scholarly journals Institutional aspects of economic development in the works of I.V. Vernadsky

2021 ◽  
Vol 2021 (54) ◽  
pp. 154-166
Author(s):  
Karolina Gorditsa ◽  
◽  
Keyword(s):  
Political Economy ◽  
Economic Development ◽  
Economic Activity ◽  
Private Property ◽  
Institutional Environment ◽  
Deep Understanding ◽  
Social Institutions ◽  
Property Development ◽  
Economic Significance ◽  
Institutional Aspects

The article is devoted to the study and coverage of the institutional environment formation in the scientific achievements of the famous scientist-economist of the XIX century Ivan Vernadsky. The purpose of the study is the historical and economic generalization of I. Vernadsky's views on the institutional aspects of economic activity and development. The scientist had a deep understanding of the important role that social institutions play in economic reality and the importance of their study for the completeness of economic analysis. He highly valued the work of other economists who used institutional approaches, and paid considerable attention in his work to the influence of the institutional environment and its individual components on the results of economic activity. The main attention of the article is devoted to the historical-theoretical analysis of I. Vernadsky's views on the concept of property and possession as key categories of economy and law, their economic significance and relationship with other categories of political economy, such as wealth, value, income. The author analyzes I. Vernadsky's views on the most important institutional factors of economic development, in particular economic freedom, free private property, development of knowledge, education and science, education of such moral qualities as conscience, honesty, thrift, etc., as well as the influence of national mentality on economic policy. The conclusion is that the original concept of property and possession developed by I. Vernadsky can be assessed as a significant achievement of contemporary economics, as it contains not only the postulates of classical political economy, but also elements of the subsequent institutional theory of property rights, in particular the institutional nature of ownership and property as factors that determine the borders of economic activity.

scholarly journals The Environmental Rules of Economic Development: Governing Air Pollution from Smelters in Chuquicamata and La Oroya

2014 ◽  
Vol 46 (1) ◽  
pp. 151-183 ◽  
Author(s):  
JOSÉ CARLOS ORIHUELA
Keyword(s):  
Air Pollution ◽  
Political Economy ◽  
Economic Development ◽  
Institutional Environment ◽  
Policy Network ◽  
Policy Entrepreneurship ◽  
Bureaucratic Autonomy ◽  
Parallel Action ◽  
Do So

AbstractWhy and how do societies transform the environmental rules of economic development, or fail to do so? This article compares the experiences of Chile and Peru in the regulation of smelting activities between 1990 and 2010. Air pollution from smelters in Chuquicamata and La Oroya, each emblematic of the two countries’ mining industries, did not give rise to nationally destabilising protest. Nevertheless, despite the absence of pressing discontent with pollution, the environmental rules for mining could still be improved as a result of policy network activism and through highly idiosyncratic institutional channels. The analysis shows that policy entrepreneurship for Chuquicamata was enhanced by a national institutional environment that favoured bureaucratic autonomy, while parallel action for La Oroya was constrained by a political economy of state weakness and elite disregard.

The peculiarities of transformation of the economy of large and medium-sized cities in the Western Region of Ukraine: a comparative analysis

2019 ◽  
pp. 19-23
Author(s):  
Viktor Borshchevskyy
Keyword(s):  
Economic Development ◽  
Structural Transformation ◽  
Economic Activity ◽  
Institutional Environment ◽  
Urban Economy ◽  
Residential Buildings ◽  
Spatial Localization ◽  
Western Region ◽  
The Western Region ◽  
The City

The problems of structural changes in the economy of large and medium-sized cities of the Western region of Ukraine are investigated. Special attention is paid to the spatial localization of cities, the cultural and historical traditions of functioning of their economy, the branch specialization and institutional environment of influence on the formation of business climate and economic development as the main factors of structural transformation of urban economy. To compare the peculiarities of economy transformation in the selected for the study large and medium-sized cities of the Western region of Ukraine, the dynamics of change of individual comparable indicators of their development in 2010 - 2017 were analyzed. This primarily relates to such indicators as the volume of freight transportations, the total area of new residential buildings, the retail turnover of enterprises, the capital investments, as well as the export services and its ratio to the export of goods. Based on the analysis of the relevant data, the main tendencies of structural transformation of the economy of large and medium-sized cities of the Western region of Ukraine that were selected for the study have been identified. The mentioned structural transformation are confirmed to be occurring primarily in the direction of equalization of the branch proportions of economic development of cities, irrespective of their size. At the same time, there is a tendency to move from mono-functional to poly-functional specialization of the urban economy on the basis of accelerated growth of those types of economic activity, the potential of which has not been fully realized before. The research gave the basis for the conclusion that the size of the city is not the determinative factor for the development or decline of certain types of their economic activity. Instead, spatial localization and traditions of business culture as well as the characteristic features of the evolution of the institutional environment of the city and the quality of human capital have the primary importance.

