BRICS Countries Research Articles

Exploring the Nexus Link of Foreign Direct Investment Inflows and Openness on Economic Growth: Evidence from BRICS Economies

This study aims to investigate how Foreign direct investment (FDI) and trade openness influenced economic growth in BRICS countries from 1990 to 2022, using the Pooled Mean Group Autoregressive Distributed Lag (PMG-ARDL) and System Generalized Method of Moments (System-GMM) methods. Our findings show that these two variables boost economic growth by 0.172, 0.021, 0.291, and 0.072%, respectively. Additionally, the results indicate that BRICS countries have demonstrated greater resilience in terms of FDI and trade before and after the COVID-19 pandemic and the Russia-Ukraine war, underscoring the effectiveness of their investment and trade policies in maintaining economic growth amidst global disruptions.

The role of natural resources, and economic development in evaluating the environmental effects of biofuel and waste energy generation in the group of BRICS

The green energy sources such as biomass conversions and waste energy have shown great potential in environmental management. This article aims to examine the changes brought about by the production of biofuel and the management of solid fossil waste over the past forty years, and to analyze the significant roles that natural resources and economic factors have played in the BRICS countries (Brazil, Russia, India, China, and South Africa) from 1990 to 2021. To achieve accurate and feasible results, second-generation econometric methodologies were applied. The Driscoll-Kraay standard errors (DKSE) approach revealed a significant negative relationship between biofuel production and environmental damage through waste management. Thus, an increase in biofuel production is associated with a reduction in environmental degradation in the region. Furthermore, the results indicate that environmental degradation (ED), the dependent variable, is still positively correlated with natural resources, urbanization, trade, and economic growth. As the financial sector struggles to address environmental threats, stringent monitoring of financial control measures and provisions for environmental issues is necessary. To achieve sustainable development, BRICS member countries need to address the issues of natural resource exhaustion and over-exploitation. The findings of this research suggest policy support for sustainable redevelopment, which should be goal-oriented and backed by the central authorities of the respective countries.

Will the US Dollar Hegemony as the World Reserve Currency Be Replaced? An Exploratory Study

Abstract The understanding of the behavioral economics of how the US$ has been performing as an international reserve currency since 1945 seems to face a serious threat posed by the BRICS coalition nowadays. The study aimed to assess the long-term stability of the US dollar as an international reserve currency in light of the emerging challenge from the BRICS coalition. The research used ARDL and ECM analysis to address two main questions. First, the study confirmed that the US dollar’s long-term equilibrium as a reserve currency is stable. Second, it found that the US economic and monetary infrastructure appeared more resilient than that of the BRICS countries. This suggests that a shift away from the US dollar as a world reserve currency is not likely in the near future. The study also raised the need to consider designing a better monetary system for the modern world.

Economic analysis and competition policy practice: A comparative empirical examination

This paper contributes to empirical studies of competition policy enforcement. The study applies an empirical approach to measure the extent of economic analysis (legal standard) applied by competition authorities in antitrust cases by leading developing countries, namely, Brazil, Russia, India, and South Africa (4 out of 5 BRICS countries). Using antitrust case-by-case information we explore the level, dynamics, and convergence of legal standards in antitrust investigations. The results indicate that the countries differ in the legal standard used, even on the same conduct type under investigation. On average, competition authorities in Brazil and India apply higher legal standards than those in Russia and South Africa. The ranking of legal standards by conduct groups differs as well, with vertical agreements and abuse of dominance cases having the highest levels. There is no evidence of an increasing trend or convergence in the legal standard in antitrust investigations, either between cases of the same conduct group or between countries investigated. This study also does not find unambiguous evidence on the effect of resources (funding and staff) on legal standards or on the consistency of case-specific analysis.

Does Green Financing Moderate the Effect of Trade Openness on Carbon Emissions in Emerging Countries?

