Economics Commons^™

Estimating An Optimal Macroeconomic Uncertainty Index For Australia, Havvanur Feyza Erdem, George Tawadros

School of Business and Leadership Working Papers

In this article, an optimal macroeconomic uncertainty index is constructed for the Australian economy. This index is derived from a small structural macroeconomic model. The structural model is first estimated using GMM to extract the parameter estimates, which are then used to initialise maximum likelihood techniques in order to obtain the optimal coefficient values for the relevant variables. The relevant variables are then weighted by the obtained optimal coefficients and, finally, are aggregated to produce the optimal macroeconomic uncertainty index for Australian economy. The empirical results show that the uncertainty index constructed is a good indicator of the optimal economic …

Comparing The Performance Of Cooperative Plans For Equity Accumulation And Retirement, Jeffrey S. Royer

Cornhusker Economics

Equity allocated to members plays a crucial role in financing agricultural cooperatives. Although retained earnings not allocated to members have become an increasingly importantsource of equity in recent years, U.S. Department of Agriculture (USDA) data show thatallocated equity still accounted for 55.5 percent of the $47.5 billion in total equity held in U.S.cooperatives in 2020. [1] Allocated member equity differs from unallocated equity fromretained earnings in that it is owned by individual members and there is an expectation thatit will be redeemed in cash when it is eventually replaced by newer allocations. A recent study has examined the comparative performance …

Hubungan Tingkat Kesejahteraan Masyarakat Terhadap Jumlah Pekerja Migran Indonesia Di Kab./Kota Tahun 2015-2019, Wawan Fahrudin, Hera Susanti

Jurnal Kebijakan Ekonomi

This study aims to analyze the effect of welfare levels on the number of Indonesian Migrant Workers (PMI) in districts/cities in 2015-2019. The variables in this study were measured using the Random Effect Model (REM) regression. The fact that has a high level of elasticity is the number of PMIs in the previous year, and in the previous 2 years, the area, and the total population. The variables in this study include: the level of community welfare as measured by the level of poverty, education indicators, and GRDP per capita with the control variables being population, area (land and sea), …

Infrastruktur Jalan Dan Kriminalitas Di Pedesaan Indonesia, Winda Vidyaras

Jurnal Kebijakan Ekonomi

This study views how road infrastructure development affects crime in rural Indonesia. The issuance of Law No. 6 of 2014 concerning Villages create massive road infrastructure development to develop villages economy. However, it also create negative externality, which is crime. Using logistic regression model, this study analyzes Village Potential data for 2006-2018 in Indonesia. The results show that road infrastructure development’s accompanied by crime opportunity increase of 1.3-1.5 times higher in rural Indonesia. After massive development, it indicates economic increase and crime decrease in remote villages. This finding supports literatures about road infrastructure and accessibility can provide opportunities for crime.

Keterpilihan Dinasti Politik Pada Pilkada Kabupaten/Kota Di Indonesia Tahun 2017-2020, Theresia Wahyuni Yuliartiningsih, Vid Adrison

Jurnal Kebijakan Ekonomi

The main purpose of this study was to examine whether the health variable as proxied by government health insurance participation and the infrastructure variable as a proxy for steady road conditions were correlated with the electability of political dynasties in the district/city elections in Indonesia in 2017-2020. This study tested using an average of 5 years before the 2017, 2018 and 2020 elections and the sample used was 508 districts/cities. This study uses a probit and a heck-probit regression model. The results of the selection bias control show that the health interest variable, namely BPJS Non-PBI, significantly reduces the probability …

Pengaruh Pembiayaan Dalam Era Presiden Jokowi Dan Sby Pada Tahun 2010-2019 Terhadap Pemerataan Peningkatan Pembangunan Jalan Di Indonesia, Dhini Rizky Prasedyawati, Nining Indroyono Soesilo

Jurnal Kebijakan Ekonomi

This study aims to find quantitative empirical evidence on the Effect of Financing in the Era of Presidents Jokowi and SBY from 2010 to 2019 on the Equitable Improvement of Road Construction in Indonesia. The analysis was carried out using panel data regression and common effect method, with the unit of observation being 11 provinces in Indonesia over a period of 10 years, during from 2010 to 2019. The dependent variable in this study is the length of the national road, while the independent variables are the APBN, Foreign Loans, Population, GRDP, the leadership dummy and the regional dummy. After …

An Exploratory Study On The Work Life Balance Of Married Indian Working Women In Bahrain, Elizabeth M Samuel

Arab Economic and Business Journal

This paper is an attempt to explore the challenges faced by Indian working women in safeguarding equilibrium between their personal and professional life. The various factors affecting the work –life balance of married Indian working women have been examined in this study. 120 Indian working women have substantiated their work life, which is evident in this research. This in turn signifies that the problems faced by the Indian working women are considerably low. The conclusions highlights the fact that the people's work-life balance has an impact on their quality of life.