scholarly journals INSTITUTIONAL ENVIRONMENT FOR REPRODUCTION AND DEVELOPMENT OF HUMAN CAPITAL OF BELARUS

2018 ◽  
pp. 113-121
Author(s):  
A. BOBROVA ◽  
N. SHCHERBINA ◽  
Yu. PETRAKOVA
Keyword(s):  
Human Capital ◽  
Institutional Environment ◽  
Social Institutions ◽  
Human Capital Development ◽  
Institutional Aspects ◽  
Capital Development

The article describes institutional aspects of the human capital development, identifies key social institutions that form the institutional environment for human capital reproduction and development.

IN COLOMBIA, IT IS ALL ABOUT INSTITUTIONS

2010 ◽  
Vol 1 (1) ◽  
pp. 23 ◽  
Author(s):  
Abdiweli M Ali
Keyword(s):  
Economic Growth ◽  
Economic Activity ◽  
Economic Freedom ◽  
Private Property ◽  
Institutional Environment ◽  
Important Determinant ◽  
Judicial Efficiency ◽  
Low Levels

This paper highlights the importance of institutions on development and as it particularly applies to Colombia. It provides some evidence that the institutional environment in which an economic activity takes place is an important determinant of growth. It suggests that countries with high levels of economic growth are characterized with by high levels of economic freedom and judicial efficiency, low levels of corruption, effective bureaucracy, and protected private property.

Institutional change and economic development: concepts, theory and political economy

2011 ◽  
Vol 7 (4) ◽  
pp. 529-534 ◽  
Author(s):  
AMITAVA KRISHNA DUTT
Keyword(s):  
Political Economy ◽  
Economic Development ◽  
Property Rights ◽  
Institutional Change ◽  
Private Property ◽  
Development Theory ◽  
Private Property Rights ◽  
Dominant Discourse ◽  
History Of ◽  
Economic Development Theory

This article complements Ha-Joon Chang's critique, entitled ‘Institutions and Economic Development: Theory, Policy and History’, of the ‘dominant discourse’ on institutions and economic development which takes the view that getting the institutions right (by strengthening private property rights and market freedoms) is a prerequisite for development. It does so by commenting on the concepts of economic development and institutions, discussing the theory of how institutional change affects development, and examining the possibility and desirability of such institutional change as a prerequisite of development.

scholarly journals REASONS AND CONSEQUENCES OF HIDDEN ENTREPRENEURSHIP IN UKRAINE

2020 ◽  
Vol 1 (2) ◽  
pp. 71-76
Author(s):  
Oleh Holovko ◽  
Ihor Biriukov
Keyword(s):  
Economic Development ◽  
Economic Activity ◽  
Work Experience ◽  
Shadow Economy ◽  
Institutional Environment ◽  
Vulnerable Groups ◽  
Negative Consequences ◽  
Goods And Services ◽  
Positive Effects ◽  
Effective Development

The purpose of the article is to study the essence, causes and consequences of hidden entrepreneurship in Ukraine. The shadowing of economic activity hinders the development of the country’s competitiveness, complicates integration into the European community, negatively affects the growth of social living standards of the population. In Ukraine, there is no single approach to the interpretation of the concept of “hidden entrepreneurship”. In most approaches, this phenomenon is associated with illegal business. In some studies, hidden entrepreneurship is associated with the shadow economy. This creates discrepancies in the indicators of the level of the shadow economy in Ukraine’s GDP, which distorts the reflection of the real state of threat to the effective development of the economy. The problems of shadowing economic activity have been studied for a long time. At the same time, deepening the understanding of the causal links between hidden entrepreneurship and the prospects of economic development in modern Ukraine requires more detail. The methodological basis of this work is the synthesis of general scientific methods of theoretical and empirical research (method of cognition, analysis and synthesis, generalization and systematization of information). Results. One of the main parameters of hidden entrepreneurship is the focus on the conscious reflection of performance. Thus, informal economic activity, which is mainly related to housekeeping, small services, irregular work, etc., acquires signs of deliberate concealment as a result of legal production and sale of unregistered goods and services. Carrying out economic operations prohibited by law turns economic activity into illegal or criminal. Thus, each subsequent type of hidden business receives additional characteristics regarding the legality of economic transactions. We identify four main groups of reasons for the emergence of hidden entrepreneurship: economic, socio-political, administrative, moral and ethical, psychological reasons. Hidden entrepreneurship provides employment to the part of the country’s population that has no sources of income (pensioners, pregnant women, people with no work experience, youth, minors, etc.). In addition, hidden business goods and services are affordable for socially vulnerable groups, partially reducing the social tensions that exist in society. Practical implications. Given that the level of the shadow sector in Ukraine is quite high (over 30% of GDP) now, its impact on economic development is negative. Therefore, identifying the root causes, as well as awareness of the negative consequences of further development of hidden entrepreneurship for the national economy should become the foundation for the transformation of the institutional environment in the country. Understanding these implications will identify the most promising ways to reduce the level of the shadow economy and promote the use of the positive effects of hidden entrepreneurship to develop the necessary incentives for entrepreneurs. Value/originality. The use of comprehensive analysis allows to identify the main problems of hidden entrepreneurship, taking into account the specifics of its manifestation in modern conditions.