The environmental impact of trade openness has been a subject of extensive research, but gaps exist in understanding how green financing interact with trade openness on carbon emissions in emerging economies. Thus, this research aims to investigate the moderating effect of green financing on the relationship between trade openness and carbon emissions in emerging countries. The study uses a balanced panel dataset comprising BRIC and CIVETS countries spanning 1998 to 2022 years. Employing threshold effect model, we uncover involved patterns and critical thresholds that influence the environmental outcomes of trade dynamics. Finally, this paper employs different econometric models fortifying the methodological underpinning of the study. We find that green financing and trade openness lead to a reduction in carbon emissions as they are negatively associated with emissions. Further, our study finds that green financing interacted with trade openness to reduce carbon emissions because interaction of trade openness makes stronger the relationship to reduce emissions. When these two factors interact, their combined effect is even more potent. Additionally, this study identifies a threshold effect in the role of green financing, where its inhibitory impact on carbon emissions intensifies as the level of green financing increases, lead to greater reductions in emissions. This research contributes in identifying the moderating effects of green financing and the threshold effects on carbon emissions at different levels of green financing. Thus, this article implies that increasing both green financing and trade openness, along with understanding their interactive and threshold effects, is crucial for achieving substantial carbon emissions reductions.

INTERNATIONAL COMPETITIVE ADVANTAGE OF THE TURKISH MINING SECTOR: A WORLDWIDE AND BRICS COUNTRIES COMPARISON

It is irrefutable that the mining sector, which has played an essential role in the development of civilizations throughout history and has been one of the vital elements of the Industrial Revolution, made outstanding contributions to shaping humanity in the last two centuries. The demand for mining assets, which have particular importance due to the inputs they provide to the manufacturing industry, is increasing day by day, and this increases their value even more. In addition to its high added value and employment creation capacity, the mining sector significantly contributes to the national economy as a unique sector that accelerates regional development. Due to the importance of the mining sector in the Turkish economy, its employment creation, and its export share, the competitive dynamics and performance persistence have received considerable scholarly attention. The study's main aim is to investigate the competitiveness of the Turkish and BRICS countries' mining industries in international markets. Accordingly, using the annual import and export data between 2017 and 2022, indices of the Disclosed Comparative Advantage Index (RCA), Relative Export Advantage Index (RXA), Relative Import Advantage Index (RMA), Relative Trade Advantage Index (RTA), Export Specialization Index (ES), Export Similarity Index (XS), Relative Competitive Advantage Index (RC) and Grubel-Lloyd Index (GLI) were calculated, and the sector competitiveness was evaluated. The results reveal a consistent low competitive advantage globally and specifically compared to BRICS countries. While there have been occasional improvements, Turkish mining sector faces disadvantages in exports, imports, and overall trade compared to both the world and BRICS countries.

The Mutual Interdependence between Financial Inclusion and Human Development and Their effects on Economic Development. Comparative Study between Egypt and The BRICS Countries

The Mutual Interdependence between Financial Inclusion and Human Development and Their effects on Economic Development. Comparative Study between Egypt and The BRICS Countries

Reseña: Rising powers, people rising: Neoliberalization and its discontents in the BRICS countries. Edited by Alf Gunvald Nilsen y Karl Von Holdt.

Reseña: Rising powers, people rising: Neoliberalization and its discontents in the BRICS countries. Edited by Alf Gunvald Nilsen y Karl Von Holdt. Routledge London and New York, 218pp. 2021. ISBN 9780367750640

Time trends in the incidence of interstitial lung disease across Brazil, Russia, India, China and South Africa (BRICS) from 1990 to 2019: An age‐period‐cohort analysis

