Social and Behavioral Sciences Commons^™

Cross-Border Technology Investments In Recession, Juliana Yu Sun, Huanhuan Zheng

Research Collection School Of Economics

Utilizing industry-level foreign direct investment (FDI) from 72 source markets to 122 destination markets between 2003 to 2018, we evaluate how cross-border technology investments respond to economic recessions. We find that FDI embedded with intensive research and development (R&D) drops when the destination market is in a recession and the source market is in a normal state and recovers to the pre-recession levels when both destination and source markets are in recession. However, there is little evidence that recessions affect cross-border investments in other aspects of technology measured by the penetration of robots, intellectual property products and information and communications …

Macroeconomic Drivers, Governance, And Foreign Direct Investment In Central And Eastern European Countries (Ceecs), Parfait Bihkongnyuy Beri, Gabriel Mhonyera

Economic and Business Review

Background and objective: The transition to market-oriented economies in CEECs entailed significant structural economic and institutional reforms. Over the past years, studies have investigated how these reforms affected foreign direct investment (FDI) inflows. However, the evidence remains debatable and varies across countries. This study provides new insights by considering the impact of macroeconomic factors, governance, and the moderating effect of governance on the macroeconomic drivers–FDI nexus.

Methods: A panel of 12 countries from 1991 to 2020 are analysed within the framework of conventional methods and Seemingly Unrelated Regression (SUR).

Results: Results robustly suggest that gross capital formation, macroeconomic stability, and …

Three Essays On Macroeconomics And Development, Guilherme Klein Martins

Doctoral Dissertations

This dissertation is a collection of essays that relate, in different forms, macroeconomic policies to economic development. Essay 1 provides evidence that austerity shocks have longrun negative effects on GDP. Besides addressing the important gap in the growing fiscal research regarding the short time horizon of the estimations, the paper analyzes two other important assumptions made in the literature regarding the (i) symmetry of episodes of fiscal expansion and contraction and (ii) uniformity of fiscal multipliers for different sizes of shocks. We use narrative fiscal shocks and propensity score reweighting in a local projections setup to account for the potential …

Are The Informal Economy And Cryptocurrency Substitutes Or Complements?, Rajeev K. Goel, Ummad Mazhar

Faculty Publications – Economics

This research considers a new dimension of the effects of the underground sector by examining the spillovers on cryptocurrency holdings. Cryptocurrencies offer a relatively greater ability to dodge taxes and ensure the anonymity of holders, providing attractive avenues for underground operators to stash their informal-sector earnings. Our results, based on data from more than 50 nations, show that a greater prevalence of the underground economy in a nation is indeed associated with greater cryptocurrency holdings. This result holds across an alternative measure of the shadow economy, and when the bi-directional causality between the shadow economy and cryptocurrency holdings is considered. …