Baumol’s productive and unproductive entrepreneurship after 25 years

2016 ◽  
Vol 5 (2) ◽  
pp. 130-144 ◽  
Author(s):  
Peter J. Boettke ◽  
Ennio Piano
Keyword(s):  
Political Economy ◽  
Economic Development ◽  
Market Economy ◽  
Institutional Environment ◽  
Entrepreneurial Activity ◽  
Comparative Case Study ◽  
Content Type ◽  
History Of ◽  
The Impact

Purpose – The purpose of this paper is to consider the impact of Baumol’s work on entrepreneurship has had on framing the economic development puzzle. Design/methodology/approach – In many ways, the intuition behind the paper is straightforward. Entrepreneurs allocate their time and attention based on the relative payoffs they face in any given social setting. If the institutional environment rewards productive entrepreneurship, then the time and attention of entrepreneurial actors in the economy will be directed toward realizing the gains from trade and the gains from innovation. If, on the other hand, there are greater returns from the allocation of that time and attention toward rent-seeking and even criminal activity, alert individuals will respond to those incentives accordingly. The simplicity of the point being made is part of the brilliance in Baumol’s article. As with other classics in economics, once stated the proposition seems to be so basic it is amazing that others did not put it that way beforehand. Findings – It has been 25 years since Baumol published his paper in the Journal of Political Economy, and as pointed out, it has had a significant scientific impact. But to put things in perspective, James Buchanan’s “An economic theory of clubs” published in 1965 has accumulated roughly 3,500 citations, F.A. Hayek’s “The use of knowledge in society,” published in 1945 has over 12,000, and Ronald Coase’s “The problem of social cost” published in 1960 has over 28,000 citations. So Baumol’s paper would put him in rather elite company. The great strength of the paper is to focus the attention on the relative payoffs of productive, unproductive and destructive entrepreneurial activity. But one of the most significant disappointments of the subsequent history of this paper is a methodological one. The comparative case study approach that Baumol employed did not result in a renewed appreciation for narrative forms of empirical research in political economy. It could legitimately be argued that the sort of questions about the fundamental institutional causes of economic growth and development can only be captured with these more historical methods. Attempts to force fit this analysis into a set of methodological tools which have already revealed themselves to be inadequate to do justice of the role of institutions and disregard the underlying cultural norms and beliefs that characterize human sociability. Originality/value – In this paper, the authors will focus on the contribution made by Baumol’s 1990 paper on the field of comparative political economy, and in particular on the literature on transitional political economy. Section 2 places Baumol’s argument in the context of the failure of neoclassical growth theory. Section 3, the authors argue that although the Baumol framing was an improvement over the old comparative economic systems literature, contemporary transitional political economists have failed to fully realize the implications of the institutional revolution. They have therefore been unable to understand the causes of the heterogeneity of outcomes among those countries that transitioned from communism to the market economy in the 1990s. In Section 4, the authors argue that the political economy of transition will gain from a more sophisticated view of the economic process of the market economy, an appreciation of the entrepreneurial function, and a deeper understanding of the role of formal and informal institutions and their effect on entrepreneurship. The authors will illustrate the point with some examples from the recent history of the Russian political and economic transition. Credible commitment problems and the deficiencies of the institutional reforms of the early 1990s were responsible for the failure of reallocating the entrepreneurial talent that existed in the Soviet economy to productive economic activities. The framework can therefore be used to solve the puzzle of why the announced liberalization of Russian markets and privatization of previously state-owned resources led to economic stagnation, the growth of black markets, and the rise of organized crime, instead of economic development through the operations of smoothly operating markets. Section 5 briefly concludes.

scholarly journals Private Property Rights, Dynamic Efficiency and Economic Development: An Austrian Reply to Neo-Marxist Scholars Nieto and Mateo on Cyber-Communism and Market Process

