scholarly journals Modeling Airline Cost Pass-Through within Regional Aviation Markets

2018 ◽  
Vol 2672 (23) ◽  
pp. 146-157
Author(s):  
Bojun Wang ◽  
Aidan O’Sullivan ◽  
Lynnette Dray ◽  
Andreas W. Schäfer
Keyword(s):  
Empirical Evidence ◽  
Carbon Tax ◽  
Environmental Policies ◽  
Operating Costs ◽  
Fuel Price ◽  
Regional Markets ◽  
Pass Through ◽  
The Cost ◽  
The Impact ◽  
Fuel Costs

Studies assessing the impact of market-based environmental policies in aviation rely on various scenarios of airline cost pass-through, because there is little empirical evidence with respect to the impacts of airline costs on airfares. Instead, the costs effect has been indirectly measured by proxy variables such as distance, fuel price, and aircraft sizes. This paper provides empirical evidence of airline cost pass-through by developing an airfare model that explicitly captures airline operating costs. Using a feasible generalized two-stage least squares (FG2SLS) approach, we obtained coefficients of airline fuel costs per passenger, non-fuel costs per passenger, and non-fuel costs per flight modeling for seven world regions (20 region-pair markets). A comparison of the estimated cost pass-through elasticities conducted across regional markets suggests that airlines may respond to the cost increases differently, depending on the cost types and the markets they operate in. Based on the estimated coefficients, we systematically evaluate the potential impacts of introducing a carbon tax policy within two major regional markets with distinct cost pass-through elasticities.

scholarly journals DAMPAK PERUBAHAN HARGA BAHAN BAKAR MINYAK (BBM) TERHADAP NILAI TUKAR PETANI (NTP) DI PROVINSI SULAWESI UTARA

2017 ◽  
Vol 13 (2A) ◽  
pp. 91
Author(s):  
Muhammad R. Ipango ◽  
Eyverson ., Ruauw ◽  
Nootje M. Benu
Keyword(s):  
Exchange Rate ◽  
Agricultural Production ◽  
Secondary Data ◽  
Transportation Cost ◽  
Fuel Oil ◽  
Fuel Price ◽  
Descriptive Research ◽  
North Sulawesi ◽  
The Cost ◽  
The Impact

This study aims to determine the impact of changes in increasing fuel price on Farmers Exchange Rate (NTP) in North Sulawesi Province. This study uses secondary data, mainly from the Central Bureau of Statistics (BPS) of North Sulawesi. Data collection was conducted for four months, from December 2016 until April 2017. The data used in this research is data from 2013 until 2016. The research method used in this research is descriptive research. The results showed that with the increase of Fuel Oil price is one of the factors that influence the Farmer's Farmer's Exchange Rate (NTP) as a whole by increasing the cost of household consumption, agricultural production cost, transportation cost, and transportation cost

scholarly journals Did the Introduction of Carbon Tax in Australia Affect Housing Affordability?

2013 ◽  
Vol 869-870 ◽  
pp. 840-843
Author(s):  
Xin Janet Ge
Keyword(s):  
Risk Factors ◽  
Supply Chain ◽  
Energy Consumption ◽  
Tax Policy ◽  
Carbon Tax ◽  
Housing Affordability ◽  
Greenhouse Emissions ◽  
Pricing Scheme ◽  
The Cost ◽  
The Impact

The Australian carbon pricing scheme (carbon tax) was introduced and became effective on 01 July 2012. The introduction of the carbon tax immediately increases the cost of electricity to a number of industries such as manufacturing and construction. Households were also affected as a result of these costs been passed through the supply chain of the affected industries. The carbon tax policy was introduced to addresses greenhouse emissions and energy consumption in Australia. However, the carbon tax policy may have introduced a number of economic risk factors to the Australian housing market, in particular the impact of housing affordability.

scholarly journals An Empirical Study on the Influence of Diversification on the Operating Cost of Commercial Banks

CONVERTER ◽  
2021 ◽  
pp. 757-770
Author(s):  
Jing He, Ke Zou, Xinyi Cai
Keyword(s):  
Strategic Alliances ◽  
Commercial Banks ◽  
Management Strategies ◽  
Operating Cost ◽  
Operating Costs ◽  
Economies Of Scope ◽  
Excessive Competition ◽  
Income Ratio ◽  
The Cost ◽  
The Impact

