INEQUALITY, FDI AND ECONOMIC DEVELOPMENT: EVIDENCE FROM DEVELOPING COUNTRIES

2017 ◽  
Vol 62 (05) ◽  
pp. 1039-1057 ◽  
Author(s):  
MUHAMMAD TARIQ MAJEED
Keyword(s):  
Economic Development ◽  
Estimation Methods ◽  
Host Countries ◽  
Data Set ◽  
Regional Effects ◽  
Specific Effects ◽  
Level Of Economic Development ◽  
Time Specific ◽  
High Level ◽  
The Impact

This paper empirically investigates the impact of Foreign Direct Investment (FDI) on inequality using a panel data set of 65 developing counties. While the existing literature mainly examines the impact of FDI on growth, this study explores the importance of domestic conditions of the host countries in determining the distributional effects of FDI. The results show that the impact of FDI is not homogenous on host countries as FDI inflows exert inequality-narrowing effect only in countries that have stronger investment in human capital, better financial sector and a high level of economic development. While FDI accentuates not ameliorates inequality in countries with low level of economic development, findings of the study are robust to the use of different specifications, different estimation methods, inclusion of regional effects and time specific effects.

Investigating the impact of entrepreneurship on economic development: a regional analysis

2016 ◽  
Vol 23 (3) ◽  
pp. 896-916 ◽  
Author(s):  
Harshana Kasseeah
Keyword(s):  
Economic Development ◽  
Regional Variation ◽  
Business Environment ◽  
World Bank Group ◽  
Data Set ◽  
Content Type ◽  
Cross Sectional Dimension ◽  
The World ◽  
Level Of Economic Development ◽  
The Impact

Purpose – This paper uses data on 125 countries to study whether entrepreneurship affects the level of economic development by taking a regional perspective. Specifically, the purpose of this paper is to investigate whether entrepreneurship leads to economic development by accounting for several other factors including the level of financial development, the business environment and governance and the quality of institutions. Design/methodology/approach – To investigate the impact of entrepreneurship on economic development, the paper uses data available from the World Bank Group Entrepreneurship Survey database. The data are augmented with variables from the World Development Indicators and various Doing Business Reports. These variables are used to capture for other factors that affect the level of economic development. Findings – The results indicate that economic development of the countries in the sample is affected by entrepreneurship even after controlling for regional variation. These results indicate that policy makers around the world need to put in place specific policies to promote the entrepreneurship culture among their population. Research limitations/implications – This paper uses a purely cross-sectional dimension to investigate the factors that impact on economic development with particular focus on entrepreneurship. This study uses cross-section data on various countries from different regions. However, panel data would allow the examination of causality issues and this could be a potential area of further research. Practical implications – Entrepreneurship is increasingly seen as a development-promoting tool and it is recognized that countries, which facilitate entrepreneurship, tend to have higher economic development. The main finding of this paper is that irrespective of the level of development of any country or the region that it is located in, countries would gain from encouraging entrepreneurship. Originality/value – The paper uses two broad proxies for entrepreneurship captured by the business density in each country and the number of newly formed limited firms. Interestingly, the paper also captures for regional variation to investigate if the relationship between economic development and entrepreneurship changes when different regions are being considered. The use of a merged data set is therefore a main contribution of this paper to the literature.

Does financial development help bridge the gap in income inequality? Evidence from selected Asian countries

2021 ◽  
Vol 12 (1) ◽  
pp. 136-136
Author(s):  
Nur Syazwani Mazlan
Keyword(s):  
Economic Development ◽  
Regression Analysis ◽  
Income Inequality ◽  
Financial Development ◽  
Positive Relationship ◽  
Panel Regression ◽  
Asian Countries ◽  
Level Of Economic Development ◽  
High Level ◽  
The Impact

This study delves into the effects of financial development (FD) on income inequality (IE), involving 12 Asian countries, with three different income level groups, over a period of 14 years (between 1993 and 2017). The three groups concerned comprise countries with a low, middle and high level of economic development. The findings derived through panel regression analysis, suggest that the impact of financial development on income inequality, with regards to the Asian countries selected for this investigation, is dependent on their level of economic development. It was also established, that for countries with a low economic standing, financial development has a positive relationship with income inequality.

scholarly journals Influence of the A2 motorway on the economic development at local level

2016 ◽  
Vol 32 (32) ◽  
pp. 49-59
Author(s):  
Marcin Bogdański
Keyword(s):  
Economic Development ◽  
Labour Market ◽  
Statistical Data ◽  
Local Level ◽  
Geographic Location ◽  
Transport Infrastructure ◽  
Decisive Factor ◽  
Data Set ◽  
Level Of Economic Development ◽  
High Level

Abstract The aim of the paper is to analyze the selected investment in transport infrastructure in terms of its impact on the economy at the local level. The study involves ten gminas within a 60 km radius (approximately 1 hour’s traveling distance) of Poznań. Using the available statistical data set, it was determined whether the construction of the motorway had an impact on the number and the structure of enterprises located in the surveyed communities, the levels of gmina revenues, and the situation on the labour market. Performed analysis allowed reaching a positive verification of the research hypothesis, which predicts that the A2 did not have a decisive impact on the economic development of the gminas. In all of the included aspects, gminas located along the A2 were characterized by a relatively high level of economic development compared to the Wielkopolskie Voivodship and the rest of Poland. At the same time, the level of development was lower when compared with gminas within the Poznań Poviat. These results suggest that the decisive factor in shaping the level of economic development was their geographic location in relation to the nearby urban agglomeration of Poznań.

