scholarly journals The Determinants of Private Fixed Investment and the Relationship between Public and Private Capital Accumulation in Turkey

2002 ◽  
Vol 41 (3) ◽  
pp. 243-254 ◽  
Author(s):  
Krishna Rao Akkina ◽  
Mehmet Ali Celebi
Keyword(s):  
Capital Accumulation ◽  
Private Investment ◽  
Investment Model ◽  
Fixed Investment ◽  
Public And Private ◽  
Financial Repression ◽  
Positive Effects ◽  
Financial Liberalisation ◽  
Public And Private Sector ◽  
Investment Spending

The purpose of this study is to analyse the determinants of private fixed investment spending in Turkey over the period 1970-96, which covers years of both financial repression and financial liberalisation. A reformulated neoclassical investment model and a reformulated flexible accelerator investment model have been tested for the Turkish economy. The results obtained support the accelerator principle and the crowding out hypothesis, that is, public and private sector investments have been found to be substitutes. Furthermore, the hypothesis that the volume of funds is as important as the cost of funds used in financing private fixed investment has been verified. On the other hand, the so-called McKinnon-Shaw hypothesis has not been completely verified because the effect of the medium-term real lending rate on private fixed investment has been found to be negative but statistically insignificant. Finally, the financial and liberalisation programmes that have been implemented since 1983 have not yet shown any noticeable positive effects on private investment.

scholarly journals The impact of credit rationing on farmer’s economic equilibrium

2009 ◽  
Vol 55 (No. 11) ◽  
pp. 541-549 ◽  
Author(s):  
L. Čechura
Keyword(s):  
Capital Accumulation ◽  
Control Variable ◽  
Credit Rationing ◽  
Adjustment Costs ◽  
Investment Model ◽  
Economic Equilibrium ◽  
Dynamic Investment ◽  
Dynamic Optimization Model ◽  
Investment Spending ◽  
The Impact

The paper deals with the theoretical analysis of the impact of credit rationing on farmer’s economic equilibrium. The analysis is carried out based on the derived dynamic optimization model, which is the dynamic investment model with adjustment costs. The credit rationing is introduced by imposing an upper limit on the control variable, which is in this case represented by the investment spending. Then, the optimal control is used to solve the optimization problem in the situation of both with and without credit constraints. Finally, the situations without and with credit rationing are compared. The results show that the occurrence of credit rationing or in general financial constraints significantly determines the capital accumulation and investment decisions of farmers and as a result their supply functions.

scholarly journals Government Spending and Economic Growth in Cameroon

2018 ◽  
Vol 14 (28) ◽  
pp. 68
Author(s):  
Donald Djatcho Siefu ◽  
Martin Njocke ◽  
Neba Cletus Yah
Keyword(s):  
Economic Growth ◽  
Government Spending ◽  
Public Investment ◽  
Private Investment ◽  
Government Investment ◽  
Public And Private ◽  
Role Of Government ◽  
The Public ◽  
Investment Spending

Today, the role of government spending which is considered as the main instrument in the promotion of economic development is seen in the public investment budget (PIB). This study analyzes the role of the public investment spending in the economic growth of Cameroon. Specifically, it brings out the effect of Public and Private Investment on GDP growth in Cameroon. The role of the PIB as an instigator of economic growth should be clarified in order to justify government investment expenditure. Many studies have analysed the relationship between government spending and economic growth but the analysis of the composition of government spending and induced economic growth is an aspect of economic analysis which deserves more interest. This study analysis the effect of government investment spending on economic growth in Cameroon going from the components of the GDP5 and using VAR (Vector Auto Regressive) model. Our results show the intervals in which the various components of government spending have an effect on economic growth in Cameroon. We find that the lagged GDP and government investments have a positive effect on growth whereas private investments affect it negatively.

scholarly journals How Plausible the Predicted Superiority of Private Over Public Investment Still Stands, If Ever?

