scholarly journals Determinants of credit constraints for agricultural wholesalers in China

2020 ◽  
Vol 23 (4) ◽  
pp. 563-577
Author(s):  
Lifang Hu ◽  
Rigoberto A. Lopez ◽  
Yinchu Zeng
Keyword(s):  
Economic Growth ◽  
Credit Constraints ◽  
Sample Selection ◽  
Probit Model ◽  
Nationwide Survey ◽  
Food Distribution ◽  
Policy Implications ◽  
Empirical Results ◽  
Capital Assets ◽  
Using Data

Following market reforms and economic growth since the late 1970s, agricultural wholesale markets in China have developed substantially and become increasingly important in food distribution. This paper investigates the determinants of credit constraints on agricultural wholesalers. A probit model with sample selection is estimated for credit constraints and demand using data collected via a nationwide survey of 1,422 agricultural wholesalers, of whom approximately 39% were designated as credit-constrained. Empirical results confirm that an absence of relatives in the business supports the notion of further discouraging potential borrowers from applying for credit in the first place. Moreover, the probability of being credit-constrained is significantly lower for legal corporations, wholesalers who have higher-value capital assets, larger-sized wholesalers, and those in a better micro-finance environment. Some policy implications are outlined.

scholarly journals Revisit coal consumption, CO2 emissions and economic growth nexus in China and India using a newly developed bootstrap ARDL bound test

2017 ◽  
Vol 36 (3) ◽  
pp. 450-463 ◽  
Author(s):  
Feng-Li Lin ◽  
Roula Inglesi-Lotz ◽  
Tsangyao Chang
Keyword(s):  
Economic Growth ◽  
Granger Causality ◽  
Policy Implications ◽  
Coal Consumption ◽  
Causality Test ◽  
Ardl Model ◽  
Empirical Results ◽  
China And India ◽  
The Government ◽  
Bound Test

This study revisits coal consumption, CO2 emissions and economic growth nexus for both China and India using a newly developed Bootstrap ARDL model over the period of 1969–2015. Empirical results indicate no long-run relationship among these three variables for both China and India, and Granger causality test based on Bootstrap ARDL model indicates a feedback between coal consumption and economic growth, between economic growth and CO2 emissions and between coal consumption and CO2 emissions in China. However, we find a one-way Granger causality running from coal consumption to economic growth and the feedback hypothesis is confirmed between economic growth and CO2 emissions and between coal consumption and CO2 emissions in India. The coefficients signal that coal consumption is an important factor towards the promotion economic growth in both China and India. For China, higher economic growth reduces CO2 emissions, while for India, it further increases CO2 emissions. Our empirical results have important policy implications for the government conducting effective energy polices to promote economic growth in both China and India.

scholarly journals Financial Depth and Efficiency, and Economic Growth Nexus in Saudi Arabia and Oman

2018 ◽  
Vol 11 (2) ◽  
pp. 105-112
Author(s):  
Abdullah Saeed ◽  
Shayem Saleh
Keyword(s):  
Economic Growth ◽  
Saudi Arabia ◽  
Panel Data ◽  
Causal Relation ◽  
Policy Implications ◽  
Financial Deepening ◽  
Empirical Results ◽  
Financial Depth ◽  
Detrimental Impact

AbstractThis paper aims to examine the financial depth and efficiency and economic growth nexus in the context of Saudi Arabia and Oman. In particular, this paper addresses on how financial depth and efficiency relate to economic growth and the causal relation between financial depth and efficiency and the economic growth in Saudi Arabia and Oman. Methodological wise, this study employs a panel data of Saudi Arabia and Oman over the period of 1990 - 2015 and uses the determination of line of best to analyze the causal relations. The empirical results show that financial deepening have desirable effects on the economic growth in Oman, while increasing financial depth and efficiency has detrimental impact to economic growth of Saudi Arabia. Based on these empirical facts, we conclude that the financial deepening in Saudi Arabia is not an economic prioritized strategy, but financial deepening is an economic prioritized strategy in Oman. Two main policy implications are reached.

Credit Constraints and Increased Firm-level Production Fragmentation: Evidence from India

2022 ◽  
pp. 097491012110677
Author(s):  
Debarati Ghosh ◽  
Meghna Dutta
Keyword(s):  
Credit Constraints ◽  
Policy Implications ◽  
Technological Advancement ◽  
Firm Level ◽  
Financing Structure ◽  
Alternative Measures ◽  
Using Data ◽  
Level Production ◽  
Positive Effect ◽  
Production Fragmentation

Previous studies have underlined various rationales for production fragmentation from wage differentials, decreased trade costs, access to specialized skills and resources, access to new markets, and benevolent government policies, to technological advancement. However, the idea that a firm’s financing structure can influence its production structure remains less explored, more so empirically. Firms that are financially constrained find it difficult to complete the entire production process in-house and therefore tend to resort to production fragmentation. The current study investigates this link between the extent of credit constraints faced by firms and their outsourcing behavior using data from Indian manufacturing firms over a period of ten years. We also separately study this linkage for firms that tend to export more vis-à-vis firms that export less, to ascertain if increased exporting have relaxed the financial constraint of the firms. The results confirm the positive effect of credit constraints on outsourcing behavior. For a robustness check, subsample regressions and alternative measures of constraints are also analyzed. The study has important policy implications for developing countries such as India, where outsourcing may prove to be a profitable reorganization strategy for firms that are financially constrained.

