scholarly journals Efficiency of oil-production: the role of institutional factors

2020 ◽  
Vol 12 (4) ◽  
pp. 92-104 ◽  
Author(s):  
Olena Chygryn ◽  
Oleksii Lyulyov ◽  
Tetyana Pimonenko ◽  
Saad Mlaabdal
Keyword(s):  
National Economy ◽  
Alternative Energy ◽  
Socioeconomic Development ◽  
Dynamic Models ◽  
Institutional Environment ◽  
Oil Production ◽  
Political Stability ◽  
Threshold Level ◽  
Institutional Determinants ◽  
Oil Rents

Abstract The article aims to provide a theoretical basis for the assessment of the institutional impact on oil production. The availability of fuel is the key driver of the functioning national economy, which determines the strategic and tactical landmarks of socioeconomic development and vectors of the country's foreign economic course. Such tendencies are represented in the results of the provided correlation analysis of the fluctuation between oil-production volumes and greenhouse gas emissions, the use of alternative energy sources, the number of patents for oil production, and unemployment. The provided bibliometric analysis, which was made using VOSviewer, has shown the content of interconnections between the categories of oil production and institutional determinants. The authors hypothesised that changes in the institutional environment and their interconnectedness formed a chain “oil production and oil rents → the level of corruption → the efficiency of public governance”. The hypothesis was confirmed by constructing a system of dynamic models and using the Generalised Method of Moments. The calculations confirmed that oil rents were associated with corruption and were a direct threat to the stability of public institutions. An increasing level of corruption was associated with an increase in the level of rent payments and occurred only when the quality of democratic institutions was below the threshold level. The current level of efficiency in public administration did not have a significant impact on national oil production. Of all indicators, only the level of political stability had a statistically significant impact on oil production. The identified interconnections provide the basis for creating an efficient state policy aimed at effectively functioning state institutions, which promote the development of the oil industry, and the reduction of the country's energy dependence as well as strengthen the resilience of the national economy.

scholarly journals SYSTEM-FORMING INNOVATIVE INSTITUTIONS OF THE AGRARIAN MARKET

2019 ◽  
Vol 5 (3) ◽  
pp. 152
Author(s):  
Maksym Odnorog ◽  
Nataliia Kraus ◽  
Liudmyla Savchuk
Keyword(s):  
National Economy ◽  
Rural Areas ◽  
Socioeconomic Development ◽  
New Technologies ◽  
Institutional Environment ◽  
Technical Information ◽  
Agricultural Market ◽  
Strategic Innovation ◽  
Strategic Factors ◽  
Intangible Factor

The agrarian market of Ukraine and its basic component, agriculture, is the backbone of the national economy, forms the basis of preserving the sovereignty of the state food and, within a certain range, economic, environmental, and energy security, ensures the development of technologically related sectors of the national economy, and forms socio-economic development of rural areas, therefore, the purpose of the paper is to develop scientifically-based proposals to identify the role of strategic institutions of the agricultural market. Methodology. The theoretical and methodological basis of the research is the dialectical method of cognition and systematic approach, which are used for studying theoretical and methodological foundations of strategic innovation institutes of the agricultural market. The results showed that the article examines the strategic factors that determine the efficiency of functioning of the agrarian market. The results of the monitoring and analysis of the formation of the institutional market environment are presented. There are proposed a model and priority directions of formation and development of systematizing institutions of the agricultural market. Practical implications. The studied institutions create incentives for the development of science and education, encourage the mobility of production factors, facilitate the transfer of scientific and technical information and the introduction of new technologies, promoting entrepreneurship and innovation. Conversely, inefficient institutions reduce the potential level of wellbeing, reliability of property rights, and enforcement of contracts. Value/originality. The increasing importance of innovation institutions of the agricultural market enables you to define the latter as an important intangible factor in the development of the economy and society that create the conditions necessary for the transformation and development of the agrarian market. The system of formation of a modern institutional environment should include a system of regulators, which would provide favourable conditions for attracting domestic and foreign investment, further structuring of the economic complex of the agricultural market, reduction of regional asymmetries of socioeconomic development. How full individual investment units will operate in the institutional environment depends on the realization of economic and social development priorities of the Ukrainian village.

Bypassing weak institutions in a large late-comer economy

2015 ◽  
Vol 11 (4) ◽  
pp. 847-874 ◽  
Author(s):  
EVGUENIA BESSONOVA ◽  
KSENIA GONCHAR
Keyword(s):  
Institutional Environment ◽  
Political Conflict ◽  
Round Trip ◽  
Weak Institutions ◽  
Institutional Determinants ◽  
Level Data ◽  
Development Levels ◽  
Plant Level ◽  
Source Countries

AbstractThis paper addresses the link between the strong inflow of FDI into Russia in the 2000s and its weak institutions, using plant-level data across subnational regions. The findings imply that investors have responded positively to improved quality of institutions in certain regions, which offered a combination of wealth, skills and good infrastructure. High development levels in host regions helped to bypass some institutional shortcomings. Investors from source countries exhibiting comparable institutional environment appeared to be more immune to political conflict. Round-trip investors reacted to institutional determinants in almost the same manner as genuine investors, except for tolerance to labor market imperfections.

