scholarly journals Intra-household distribution of resources and income poverty and inequality in Visegrád countries

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kamila Fialová ◽  
Martina Mysíková
Keyword(s):  
Economies Of Scale ◽  
Traditional Approach ◽  
Income Poverty ◽  
Content Type ◽  
Poverty And Inequality ◽  
Equivalence Scale ◽  
Distribution Of Resources ◽  
Equal Sharing ◽  
The Impact ◽  
Visegrád Countries

PurposeThe authors aim to demonstrate the impact of allowing for unequal intra-household distribution of resources on income poverty and income inequality.Design/methodology/approachThe paper applies a collective consumption model to study the intra-household distribution of resources in Visegrád countries (V4). It utilises subjective financial satisfaction as a proxy for indirect utility from individual consumption to estimate the indifference scales within couples instead of the traditional equivalence scale. The European Union Statistics on Income and Living Conditions (EU-SILC) 2013 and 2018 data are applied.FindingsThis study’s results indicate substantial economies of scale from living in a couple that are generally higher than implied by the commonly applied equivalence scale. The sharing rule estimates suggest that at the mean of distribution factors, women receive a consumption share between 0.4 and 0.6; however, some of the results are close to an equal sharing of 0.5. The female consumption share rises with her contribution to household income. Regarding income poverty and inequality, the authors show that both these measures might be underestimated in the traditional approach to equal sharing of resources.Originality/valueThe authors add to the empirics by estimating indifference scales for Czechia (CZ), Hungary (HU), Poland (PL) and Slovakia (SK), countries that have not been involved in previous research.

scholarly journals Estimation of Equivalence Scale and Assessment of Its Impact on Poverty Measurement in Bangladesh

2020 ◽  
Vol 12 (21) ◽  
pp. 9081
Author(s):  
Md. Matiur Rahman ◽  
Seung-Hoon Jeon ◽  
Kyoung-Soo Yoon
Keyword(s):  
Low Income ◽  
Economies Of Scale ◽  
Household Consumption ◽  
Household Size ◽  
Poverty Measurement ◽  
Implicit Assumption ◽  
Equivalence Scale ◽  
Poverty Lines ◽  
The Impact ◽  
Scale Estimate

Anti-poverty policies for sustainable development require efficient targeting, for which appropriate poverty lines play a crucial role. In Bangladesh, official poverty lines are estimated with the implicit assumption that there are no economies of scale in household consumption with respect to household size or composition, which raises the question of the accuracy and reliability of the measurement of poverty line. We test the existence of economies of scale, estimate their size, and assess the impact of applying equivalence scale to poverty measurement, using the 2010 Household Income and Expenditure Survey data of Bangladesh. The results confirm the existence of economies of scale in household consumption. Following the model developed by Kakwani and Son, the overall index of economies of scale in household consumption is estimated around 0.85. Modified poverty lines show that under official poverty lines, the probability of being poor is high with respect to household size. The result implies that the poverty head-count ratio(HCR) for households with large number of members might be overestimated in Bangladesh, and that there may be an incentive for low income families to enlarge family size to avail of anti-poverty public transfers.

scholarly journals Control mechanisms of MNEs: an empirical study

2016 ◽  
Vol 24 (3) ◽  
pp. 279-300 ◽  
Author(s):  
Satwinder Singh ◽  
Geoffrey Wood ◽  
Jaithen Alharbi ◽  
Tamer K. Darwish
Keyword(s):  
Multinational Enterprises ◽  
Economies Of Scale ◽  
Country Of Origin ◽  
Foreign Firms ◽  
Primary Data ◽  
Control Mechanisms ◽  
Gulf Region ◽  
Content Type ◽  
Local Staff ◽  
The Impact

