scholarly journals Innovativeness of Industrial Processing Enterprises and Conjunctural Movement

Entropy ◽  
2020 ◽  
Vol 22 (10) ◽  
pp. 1177
Author(s):  
Aleksander Jakimowicz ◽  
Daniel Rzeczkowski
Keyword(s):  
Financial Crisis ◽  
Business Cycle ◽  
Global Financial Crisis ◽  
Innovative Activity ◽  
Public Enterprises ◽  
Macroeconomic Factors ◽  
Industrial Processing ◽  
Innovation Activities ◽  
The Business Cycle ◽  
The Impact

Singulation of components determining the innovative activity of enterprises is a complex issue as it depends on both microeconomic and macroeconomic factors. The purpose of this article is to present the results of research on the impact of the mutual interactions between ownership and the size of companies on the achievement of the objectives of innovative activity by Polish industrial processing enterprises in changing cyclical conditions. The importance of innovation barriers was also assessed. Empirical data came from three periods that covered different phases of the business cycle: prosperity 2004–2006, global financial crisis 2008–2010, and recovery 2012–2014. The research used a cybernetic approach based on feedback loops presenting interactions between variables. In addition, two statistical methods were used: the Pearson’s χ2 independence test and correspondence analysis. The following discoveries were made during the research: (1) consideration of the combined impact of ownership and the size of companies on their innovation activities makes it possible to study phenomena that may be overlooked if the impact of these factors is considered separately; (2) public enterprises achieve significantly worse results in terms of innovation than companies from other ownership sectors; (3) the Red Queen effect, which assumes that the best innovative enterprises exert selection pressure on all other companies, applies to industrial processing companies, and in particular public enterprises; (4) the industrial processing section is more sensitive to secular trends than to cyclical fluctuations; (5) confirmation of occurrence of the Polish Green Island effect, which assumes that companies achieve good results in terms of innovation, irrespective of the phases of the business cycle; and (6) statistical evidence is provided that the global financial crisis may be associated with the turn of the Fifth and Sixth Kondratieff waves. Most likely, the role of the communication channel between the world economy and the Polish manufacturing section is fulfilled by foreign ownership, whose percentage of share capital of this section is estimated at 50%.

scholarly journals Do barriers to innovation impact changes in innovation activities of firms during business cycle? The effect of the Polish green island

Equilibrium ◽  
2019 ◽  
Vol 14 (4) ◽  
pp. 631-676 ◽  
Author(s):  
Aleksander Jakimowicz ◽  
Daniel Rzeczkowski
Keyword(s):  
Financial Crisis ◽  
Business Cycle ◽  
Global Financial Crisis ◽  
Innovative Activity ◽  
Industrial Processing ◽  
Innovation Activities ◽  
Innovation Barriers ◽  
The Business Cycle ◽  
The Global Financial Crisis ◽  
Green Island

Research background: There is no doubt that innovation is an important source of economic growth. In the assessment of the innovative activity of Polish industrial processing enterprises, two opposing views can be found. The first indicates the exogenous shock resulting from the global financial crisis and the associated innovation crisis and the subsequent period of innovative pessimism. The second shows the Polish economy as the European Green Island due to strong and uninterrupted economic growth over the past 27 years, controlled inflation, and reduction of unemployment as well as increase of the citizens’ well-being. In these conditions, an interesting research gap appeared, which is worth filling, at the centre of which there are factors determining the innovative activity of enterprises, and in particular the role and importance of innovation barriers in various phases of the business cycle. Purpose of the article: The aim of the research is to determine the impact of innovation barriers and degrees of their importance on the innovation activity of Polish industrial processing enterprises during the business cycle. The time frame of the analysis covers three phases of the cycle: the prosperity period of 2004–2006, the global financial crisis of 2008–2010 and the recovery from 2012–2014. Methods: Pearson’s χ2 independence test and correspondence analysis were used for data analysis. The research results are presented in a graphical form of biplots that describe the coexistence of three types of variables: (1) types of enterprises and ownership sectors, (2) effects or objectives of innovative activity, and (3) innovation barriers and reasons for the lack of innovation. The basis of calculations were three databases covering the mentioned periods. Findings & Value added: High resistance of innovative activity of Polish industrial processing enterprises to economic fluctuations has been demonstrated. Innovation barriers and degrees of their importance had little impact on the operations of enterprises in the first of the analysed periods, when prosperity was booming. The impact of the global financial crisis on innovation activities proved to be counterintuitive, as enterprises have continuously achieved their goals and the importance of innovation barriers has diminished even more. In the third period, innovation barriers no longer had any significance for the innovation activities of enterprises. The phenomenon of a gradual decline in the importance of innovation barriers, regardless of the phases of the business cycle, was called the Polish Green Island Effect. The relationship found is a peculiarity which is probably unprecedented in recent world economic history.

scholarly journals Firm ownership and size versus innovation activities over the business cycle: near-zero inertia as a sign of the transition from the fifth to the sixth Kondratieff wave

