Fiscal Decentralization and Fiscal Multiplier in China

2021 ◽  
Vol 0 (0) ◽  
Author(s):  
Fei Guo ◽  
Eric Evans Osei Opoku ◽  
Kate Hynes ◽  
Isabel Kit-Ming Yan
Keyword(s):  
Market Economy ◽  
Tax Reform ◽  
Fiscal Decentralization ◽  
Fundamental Aspect ◽  
Fiscal Multiplier ◽  
Provincial Level ◽  
Long Run ◽  
Level Data ◽  
Budgetary Expenditure ◽  
Fiscal Spending

Abstract A fundamental aspect of China’s transition to a market economy is the change in fiscal decentralization marked by the tax reform in 1993. This paper examines the effect of revenue and expenditure decentralization and their divergences on fiscal spending multipliers in China using nationally aggregate and provincial-level data from 1978 to 2017. Our investigations show that expenditure decentralization weakens the efficacy of spending policies, while revenue decentralization enhances the efficacy. Moreover, the divergence of revenue and expenditure decentralization has significantly decreased the provincial spending multiplier, while its effect on the aggregate spending multiplier is insignificant. The provincial results are robust to the inclusion of off-budgetary expenditure and revenue, using different estimates of multipliers and different measures of fiscal decentralization, considering from a long-run perspective, and addressing the endogeneity issue.

Tornadoes, poverty and race in the USA: A five-decade analysis

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Russ D. Kashian ◽  
Tracy Buchman ◽  
Robert Drago
Keyword(s):  
African American ◽  
African Americans ◽  
Study Finding ◽  
Median Income ◽  
Content Type ◽  
Vulnerable Communities ◽  
Long Run ◽  
Level Data ◽  
The Usa

PurposeThe study aims to analyze the roles of poverty and African American status in terms of vulnerability to tornado damages and barriers to recovery afterward.Design/methodology/approachUsing five decades of county-level data on tornadoes, the authors test whether economic damages from tornadoes are correlated with vulnerability (proxied by poverty and African American status) and wealth (proxied by median income and educational attainment), controlling for tornado risk. A multinomial logistic difference-in-difference (DID) estimator is used to analyze long-run effects of tornadoes in terms of displacement (reduced proportions of the poor and African Americans), abandonment (increased proportions of those groups) and neither or both.FindingsControlling for tornado risk, poverty and African American status are linked to greater tornado damages, as is wealth. Absent tornadoes, displacement and abandonment are both more likely to occur in urban settings and communities with high levels of vulnerability, while abandonment is more likely to occur in wealthy communities, consistent with on-going forces of segregation. Tornado damages significantly increase abandonment in vulnerable communities, thereby increasing the prevalence of poor African Americans in those communities. Therefore, the authors conclude that tornadoes contribute to on-going processes generating inequality by poverty/race.Originality/valueThe current paper is the first study connecting tornado damages to race and poverty. It is also the first study finding that tornadoes contribute to long-term processes of segregation and inequality.

scholarly journals Fiscal federalism and accountability in Nigeria: an ARDL approach

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Olabanji Olukayode Ewetan ◽  
Romanus Osabohien ◽  
Oluwatoyin Augustina Matthew ◽  
Abiola Ayopo Babajide ◽  
Ese Urhie
Keyword(s):  
Public Sector ◽  
Fiscal Federalism ◽  
Local Economic Development ◽  
Fiscal Decentralization ◽  
Secondary Data ◽  
Law And Order ◽  
Content Type ◽  
Distributed Lag ◽  
Long Run ◽  
Auto Regressive