Baghdad and Erbil policy moves may deter oil investors

2021 ◽  
Keyword(s):  
Water Injection ◽  
Oil Production ◽  
Political Stability ◽  
Kurdistan Region ◽  
Content Type ◽  
Associated Gas ◽  
Oil Sector ◽  
Bureaucratic Reform

Significance Although some important hydrocarbons projects have seen progress, both Baghdad and Erbil have made fresh moves seen as prejudicial by oil sector investors. Uncertainty continues over the authorities’ commitment to contracts, while the Kurdistan region has yet again fallen behind on payments to oil firms. Impacts Increased oil production as OPEC+ limits ease will make progress on associated gas capture and water injection more urgent. A dire electricity situation may pose a threat to political stability. Uncertainties over the upcoming elections in October and poor prospects for bureaucratic reform may further deter investment.

Global Supply Chains as Drivers of Innovation in China

2021 ◽  
pp. 553-572
Author(s):  
Michael Murphree ◽  
Dan Breznitz
Keyword(s):  
Emerging Economies ◽  
Alternative Energy ◽  
Institutional Environment ◽  
Value Chains ◽  
Global Supply Chains ◽  
Structured Uncertainty ◽  
Technology Firms ◽  
Complementary Resources ◽  
High Technology Firms

China’s manufacturing and innovation capabilities are directly related. Availability of complementary resources in rapid prototyping, test production, and components and the ability to deploy innovations at scale increasingly lead high-technology firms, including startups, to consider China as a developmental base across sectors from big data to cloud computing, smart grid, renewable energy, and alternative energy vehicles. Entry into global value chains (GVCs) has led to vast transfers of knowledge, creating human resource capabilities that continuously facilitate the upgrading of Chinese firms. China’s most advanced industries were all those characterized by active participation in GVCs. China’s entry into GVCs has differed significantly from the experiences of other emerging economies, arguably affording China greater innovation benefits. This is directly related to China’s institutional environment of “structured uncertainty.” Structured uncertainty shaped the pattern and impact of entry into GVCs, dictating which regions entered GVCs, when, and how, with long-term knowledge transfer effects.

Demographic Transition, Oil, and Institutions

2020 ◽  
pp. 1522-1553
Author(s):  
Mohammad Reza Farzanegan
Keyword(s):  
Political Institutions ◽  
Demographic Transition ◽  
Political Stability ◽  
Policy Implications ◽  
Internal Conflict ◽  
Demographic Dividend ◽  
Consumer Prices ◽  
Working Age ◽  
Oil Rents

We examine political and economic drivers of demographic transition and the moderating role of institutions, macroeconomic instability and oil rents dependency in the final effects of increasing working age population on economic development and internal conflict. Using panel data estimations for more than 100 countries from 1984 to 2012 we find that demographic transition may lead to demographic dividend only if the country enjoys good quality of economic and political institutions, a diversified economy and stable consumer prices. Otherwise demographic dividend is not guaranteed. By contrast, we may expect a demographic curse. These results have important policy implications for the case of Iran which is expecting a significant transition in its population age structure since 1990s. Future of Iran is highly dependent on the proper use of potential demographic rent which can turn against the political stability if the wrong policies and institutions are in place and country dependence on oil rents continues as before.

The Nexus Between Institutional Quality and Foreign Direct Investments (FDI) in South Asia

2020 ◽  
pp. 676-693
Author(s):  
Mohammad Ashraful Ferdous Chowdhury
Keyword(s):  
South Asia ◽  
World Bank ◽  
Dynamic Models ◽  
Positive Impact ◽  
Institutional Quality ◽  
Political Stability ◽  
Foreign Direct Investments ◽  
Quality Factors ◽  
Developing Regions ◽  
Dynamic Heterogeneous Panel

South Asia is one of the world's fastest growing regions, averaging 6.7 percent annual increases in real GDP over the past decade. However, South Asia's FDI inflows as a share of GDP are the lowest of all developing regions, averaging less than 2 percent in 2000-11(World Bank, 2013). Institutional quality is one of the factors that determine the volume of FDI inflow in any country. This study covers the data of three sampled countries of South Asia provided by the World Bank for the period 2003-2014. By using both static and dynamic models, this study reveals that regulatory quality and the political stability have significantly positive impact on the FDI inflow into each of the three countries. For Robustness, this study also employs dynamic heterogeneous panel approaches like Pool Mean Group (PMG) and found that institutional quality factors are significantly relevant to the FDI. As a policy implication, the regression results indicate that during the process of reform, the relation between FDI and institutional quality warrants a certain amount of attention.