2019 ◽  
Vol 10 (4) ◽  
pp. 689-741 ◽  
Author(s):  
Aleksander Jakimowicz ◽  
Daniel Rzeczkowski
Keyword(s):  
Financial Crisis ◽  
Business Cycle ◽  
Global Financial Crisis ◽  
Innovative Activity ◽  
Combined Effect ◽  
Innovation Activity ◽  
Cycle Phase ◽  
Industrial Processing ◽  
The Business Cycle ◽  
The Global Financial Crisis

Research background: The innovation activity of Polish industrial processing enterprises is examined in a broader time context than typical business cycle frames, which makes it possible to look at the investigated problems from the perspective of Kondratieff waves. Purpose of the article: The aim of the research is to describe the combined effect of mutual interactions between the ownership and size of Polish industrial processing enterprises on the goals of innovative activity and their degree of importance for the further development of the innovativeness of those firms. These relations are examined in various phases of the business cycle. Additionally, taking secular changes into account made it possible to lend credence to the claim that the global financial crisis is a typical phenomenon for the breakthrough period between two Kondratieff waves. Methods: A characteristic feature of the applied method is the focus on the combined effect of the enterprise type and ownership structure on firms’ innovation over three periods: prosperity 2004–2006, crisis 2008–2010 and recovery 2012–2014. As regards statistical techniques, the Pearson’s χ^2 independence test and correspondence analysis were applied. The results of the research are presented in a graphic form in three- and two-dimensional correspondence maps, which indicate the co-occurrence of (1) ownership sectors and enterprise types taken together, and (2) effects (goals) of the innovative activity of enterprises, together with the degree of their influence (importance) for further innovative activity. Mutual interactions between ownership sectors and enterprise types were visually analysed, indicating significant features of the triangles representing them. Findings & Value added: A significant combined effect of the ownership sectors and enterprise types on firms’ innovative activity was found. There was a certain type of dynamic equilibrium between those variables, which changes depending on the business cycle phase. In the global financial crisis of 2008–2010, a surprising phenomenon was found, consisting of the growth of innovative activity in most enterprises as compared to the period of prosperity in 2004–2006. The enterprises achieved the goals assumed, and the degree of their importance proved the significant influence on further innovative activity of those firms. Additionally, it was demonstrated that in the period of recovery (2012–2014) mutual interactions between ownership and size eliminated the relationship between those variables and the goals of innovative activity, and eco-innovations proved to be directly subordinated to traditional types of innovations, mainly product and process innovations. Changes occurring in the last of the examined periods are related to the near-zero inertia of the entire industrial processing section, which allows to interpret the global financial crisis as a typical phenomenon for a breakthrough marking the end of one Kondratieff wave and the beginning of the next. Moreover, 2015 is identified as the year of breakthrough, ending the Fifth and beginning the Sixth Kondratieff Wave, which was related to the transition from the information and telecommunications revolution to the biomedical-hydrogen revolution. The calculations presented in this paper are consistent with those forecasts.

Conclusion

2018 ◽  
Author(s):  
Nauro F. Campos ◽  
Paul De Grauwe ◽  
Yuemei Ji
Keyword(s):  
Financial Crisis ◽  
Business Cycle ◽  
Sovereign Debt ◽  
Global Financial Crisis ◽  
Debt Crisis ◽  
Structural Reform ◽  
Structural Reforms ◽  
Sovereign Debt Crisis ◽  
The Business Cycle ◽  
The Global Financial Crisis

Structural reform policies move like the business cycle. There are moments when these are implemented with great fervour and others when they are put on the back burner or even dismantled. After the global financial crisis, and in particular the sovereign debt crisis in Europe, many countries were forced by creditor countries or were self-imposed to apply deep reforms to their product markets and especially to their labour markets. Now that Europe is recovering, the pressure to implement structural reforms has abated....

scholarly journals UNDERSTANDING REGIONAL ECONOMIC PERFORMANCE AND RESILIENCE IN THE UK: TRENDS SINCE THE GLOBAL FINANCIAL CRISIS

2020 ◽  
Vol 253 ◽  
pp. R18-R28
Author(s):  
Marianne Sensier ◽  
Fiona Devine
Keyword(s):  
Financial Crisis ◽  
Business Cycle ◽  
Global Financial Crisis ◽  
Peak Level ◽  
Economic Resilience ◽  
Employment Level ◽  
The Business Cycle ◽  
Regional Economic Performance ◽  
The Global Financial Crisis ◽  
The Uk

We investigate economic resilience of UK regions before, during and after the 2007/8 global financial crisis. We date business cycle turning points in real output, employment and productivity to assess the resilience dimensions of resistance, recovery and renewal and rank the economic resilience of regions in a resilience scorecard. Our empirical results reveal that the business cycle in productivity has not returned to its pre-recession peak level for Yorkshire and the Humber and the employment level has not recovered in Scotland. The resilience scorecard ranks the South East as the most resilient region with Northern Ireland the least resilient.

What causes financial crisis in Asian countries?