Hybrid U-Net: Semantic Segmentation Of High-Resolution Satellite Images To Detect War Destruction, Shima Nabiee, Matthew Harding, Jonathan Hersh, Nader Bagherzadeh

Economics Faculty Articles and Research

Destruction caused by violent conflicts play a big role in understanding the dynamics and consequences of conflicts, which is now the focus of a large body of ongoing literature in economics and political science. However, existing data on conflict largely come from news or eyewitness reports, which makes it incomplete, potentially unreliable, and biased for ongoing conflicts. Using satellite images and deep learning techniques, we can automatically extract objective information on violent events. To automate this process, we created a dataset of high-resolution satellite images of Syria and manually annotated the destroyed areas pixel-wise. Then, we used this dataset to …

One-Shot Inequality, Gini, And Redistribution Via Microsoft Excel, Humberto Barreto

School of Business and Leadership Working Papers

This paper explains how to use a macro-enabled Excel workbook, Gini.xlsm, to teach basic concepts about income inequality as a standalone, one-time class at the undergraduate level. The material unfolds in a series of steps that highlight the benefits of social cooperation and enable students to explore varying degrees of redistribution. The Gini Coefficient is explained with dynamic charts that update as the student makes changes. The Excel workbook contains 13 questions and this paper provides answers. This presentation of the material was inspired by Nozick’s Anarchy, State, and Utopia (relevant passages are included in the Excel workbook) and this …

Trade, Leakage, And The Design Of A Carbon Tax, David A. Weisbach, Samuel Kortum, Michael Wang, Yujia Yao

Cowles Foundation Discussion Papers

Climate policies vary widely across countries, with some countries imposing stringent emissions policies and others doing very little. When climate policies vary across countries, energy-intensive industries have an incentive to relocate to places with few or no emissions restrictions, an effect known as leakage. Relocated industries would continue to pollute but would be operating in a less desirable location. We consider solutions to the leakage problem in a simple setting where one region of the world imposes a climate policy and the rest of the world is passive. We solve the model analytically and also calibrate and simulate the model. …

A General Equilibrium Assessment Of Covid-19’S Labor Productivity Impacts On China’S Regional Economies, Xi He, Edward J. Balistreri, Gyu Hyun Kim, Wendong Zhang

Department of Economics: Faculty Publications

This study introduces a database for analyzing COVID-19’s impacts on China’s regional economies. This database contains various sectoral and regional economic outcomes at the weekly and monthly level. In the context of a general equilibrium trade model, we first formulate a mathematical representation of the Chinese regional economy and calibrate the model with China’s multi-regional input-output table. We then utilize the monthly provincial and sectoral value-added and national trade series to estimate COVID-19’s province-by-month labor-productivity impacts from February 2020 to September 2020. As a year-on-year comparison, relative to February 2019 levels, we find an average 39.5% decrease in labor productivity …

Examine The Effects Of Real Effective Exchange Rates On Export Growth: A Closer Look Into Asian Developing Economies, Van Tran

Proceedings of the Jepson Undergraduate Conference on International Economics

My paper examines the impact of real effective exchange rate as well as its fluctuations on the growth of exports with a focus on the Asian region. The data is extracted from World Bank, International Monetary Fund and International Financial Statistics spanning 41 years from 1979 to 2020. Using the OLS estimator, my study finds that an increase in real effective exchange rate will lead to a decline in the exports growth rate. However, this effect is positive for Asian countries, possibly due to lower production costs. I also reach the conclusion that volatility will have no impact on exports.

Stock Market Analysis Using Linear Regression, Taran Rishi

Proceedings of the Jepson Undergraduate Conference on International Economics

This paper aims to identify the factors affecting the closing price of a stock in the S&P 500. It uses time series data for all companies that constitute the S&P 500 index. Data on closing price, opening price, highest price, lowest price, and volume of each day is used. It turns out that the opening price, highest price, and the lowest price are the most significant variables while predicting the closing price of a stock.

Nash Bargaining In A General Equilibrium Framework: The Case Of A Shared Surface Water Supply, Arpita Nehra, Arthur J. Caplan

Applied Economics Faculty Publications

We extend the axiomatic Nash bargaining approach to the context of interregional water sharing in order to assess the approach’s normative implications in a general equilibrium (GE) framework. The GE model is applied to a water development project proposed for the Wasatch Front and Cache Valley regions of Utah — the Bear River Development Project (BRDP). We demonstrate conceptually how an allocation rule and attendant net regional welfare measures are endogenously determined as equilibrium solutions to the bargaining problem. Numerical analysis, based upon a simulation model calibrated to current data, reveals that Nash bargaining is generally infeasible as a solution …

Electrical Equipment Industry Cluster, Pragati Gautam

2022 REYES Proceedings

The growing collaboration between two or more industries in a specific region in which they work in a symbiotic relationship, providing benefits to each other and contributing in the overall development of the region, is what is popularly known as business clusters. Even though this concept is commonly known and implemented in the West, South Asian economies are unfamiliar with the advantages of this unique business strategy. There are, undeniably, many potential business clusters in these developing countries, which if tapped efficiently, could result into an industrial boom.