Fiscal Outcomes in Bahrain

2019 ◽  
pp. 329-355
Author(s):  
Hoda El Enbaby ◽  
Hoda Selim
Keyword(s):  
Price Volatility ◽  
Political Stability ◽  
General Context ◽  
Budgetary Process ◽  
Oil Price Volatility ◽  
Weak Institutions ◽  
Oil Rents ◽  
The Government ◽  
Oil Wealth ◽  
Budget Execution

This chapter argues that political economy factors, rather than oil wealth, shape the budgetary process and outcomes in Bahrain. Fiscal volatility and excessive current spending (in the form of wages, social welfare, and subsidies) leading to unsustainable non-oil deficits are not fully derived from oil price volatility. Weak institutions, including those underlying the budgetary process, have contributed to some fiscal laxity. These have allowed rulers to use current spending as a channel for the redistribution of oil rents and to secure political stability and allegiance to the regime in a turbulent sociopolitical environment. The budgetary process has been undermined by the structure of the bicameral parliament, while the absence of restrictions on parliament to amend the budget weakens the position of the executive. In the general context of limited transparency and accountability, the government may also be exercising its discretionary powers over the budget execution but this cannot be known.

Development of Alternative Energy in Russia in the Context of a Low-Carbon Economy Model

2019 ◽  
Vol 2019 (4) ◽  
pp. 122-139
Author(s):  
Olga Kudryavtseva ◽  
Elena Mitenkova ◽  
Olga Malikova ◽  
Maksim Golovin
Keyword(s):  
Renewable Energy ◽  
Alternative Energy ◽  
Institutional Environment ◽  
Renewable Energy Sources ◽  
Government Support ◽  
Low Carbon ◽  
Economy Model ◽  
Low Carbon Economy ◽  
The Government ◽  
Carbon Economy

The article is dedicated to the analysis of the development of alternative energy in Russia as one of the key factors of forming a low-carbon economy model. Authors reviewed the main stages of forming the institutional environment which regulated the process of the transition to a low-carbon economy model and a wider use of alternative energy including renewable energy sources (RES).Authors analyzed the renewable energy industry in Russia. The empirical base of the study consists of auctions results conducted in the framework of the government support of RES during 2013-2018 and the information system “SPARK”. Using the Concentration ratio, the Herfindahl-Hirschman and the Hall-Tideman indices authors revealed a high level of concentration in this industry in the context of each type of RES. In addition, an analysis of the ownership structure of companies has shown that the most successful companies are companies in the form of partnerships between the state, a Russian company and / or a foreign company.

scholarly journals Prospects of applying formation water and heavy brines derived therefrom in oil production and national economy

2020 ◽  
Vol 905 ◽  
pp. 012081
Author(s):  
R R Kadyrov ◽  
V V Mukhametshin ◽  
I F Galiullina ◽  
L S Kuleshova ◽  
A R Safiullina
Keyword(s):  
National Economy ◽  
Oil Production ◽  
Formation Water

Institutional determinants of financial inclusion: evidence from world economies

2020 ◽  
Vol 19 (2) ◽  
pp. 217-228
Author(s):  
Tarek Eldomiaty ◽  
Rasha Hammam ◽  
Rawan El Bakry
Keyword(s):  
Credit Card ◽  
Financial Institution ◽  
Panel Data Analysis ◽  
Political Stability ◽  
Financial Inclusion ◽  
Content Type ◽  
Global Database ◽  
Institutional Determinants ◽  
World Governance Indicators ◽  
The Impact

Purpose Financial inclusion is an approach for mobilizing saving and facilitating investments that help promote economic development and pave the way for sustainable development. This paper aims to examine the impact of world governance indicators (WGIs) on the improvement of financial inclusion across world economies. Design/methodology/approach This paper uses the global database of financial inclusion indicators (global findex) for the years 2011, 2014 and 2017. The WGIs are used as proxies for the effects of governmental institutional arrangements. Using panel data analysis, a fixed generalized linear model is estimated for four common financial indicators; namely, borrowed from a financial institution, saved at a financial institution, credit card and debit card ownership. Findings The empirical results reveal that control of corruption, government effectiveness, political stability and voice and accountability are the significant WGIs that influence financial inclusion significantly. Originality/value This paper contributes to the literature in two ways. First, this paper offers validating the results previously reported in related studies. Second, this paper offers robust estimates of the effects of the institutional WGIs on the promotion of financial inclusion.

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