Purpose The purpose of this paper is to examine the relationship between fiscal federalism and accountability in Nigeria. Corruption is a global plague and is endemic in nature. Several policies have been adopted by the Nigerian Government to institutionalize accountability and combat the scourge of corruption that have hindered socio-economic progress but to no avail. Design/methodology/approach Thus, this study examined fiscal federalism and accountability issues in Nigeria using secondary data and used the auto-regressive distributed lag econometric technique to analyse the data. Findings The results from this study reveal that fiscal federalism fails to mitigate corruption in the long run in Nigeria because of poor bureaucratic quality (BQ) and ineffective law and order (LOR). Social implications Fiscal decentralization must be accompanied by legislations that will strengthen BQ of fiscal institutions at subnational levels and promote effective LOR. Originality/value This study recommends that for fiscal federalism to mitigate corruption in the long run, government must adopt appropriate policies to improve BQ and further strengthen LOR in Nigeria. The finding also suggests that to promote public sector accountability in Nigeria, government should ensure the simultaneous decentralization of expenditure and revenue to lower tiers of government. This study provides detailed empirical evidence that fiscal decentralization without accountability will accentuate public sector corruption, and in the long run, weaken local economic development initiative to boost growth and development.

scholarly journals Exploring the role of family ties on life satisfaction in later life in Europe

2019 ◽  
Vol 31 (2-2019) ◽  
pp. 180-198
Author(s):  
Aïda Solé-Auró ◽  
Clara Cortina
Keyword(s):  
Life Satisfaction ◽  
Age Groups ◽  
Later Life ◽  
Network Size ◽  
Protection Factor ◽  
Family Ties ◽  
Individual Level ◽  
Long Run ◽  
Level Data

We analyzed the relationship between family ties and the life satisfaction of people between the ages of 50 and 85 years in 13 European countries. We aim at determining the effects of partnership (being currently in a partnership) and parenthood (having remained childless). We use individual-level data from the sixth wave of the Survey of Health, Ageing and Retirement in Europe (SHARE). The analyses are restricted to respondents who are partnered or who have ever been married. We apply a multivariate analysis to examine the association of life satisfaction with family ties for men and for women. We add controls for age groups and education level, and we pay special attention to the role of individuals’ network size. Our findings indicate that in all countries, having no partner has the strongest and most negative association with life satisfaction. However, there was no clear association between not having children and life satisfaction across countries. We also find an important role of some protector variables, such as having a strong network which, in most countries, significantly increase one’s life satisfaction. We find that there is a relationship between individuals’ family situation and life satisfaction, but it is restricted to being in a partnership. The protection factor of having a partner improves one’s life satisfaction at older ages much more than protection by having children. This finding can reduce the concern about the long run implications of increasing childlessness among younger cohorts as it is not necessarily associated to a higher risk of low life satisfaction.

scholarly journals The Green Innovation Effect on Heavy-Polluting Enterprises Under the Environmental Protection Law

2021 ◽  
Vol 9 ◽  
Author(s):  
Leqian Ouyang ◽  
Daming You
Keyword(s):  
Environmental Protection ◽  
Local Governments ◽  
Fiscal Decentralization ◽  
Negative Impact ◽  
National Level ◽  
Green Innovation ◽  
Eastern Area ◽  
Long Run ◽  
The Difference ◽  
Financial Power

One of the main purposes of the 2015 Environmental Protection Law (EPL) of the People's Republic of China is to boost the green innovation of the enterprises. Using heavy-polluting enterprises as examples, this paper uses the Difference-in-difference analysis (DDD) technique to analyze the influence of EPL on the green innovation of enterprises under fiscal decentralization and enterprise heterogeneity. Results show that EPL exerts a negative impact on the green innovation of heavy-polluting enterprises at the national level, as well as those in the central and western areas specifically. The only presence of positive motivation for green innovation is being found in the eastern area, although, the motivation seems to be insignificant. The negative impacts have been lasting in the long run, especially for the low-performance enterprises in the central areas. As for the targeted implementation of EPL in China, local governments should make the best use of financial power under fiscal decentralization. This balanced approach is designed to motivate enterprises in different regions with various performance levels to develop green innovation based on their different weaknesses and strengths.

scholarly journals Province-wise Growth Patterns in Human Capital Accumulation

2006 ◽  
Vol 45 (4II) ◽  
pp. 873-890 ◽  
Author(s):  
Muhammad Sabir ◽  
Zehra Aftab
Keyword(s):  
Human Capital ◽  
Capital Accumulation ◽  
Formal Education ◽  
Labour Force ◽  
Growth Patterns ◽  
Human Capital Accumulation ◽  
Labour Force Survey ◽  
Provincial Level ◽  
The Past ◽  
Level Data

It is apparent from various labour force surveys that during the past 20 years Pakistan’s employed labour force has become more “educated”. For instance, according to the Labour Force Survey 1982-83, 28 percent of the employed labour force had attained formal education.12 In comparison, the literate employed labour force in 1999- 2000 is estimated at 46 percent, while the formally educated is 43 percent. However, the pattern of growth in educated labour force is not uniform in all four provinces of the country. A closer look at disaggregated provincial level data reflects the disparity in employed labour force in the four provinces: Punjab, Sind, NWFP, and Baluchistan.

