期刊名称：International Journal of Economic Sciences and Applied Research
印刷版ISSN：1791-5120
电子版ISSN：1791-3373
出版年度：2011
卷号：4
期号：3
出版社：Kavala Institute of Technology
摘要：The study seeks to examine stock market wealth effects on private non-durable consumption
for Zimbabwean households using quarterly data from 1994(1) to 2008(2). The bounds
testing approach to cointegration is employed to test the long run relationship between stock
market wealth and consumption. An autoregressive distributed lag model (ARDL) analysis is
implemented to examine the relationship among the variables both in the short-run and the
long run. The empirical findings suggest significant wealth effects for Zimbabwe, a developing
country. This contradicts the commonly held view that LDCs should have insignificant wealth
effect since the financial system is still underdeveloped. The dynamic short run error correction
model also shows a speedy convergence to long run equilibrium.
关键词：Key words: wealth effects, consumption dynamics, income effect, convergence
