... more Abstract This study investigates the non-linear relationship between urbanization paths and CO2 emissions in selected South, South-East, and East Asian countries over the period 1971–2014. Based on the STIRPAT (Stochastic Impacts by Regression on Population, Affluence, and Technology) framework, we applied the advanced and robust methods of dynamic seemingly unrelated regression (DSUR), dynamic OLS (DOLS), and fully modified OLS (FMOLS) to estimate the long-term effects. The empirical findings revealed the inverted U-shaped effects of urbanization and urban agglomeration and the U-shaped impact of the largest city ratio on CO2 emissions. Urbanization and urban agglomerations improve environmental quality in the long-run and support ecological modernization theory. However, excessive concentration in the largest cities have severely affected the environmental quality and violates the notion of compact-city efficiencies. Moreover, energy intensity and economic growth positively affect CO2 emissions, while trade openness negatively influences CO2 emissions. Our robustness analysis at the country-level applies the augmented mean group (AMG) panel ARDL technique, which further supports the non-linear effect of urbanization paths on CO2 emissions except for a few countries. The results of the panel Granger non-causality approach unveil bidirectional causality of energy efficiency, economic growth, urbanization, and largest city ratio with CO2 emissions. In contrast, unidirectional causality runs from urban agglomeration to CO2 emissions. Our findings have important policy implications as we suggest green urban infrastructures, eco-friendly dwellings, smart cities, country-specific trade policies, and renewable energy options to improve the environmental quality.
International Journal of Academic Research in Accounting, Finance and Management Sciences, 2019
Development of transportation sector is a fundamental prerequisite for economic growth, which is ... more Development of transportation sector is a fundamental prerequisite for economic growth, which is sensitive to variations in domestic and international economic policies. In this vein, we investigate how domestic and global economic policy uncertainty affects stock returns of transportation sector firms in the United States. We deploy autoregressive distributed lag bounds testing method to investigate the relationship of monthly returns of Dow Jones Transportation Average with economic policy uncertainty, global economic policy uncertainty, and other macroeconomic factors. Our findings suggest that economic policy uncertainty at the national and international level negatively influences the stock returns of the transportation sector. The paper also demonstrates a positive effect of industrial production and consumer's confidence on returns of U.S. transportation sector. The empirical findings offer useful policy implications to the stakeholders of the US transportation sector.
Heliyon, 2020
The study aimed to analyse the role of the capital structure in the financial performance of 90 t... more The study aimed to analyse the role of the capital structure in the financial performance of 90 textile firms listed in Pakistan Stock Exchange (PSX) during the period 2008-2017. The dependent variable was return on equity as a proxy for financial performance. The independent variables were the debt to equity, total debt to total assets, asset turnover ratios, sales growth, taxation, and export growth, while the firm size was taken as a control variable. The panel regression estimation technique was employed for analysis purposes, and both cross-sectional and timeseries data were collected for this study. This study used the random-effect regression estimation model based on the Hausman diagnostic test statistics. The results indicate that the capital structure debt to equity variable has a negative and significant relationship with financial performance while the asset turnover ratio and firm performance showed a negative and statistically insignificant relationship. Export growth and sales growth have a considerable positive connection with financial performance; however, firm size has a negative and significant impact on firm performance, in favour of our alternative research hypothesis. The remaining variables include tax payable and the total debt to total assets ratio, which have an insignificant connection with financial performance (ROE) and validate the agency theory. With better corporate governance by putting more pressure on managers or increasing managerial ownership, institutional investors can reduce the capital, leverage risk and the overall firm capital cost that help to improve the firm's financial performance and economic stability.
Applied Studies in Agribusiness and Commerce, 2017
This study analyzes the transmission of systematic risk exhaling from macroeconomic fundamentals ... more This study analyzes the transmission of systematic risk exhaling from macroeconomic fundamentals to volatility of stock market by using auto regressive generalized auto regressive conditional heteroskedastic (AR-GARCH) and vector auto regressive (VAR) models. Systematic risk factors used in this study are industrial production, real interest rate, inflation, money supply and exchange rate from 2000-2014. Results indicate that there exists relationship among the volatility of macroeconomic factors and that of stock returns in Pakistan. The relationship among the volatility of macroeconomic variables and that of stock returns is bidirectional; both affect each other in different dynamics. JEL code: C32, C58, G11, G12
Marketing and Branding Research, 2017
Embryonic Islamic banking industry has documented marvellous growth worldwide since inception; st... more Embryonic Islamic banking industry has documented marvellous growth worldwide since inception; stimulated sound rooted western banking to inculcate and include Shariah driven lucrative products and services as an integral part of corporate segment. Research to date has revealed its unique features and ethos, yet it has to overcome multifarious global impediments. The focus of this study is to encapsulate the enormous challenges Islamic finance service industry has encountered during last three decades. We find the arguments such as complex regulatory and supervisory issues; absence of uniform reporting standards; prudential challenges; misconception among western society pertaining to Islamic banking; scant financial instruments and concurrent money and capital markets; fierce compaction by western banking; lack of consensus among Shariah Scholars; and central governing body that are precarious challenges among others. Therefore, policy makers need to constitute an integrated central regulatory body to congregate speckled Islamic banking practices and to foster the underlying philosophy of Sharia compliance operation along with synchronized and unified standardized worldwide.