Purpose This purpose of this paper is to explore variations in the extent of control mechanisms, according to country of origin and organizational characteristics, in a challenging country of domicile. Design/methodology/approach A survey research design involving the use of a questionnaire as the primary data source was adopted. A total of 350 subsidiaries were initially randomly selected and contacted in person, or via telephone and e-mail, of which 147 agreed to take part in the study and responded to the survey. Findings The authors find that Multinational Enterprises (MNEs) from highly financialized Liberal Market Economies will be associated with a greater reliance on formalized control mechanisms; this will enable the MNE’s headquarters to closely monitor subsidiary managers according to objective measures, to ensure that the maximum shareholder value is released. Research limitations/implications This study reveals a greater reliance on control mechanisms in larger firms, reflecting a desire to maximize bureaucratic economies of scale. Practical implications The authors find that the presence of expatriates regardless of country of origin leads to greater decentralization, suggesting foreign firms do not trust local staff. Originality/value This is one of the few studies of this nature conducted for the region of Middle East – and the only one the authors are aware of for Saudi Arabia. Further, it sheds new light on the impact of contextual circumstances on how closely firms monitor their subsidiaries, the challenges of doing business in the Gulf region and the consequences of the large-scale usage of expatriates.

Risk factors of social assistance transitions: a case-control study for Germany

2017 ◽  
Vol 37 (13/14) ◽  
pp. 714-728 ◽  
Author(s):  
Benjamin Fuchs
Keyword(s):  
Social Class ◽  
Life Course ◽  
Social Stratification ◽  
Social Assistance ◽  
Case Control ◽  
Income Poverty ◽  
Content Type ◽  
Social Stratum ◽  
Sociological Approach ◽  
The Impact

Purpose Poverty transitions can be explained by two opposing theories: the traditional sociological approach that focusses on social stratification and individualisation theory, which emphasises on life course risks for all strata. Both perspectives have been investigated extensively for income poverty while neglecting other important poverty indicators, such as deprivation or the receipt of social assistance. The purpose of this paper is to focus on the latter to investigate the impact of social stratification (e.g. social class), life course risks (e.g. health problems), and their interactions on the probability of social assistance entry for Germany. Design/methodology/approach The analysis utilises survey data containing a sample of first-time social assistance entrants and a sample of the residential population. Applying case-control methodology, logistic regression is conducted to model the impact of social stratification determinants, life course risks, and their interactions on the probability of social assistance entry. Findings Social stratification determinants, particularly social class, have a significant effect. However, their effect is weaker than the effect of life course risks. Contrary to the prediction of individualisation theory, the poverty-triggering impact of life course risks varies substantially by social stratum. The combination of both theories yields high predictive power. Originality/value This paper is the first to comprehensively test social stratification and individualisation theory with respect to social assistance receipt as a poverty indicator. It is the first paper that investigates the entire population at risk of social assistance entry in Germany.

The impact of Wal-Mart Supercenters’ entry on incumbent supermarkets’ profit margins

2017 ◽  
Vol 9 (1) ◽  
pp. 130-140 ◽  
Author(s):  
Yuan Di ◽  
Rigoberto Lopez ◽  
Xiaoou Liu
Keyword(s):  
Economies Of Scale ◽  
Structural Model ◽  
Market Competition ◽  
Fort Worth ◽  
Content Type ◽  
Profit Margins ◽  
Method Of Simulated Moments ◽  
Competitive Edge ◽  
The Usa ◽  
The Impact

Purpose The purpose of this paper is to quantify the impact of Wal-Mart Supercenters (WMSs) on supermarkets’ profit margins using fluid milk in the Dallas/Fort Worth metropolitan area in the USA as a case study. Design/methodology/approach The authors develop a two-stage dynamic entry game to model market competition in the pre- and post-WMS stages, and test the theoretical model using the method of simulated moments and milk scanner data from Dallas/Fort Worth supermarkets. Findings The empirical findings show that the entry of WMSs accounts for an average of about 16.29-25.69 percent decline in milk profit margins of nearby, or incumbent, supermarkets. Economies of scale and chain synergies are found to be five times more significant for WMSs than for incumbent supermarkets, granting Wal-Mart a significant competitive edge. Originality/value This paper quantifies the impact of WMS’s entry on incumbent supermarkets’ profit margins through a structural model of entry. In addition, this paper assesses the effect economies of scale stemming from the ability to provide shopping convenience to consumers as well as chain economies from operating stores near each other.