This research focuses on investigating the existence of a business cluster in …

Influence Of Gdp Per Capita On Birth Rates, Derek Richard Koppes

Proceedings of the Jepson Undergraduate Conference on International Economics

his paper aims to explore the relationship between a country’s birth rate and GDP per capita. I use cross-sectional data for 108 countries from the CIA’s World Factbook and The World Bank. From the research, it is clear that countries with lower infant mortality rates and higher levels of female education have lower birth rates, but the impact of GDP per capita remains ambiguous. It appears the relationship between GDP per capita and birth rates may be mediated through factors such as female empowerment, better healthcare, contraception availability, and family planning resources.

How To Not Save The World From Covid-19: The Dire Consequences Of Giving Away The Vaccine Formula, Tristen Prouse

Proceedings of the Jepson Undergraduate Conference on International Economics

The debate over giving away the COVID-19 vaccine formula is a political hot topic. Violating intellectual property law (patents) to give away the vaccine is a tempting option for aiding other countries in the current global health crisis. In actuality, many problems exist with this proposed solution, including violating intellectual property law, disincentivizing innovation, undermining confidence in vaccine safety, harming America’s geopolitical objectives, and inefficiencies. The United States can and should aid the world in obtaining vaccines, but it should not do so by waiving patent law and giving away the vaccine formulas.

Athletics, Academics, And The Financial Condition Of U.S. Private Colleges, Jody W. Lipford, Jerry K. Slice

Journal of Applied Sport Management

Abstract

Many private colleges in the U.S. face financial difficulty. The role of athletics in the financial condition of U.S. colleges is subject to controversy. Supporters argue that collegiate sports draw students, improve student quality, and increase donor support. Detractors argue that athletics are costly and undermine the academic mission of the institution. In this paper, we examine metrics of athletic and academic quality to determine their effects on the financial health of a sample of U.S. private colleges. Our findings indicate that higher spending on athletics reduces an institution’s financial health and that academic quality increases an institution’s financial …

3rd Annual International Conference Proceedings: Challenging Linearity, Centre For Business And Economic Research (Cber), School Of Economics And Social Sciences (Sess)

Conference Proceedings

As we live in an era where the knowledge landscape is rapidly changing and becoming more complex, answering age-old questions about our society, economy, and environment has become more challenging today than ever before. In the wake of this change and challenge, falling back on linear and myopic conclusions is sometimes all too irresistible. A fatigue of imagination that leads to easy answers seems to be prevalent within several disciplines and is sometimes driven by ideological biases. Resultantly, the progress in addressing economic disadvantage, social isolation, and discrimination, psychological distress remains suboptimal often because of linear conceptual frameworks which fail …

“No Drugs In My Back Yard:” The Ambivalent Reception Of Cannabis Retailers, L. Michelle Brujin, Rafael P. Ribas

Economics Faculty Publications and Presentations

Can individuals’ aversion to drug markets curb the benefits of decriminalization? We investigate the effect of two policies on housing demand in the Netherlands: the distance-to-school criterion, which closed some cannabis shops in a few cities; and the zero-tolerance policy, which banned shops within municipal jurisdictions. While a small increase in the distance to retailers raised house prices by 1–5%, a substantial increase reduced them by 1–6%. Both policies reduced property crime, but the zero-tolerance was also related to fewer jobs. Our findings reveal that cities benefit from having cannabis shops, but households’ aversion to related nuisances depreciates surrounding areas.

Chinese-Backed Fintech Lending Boom: How Did Indonesia Respond?, Angela Tritto, Yujia He, Victoria Amanda Junaedi

Diplomacy and International Commerce Reports

Peer-to-peer (P2P) online lending has the potential to boost innovation and financial inclusion in emerging markets, yet it can also incur investment and borrower-related risks, such as privacy breaches.

Driven by regulation control in China, Chinese investments flocked to Indonesia, causing a rapid expansion of online lending platforms.

Similar to what happened in China prior to the regulatory crackdown, the P2P lending boom in Indonesia saw a rise in unethical and illegal business practices. The government responded by creating new regulations and institutions to mitigate risks without stifling the potential for financial inclusion.