International Journal of Organizational Leadership, 2016
Corporate cash holdings always involve a trade-off between benefits and costs. This study investi... more Corporate cash holdings always involve a trade-off between benefits and costs. This study investigates the determinants of corporate cash holdings. Cash flows, leverage, liquidity, cash flows volatility, profitability, growth opportunities, firm size, debt maturity, and dividend represent the independent variables in the research study. It is based on a panel data of 150 Pakistani non-financial listed firms on KSE during the period 2004-2012. Panel regression analysis has been conducted to determine the major factors affecting cash holdings. The results imply that growth opportunity, company size, cash flows, and profitability of the firms exert a positive effect while leverage and liquidity show a significant negative impact on corporate cash holding. The findings indicated that both pecking order theory and trade-off theory play an important role in explaining the determinants of corporate cash holdings. The findings are beneficial for managers, shareholders, investors, regulatory bodies, and researchers for developing appropriate policies.
International Journal of Organizational Leadership, 2016
This study examines the relationship between workers' remittances and economic growth along with ... more This study examines the relationship between workers' remittances and economic growth along with labor migration in Pakistan. The study also investigates the relationship between workers' remittances and unemployment and captures the interaction between unemployment and economic growth. Annual time series data from 1975 to 2010 is used for analysis. Following this, Johansen and Juselius' (1990) co-integration technique and recursive simultaneous equations model have been applied for analysis. Multivariate and Bivariate Co-integration approach shows that there exists long-term relationship between workers' remittances and economic growth in Pakistan. Bivariate co-integration presents that economic growth has long-run relationship with labor migration and unemployment. There is long-run relationship between workers' remittances and unemployment and human capital has long run association with workers' remittances. Granger Causality test shows that there exist unidirectional causality between workers' remittances and economic growth. Unidirectional causality runs from labor migration and unemployment to economic growth. Similarly, unidirectional causality runs from workers' remittances to unemployment level in country. The recursive OLS results manifested that workers' remittances have significant positive impact on consumption and consumption in turn has significant positive effect on economic growth.
International Journal of Green Energy, 2018
This study examines the existence of environmental Kuznets curve (EKC) in the perspective of Paki... more This study examines the existence of environmental Kuznets curve (EKC) in the perspective of Pakistan over the period of 1970-2016. For this persistence, the impact of GDP per capita, trade openness, financial development, energy consumption, and foreign direct investment on CO 2 emissions is empirically scrutinized within the EKC structure. The study employed the autoregressive distributed lagged (ARDL) bound test to scrutinize the long-run relationship between the variables. For robustness, the study applied the dynamic ordinary least square technique. The Granger causality test is implemented to investigate the causal relationship between the variables for short-and long-run. The experimental results of ARDL bound test method recommend the existence of EKC hypothesis for Pakistan. The causality test outcomes indicate that energy consumption and CO 2 emissions have a bidirectional relationship, whereas the other variables unidirectional cause the CO 2 emissions. The unidirectional causality from other variables toward CO 2 emissions supports the confirmation of the EKC hypothesis as this seems in the countries where the EKC is authenticated. These findings recommend that the regulator authorities need to enlarge investment in different new energy plans that might contribute to the exertions of climate extenuation.
SSRN Electronic Journal, 2016
The study is aimed at exploring the relationship between dividend payout and capital structure, a... more The study is aimed at exploring the relationship between dividend payout and capital structure, and to explore the determinants of dividend policy and capital structure of manufacturing sector of Pakistan. Penal data ranging from 2006 to 2011 of selected 100 manufacturing firms of Pakistan is used in this study. Dividend policy and capital structure have their own determinants. Firm’s size, profitability, liquidity, growth opportunities, tangibility and capital structure are used as determinants of dividend policy, while determinants of capital structure which are used in this study are firm’s size, profitability, liquidity, growth opportunities, tangibility, tax saving other than debt and income variability and dividend payout. Two stages least square is used for estimation. Size, profitability, liquidity and leverage are found to have a positive significant impact on dividend policy whereas growth opportunities is found to have a negative significant impact on dividend policy and tangibility has no impact. On the other hand growth opportunities, tangibility and income variability are found to have positive significant relationship with leverage (capital structure), whereas firm’s Size, profitability, liquidity and tax saving other than debt are found to have negative significant relationship with leverage. This study concludes that dividend policy and capital structure are positively correlated with each other.
SSRN Electronic Journal, 2016
This study analyzes the transmission of systematic risk exhaling from macroeconomic fundamentals ... more This study analyzes the transmission of systematic risk exhaling from macroeconomic fundamentals to volatility of stock market by using auto regressive generalized auto regressive conditional heteroskedastic (AR-GARCH) and vector auto regressive (VAR) models. Macroeconomic factors used in this study are industrial production, real interest rate, inflation, money supply and exchange rate from 2000-2014. Finally this study shows that in Pakistani scenario there exist relationship among the volatility of macroeconomic factors and that of stock returns. The relationship among the volatility of macroeconomic variables and that of stock returns is bidirectional; both of these affect each other in different dynamics.
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Papers by Shujahat Hashmi