Efficiency of Islamic banks and role of governance: empirical evidence

2018 ◽  
Vol 44 (5) ◽  
pp. 590-603 ◽  
Author(s):  
Najla Mezzi
Keyword(s):  
Technical Efficiency ◽  
Economies Of Scale ◽  
Governance Structure ◽  
Scale Efficiency ◽  
Optimal Size ◽  
Islamic Banks ◽  
Mena Region ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to study the efficiency level of Islamic banks, the differences between Islamic banks in the MENA region and Southeast Asia and the role of the governance in improving performance. Design/methodology/approach This paper examines, on the one hand, the performance of Islamic banks by measuring their efficiency through data envelopment analysis (DEA) method and, on the other hand, the determinants of this efficiency emphasizing on the impact of the governance structure through the panel estimation of Islamic banks based on the three proxies of cost efficiency, namely, technical efficiency (TES), pure technique (PTE) and scale efficiency (SES). Findings The findings indicate that Islamic banks are experiencing an improvement in their efficiency cost. The technical efficiency of Islamic banks is largely explained by the scale efficiency where Islamic banks realize large economies of scale in order to achieve optimal size, especially in Malaysia and the GCC countries. Pure technical efficiency is less important than the efficiency of scale and improvement is necessary regarding the managerial performance. In terms of governance, the results show that the board of directors through its size and independence and the presence of a central Sharia board constitute a robust determinant of the Islamic banks’ efficiency. The ownership structure and the size of the Sharia board do no effect banking efficiency. Originality/value The originality of this paper lies mainly on the examination of the effect of the governance structure on the Islamic banks’ efficiency where studies on this issue for Islamic banks are almost inexistent. In addition, the size and the diversity of the Islamic banks’ panel constitute the strong point of this study.

scholarly journals The direct and indirect effect of cash transfers: the case of Indonesia

2018 ◽  
Vol 45 (5) ◽  
pp. 793-807
Author(s):  
Arief Anshory Yusuf
Keyword(s):  
National Economy ◽  
Rural Areas ◽  
Computable General Equilibrium ◽  
Value Added ◽  
Cash Transfers ◽  
Cge Model ◽  
Time Dimension ◽  
Content Type ◽  
Poverty And Inequality ◽  
The Impact

Purpose The purpose of this paper is to analyze the impact of unconditional cash transfers in Indonesia on poverty and inequality while, unlike much of the previous literature on the welfare impact of such transfers, acknowledging that they will have both a direct effect and an economy-wide effect on the national economy. Design/methodology/approach The methodology used is a Computable General Equilibrium (CGE) model of the Indonesian economy. The unique feature of this model, which is very relevant in this study, is the disaggregation of households by expenditure classes; this allows for precise estimation of the distributional impact and poverty incidence. Findings The results suggest that, despite a large reduction in poverty, particularly in rural areas, such transfers reduce the Indonesian GDP, especially if domestically financed through increasing the value added tax of all commodities. However, the GDP reduction can be reduced by approximately half when cash transfers are financed by reducing the distortionary fuel subsidy. Moreover, cash transfers financed by reducing the fuel subsidy also reduce inequality by much more than otherwise. Various extents of the distribution of the transfers are compared, from giving them to the poorest 10 percent to distributing them equally to all households. The benefit of the transfers, in terms of reduced poverty and inequality, is found to be smaller when the author extends the beneficiaries toward the non-poor, although the economy-wide cost, in terms of the reduced GDP, is smaller. Research limitations/implications The CGE model used in this model is a comparative-static model that does not explicitly model the time dimension, i.e. how the impact of the transfers evolves over time. This is important if we want to know the timing of the transfers and how and when they are translated into impacts. Practical implications To reduce the contractionary effect of cash transfers program, government/policy makers should carefully look for appropriate financing such as from removing subsidy with pre-existing distortions like fuel subsidies. Social implications Government needs to carefully design cash transfers to minimize the negative indirect (economy-wide) implication for the national economy and to make sure that the transfers reach the targeted beneficiaries. Originality/value Few previous studies have acknowledged the indirect economy-wide effect in analyzing the impact of cash transfers. To the author’s knowledge, this has never been done before for Indonesia. Unlike previous studies, this paper is unique as it contains sensitivity analysis on how transfers can be mistargeted and reach the non-poor and looks at the implications not only for poverty and inequality but also for the rest of the economy.