A proactive approach towards monitoring and regulating …

Informational Intermediation, Market Feedback, And Welfare Losses, Kai Hao Yang, Wenji Xu

Cowles Foundation Discussion Papers

This paper examines the welfare implications of third-party informational intermediation. A seller sets the price of a product that is sold through an informational intermediary. The intermediary can disclose information about the product to consumers and earns a fixed percentage of sales revenue in each period. The intermediary’s market base grows at a rate that increases with past consumer surplus. We characterize the stationary equilibria and the set of subgame perfect equilibrium payoffs. When market feedback (i.e., the extent to which past consumer surplus affects future market bases) increases, welfare may decrease in the Pareto sense.

Why Have Interest Rates Been Low?, Ray C. Fair

Cowles Foundation Discussion Papers

This paper uses an estimated interest rate rule of the Fed to argue that the low recent interest rates may be due to a change in Fed behavior. Prior to the Great Recession the Fed’s behavior is consistent with the rule. During the recession the zero lower bound was hit in 2008.4. The rule unconstrained called for negative nominal interest rates during this period, and so it became inoperative. The Fed kept the interest rate at roughly zero through 2015. This was a period of low inflation and still fairly high unemployment rates, and the rule called for essentially zero …

More Than A Safety Net: Ethiopia's Flagship Public Works Program Increases Tree Cover, Kalle Hirvonen, Elia A. Machado, Andrew M. Simons, Vis Taraz

Economics: Faculty Publications

More than one billion people worldwide receive cash or in-kind transfers from social protection programs. In low-income countries, these transfers are often conditioned on participation in labor-intensive public works to rehabilitate local infrastructure or natural resources. Despite their popularity, the environmental impacts of public works programs remain largely undocumented. We quantify the impact on tree cover of Ethiopia's Productive Safety Net Program (PSNP), one of the world's largest and longest-running public works programs, using satellite-based data of tree cover combined with difference-in-differences and inverse probability treatment weighting methodologies. We find that the PSNP increased tree cover by 3.8% between 2005 …

Urban Utopia Or Pipe Dream? Examining Chinese-Invested Smart City Development In Southeast Asia, Yujia He, Angela Tritto

Patterson School of Diplomacy and International Commerce Faculty Publications

With increasing public–private partnership and international cooperation in smart city development across the Global South, Chinese firms are poised to take advantage of growing business opportunities, a situation that few studies have examined. This empirical case study of the Forest City, a Chinese-invested greenfield smart city project in Iskandar Malaysia, begins to fill that gap. This megaproject represents the coming together of overlapping economic development interests of the local authorities and the profit motivations of the Chinese investor. However, the project’s use of the ‘smart city’ discourse contrasts with the reality of limited technology adoption. Its visibility and considerable socio-economic …

Essays On Economic Geography And Development Economics, Yao Wang

Dissertations - ALL

This dissertation comprises two papers studying economic geography in a developing country context. Chapter 1 quantifies the effects of cultural barriers on internal migration and welfare in Indonesia. I estimate internal migration gravity using linguistic distances as a proxy for cultural barriers and instrument for current linguistic differences using data from the 1930 colonial census. I find inverted U-shaped effects of linguistic distance on migration, which are more prominent for unskilled and older populations. To quantify welfare and distributional implications of linguistic barriers, I further develop a quantitative spatial model with heterogeneous skill groups, incorporating linguistic distance as migration and …

Editor's Note, Marites Tiongco

DLSU Business & Economics Review

No abstract provided.

Foreign Ownership And Productivity, Jian Xu, Yu Liu, Hussein Abdoh

School of Economics and Finance Faculty Publications

This study examines the impact of foreign ownership on firm productivity in private firms, employing the World Bank Enterprise Survey (WBES) dataset, which includes over 120, 000 firms from 139 countries. We find strong and robust evidence that foreign ownership is positively related to firm productivity. We then explore possible channels through which foreign ownership could impact firm productivity. Firms with foreign ownership are more likely to engage in innovation, telecommunication, and labor cost reduction, and less likely to face financial constraints. Moreover, the foreign-productivity relationship is more pronounced in medium/large firms than in small firms. Countries with medium institutional …

A Principal-Agent Approach For Estimating Firm Efficiency: Revealing Bank Managerial Behavior, Levent Kutlu, Emmanuel Mamatzakis, Mike G. Tsionas

School of Economics and Finance Faculty Publications

We consider agency-theory-based structural and reduced form models of bank performance. In the structural models, we take into account the managerial decision-making processes, and reveal underlying managerial efforts and thereby managerial behavior. In an empirical application, we estimate performance of Eurozone banks using our novel structural and reduced form approaches by Markov Chain Monte Carlo techniques. Our findings show, for the first time, that bank underperformance persists in the Eurozone whereas considerable variability across Member States exists. Our agency-theory-based structural modeling would favor cooperation of all interested parties and towards higher financial integration.

Borderplex Business Barometer, Volume 6, Number 7, Thomas M. Fullerton Jr., Steven L. Fullerton

Border Region Modeling Project

No abstract provided.