Economies ◽  
2021 ◽  
Vol 9 (4) ◽  
pp. 165
Author(s):  
William Hongsong Wang ◽  
Victor I. Espinosa ◽  
José Antonio Peña-Ramos
Keyword(s):  
Economic Development ◽  
Property Rights ◽  
Information And Communication Technologies ◽  
Private Property ◽  
Institutional Environment ◽  
Economic Life ◽  
Market Process ◽  
Dynamic Efficiency ◽  
Private Property Rights ◽  
Austrian Theory

The Austrian school economics and neo-Marxist theories both have been reviving in recent years. However, the current academic discussion lacks a debate between two schools of economics with diametrically opposed views. This paper is the first and an initial Austrian challenge to Neo-Marxist scholars Nieto and Mateo’s argumentation that cyber-communism and the Austrian theory of dynamic efficiency are consistent to enhance economic development. Their argument focuses on two issues: (a) the existence of circular reasoning in the Austrian theory of dynamic efficiency, and (b) dynamic efficiency and full economic development could be strongly promoted in a socialist system through new information and communication technologies (ICT) and the democratization of all economic life. While cyber-communism refers to cyber-planning without private property rights through ICT, dynamic efficiency refers to the entrepreneurs’ creative and coordinative natures. In this paper, first, we argue that the hypothesis that dynamic efficiency and cyber-communism is not compatible. Contrary to the above cyber-communist criteria, the Austrian theory of dynamic efficiency argues that to impede private property rights is to remove the most powerful entrepreneurial incentive to create and coordinate profit opportunities, the entrepreneurial incentives to create and coordinate profit opportunities are removed to identify human problems and the ability and willingness to solve them. Second, we argue that the cyber-communism system is inconsistent with economic development. In this regard, we explain how the institutional environment can cultivate or stifle dynamic efficiency and economic development. Having briefly outlined the central argument of Nieto and Mateo, we examine the institutional arrangement supporting cyber-communism. After that, we evaluate the implications of cyber-communism in the dynamic efficiency process. It becomes manifest that Nieto and Mateo’s accounts are too general to recognize the complexity of how economic development works.

scholarly journals How to Accelerate the Dynamics of Economic Development: Industrial Policy, Monetary System, Institutional Environment

2017 ◽  
Vol 6 (2) ◽  
pp. 71-84 ◽  
Author(s):  
Юсим ◽  
Vyacheslav Yusim ◽  
Свирчевский ◽  
Vadim Svirchevskiy
Keyword(s):  
Economic Development ◽  
Social Life ◽  
Institutional Environment ◽  
A Priori ◽  
Social Institutions ◽  
Positive Influence ◽  
Point Of View ◽  
Management Policy ◽  
Monetary System ◽  
The Relationship

In different countries, economic theorists argue that the type of economic development in second half of the XX century has changed qualitatively. Industrial technology ceased to be leading, and their place was taken by informational, financial, social, technology, management, policy, services, etc. But the operation and, especially, improvement of technical base for these activities is impossible without the existence of a developed industry. Therefore, the relationship between the industry and the economy in General and of social institutions is considered to be a priori. But what is the connection? The answer to this question creates the preconditions for a conscious management of the development of the economy based on clear quantitative criteria of an estimation of prospects of development and, consequently, control over the direction and dynamics of change. However, the problem of quantitative assessment of criteria development is only one of the problems, the solution of which depends on the development of the economy and society as a whole. What does “flow in the veins” of the economy? Does monetary system meet the modern requirements? What institutions are needed for development and which institutions inhibit it? Only the answer to this set of issues gives hope for a more predictable crisis-free economic development. Of course, issues of measurability relationships between phenomena of social life should not mean an automatic increase of system effectiveness of management of the economy, and, moreover, positive influence on the degree of turbulence. Therefore, only considering the problem from the point of view of the relationship of different questions, which is the feature of this article, allow hope to change the situation for the better.

Culture, names and economic development

2016 ◽  
pp. 81-106
Author(s):  
E. Borisova ◽  
A. Kulkova
Keyword(s):  
Economic Development ◽  
Cultural Identity ◽  
Empirical Studies ◽  
Economic Research ◽  
Cultural Norms ◽  
Individual Values ◽  
Personal Names ◽  
Economic Significance ◽  
And Behavior

Various components of culture have long been in the focus of economic research. Numerous empirical studies show that cultural norms, as well as religion and language, matter for economic development and have not only statistical but also economic significance. This paper considers various examples of how culture can affect individual values and behavior. It also deals with personal names as a key marker of one’s cultural identity. Overall, the paper contributes to the more profound understanding of a famous notion that "culture matters", and helps clarify the mechanisms through which culture exerts its influence.

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