When it comes to the impact of absorptive capacity on co-innovation, how really harmful is knowledge leakage?

2020 ◽  
Vol 24 (8) ◽  
pp. 1841-1857
Author(s):  
José Arias-Pérez ◽  
Nelson Lozada ◽  
Edwin Henao-García
Keyword(s):  
Absorptive Capacity ◽  
Least Squares Method ◽  
Traditional Approach ◽  
Collaborative Work ◽  
Structural Equations ◽  
Moderating Effect ◽  
Surprising Result ◽  
Content Type ◽  
Knowledge Leakage ◽  
The Impact

Purpose This paper aims to analyze the moderating effect of knowledge leakage on the relationship between absorptive capacity and co-innovation, which implies collaborative work and knowledge exchange with external actors on virtual innovation platforms. Design/methodology/approach The research model was tested in a sample of companies through the use of structural equations by the partial least squares method. Findings The results confirm that absorptive capacity is a prior condition for co-innovation. However, the most interesting and surprising result has to do with knowledge leakage, which actually has a negative moderating effect, but whose size is modest, which dismisses the great damages that such leakage could generate. Originality/value This study is pioneering in analyzing knowledge leakage in the context of virtual innovation platforms, which occurs in a different manner as compared to leakage in the context of collaborative research and development, widely analyzed in the literature. However, the main contribution of the paper lies in the fact that the results evidence the existence of an intermediate position between the traditional approach that insists on demonstrating the devastating consequences of the leakage and the emerging approach that dismisses these negative repercussions and conceives leakage as a positive organizational phenomenon, natural and inherent to the interaction of the firm with the environment. The results also contradict recent empirical evidence that completely dismisses the negative repercussions of knowledge leakage in contexts where incremental innovations prevail.

Healthcare managers’ perception of economies of scale

2017 ◽  
Vol 31 (3) ◽  
pp. 317-330 ◽  
Author(s):  
Anna Svarts
Keyword(s):  
Economies Of Scale ◽  
Healthcare Professionals ◽  
Scale Effects ◽  
Healthcare Delivery ◽  
Healthcare Services ◽  
Small Sample ◽  
Fixed Cost ◽  
Fixed Costs ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to explore how healthcare managers perceive economies of scale and the underlying mechanisms for how scale/size affects performance. Design/methodology/approach Data were collected in 20 in-depth interviews with healthcare professionals from 13 healthcare delivery organizations and from a public authority that finances and contracts healthcare services. Data were coded and analysed using content analysis. Findings The study concludes that the impact of scale on performance is perceived by healthcare professionals to be different for different types of healthcare services: For surgery, significant scale effects related to spreading of fixed cost, the experience curve, and potential for process improvement. For inpatient care, moderate scale effects related to spreading of fixed costs and costs of doctors on on-call duty. For outpatient care, small or no scale effects. Research limitations/implications The small sample of interviewees from a single geographical region and healthcare system limits the applicability of the findings. Originality/value The paper provides insights into how healthcare managers experience scale effects and how they consider economies of scale when planning hospital configuration. Also, past studies of economies of scale in hospitals proffer mixed results and the findings in this paper indicate a possible explanation for this inconclusiveness, i.e. differences in service mix between different hospitals.

