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The findings from the VECM for BBS data reveal that there is a positive and significant relationship between FD and GDPGR, supporting the Keynesian theory, while findings from the VECM for World Bank data indicate that the impact of Fiscal Deficit (FD) on GDPGR is mild but negative and significant at the 5% level. This contradicts the Keynesian theory, but is in accord with Neo-classical theory which asserts that fiscal deficits lead to a drop in the GDP. Nevertheless, the government must strive to keep deficit under control, not to hamper growth, and expenditure ought to be set so as to avoid massive deficits leading to debt financing and the crowding-out effect of private investment. If deficits become unsustainable, it can lead to higher interest payments, and the government may well default. Although in the economic literature, there is no definitive conclusion as to whether fiscal deficit helps or hinders economic growth for any country, many argue that fiscal deficit leads to economic growth of a country, which cannot be achieved only through domestic savings, not enough for investment. It can be assumed safely that to some extent fiscal deficit is good for economic growth if the borrowed money is spent on beneficial projects, provided the return from such investments exceeds the funding cost. For future research work, it will be interesting to examine the relationships between government spending, economic growth and long-term interest rate for Bangladesh.

This study focuses on family controlled firm "Beximco Group" in a frontier market economy, which during its thirty-five years of existence, has grown to become the leading business organization in Bangladesh. In this study, we look at the gains obtained via diversification in a setting that is completely different from the Western world. Bangladesh is a country that has been characterized as a "Frontier market" by the IFC, a subsidiary of the World Bank. Most of the ideas reflected in the literature are from studies done in the US. The broad ranges of institutional features that support business activities in the West are all absent in Bangladesh, & the findings in the literature may not be a practical application for emerging market economies & frontier markets, which are a step behind emerging markets. Devoid of all the institutional facilities & features that the West offers in the corporate world, we find that diversification leads towards growth & value creation in Bangladesh. Using accounting & market information from Audited Financial Statements from 1983-1995 & the IFC's EMDB data, we document that Beximco Group has made significant progress towards the path of growth & value creation. The findings support the hypothesis of growth through diversification. This result is consistent with that of Khanna & Paleup (1997) who observe similar findings for emerging market economies such as Chile & India. Baker (1992) notes that the role of diversification for the growth of Beatrice from a small creamery firm to one of the largest conglomerates in the US, is similar to what we see today for Beximco's growth. Diversification played a leading role for the rise in prominence for the group in Bangladesh. 6 Tables, 6 Figures, 2 Appendixes, 36 References. Adapted from the source document.

AbstractAt present, no clear consensus exists on how to assess resilience interventions in the field. In this paper we propose to measure the impact of the ECOFISH project, the objective of which was to strengthen the resilience of local fishing communities affected by recurrent crises in Bangladesh. The evaluation was based on a difference-in-difference (DiD) framework. The DiD analysis indicates that households who benefited from ECOFISH have a higher propensity to adopt positive responses than non-beneficiaries when hit by a shock. Those beneficiaries also report a statistically higher recovery rate (resilience). The analysis indicates however that the project did not manage to reduce the propensity of households to engage in detrimental coping strategies and that the long-term food and nutritional security of the beneficiaries has not yet visibly improved compared to the control group. Those different results are discussed in the light of the wider literature on resilience evaluation.

In this study, we examine the connection between economic growth and debt, with the question in mind -"Is debt a burden and bad for economic growth? Employing several sophisticated statistical approaches to investigate the problem and to assess the impact of debt on economic growth in 48 countries of Sub-Saharan Africa from 1995 to 2012, we find evidence of Granger causality between debt and economic growth in 8 out of the 48 sub-Saharan countries during the period of study and validate for the existence of "Debt Laffer Curve." We also study the relationship between debt and economic growth rate in Granger causality and Dynamic Arellano-Bond panel data estimation frameworks, and find evidence of a negative correlation between the two variables (Debt and GDP) and confirm the findings by testing several versions of the models. Political decision and economic policy are intertwined and need to be examined carefully when implemented for economic growth and our findings lend credence to the politically unpopular austerity measures (constraints on government spending financed by borrowing). There is a limit to the economic growth rate that the government financed expenditure can bring. If the burden of debt is too high then there is a negative impact of debt on the economic growth.Keywords. Economic Growth, Debt, Laffer curve and Investments.JEL. E20, E60, E24.