Economic freedom and growth across German districts

2017 ◽  
Vol 14 (4) ◽  
pp. 739-765 ◽  
Author(s):  
ROK SPRUK ◽  
ALEKSANDAR KEŠELJEVIĆ

AbstractIn this paper, we revisit the relationship between economic freedom and growth across 407 German districts (Kreise). We build six indicators of economic freedom and cluster them into categories reflecting tax rates and size of the government and public sector. Exploiting the variation in the constructed indices of economic freedom, the evidence suggests less indebted districts with a lower share of taxes and a relatively smaller public sector achieve consistently higher growth rates and income levels. The beneficial effect of economic freedom on growth is robust to the variety of specification checks and does not appear to be driven by sample selection. The evidence does not indicate a lower level of economic freedom in former East German districts or greater economic freedom in West German districts but unveils a persistent north–south divide in the post-unification period. In the counterfactual scenario, a transition to the 90th percentile of economic freedom is associated with large income and growth gains. Such a transition would yield higher income levels and growth rates with a notable decrease in regional economic inequality within Germany.

2020 ◽  
Vol 10 (3(S)) ◽  
pp. 1-11
Author(s):  
Wei-Bin Zhang

This paper makes an original contribution to the literature of optimal taxation by introducing Ramseytaxation to the Solow-Uzawa growth model to examine genuine dynamic interdependence between growth andoptimal taxation. We introduce a public sector to the Uzawa two-sector growth model. The public sector suppliespublic goods and services. The government financially supports by the public sector by collecting taxes on thehousehold’s wage income and wealth income under the assumption that the utility level is maximized. We derivethe optimal taxation rule and construct the dynamics of the national economy. The model studies a nonlineardynamics between national and sectoral growth, economic structural change, wealth/capital accumulation, andoptimal tax rates in perfect competitive markets with the government intervention. The model has a uniquestable equilibrium point with the chosen parameter values. We carry out comparative dynamic analysis toanalyze effects of exogenous changes in a few parameters on the transitional process and long-term economicstructure of the economic dynamics.


2021 ◽  
Vol 11 (3) ◽  
pp. 67
Author(s):  
Hussain Almawali ◽  
Nor Intan Adha Hafit ◽  
Narehan Hassan

This research examines the relationship between motivational factors, job performance, employee engagement and the impact of motivational factors on job performance function of employee engagement as a mediator in the government sector in the Sultanate of Oman. A quantitative study methodology was used, and six hypotheses were evaluated using 111 representative government employees from the Ministry of Education. This study is a pilot test. This study uses quota sampling, and Statistical Package for the Social Sciences (SPSS) and path analysis techniques were used for the analysis. The study's findings indicate that these factors have a favorable association, that motivational factors have significant positive relationships with employee engagement and job performance, and that employee engagement acts as a partial mediator in the relationship between motivational factors and job performance. This study is critical for leaders and regulators interested in enhancing job performance in Oman's public sector. This is one of the few studies on the mediating function of employee engagement in the link between motivational variables and job performance. This is the first research of its kind in Oman for the public sector. Other motivational variables could be examined and evaluated in the private sector in Future research.


2014 ◽  
Vol 17 (1) ◽  
pp. 16-28
Author(s):  
Dao Thi Thieu Ha

This article analyses the reality relationship among government, market and enterprises in Vietnam in the period of 1996-2012. We find out that: (i) the effectiveness of government indicators such as ease of doing business index, the economic freedom index, the government effectiveness indicators (belong to the governance indicators) improved considerably overtime but have not reached the average level of the world; (ii) the relationship between government and enterprises has not been clear-cut. As a result, though many reforms have been conducted, state owned enterprises still take up a high percentage in many industries and enjoy multiple preferential polices while operate inefficiently. This articles also points out the reasons of the situation and gives some recommendations for solving those problems.


2017 ◽  
Vol 2 (1) ◽  
pp. 1-19
Author(s):  
Alex King’ori Ndegwa ◽  
Dr. Peter Kiriri ◽  
Dr. George Achoki

Purpose: The purpose of this study was to establish the factors affecting adoption of donor funded ICT projects in the public sector.Methodology: The research was carried out through a descriptive survey research design. The sampling frame of this survey was a list of state owned enterprises in Nairobi County. The study targeted a population of all the 205 state owned enterprises in Kenya out of which 67 are located in Nairobi County.Results: The relationship between technological factor and adoption of donor funded ICT projects was positive and significant. The findings imply that technological factor has significant effect on adoption of donor funded ICT projects. The relationship between Infrastructural factor and adoption of donor funded ICT projects was positive and significant.  The findings imply that Infrastructural factor has significant effect on adoption of donor funded ICT projects.Unique contribution to theory, practice and policy: It was recommended that government should consider implementing a robust public sector policy that aims at enhancing ICT use, the development of donor funded ICT project and making ICT hardware and software accessible and affordable to majority of individual and firms. It is recommended that the government considers improving the adoption of donor funded ICT project in public sectors through training in school and institution of higher learning. The management of public sectors should also continue to adopt new forms of technology that would assist in improving donor funded ICT projects. Management of companies should appreciate that in adoption of donor funded ICT project there are benefits of first adapters or first movers.


2007 ◽  
Vol 13 (4) ◽  
pp. 631-652 ◽  
Author(s):  
Alan Stoleroff

Since the onset of the public deficit crisis in 2001–2002, three successive Portuguese governments have promoted a transformation of public sector employment relations with the aim of bringing them into line with the private sector. Given the importance both of employment in the public sector and of public sector unions to the overall labour movement, the outcome of these reforms will have a decisive impact upon industrial relations in Portugal. The Portuguese public sector unions have consistently claimed that the government has presented them with preconceived reform packages, has not bargained and has in fact imposed its concept of the reforms. This article analyses the relationship between the government and the unions in negotiating the reforms, focusing on the degree of conflict involved and the extent to which the reforms have proceeded within the framework of social dialogue.