AbstractBackground and ObjectiveThe global incidence of interstitial lung disease (ILD) has risen over the past few decades. However, few studies have evaluated the status and incidence trends of ILD in Brazil, Russia, India, China and South Africa (BRICS). This study assesses the trends of ILD incidence across the BRICS with an emphasis on ILD changes from 1990 to 2019.MethodsIncidence rates were estimated by the data obtained from the Global Burden of Disease Study 2019 (GBD 2019). Age‐period‐cohort modelling was used to estimate the effects on ILD from 1990 to 2019, and the net drift and local drift were calculated.ResultsIn 2019, a total of 11.4 million cases of ILD were reported in the BRICS countries. From 1990 to 2019, the incidence rate of ILD in BRICS showed an upward trend. India consistently reported the highest incidence rate, while China showed the fastest growth rate (107.6%). Russia reported a similar incidence rates for men and women, with a lower age of peak incidence compared to the other four countries. We found the time effect was unfavourable for BRICS in the first decade, especially for Brazil; in China and Brazil, the risk of people born after 1960 has rapidly decreased.ConclusionILD shows a rising incidence in BRICS. with the trends varying based on age and other environmental factors. BRICS should strengthen specific public health approaches and policies for different stages and populations.image

The Effect of Budget Deficits on Stock Market Returns in Emerging Markets: A Panel VAR Analysis

This study examines the impact of fiscal deficits on stock returns. The sample covers emerging markets for the period 2016Q1-2021Q4. The analysis results using panel vector autoregression (PVAR) and Granger causality tests indicate that fiscal deficits cause stock returns. These results are confirmed for countries with low and medium levels of financial development and for European countries. However, in countries with high levels of financial development such as the BRICS and ASEAN countries, no effect is observed. It is also found that this effect disappears during the COVID-19 pandemic. The results of the study question the strong form of the efficient market hypothesis (EMH). According to the EMH, stock prices should fully reflect all available information. However, the impact of fiscal deficits on stock returns in low- and middle-income countries and European countries suggests that market participants may not fully reflect this information, addressing the existence possibility of markets that are not efficient in the strong form.

The Prevalence of Dental Anomalies in the Adult Population of the BRICS Countries: A Systematic Review

This paper presents the results of a comprehensive search and qualitative synthesis of the literature on the prevalence of dental anomalies in the adult population of the countries that comprise the BRICS interstate association. In January 2024, the BRICS membership expanded with the inclusion of Egypt, Ethiopia, Iran, Saudi Arabia, and the United Arab Emirates. However, up until now, there has been scarcity of published research on this particular topic in the designated countries. Consequently, the objective of this review is to synthesize the data from available information resources, utilizing the PRISMA-recommendations to ensure the results are both comprehensive and lucid. The outcomes of this systematic review will provide a comprehensive overview of the data pertaining to this specific topic in the BRICS countries. This, in turn, will enable us to focus on the epidemiological situation and determine the necessity for preventive measures and treatment needs. By shedding light on the prevalence of dental anomalies in the adult population, this review will contribute to a better understanding of the overall oral health status in these countries. Moreover, it will serve as a resource for policymakers and healthcare professionals in formulating effective strategies to address this issue of the prevalence of dental anomalies, determining the need for preventive measures and complex treatment in the adult population. In conclusion, this paper bridges the existing gap in the literature on the prevalence of dental anomalies in the adult population of the BRICS countries.

Connection of BRICS and EAEU integration projects in the context of Russian economic development

The ongoing transformation of the Russian economy under external sanctions pressure determines the development of integration projects in the post-Soviet space, which differ in the form and depth of economic cooperation. The expansion of BRICS, as well as the strengthening of mutual trade with Asia and the search for new trading partners, is of great relevance in the context of studying trade and economic connectivity between the BRICS members, Russia and the EAEU countries. The article is devoted to the analysis of promising areas of cooperation between the BRICS countries and the EAEU. The purpose is to identify the most promising trading partners among the BRICS countries in the context of the expansion of the organization and the accession of five new members. The study highlights optimal models of cooperation between the EAEU and BRICS countries in the context of reorientation of trade flows. The conclusion of the article is the need to strengthen horizontal interaction between companies of the EAEU and BRICS jurisdictions in the context of increasing the volume of parallel imports of high-tech products and developing infrastructure projects that affect the interests of Russia and partner countries.