The majority of the literature has focused on the impact of diversification on bank performance, while the research on the impact of diversification on bank costs is inadequate. Therefore, in this paper we empirically analyzed the impact of diversification on operating costs through a panel regression model, collecting the data of 47 Chinese commercial banks from 2005 to 2015. The empirical results showed that an increase in the non-interest income ratio significantly promoted a decrease in the cost–income ratio, and the robustness tests of different time intervals and different types of banks were consistent. This suggests that diversification effectively reduced the operating costs of banks by means of the sharing of information and equipment, the reduction of asset specificity, and the improvement of operation management synergy. This also indicates that excessive competition costs and the agency costs of diversification were lower. Further analysis showed that the diversification of national banks compared with local banks was more significant in reducing operating costs, and, for the national banks, the effects of economies of scope and scale were stronger. Diversified management strategies for local banks should be carefully promoted through the construction of strategic alliances, mergers and acquisitions, etc.

scholarly journals Operating cost analysis: sources and methods

2019 ◽  
pp. 132-138
Author(s):  
Nadiya Khorunzhak ◽  
Tetyana Portovaras
Keyword(s):  
Cost Optimization ◽  
Operating Cost ◽  
Operating Costs ◽  
Sources Of Information ◽  
Methods Of Analysis ◽  
External Sources ◽  
Internal Sources ◽  
Abc Analysis ◽  
The Cost ◽  
The Impact

Purpose. The aim of the article is identification of requirements and composition of sources of analysis, critical assessment of their information content, as well as emphasis on the application of a systematic approach to the analysis of operating costs and compliance of its method with these criteria. Methodology of research. The empirical research methods are used in the course of the research, in particular: analysis – in order to identify the composition of sources of analysis of operating expenses; generalization – to substantiate the classification of sources of analysis and to formulate recommendations on the choice of methods of analysis, which most fully allow to estimate the operating costs. Findings. The principles of formation of information base of the analysis of operating expenses are substantiated, which will allow to obtain high-quality information on their status and on the basis of the obtained results to predict the activity of the enterprise in the future. The study of the impact of factors on the analysis of operating expenses allowed us to distinguish sources of information into two groups: internal and external. It is determined that internal sources of data for analysis are accounting records, which are formed at enterprises, and which is considered by the authors as a source of analysis of operating expenses. External sources of information the authors consider all possible information resources of an external nature, research of the competitive environment and reporting of subjects with similar types of activity. Originality. The scheme of interconnection sources and analysis results of operations is proposed, which comprehensive utilization, will allow obtaining result analytical information on which management can optimize the cost of compliance with objectives and increase effectiveness of operations. According to modern realities, the most suitable methods of analysis are offered, which allow to adequately assessing the situation of the enterprise in the strategic plane with respect to operating expenses. Practical value. Carrying out an assessment of the operating costs of an enterprise with using various methods and tools of analysis in a complex provides obtaining unbiased data that can be effectively used for the purpose of cost optimization and increase of productivity. Key words: analysis; operating costs; cost optimization; internal sources of information; external sources of information; strategic methods; ABC analysis.

Tax Policy to Reduce Carbon Emissions in a Distorted Economy: Illustrations from a South Africa CGE Model

2011 ◽  
Vol 11 (1) ◽  
Author(s):  
Shantayanan Devarajan ◽  
Delfin S Go ◽  
Sherman Robinson ◽  
Karen Thierfelder
Keyword(s):  
South Africa ◽  
Developing Countries ◽  
Carbon Emissions ◽  
Computable General Equilibrium ◽  
Alternative Energy ◽  
Carbon Tax ◽  
Cge Model ◽  
Administrative Capacity ◽  
The Cost ◽  
The Impact

Abstract Noting that developing countries may not have the administrative capacity to levy a “pure” carbon tax, we compare the impact of alternative energy taxes with that of a carbon tax in an economy with multiple distortions. We use a disaggregated computable general equilibrium (CGE) model of the South African economy and simulate a range of tax policies that reduce CO2 emissions by 15 percent. Consistent with a “first-best” economy, a carbon tax will have the lowest marginal cost of abatement. But the relationship between a tax on energy commodities and one on pollution-intensive commodities depends critically on other distortions in the system and on structural rigidities in the economy. We demonstrate that if South Africa were able to remove distortions in the labor market, the cost of carbon taxation would be negligible. We conclude that the welfare costs of taxing carbon emissions in developing countries depend more on other distortions than on the country’s own carbon emissions.

scholarly journals Management instruments in the process focused on improving the results of organizations functioning in economic crisis – based on the research of opinions presented by managers of tourist enterprises / Instrumenty zarządzania w procesie poprawy rezultatów działania organizacji w czasie kryzysu gospodarczego – w świetle badań opinii menedżerów przedsiębiorstw turystycznych

Management ◽  
2013 ◽  
Vol 17 (1) ◽  
pp. 291-304
Author(s):  
Andrzej Rapacz ◽  
Daria E. Jaremen
Keyword(s):  
Crisis Management ◽  
Economic Crisis ◽  
Cost Reduction ◽  
Global Economy ◽  
Operating Costs ◽  
Online Sales ◽  
Tourism Sector ◽  
The Cost ◽  
The Impact ◽  
Negative Phenomena