Globalization and Economic Growth Revisited: A Bootstrap Panel Causality Test

2016 ◽  
Vol 1 (2) ◽  
Author(s):  
 Hsiao-Ping Chu ◽  
Tsangyao Chang ◽  
Tagi Sagafi-nejad
Keyword(s):  
Economic Growth ◽  
Oecd Countries ◽  
Policy Implications ◽  
Causality Test ◽  
Panel Causality ◽  
Empirical Results ◽  
Panel Granger Causality ◽  
The Us ◽  
Direction Of Causation ◽  
The Uk

This paper revisits the nature and direction of causation between globalization and economic growth in nine OECD countries and China by applying the bootstrap panel Granger causality test to the data over the period of 1981-2008. Empirical results support evidence on causality from globalization to economic growth for Netherlands and the UK; causality from economic growth to globalization in the US, neutrality for Australia, Belgium, Canada, France, Italy, and Japan. Based on the empirical results from this paper, we provide important policy implications for the OECD countries and China.

Economic Sector Choices of Mexican Migrants to the USA: Evidence from the 2011 EMIF Border Survey

2015 ◽  
Vol 15 (1) ◽  
pp. 25-50
Author(s):  
André Rossi de Oliveira ◽  
Rossitza B. Wooster
Keyword(s):  
Work Experience ◽  
Sample Selection ◽  
Probit Model ◽  
Economic Sector ◽  
Labor Migrants ◽  
Mexican Migrants ◽  
Spoken English ◽  
The Usa ◽  
Higher Educational Attainment ◽  
Using Data

This paper investigates the economic sector choices of Mexican labor migrants who intended to cross the US border in 2011 using data from the EMIF Norte Border Survey. We identify migrants according to prior work experience and intended sector of work in an effort to determine what demographic and socioeconomic characteristics explain economic sector mobility. We begin by estimating a probit model with sample selection to identify migrant characteristics that explain differences between industry of employment at place of origin and the intended sector of work at their destination. We find that sector mobility is significantly more likely for migrants who are documented and those with higher educational attainment, specifically, spoken English skills. The probability that prior and intended sectors of work coincide is significantly higher for migrants who are male, married, from large households, have family in the USA and earned a higher wage prior to migration. We also estimate a multinomial probit of the choice of sector and find that work sector prior to migration is more likely to match intended sector in the agriculture, construction, transportation and trade industries and significantly less likely to match in the services sector relative to other occupational categories.

The link between tourism activities and economic growth: Evidence from China’s provinces

2016 ◽  
Vol 19 (1) ◽  
pp. 3-14 ◽  
Author(s):  
Tsung-Pao Wu ◽  
Hung-Che Wu
Keyword(s):  
Economic Growth ◽  
Causal Relationship ◽  
Policy Implications ◽  
Hunan Province ◽  
International Tourism ◽  
Empirical Results ◽  
Study Support ◽  
Reverse Relationship ◽  
Growth Hypothesis ◽  
Support Evidence

This study explores the causal relationship between international tourism receipts and economic growth in China’s eight central provinces (Shanxi, Jilin, Heilongjiang, Anhui, Jiangxi, Henan, Hubei and Hunan) by analyzing these provinces for the period from 1995 to 2014, accounting for both dependency and heterogeneity across provinces. The empirical results of this study support evidence for the growth hypothesis in Hunan Province. A reverse relationship supports evidence on the conservation hypothesis for the provinces, such as Shanxi, Jiangxi, and Henan. A reciprocal causal relationship was found for Jilin, Anhui, and Hubei, while the result of a neutrality hypothesis supported only one of the provinces in Heilongjiang. The empirical findings of this study provide important policy implications for China’s eight central provinces.