2018 ◽  
pp. 5-19 ◽  
Author(s):  
Anh Thi Thuy Vo ◽  
Thuy Xuan Ha ◽  
Khanh Phan Nha Bui
Keyword(s):  
Corporate Governance ◽  
Financial Crisis ◽  
Minor Effect ◽  
Asian Countries ◽  
Macroeconomic Factors ◽  
Governance Index ◽  
The Business Cycle ◽  
A Minor ◽  
And Control ◽  
The Impact

In this paper, we investigate the indicators of financial crisis in Asian countries, focusing more on the impact of corporate governance. Unlike the previous studies such as Johnson et al. (2000) and Acemoglu et al. (2003) that use some fixed measures of corporate governance based on the law in force in a specific year—such as the anti-director right index (ADRI) or the anti-self dealing index (ASDI)—we employ the annual Worldwide Governance Index (WGIs) and the Quality of Governance Index. The regression results, which use the data of 19 Asian countries from 1996 to 2015, and control for country fixed effect and the business cycle, show that the macroeconomic factors appear to have no effect, or a minor effect, on currency depreciation. However, better corporate governance reduces the decline in currency value.

Impact of activity restrictions on risk taking of banks: does competition matter during crisis?

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Abu Hanifa Md. Noman ◽  
Che Ruhana Isa ◽  
Md Aslam Mia ◽  
Chan Sok-Gee
Keyword(s):  
Financial Crisis ◽  
Risk Taking ◽  
Global Financial Crisis ◽  
Policy Formulation ◽  
Macroeconomic Factors ◽  
Content Type ◽  
Dynamic Panel Regression ◽  
Generalised Method Of Moments ◽  
The Impact ◽  
Activity Restrictions

Purpose This study aims to examine the impact of activity restrictions in shaping the risk-taking behaviour of banks through the channel of competition in different economic conditions. Design/methodology/approach The authors use a dynamic panel regression method, particularly a two-step system generalised method of moments to address the risk-taking persistence of banks and endogeneity of activity restrictions and competition with banks’ risk-taking using financial freedom and property rights as instrumental variables. Activity restrictions are computed by constructing an index based on the survey results of Barth et al. (2001, 2006, 2008 and 2013a). Competition is measured by the Panzar–Rosse H-statistic and risk-taking behaviour are measured by non-performing loan ratio and lnZ-score. In the investigation process, the authors control bank characteristics – size, efficiency, ownership and loan composition and macroeconomic factors – gross domestic product growth and inflation, and use 2,527 bank-year observations from 180 commercial banks of Association of the Southeast Asian Nations-five countries over the 1990–2014 period. Findings This study finds that activity restrictions exacerbate the risk-taking behaviour of the banks leading to changes in the channel of competition because of the “risk-shifting effect” of competition. The finding is robust by considering the financial crisis and alternative specifications. Research limitations/implications This study contributes to bank literature and policy formulation regarding the effect of activity restrictions on the risk-taking behaviour of banks, which is an issue of concern amongst bank regulators, policymakers and academics, especially in the aftermath of the 2008–2009 global financial crisis. Practical implications Understanding how the competition plays a role in the relationship between activity restrictions and the risk-taking of banks in different economic situations. Originality/value This study provides new insight into the bank literature by investigating the moderating role of competition on activity restrictions and the risk-taking behaviour of banks in a different economic environment.

scholarly journals The effects of the National Credit Act and the global financial crisis on domestic credit extension: Empirical evidence from South Africa

2012 ◽  
Vol 5 (1) ◽  
pp. 215-228 ◽  
Author(s):  
Chimwemwe Chipeta ◽  
Douglas Mbululu
Keyword(s):  
South Africa ◽  
Financial Crisis ◽  
Credit Card ◽  
Global Financial Crisis ◽  
Ordinary Least Squares ◽  
Negative Influence ◽  
Macroeconomic Factors ◽  
The Global Financial Crisis ◽  
The Impact ◽  
National Credit Act

This paper examines the impact of the new National Credit Act (NCA) No. 34 of 2005 and the global financial crisis on credit extension provided by all monetary institutions in South Africa. The econometric approach is estimated by way of ordinary least squares while controlling for several macroeconomic factors. The findings indicate that there was a general increase in the consumer credit provision in the period subsequent to the full implementation of the Act. The promulgation of the Act increases credit card, bank overdrafts, other conventional loans and total credit to the private sector categories. The implementation of the Act fails to reverse this trend but exerts a negative influence on lease finance and the global financial crisis has significant negative effects on most of the credit provision categories. The paper seeks to investigate an under-researched area on the interrelatedness of credit provider regulation, financial crises and credit extension.

scholarly journals Editorial for Special Issue “New Frontiers in Forecasting the Business Cycle and Financial Markets”

Forecasting ◽  
2021 ◽  
Vol 3 (3) ◽  
pp. 498-500
Author(s):  
Alessia Paccagnini
Keyword(s):  
Financial Crisis ◽  
Business Cycle ◽  
Financial Markets ◽  
Global Financial Crisis ◽  
Special Issue ◽  
The Business Cycle ◽  
The Global Financial Crisis

The global financial crisis of 2007–2009 and the COVID-19 pandemic have heightened uncertainty in financial markets and the business cycle [...]

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