2021 ◽  
Vol 13 (10) ◽  
pp. 87
Author(s):  
Benjamin García Páez
Keyword(s):  
Public Investment ◽  
Empirical Work ◽  
Private Investment ◽  
Developed Countries ◽  
Public And Private ◽  
The Public ◽  
Financial Liberalisation ◽  
Work Done ◽  
The Relationship ◽  
Theoretical Issues

This essay aims to test the hypothesis held by the Theory of Financial Liberalisation in the sense that financial resources diverted by non-market forces are inefficiently allocated, ergo, public investment is less productive than private investment. The relationship between public and        private investment and the productivity in both the public and the private     sectors are then analysed in search of empirical evidence to discern the endurance of such hypothesis throughout the changing evolution of the Mexican financial system since 1970 up to 2019. The paper is arranged in four sections. Firstly, some historical financial liberalisation events are put forward. Secondly, theoretical issues concerning the concept    of productivity of the two types of investment are discussed. It also reviews empirical work done on the productivity in less-developed countries. Thirdly, an attempt to measure productivity of both public and private investment in Mexico is made. It then describes the methodology and the estimation results obtained for Mexico are launched. Finally, main conclusions are delivered.

Trade Creation or Trade Diversion in ASEAN and ASEAN+6 FTAs: Trade Indicators Approach

2015 ◽  
pp. 25-41
Author(s):  
Anh Tu Thuy ◽  
Ngoc Le Minh
Keyword(s):  
Comparative Advantage ◽  
Wheat Gluten ◽  
Free Trade Area ◽  
Private Investment ◽  
Trade Diversion ◽  
Trade Creation ◽  
Public And Private ◽  
Trade Area ◽  
Economic Partnership ◽  
Regional Comprehensive Economic Partnership

This paper makes use of two trade indicators, Revealed Comparative Advantage (RCA) and Regional Orientation (RO), to evaluate the economic impacts of the ASEAN Free Trade Area (The) and the Regional Comprehensive Economic Partnership (RCEP) on Vietnamese commodities at the Harmonized System (HS) 2-digit level. Several sectors in which Vietnam has revealed a comparative advantage, has benefited from the AFTA, and would continue to enjoy trade creation from the RCEP, are: Cereals (10), Salt, sulphur, earth, stone, plaster, lime and cement (25), Rubber (40), Knitted or crocheted fabric (60), etc. More importantly, the result provides a list of commodities in which Vietnam has a comparative advantage and only experiences trade creation when participating in the RCEP. These are: Milling products, malt, starches, inulin, wheat gluten (11), Vegetable plaiting materials, vegetable products not elsewhere specified (14), Wood and articles of wood, wood charcoal (44), etc. Findings also show commodities in which Vietnam has a comparative advantage; but are not well positioned in the RCEP market yet, e.g. Cereal, flour, starch, milk preparations and products (19) and Manmade staple fibres (55). If sufficient investment decisions and marketing strategies are applied to these commodities, they will well penetrate the RCEP market and bring trade creation and welfare improvement to Vietnam. Public and private investment should consider the above-mentioned commodities as targets to leapfrog the benefits of RCEP.

Delegation of Responsibilities: A Leadership Tool for Subordinates’ Competence Development in Selected Organisations in Ibadan Metropolis

2015 ◽  
Vol 13 (1) ◽  
Author(s):  
Samuel Ayodeji Omolawal
Keyword(s):  
Data Collection ◽  
Survey Research ◽  
Research Design ◽  
Competence Development ◽  
P Value ◽  
Important Ingredient ◽  
Public And Private ◽  
Positive Effects ◽  
Organisational Climate ◽  
Qualitative Approaches

Delegation of responsibilities constitutes a very important ingredient of good leadership in organisations and is critical to competence development of workers. However, experience shows that many leaders are unwilling to delegate responsibilities to their subordinates for a number of reasons. This study was therefore designed to investigate delegation of responsibilities as a tool for competence development of subordinates in selected organisations in Ibadan metropolis. The study, anchored on Elkem’s model, was descriptive and adopted survey research design with a combination of both quantitative and qualitative approaches. It was conducted on 206 respondents randomly selected from 20 public and private organisations in Ibadan. Questionnaire and IDI were instruments of data collection, while the data collected were analysed using both quantitative and qualitative techniques. The study showed that respondents perceived delegation of responsibilities as a vital tool for developing, equipping and motivating subordinates; and that it had positive effects on subordinates’ performance (X2 = 11.14, p-value = 0.001). The study also revealed that lack of confidence in subordinates (79%), level of skill and competence (66%), organisational climate (68%) and bureaucracy (58%) were barriers to delegation of responsibilities. Delegation of responsibilities is a cost-free way of enhancing competence development of subordinates in organisations, and should therefore, be encouraged among leaders irrespective of their levels.

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