A COUNTY-LEVEL ASSESSMENT OF ENTREPRENEURSHIP AND ECONOMIC DEVELOPMENT IN APPALACHIA USING SIMULTANEOUS EQUATIONS

2010 ◽  
Vol 15 (01) ◽  
pp. 3-18 ◽  
Author(s):  
MARIBEL N. MOJICA ◽  
TESFA G. GEBREMEDHIN ◽  
PETER V. SCHAEFFER
Keyword(s):  
Economic Growth ◽  
Development Strategy ◽  
Formation Rate ◽  
Simultaneous Equations ◽  
Policy Implications ◽  
Entrepreneurial Activity ◽  
Firm Formation ◽  
Self Employment ◽  
Employment Rates ◽  
Using Data

Entrepreneurship is now recognized as a strategy to achieve economic growth in many regions. The goal of this paper is to increase the understanding of entrepreneurship's contributions to economic growth and its potential as a development strategy for a region, such as Appalachia, characterized by poverty and underdevelopment. Using data on Appalachian counties, a system of simultaneous equations is empirically estimated to measure the effects of entrepreneurship on economic growth and development. An expanded Carlino-Mills growth model is used where changes in population, employment and per capita income represent measures of growth. Proprietorship and firm formation rate data are used to measure entrepreneurial activity. The results show start-up businesses contribute significantly to determining population growth. Employment growth is positively affected by self-employment rates as well as by firm formation rates. In terms of policy implications, the paper recommends the creation of an environment to encourage entrepreneurial activity as a strategy to battle unemployment. It concludes that regional policy makers need to renew their efforts to support the growth of self-employment and sustain the existing firms.

Willingness to Pay for Environmental Quality: Testable Empirical Implications of the Growth and Environment Literature

2004 ◽  
Vol 3 (1) ◽  
Author(s):  
Debra Israel ◽  
Arik Levinson
Keyword(s):  
Economic Growth ◽  
Willingness To Pay ◽  
Environmental Quality ◽  
Theoretical Models ◽  
Individual Characteristics ◽  
Policy Implications ◽  
World Value Survey ◽  
Using Data ◽  
Environmental Kuznets Curves ◽  
Empirical Implications

Abstract Several different theoretical models of economic growth and environmental quality each generate inverse-U-shaped pollution-income paths, or "environmental Kuznets curves." They rely on different assumptions to generate the reversal of pollution trends, with correspondingly different policy implications. While the empirical implications for pollution are indistinguishable (by design), the models have distinct implications for the pattern of people's marginal willingness to pay (MWTP) for environmental improvements as a function of income. In this paper we demonstrate those different implications theoretically, and test for them empirically using data from the World Value Survey (WVS). We find strong relationships between MWTP and individual characteristics, such as age, income, and education, but little evidence that MWTP varies systematically with economic growth.

Determinants of homebound travel during Korean Thanksgiving

2019 ◽  
Vol 20 (3) ◽  
pp. 288-299
Author(s):  
Young-Joo Ahn ◽  
Seul Ki Lee ◽  
Unji Baek ◽  
Jin-Young Kim
Keyword(s):  
South Korea ◽  
Selection Bias ◽  
Large Population ◽  
Sample Selection ◽  
Probit Model ◽  
Nationwide Survey ◽  
Seasonal Demand ◽  
Self Selection ◽  
Travel Decisions ◽  
Travel Decision

With a large population flow and seasonal demand fluctuation, special holidays have been considered as one of the most important periods of time in tourism market. This study explores one of the biggest national holidays, Chuseok, known as Korean Thanksgiving. The purpose of this study is to examine homebound travel decision by applying a temporary mobility approach. The data are drawn from a nationwide survey in South Korea, and a total of 1170 surveys were used for analysis. A sample selection probit model is used to estimate whether travel decisions during Korean Thanksgiving affects the results of the two-stage correction for reducing selectivity bias. The estimation reduces the potential for self-selection bias, as individuals’ decision to travel during Korean Thanksgiving is a nonrandom decision. The estimated results provide manifestations of different travel demands during Korean Thanksgiving.

scholarly journals Linear Econometric Estimations of the Effects of Religious Beliefs on Pro-environmental Behaviors

CONVERTER ◽  
2021 ◽  
pp. 391-397
Author(s):  
Yunrong Li, Gang Li
Keyword(s):  
Religious Beliefs ◽  
Mainland China ◽  
Nationwide Survey ◽  
Least Square ◽  
Policy Implications ◽  
Least Square Estimator ◽  
Environmental Behaviors ◽  
Ordinary Least Square ◽  
Different Types ◽  
Using Data

Environmental protection has become a public concern as the economy grows, especially in developing countries. Previous studies have examined determinants of individual pro-environmental behaviors. Using data from a nationwide survey carried out in mainland China in 2013, we intend to estimate the effects of religious beliefs on individual pro-environmental behaviors. We employ a linear econometric model and apply an Ordinary Least Square estimator to estimate the model. We use five measures to represent pro-environmental behaviors and distinguish between plain and strong religious beliefs. Estimation results show that, in general, holding any religious belief has a significant impact on all types of pro-environmental behaviors. Moreover, strong religious beliefs have greater impacts on different types of pro-environmental behaviors. Policy implications of the paper could be that people with religious beliefs should not be the target of programs aiming at promoting individual pro-environmental behaviors.

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