2014 ◽  
Vol 36 (5) ◽  
pp. 562-582 ◽  
Author(s):  
Maha Ibrahim ◽  
Saoud Al Falasi

Purpose – The purpose of this paper is to investigate the relationship between employee loyalty (Organizational Commitment) and its two dimensions namely, affective commitment (AC) and continuance commitment (CC) with employee engagement. Design/methodology/approach – A self-administered questionnaire was used for collecting the study data from 50 employees who represent three managerial levels from the government sector in United Arab Emirates (UAE). Three hypotheses were developed in order to test the said relationship. Hypotheses were tested through using various testes namely: the correlation coefficient and the regression analysis from the Statistical Package for Social Science software. Findings – The findings indicated that there is a significant relationship between loyalty and engagement. AC was found to be more important in affecting employee's engagement when compared with CC. Research limitations/implications – The study is based on a small number of employees working mostly in one single organization which limits the generalizability of the results; a limitation that does not allow for statistical generalization but allows for analytical generalization. Originality/value – The study contributes to the literature of OC and more specifically to the relationship between employee loyalty and engagement in the UAE public sector. The outcome of the research draws decision makers’ attention to the importance of employees’ loyalty and its impact on their engagement.


2021 ◽  
Vol 65 (2) ◽  
pp. 7-22
Author(s):  
Magdalena Latkowska

This article presents the involvement of East German writers in the autumn events of the 1989 breakthrough in the wider context. These events included, above all, the demonstrations organized by the liberal wing of the Writers’ Union and the “For Our Country” statement, which aroused wide controversy. The article describes the main axes of the “literature controversy,” a debate which lasted from the beginning to the middle of the 1990s and concerned the political responsibility of East German writers. The author’s reflections are largely based on archival materials, which encompass testimonies of social reactions to the actions of the government, the appeals of intellectuals, and the opinions of writers from the FRG and GDR (including those in exile) on the political future of Germany. The article outlines the specificity of the GDR writers’ milieu over several decades, comparing it with analogous circles in Poland. The article ends with a reflection on the relationship between these two circles and the reaction of East German writers to the events in Poland in the 1980s.


2019 ◽  
Vol 8 (3) ◽  
pp. 1-6
Author(s):  
Baharu Sisay Negatu

Tax is a compulsory payment for the government without the expectation of direct benefit or return from tax payers. The world country’s tax revenue is characterizing by high tax rates and narrow tax base, complex and outdated tax law, unrevised and weak tax administration this leads to challenges on the assessment and collection of tax. Tax system complexity has been an issue of concern for stakeholders in developing and advanced countries (Misrak Tesfaye 2014). This paper focuses on to identify on challenges of tax revenue assessment and collection in Ethiopia with reference to custom and revenue authority. The study was employed by using both descriptive and explanatory research design with quantitative and qualitative methods. The quantitative aspect of the data focused on description of socio- economic variables, tax and business related variables and analysis of relationship among the dependent and explanatory variables of the authority. Explanatory research study is most appropriate because it is more efficient, economical and flexible enough to minimize bias and maximize reliability of the collected data. From this study it is found that the factors regarding the tax collector’s the major one, that faced is lack of experience, lack of motivation, unfairness, partiality, and corruption are some of them(Identified through questionnaire). Regarding tax payers were lack of motivation, lack of adequate knowledge, confidence, willingness, are the major ones. Also the model shows the relationship among the dependent and independent variables are significant.


Ekonomika ◽  
2011 ◽  
Vol 90 (4) ◽  
pp. 63-75
Author(s):  
Jonė Kalendienė ◽  
Violeta Pukelienė

Macroeconomic theory says that taxes play a repressing role in an economy. Introduction of new forms of taxation, the increase of tax rates and augmentation of tax income of the Government puts a downturn risk on consumption and therefore on economic growth. Knowing that, governments of different countries start to competing among themselves by lowering corporate tax rates and trying to boost economic growth by using foreign investments. On the other hand governments are pushed to lower personal tax rates in order to satisfy their electorate. It has been strongly believed that countries with lower tax rates have better prospects for the future growth. However, small tax income is limiting governmental spending and might cause serious imbalances in the economy. As the Irish example shows, smaller taxes cannot guarantee a sustainable growth of the economy. Thus, the relationship between taxation and economic development needs rethinking.This study aimed to test the efficiency of taxation in terms of sustainable economic development and to discuss the factors that are the most important here.A comparative analysis of EU countries was used in the research. The results suggest that the harmfully small tax rates could have violated the sustainability of some European economies.


2015 ◽  
pp. 42-59
Author(s):  
Saba Ismail ◽  
Shahid Ahmed

The research objective of this paper is to explore the empirical linkages between economic growth and foreign direct investment (FDI), gross fixed capital formation (GFCF) and trade openness in India (TOP) over the period 1980 to 2013. The study reveals a positive relationship between economic growth and FDI, GFCF and TOP. This study establishes a strong unidirectional causal flow from changes in FDI, trade openness and capital formation to the economic growth rates of India. The impulse response function traces the positive influence of these macro variables on the GDP growth rates of India. The study also reveals that the volatility of GDP growth rates in India is mainly attributed to the variation in the level of GFCF and FDI. The study concludes that the FDI inflows and the size of capital formation are the main determinants of economic growth. In view of this, it is expected that the government of India should provide more policy focus on promoting FDI inflows and domestic capital formations to increase its economic growth in the long-term.


Sign in / Sign up

Export Citation Format

Share Document