BIM-based integrated solution for analysis and management of mismatches during construction

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kobra Gharouni Jafari ◽  
Nozhat Sadat Ghazi Sharyatpanahi ◽  
Esmatullah Noorzai
Keyword(s):  
Negative Impact ◽  
Traditional Approach ◽  
Optimal Solution ◽  
Application Programming Interface ◽  
Information Modeling ◽  
Time Cost ◽  
Content Type ◽  
System Solution ◽  
Building Information ◽  
The Impact

Purpose Prompt and effective responses to incompatibilities between as-designed and as-built drawings prevent cost and time overruns and material waste. This paper aims to provide an efficient framework to handle mismatches between these two models with the least negative impact on the whole project. Design/methodology/approach First, 11 most frequent mismatches were identified through questionnaires. Also, the respondents were asked to determine the mismatches’ roots and solutions and the impact of applying solutions on the whole project. Afterward, the process to present the optimum solution to one of these mismatches was modeled. After running the application programming interface developed in Navisworks software, decision-makers access a form, showing mismatches, their causes and solutions, as well as the solutions’ effect. To finalize the optimal solution, a platform was provided on whether to accept the system solution or to propose an alternative. Findings To empirically validate the reliability of the proposed framework, two projects were investigated. Two different approaches to dealing with the same mismatch occurred in these projects were compared in terms of time, cost and material required. The results showed that addressing the mismatches through the proposed framework can efficiently enhance time, cost and material consumption, in comparison with the traditional approach. Originality/value There is currently no building information modeling-based holistic framework for managing mismatches between as-designed and as-built drawings. The results of this research can help contractors to make the best decision, saving project resources, when setting about a mismatch during construction.

Poverty alleviation through microcredit in Sub-Saharan Africa revisited

2019 ◽  
Vol 79 (3) ◽  
pp. 386-407 ◽  
Author(s):  
Gertrud Buchenrieder ◽  
Josephine Nguefo Gnilachi ◽  
Emmanuel Olatunbosun Benjamin
Keyword(s):  
Treatment Group ◽  
Panel Data ◽  
Farm Households ◽  
Control Group ◽  
Income Poverty ◽  
Data Set ◽  
Content Type ◽  
Per Capita ◽  
The Impact

Purpose The purpose of this paper is to analyze the impact of microcredit on per capita income of farm households in Cameroon. It discusses short- and long-term implications of access to microcredit on income poverty. Design/methodology/approach The authors interviewed rural households with agriculture being either their first or second income-creating activity. All sampled households are clients of a Cameroonian village bank. The authors used a balanced panel with a treatment and a control group, the latter not having had a village bank microcredit yet. The results were reaffirmed using bootstrapping. Findings This paper argues that microcredit has had a significant positive impact on per capita income in the short run, but the long-term effect was negative, albeit not significant. In the long run, absolute income poverty had further decreased in the treatment group, however, not as much as in the control group. Because the treatment group had been shifting back to the informal financial sector and had diverted part of the microcredit for consumption, this may have led to lower marginal income effects. Productivity of credit financed inputs by the treatment group remained constant, which also explains why the treatment group fell back over time. Research limitations/implications The balanced panel data set was relatively small due to attrition over time. This was accounted for using bootstrapping. Nevertheless, research results must be interpreted with care. Furthermore, the discussion is not exhaustive. Practical implications Despite tremendous methodological advancements regarding the impact analysis of microcredit on income poverty, findings remain controversial and inconsistent. Frequently, fungibility is a confounding issue. Microcredit policy ought to consider more long-term effects. Originality/value There is much discourse amongst development economists about the impact of microcredit on poverty. Research based on panel data may clarify some of the controversial issues. This research paper uses a rather unique panel data set from Cameroonian farm households that are clients of a private sector village bank. The issue of sample size limitation is dealt with using bootstrapping. The authors base the empirical analysis on a comprehensive and theoretically founded economic farm household model.

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