An alternative settlement system for the BRICS countries

The relevance of the research topic lies in the imperatives of the modern geo-economic and geopolitical confrontation between the leading centers of the world financial system and the need to continue to carry out transactions through alternative channels within the existing international system of payments and exchange. Due to the lack of prospects for lifting sanctions against Russia, the author formulates proposals that allow participation in international exchange based on the currencies of friendly countries and a common currency for their entire group. From the point of view of practical implementation, the results of the article allow Russia, through the mechanism of commercial and contract (exchange) rates for currency pairs of monetary units of the BRICS countries, to carry out trade transactions with friendly countries. The author concludes that integration into the current system of world finance through alternative channels allows small countries to join the BRICS group using concession methods through the mechanism of commercial rates.

Key Indicators Influencing BRICS Countries' Stock Price Volatility through Classification Techniques: A Comparative Study

Key Indicators Influencing BRICS Countries' Stock Price Volatility through Classification Techniques: A Comparative Study

Understanding the Decline of the US Dollar: Key Factors and Implications

This paper mainly focuses on the declining dominance of US dollar especially in the recent century and the role of different factors in this phenomenon. Recently decline is seen in the power of US dollar. The global dollar reserves faced so much pressure in recent times. Within two decades a sharp decline is seen in US dollar share of global currency reserves. This paper starts with the review on the factors that are causing the decline of US dollar. Many internal and external factors are causing this decline in dollar’s hegemony. These factors include external factors like de-dollarization, rise of other currencies like renminbi, euro, rise of China as a global power, rise of digital currencies, geopolitical risks, US sanctions on the Russia etc. and many internal factors like monetary policy given by US central bank, rising prices or inflation, demand for currency, economic growth, export prices, increasing federal debt etc. Countries mainly BRICS countries are moving towards de dollarization by proceeding their trade in their local currencies or currencies other than dollar, similarly rise of China as a big economic power also fastening this process as China increasing the scope of its renminbi, digital currencies also replacing paper currency effecting dollar’s hegemony, US sanctions on countries like Russia, Iran etc. also forcing states to move towards other banking systems. Likewise, US internal factors like inflation is on 40 years peak and federal debt rise up to 110% of GDP, economic growth is declining. These internal and external factors speeding up this process. As major world trade is still happening in dollar so decline in its dominance has a major impact on the global financial system. So, to study about its declining phenomenon is very important and this research mainly analyze on this declining trend of US dollar. The paper also looked at the short history of dollar that how it became the paper currency and how it emerged as main currency of the world. At the last of paper, I also talked about whether the decline of dollar is imminent? which is an important question asked by different economists and political analysts. These observations hint how the dollar’s hegemony is under threat.

Analyzing downside risk of BRICS stock indices: insights from value at risk and time series econometrics

Purpose This paper aims to analyze the downside risk for the stock indices of BRICS countries. The study also aimed to study the interrelationship, directional influence and interdependence among the stock exchanges of BRICS economies to provide insights for policymakers, fund managers, investors and other stakeholders. Design/methodology/approach The authors used Value at Risk (VaR) as an indicator of downside risk and time series econometrics for measuring the long run relationship, directional influence and interdependence. Findings The calculated VaR estimates, long-run linkages and strong interdependence among these indices especially with the returns of Brazil exerting a notable impact on the returns of other BRICS nations. These results emphasize the significance of taking into account cross-country spillover effects and domestic market dynamics in the context of portfolio management and risk assessment strategies. Further, from the extended results of variance decomposition analysis, the authors find that Brazil’s, China’s and South African stock market returns have a significantly lagged impact on their own stock market, while Russia’s and India stock market returns do not have a significantly lagged impact on their own stock markets. Originality/value To the best of the authors’ knowledge, this is the first study comprehensively analyzing the BRICS indices downside risk through the historical simulation method of VaR estimation, which is an unexplored area of risk management.