Neo-Dualism: Accumulation, Distress, and Proliferation of a Fissured Informality

2021 ◽  
pp. 048661342110121
Author(s):  
Kasturi Sadhu ◽  
Saumya Chakrabarti
Keyword(s):  
Informal Sector ◽  
Informal Economy ◽  
Growth Process ◽  
Jel Classification ◽  
Formal Sector ◽  
Firm Level ◽  
Macro Model ◽  
Long Run ◽  
Level Data ◽  
Firm Level Data

A dominant strand of orthodoxy argues that the problem of the informal sector could be mitigated through the capitalistic growth process. But our observations on India are different—with an expansion of the capitalistic formal sector, as the economy grows, there is a proliferation of fissured informality. Using a structuralist macro-model, we provide certain explanations for this phenomenon, which are also tested empirically using Indian subnational-state and firm-level data. Thus, we explore both the short- and long-run effects of the expansion of the formal sector on the heterogeneous informal economy. While a section of the population is pulled into the advanced informal activities, a vast segment is pushed to petty production. Accordingly, the orthodox transition narrative is questioned and alternative policy and political possibilities are introduced. JEL Classification: O11, O13, O17, P48

Using Modeling and Simulation Techniques to Improve the Accountability and the Performance of Human Resource Management

2018 ◽  
pp. 75-112
Author(s):  
Florea Nicoleta Valentina ◽  
Manea Marinela Daniela
Keyword(s):  
Human Capital ◽  
Human Resources ◽  
Organizational Performance ◽  
Simulation Techniques ◽  
A Value ◽  
Long Run ◽  
Level Data ◽  
Strategic Role ◽  
And Performance ◽  
The Impact

The analysis of human resources function and its contribution to obtain performance dates back to the 1920s. Now, the HR is an equal partner on the board of the companies, having a strategic role in obtaining performance, thus we try to show that compensating appropriately, the human capital it will be motivated to obtain performance. This paper examines the two different visions of different managers in which the human capital is perceived as a major cost for organization and the others which perceive it as an investment on long run. In this article, we analyse the impact could have the direct costs of human capital on individual and organizational performance using samples of some variables from European level, data between 2005-2016. Data used for the different years were analysed using simulation methods. Findings of this study show consistency with the theory in the filed, bringing a value in motivation and accountability of human capital and performance obtained through human capital.

The Effect of Deregulation on Employee Earnings: Pilots, Flight Attendants, and Mechanics, 1959–1992

ILR Review ◽  
1996 ◽  
Vol 49 (2) ◽  
pp. 223-242 ◽  
Author(s):  
Pierre-Yves Crémieux
Keyword(s):  
Flight Attendants ◽  
Firm Level ◽  
Cross Sectional ◽  
Long Run ◽  
Airline Deregulation ◽  
Level Data ◽  
Negative Effect ◽  
Long Term Trends ◽  
Sectional Analysis

Previous studies of the effect of the 1978 Airline Deregulation Act on employee earnings have reported mixed results: some have found no negative long-run effect of deregulation and others have found a negative effect of up to 10%. Most of these studies relied on cross-sectional analysis of a few years' data. This paper, in contrast, examines the long-term trends in airline earnings, based on 34 years of newly collected firm-level data from the Department of Transportation's Form 41 and airline workers' unions. The author finds that although deregulation had no statistically significant effect on the earnings of mechanics, it strongly affected the earnings of flight attendants and pilots. Flight attendants' earnings were at least 12% lower by 1985 and 39% lower by 1992 than they would have been if deregulation had not occurred, and the corresponding shortfalls for pilots were 12% and 22%.

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