Informal employment in developed and developing economies: Perspectives and policy responses

2013 ◽  
Vol 152 (3-4) ◽  
pp. 355-380 ◽  
Author(s):  
Colin C. WILLIAMS ◽  
Mark A. LANSKY
Keyword(s):  
Developing Economies ◽  
Informal Employment ◽  
Policy Responses

Interest Groups, Policy Responses to Global Shocks, and the Relative Likelihood of Currency Crashes Versus Banking Crises

2019 ◽  
Vol 10 (02) ◽  
pp. 1950010
Author(s):  
Jacob M. Meyer ◽  
Nicholas R. Jenkins
Keyword(s):  
Interest Groups ◽  
Financial Stability ◽  
Fixed Effects ◽  
Developing Economies ◽  
Emerging Market ◽  
Banking Crises ◽  
Internal Response ◽  
Relative Likelihood ◽  
Policy Responses ◽  
Global Shocks

Shocks to global interest rates or risk cause capital outflows for countries outside the core of the global financial system. These outflows lead to downward pressure on exchange rates and financial sector stress, in addition to having general contractionary effects. To defend the exchange rate, the appropriate internal response is a fiscal/monetary contraction. To maintain full employment and financial stability, the appropriate internal response is fiscal/monetary expansion. The contradiction in these policy responses implies policymakers prioritize hitting either internal or external targets after these shocks; but how do they decide? Using a fixed effects model and data from 100 emerging market and developing economies from 1990 to 2012, we show that the relative sensitivity of interest groups to these policy responses influences which response occurs. We find some evidence that this effect is stronger in the presence of more political-institutional constraints. Using a strategic probit model, we also find some evidence that this policy response influences the relative likelihood of banking crises versus currency crashes after these global shocks.

Predatory FDI during economic crises: insights from outbound FDI from China and host country responses

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Arindam Das
Keyword(s):  
Developing Economies ◽  
Secondary Data ◽  
Political Agenda ◽  
Economic Downturn ◽  
Host Countries ◽  
Investment Policies ◽  
Content Type ◽  
Policy Responses ◽  
Cross Border ◽  
And Control

Purpose This paper aims to analyze outbound investments from China at the time of economic crisis caused due to the coronavirus (COVID-19) pandemic and how target valuation and the host country’s inbound investment policies influence the acquisition intents. As firms witness low valuations during an economic downturn, they become attractive targets for opportunistic buyers, who may be driven by motives beyond business and influenced by the home country’s political agenda. Such attempts are countered with the adoption of restrictive investment policies in host countries. Design/methodology/approach The study uses secondary data on cross-border acquisitions from China over the past year and compares the characteristics of these acquisitions with cross-border acquisitions of acquirers from other large developed and developing economies. Findings Statistical analyzes show that there are significant differences in the way acquirers from China pursue strategic asset seeking, creeping and control seeking acquisitions during the pandemic and the pre-pandemic period. This paper also observes that reduced valuation of the target, due to economic downturn or otherwise, result in greater propensity in strategic asset seeking acquisitions by Chinese acquirers. At the same time, adverse policies at host nations negatively influence the strategic asset seeking propensity of these acquirers. In addition, the premium in the valuation of target assets during the pandemic does not drop significantly when compared with that of the pre-pandemic period. Originality/value With the outbreak of COVID-19 and its concomitant economic impact across the globe, the study brings forwards insights on predatory foreign direct investment (FDI) and explores how policy responses in host countries can be comprehensive rather than disembedded and unilateral.

scholarly journals Evaluating the Variations in Employment Relations Across Developing! Economies: A Degrees of Informalisation Approach

2015 ◽  
Vol 5 (1) ◽  
pp. 1-21 ◽  
Author(s):  
Colin C. Williams
Keyword(s):  
Political Economy ◽  
Developing Economies ◽  
State Intervention ◽  
Policy Implications ◽  
Informal Employment ◽  
Liberal Theory ◽  
Employment Relations ◽  
International Labour Organisation ◽  
State Interference ◽  
Cross National

Abstract Conventionally, cross-national variations in employment relations systems have been compared by analysing the different characters of their formal economies (e.g., whether they are control, market or mixed economies). Recognising the persistence and even growth of informal employment, this paper examines the cross-national variations in the degree of informalisation of employment relations and then evaluates critically whether such variations are associated with: under-development (modernisation theory); high taxes, corruption and state interference (neo-liberal theory), or inadequate state intervention to protect workers from poverty (political economy theory). Reporting International Labour Organisation surveys of informal employment in 41 developing economies, the finding is that the share of the non-agricultural workforce in informal employment ranges from 83.6 per cent in India to 6.1 per cent in Serbia. Evaluating critically how these cross-national variations can be explained, support is found for the modernisation and political economy theses that associates greater informalisation with under-development and inadequate state protection of workers from poverty and the neo-­liberal corruption thesis. No evidence is found that greater informalisation is associated with the neo-liberal theses of higher taxes and more state interference. The theoretical and policy implications are then discussed.

scholarly journals Regional dimensions of recent investment weakness: Facts, investment needs and policy responses

2018 ◽  
Vol 2 (1) ◽  
pp. 37 ◽  
Author(s):  
Ekaterine Vashakmadze ◽  
Gerard Kambou ◽  
Derek Chen ◽  
Boaz Nandwa ◽  
Yoki Okawa ◽  
...  
Keyword(s):  
Economic Activity ◽  
Developing Economies ◽  
Public Investment ◽  
Emerging Market ◽  
Business Climate ◽  
Rapid Urbanization ◽  
Specific Policy ◽  
Policy Responses ◽  
Growth Prospects ◽  
Investment Growth

Investment growth in many emerging market and developing economies (EMDEs) has slowed sharply since 2010. Investment growth performance has varied significantly across different regions, however. This paper examines the evolution of investment growth in six EMDE regions, documents remaining investment needs, especially for infrastructure, and presents a set of region-specific policy responses to address these needs. It reports three main findings. First, investment growth has been particularly weak in EMDE regions hosting a large number of commodity exporters. In regions with a substantial number of commodity-importing economies, investment growth has been somewhat resilient but has also declined steadily since 2010. Second, sizable investment needs remain in most EMDE regions to make room for expanding economic activity and rapid urbanization. A large portion of these investment needs is in infrastructure and human capital. Finally, while specific policy priorities vary across regions, several policy options to address remaining investment needs apply universally. These include more, and more efficient, public investment and measures to improve overall growth prospects and the business climate. Improved project selection and monitoring, as well as better governance, may enhance the efficiency and benefits from public investment.

Confrontational and preventative policy responses to terrorism: Anger wants a fight and fear wants "them" to go away

2007 ◽  
Author(s):  
G. Scott Morgan ◽  
Linda J. Skitka ◽  
Christopher W. Bauman ◽  
Nicholas P. Aramovich
Keyword(s):  
Policy Responses

Is inflation targeting useful for economic growth?

2017 ◽  
pp. 62-74 ◽  
Author(s):  
P. Kartaev
Keyword(s):  
Economic Growth ◽  
Monetary Policy ◽  
Test Performance ◽  
Inflation Targeting ◽  
Developing Economies ◽  
Empirical Studies ◽  
Growth Regime ◽  
Potential Channels

The paper presents an overview of studies of the effects of inflation targeting on long-term economic growth. We analyze the potential channels of influence, as well as modern empirical studies that test performance of these channels. We compare the effects of different variants of inflation targeting (strict and mixed). Based on the analysis recommendations on the choice of optimal (in terms of stimulating long-term growth) regime of monetary policy in developed and developing economies are formulated.

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