Does Tax Increment Financing Pass the “But-for” Test in Missouri?

2019 ◽  
Vol 33 (3) ◽  
pp. 187-202
Author(s):  
Ahmed Rachid El-Khattabi ◽  
T. William Lester
Keyword(s):  
Economic Development ◽  
Kansas City ◽  
Time Series Data ◽  
Local Level ◽  
Conclusive Evidence ◽  
Series Data ◽  
Tax Increment Financing ◽  
Data Set ◽  
Development Indicators ◽  
The Impact

The use of tax increment financing (TIF) remains a popular, yet highly controversial, tool among policy makers in their efforts to promote economic development. This study conducts a comprehensive assessment of the effectiveness of Missouri’s TIF program, specifically in Kansas City and St. Louis, in creating economic opportunities. We build a time-series data set starting 1990 through 2012 of detailed employment levels, establishment counts, and sales at the census block-group level to run a set of difference-in-differences with matching estimates for the impact of TIF at the local level. Although we analyze the impact of TIF on a wide set of indicators and across various industry sectors, we find no conclusive evidence that the TIF program in either city has a causal impact on key economic development indicators.

Political and Economic Effects on Greenhouse Gas Emissions – a Quantitative Study

2014 ◽  
Vol 10 (2) ◽  
pp. 313-341
Author(s):  
Ole Martin Lægreid
Keyword(s):  
Economic Development ◽  
Linear Relationship ◽  
Greenhouse Gas Emissions ◽  
Greenhouse Gas ◽  
Separation Of Powers ◽  
Economic Effects ◽  
Gas Emissions ◽  
Middle Income ◽  
Level Of Economic Development ◽  
High Level

AbstractThis study examines whether there is a curve linear relationship between economic development and greenhouse gas emissions, where poor and rich countries have low emissions while middle-income countries have high emissions. This is a controversial argument that suggests that persistent economic growth is the best means for achieving considerable emission reductions. The study contributes with new knowledge about the causes of variations in greenhouse gas emissions, by analyzing data for greenhouse gas emissions and testing economic explanations in relation to a broad array of political explanations. As the study demonstrates, there is a curve linear relationship between the level of economic development and greenhouse gas emissions, but the turning point – where a higher level of economic development starts to produce lower rather than higher emission levels – is far higher than previously thought. Among the study’s sample of countries, only the Scandinavian countries and Switzerland have experienced a sufficiently high level of economic development in order for increased wealth to result in lower emissions. Among the political impacts on greenhouse gas emissions, the study indicates that countries with consensual political systems produce lower emission levels than countries where the separation of powers is more centralized. A more robust “green” civil society leads to lower emissions in countries where the democratic system is functioning well, and ambitious targets regarding reduction of emissions in the Kyoto Protocol also seems to lower emissions.

scholarly journals THE IMPACT OF M&A TRANSACTIONS ON THE GROWTH OF THE BANKS’ MARKET VALUE

2021 ◽  
Vol 5 (40) ◽  
pp. 45-54
Author(s):  
L. Prymostka ◽  
N. Pantielieieva ◽  
I. Krasnova ◽  
V. Lavreniuk ◽  
O. Lytvynenko
Keyword(s):  
Economic Development ◽  
Mergers And Acquisitions ◽  
Banking Sector ◽  
Jel Classification ◽  
Economic Indicators ◽  
Level Of Economic Development ◽  
Banking Business ◽  
Economic Trends ◽  
The Impact ◽  
The Relationship

Abstract. The globalization of markets, the need to comply with modern economic trends and introduce new technological solutions to increase the profitability of the banking business have significantly intensified the processes of mergers and acquisitions in the banking sector. M&A processes are long and complex, their results are difficult to forecast in lack of actual detailed research. The diversity of the results of the available research requires updating the data based on larger volumes of transactions and larger time intervals. The purpose of the article is to substantiate two hypotheses: first, the impact of M&A agreements especially on the increase in the value of banks; and impact of factors that show economic development level on the value of banks. The object of the study is the relationship between the value of commercial banks in domestic and foreign financial markets, M&A agreements, as well as economic indicators published by the World Bank and measuring the level of economic development of countries. The article uses statistical modeling method. The constructed model of linear regression allows to state that the fact of influence of M&A on growth of cost of consolidated banks is fair for 54.8% of cases. The study shows that the M&A processes have the greatest impact on the value of banks in the interval of 3—5 years after the conclusion of the agreement. Analysis of the relationship between economic indicators and the growth of bank value shows that the greatest impact on the value of banks has percent of the growth of GDP and GDP per capita, but the low value of the determinant at 22.9% indicates a low dependence of bank value on the level of economic indicators in general. It was found that external factors do not directly affect the growth in the value of banks in the process of M&A transactions. The question of expanding the system of factors that will influence the M&A processes and, as a consequence, the value of the banks, will be the subject of further research. Keywords: globalization of markets, mergers and acquisitions of banks, consolidation, M&A dynamic, market capitalization, bank value. JEL Classification Е44, Е47, G14 Formulas: 2; fig.: 4; tabl.: 4; bibl.: 14.