Summary The economic crisis, which has affected the global economy in recent years, also exerted impact on, among others, the tourism sector. It view of the worse financial and economic results obtained by enterprises operating in tourist sector and other negative phenomena tourist entities started paying attention to tools adequate for crisis management. The objective of article is to define the impact of economic crisis on the functioning of Polish tourist enterprises both in the perspective of its effects and activities undertaken to overcome them. The paper presents an attempt to verify the hypotheses, referring to the opinion of tourist companies’ managers, according to which an increase in operating costs represents the more important result of the current global crisis, rather than a drop in revenues or smaller number of clients. In spite of that, among crisis management instruments higher significance, than cost reduction, is associated with such activities and instruments as: promotion and its intensification, higher online sales intensity, offering discounts on services or winning new sale markets. It refers to hypothesis verification suggesting that these enterprises are not prepared for crisis situations and the activates undertaken are of temporary nature. The discussion presented in the paper is based on empirical research results carried out among entrepreneurs operating in tourism sector in the most popular tourist locations in The Karkonosze and The Izery mountains, i.e. Karpacz, Szklarska Poręba, Świeradów Zdrój and Jelenie Góra. The empirical part of the paper was preceded by theoretical remarks referring to attitudes of crisis management in tourism. The results of conducted research indicate that in the opinion of the majority of tourist companies’ managers/owners the crucial impact of the global crises was observed in higher functioning costs, while the most important instrument for its effects counteracting is the extension of promotion and offer distribution, mainly online, with the cost reduction to follow.

scholarly journals STRUKTUR MODAL PERUSAHAAN-PERUSAHAAN NON KEUANGAN YANG TELAH GO PUBLIC DI BURSA EFEK INDONESIA BERDASARKAN TRADE OFF THEORY

2015 ◽  
pp. 1-13
Author(s):  
Donalson Silalahi
Keyword(s):  
Capital Structure ◽  
Empirical Evidence ◽  
Firm Growth ◽  
Stock Exchange ◽  
Growth Opportunities ◽  
Financial Firms ◽  
Trade Offs ◽  
The Cost ◽  
The Impact ◽  
The Capital Structure

This study aims, First, to obtain the empirical evidence about the capital structure of non-financial firms in Indonesia Stock Exchange. Second, to obtain the empirical evidence about the impact of capital structure on the value of non-financial firms in Indonesia Stock Exchange. Third, to obtain the empirical evidence about the impact of profitability, size of the firm, growth opportunity, the structure of assets, and the cost of bankruptcy to capital structure of non-financial firms in Indonesia Stock Exchange. To achieve these objectives, conducted research on companies listed on the Indonesia Stock Exchange. Research conducted on 163 companies with the observation period in 2011. All the required data obtained from the Indonesian Capital Market Directory. Furthermore, to explain the determinants of capital structure of the firm to used the t and F test with alpha 10 percent. Based on the results of the study, the conclusions as follows: First, the capital structure of the firm has a negative and significant effect on the value of the firm. Second, there is no optimal capital structure on a non-financial corporations. Third, the size of the firm, the structure of assets, and the cost of bankruptcy have positive and significant effect on the capital structure of the firm. Fourth, profitability and the growth opportunities of the firm does not significantly influence to the capital structure. Fifth, variations in the profitability, size of the firm, growth opportunities, the structure of assets, and the cost of bankruptcy are able to explain the variations of capital structure 10,2 percent. Sixth, the coefficient towards research results influence the profitability and bankruptcy costs the company is not in accordance with the trade-offs theory.

scholarly journals Economic Dispatch Analysis Using Equal Incremental Cost Method with Linear Regression Approach

2021 ◽  
Vol 1 (1) ◽  
pp. 16
Author(s):  
Arnawan Hasibuan ◽  
Robi Kurniawan ◽  
Muzamir Isa ◽  
Mursalin Mursalin
Keyword(s):  
Linear Regression ◽  
Incremental Cost ◽  
Economic Dispatch ◽  
Operating Costs ◽  
Regression Approach ◽  
Generation Cost ◽  
The Cost ◽  
Fuel Costs

The use of fuel is one thing that needs special attention, because most of the operating costs of a plant are fuel costs. One of the efforts to minimize the cost of generating fuel is called Economic dispatch. In this study, an Equal Incremental Cost method with a Linear Regression approach will be presented to obtain a minimum generation cost. The case taken is the Pangkalan Susu PLTU which operates two generating units. Based on the results of calculations using the Equal Incremental Cost method with the Linear Regression approach, the cost is -0.033% or an average of -13,111 $/hour.

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