International study on prevalence of itch: examining the role of itch as a major global public health problem.

Very few studies have evaluated the global prevalence of pruritus. To assess its prevalence according to age, sex, ethnicity and geographic region. An international cross-sectional study was conducted in 20 countries from January to April 2023. Participants were asked to complete a questionnaire on sociodemographics, and to confirm the presence or absence of a skin disease in the last 12 months and the presence or absence of pruritus in the last 7 days. The studied sample included 50 552 individuals. The worldwide prevalence of pruritus was 39.8%. The age group ≥ 65 years had the highest prevalence (43.3%). The prevalence was 40.7% among women and 38.9% among men (P < 0.001). There was no significant difference between ethnicities (P = 0.14). Compared with North America (41.2%), the prevalence of pruritus was significantly lower in Europe (35.9%, P < 0.001), Australia (38.4%, P = 0.017), East Asia (40.2%, P = 0.04) and Latin America (36.5%, P < 0.001), and higher in Africa (45.7%, P = 0.007). No significant difference was found with the Middle East (40.2%, P = 0.36). The prevalence of pruritus in BRICS countries (40.3%) was significantly higher than that in developed countries (38.7%) (P < 10-3). Out analysis is limited because there is no information about the severity or type (acute, chronic) of pruritus. The global prevalence of pruritus revealed age, sex and geographic region differences, with no ethnic differences.

The Relationship Banking Stability, Exchange Rate, Foreign Direct Investment and Economic Growth in BRICS Countries: A Panel Data Evidence

The Relationship Banking Stability, Exchange Rate, Foreign Direct Investment and Economic Growth in BRICS Countries: A Panel Data Evidence

Empowering BRICS economies: The crucial role of green finance, information and communication technology and innovation in sustainable development

AbstractThis study delves into the crucial role of green finance, information and communication technology (ICT), technological innovation, and renewable energy in the Brazil, Russia, India, and China (BRICS) countries from 2000 to 2021. The findings highlight the importance of green finance in reducing the ecological footprint and promoting eco‐friendly initiatives, sustainable practices, environmental technology innovation, and heightened environmental awareness. This means 1% increase in green related finance has reduced ecological footprint by 0.72% in BRICS economies. Additionally, technological innovation and the consumption of renewable energy play a significant role in enhancing environmental sustainability. Conversely, the study reveals that ICT has a considerable impact on the ecological footprint, but the interaction effect with green finance helps to mitigate its negative effects and improve the environmental quality. Meanwhile, non‐renewable energy, gross domestic product (GDP) per capita, and urbanization have an adverse effect on the environment. To strengthen green finance in BRICS countries, governments can establish comprehensive policy frameworks that prioritize sustainability and create a conducive climate for incentivizing investment in environmentally friendly endeavors.

How does external debt and governance quality impact renewable energy consumption: novel policy insights from BRICS countries.

Amidst global environmental reforms, the role of energy systems is under scrutiny to promote ecological welfare through low-carbon alternatives. Amongst the solutions, the role of renewable energy as a clean source has become popular to mitigate climate change. However, the impact of debt on renewable energy consumption remains limited in the economic literature. The debt initiatives provide funding for environmental initiatives primarily, while it is also credited as a barrier to limiting the growth of clean energy programs. Within such discussion, the current study extended the dialogue by examining how external debt impacts energy transition in Brazil, Russia, India, China, and South Africa (BRICS) economies in the presence of institutional quality, education expenditures, and banking development. Using the novel CS-ARDL, AMG, and CCEMG tests, the study results showed that external debt decreases renewable energy consumption, while institutional quality, educational expenditures, banking developments, and economic growth are essential elements of green energy developments. Based on these conclusions, this study provides novel policy guidelines to align BRICS energy and economic agendas.