scholarly journals The Impact of Customer Contact on Collective Human Energy in Firms

2018 ◽  
Vol 44 (5) ◽  
pp. 915-952
Author(s):  
Petra Kipfelsberger ◽  
Heike Bruch ◽  
Dennis Herhausen
Keyword(s):  
Transformational Leadership ◽  
Organizational Level ◽  
Data Set ◽  
Customer Contact ◽  
Individual Level ◽  
Moderated Mediation Model ◽  
Human Energy ◽  
The Individual ◽  
High Level ◽  
The Impact

This article investigates how and when a firm’s level of customer contact influences the collective organizational energy. For this purpose, we bridge the literature on collective human energy at work with the job impact framework and organizational sensemaking processes and argue that a firm’s level of customer contact is positively linked to the collective organizational energy because a high level of customer contact might make the experience of prosocial impact across the firm more likely. However, as prior research at the individual level has indicated that customers could also deplete employees’ energy, we introduce transformational leadership climate as a novel contingency factor for this linkage at the organizational level. We propose that a medium to high transformational leadership climate is necessary to derive positive meaning from customer contact, whereas firms with a low transformational leadership climate do not get energized by customer contact. We tested the proposed moderated mediation model with multilevel modeling and a multisource data set comprising 9,094 employees and 75 key informants in 75 firms. The results support our hypotheses and offer important theoretical contributions for research on collective human energy in organizations and its interplay with customers.

Global E-Government and the Role of Trust

2011 ◽  
pp. 1-19
Author(s):  
Jayoti Das ◽  
Cassandra DiRienzo ◽  
John Burbridge
Keyword(s):  
Economic Development ◽  
Empirical Study ◽  
Religious Diversity ◽  
Empirical Finding ◽  
Past Research ◽  
Level Of Economic Development ◽  
Cross Country ◽  
The Impact ◽  
Socio Economic Factors

Using cross-country data from 140 countries, this empirical study extends past research by examining the impact of trust on the level of e-government. The major empirical finding of this research shows that, after controlling for the level of economic development and other socio-economic factors, trust as measured by ethnic and religious diversity, is a significant factor affecting e-government usage.

scholarly journals Understanding marketing and marketing policies in international markets

1985 ◽  
Vol 16 (1) ◽  
pp. 49-53
Author(s):  
Hazel T. Suchard
Keyword(s):  
Economic Development ◽  
International Markets ◽  
Economic Factors ◽  
Pricing Policy ◽  
Promotion Policy ◽  
Level Of Economic Development ◽  
Urban Distribution ◽  
Policy Promotion ◽  
The Impact ◽  
Specific Country

Marketing and marketing policy in international markets, must be based, according to the authoress, upon the level of economic development within a specific country and regions within a specific country. The authoress proceeds to provide stages in development and discusses the implications for product policy, pricing policy, promotion policy, and distribution policy. The impact of other economic factors, cultural forces, political and legal forces are also discussed. The authoress concludes by referring to rural versus urban distribution and its influence on international marketing.

Measuring urban competitiveness: ranking European large urban zones

2017 ◽  
Vol 10 (5) ◽  
pp. 479-496 ◽  
Author(s):  
Lucía Sáez ◽  
Iñaki Periáñez ◽  
Iñaki Heras-Saizarbitoria
Keyword(s):  
Economic Development ◽  
Related Factors ◽  
Urban Competitiveness ◽  
Content Type ◽  
Basic Dimension ◽  
Level Of Economic Development ◽  
Complex Relationships ◽  
Weighted Aggregate ◽  
High Level ◽  
Practical Implications

Purpose This paper aims to identify the main dimensions that determine the ability of cities to compete as locations for business and hubs for investment which can help policymakers to manage and prioritize urban development strategies. Design/methodology/approach A composite indicator is proposed as a weighted aggregate of sub-indicators for the identified component dimensions (basic, efficiency-related and innovation-related competitiveness). The indicator is used to draw up a ranking of 159 European Large Urban Zones (LUZs) located in 26 EU countries based on 31 indicators, broken down into the three core dimensions of urban competitiveness identified. Findings The dimensions underlying urban competitiveness in relation to the location of firms and attracting investment determine the level of economic development of the LUZs. The most competitive cities in the sample have a high level of economic development, and the innovation dimension is the most significant one for the three groups of cities considered, followed by the efficiency dimension and, to a lesser extent, the basic dimension. Practical implications The findings provide guidance to policymakers on the most relevant dimensions for urban competitiveness. Originality/value This paper contributes to the literature shedding light on the complex relationships between efficiency-related and innovation-related factors with regard to urban competitiveness.

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