scholarly journals Declining Protection for Vietnamese Agriculture under Trade Liberalization: Evidence from an Input–Output Analysis

Economies ◽  
2020 ◽  
Vol 8 (2) ◽  
pp. 43
Author(s):  
Bao Ho Dinh ◽  
Hai Nguyen Phuc ◽  
Trinh Bui ◽  
Hau Nguyen

This study aims to assess the protection for Vietnamese agriculture under trade liberalization based on the input–output approach. From a theoretical perspective, the authors develop a general framework to estimate the effective rate of protection using an input–output table, taking into account tariffs, subsidies and value-added tax. Based on the data of 2012 and 2016, with a projection to 2020, the empirical results reveal that agricultural production, which is considered as Vietnam’s comparative advantage, is insignificantly protected. From the year 2012 to 2016, the effective rate of protection declined for primary agriculture and its supporting sectors, and would become negative by 2020. This implies that Vietnamese farmers are at a disadvantage due to the effect of trade liberalization. Furthermore, it is empirically revealed that the primary agricultural sector has a high value-added multiplier, which means a significant contribution to the domestic economy, is not protected by the government’s tax and tariff policies. Based on the study results, the authors suggest some policy recommendations to improve the situation, which are focused on the reduction of the value-added tax rate on inputs, while making industries with a high spillover effect to the domestic economy a key priority.

Agro Ekonomi ◽  
2013 ◽  
Vol 24 (1) ◽  
pp. 1
Author(s):  
Hani Perwitasari ◽  
Irham Irham ◽  
Jamhari Jamhari

The purpose of this research are (1) to identify changes in the structure of Indonesia’s economi, (2) to identifty backward linkage and forward linkage between agriculture sector eith other sctors in economic structure of Indonesia, (3) to know the multiplier effect of output, income, employment and grows value added of agriculture sector. The research analyzed Input-Output data, the domestic transaction based on producer price, that in classified 66 sectors published by the Cnetral Statistics Agency (BPS) uidng Input-Output Analysis.These result indicate that ini 1975 until 2008 the structure of Indonesia’s economy has changed towards industrialization. Backward linkage and forward linkage between the agriculture sectora are under the average backward linkage and the forward linkage of economy all sector in Indonesia. Multiplier effect to output, income, employment in the agricultural sector are the average of output multiplier effect income, employment sectors of the economy throughout Indonesia but the gross value added in above-average gross value added multiplier effects throught the economy of Indonesia. 


2018 ◽  
Vol 6 ◽  
pp. 522-528
Author(s):  
Angelika Kútna ◽  
Norbert Gyurián ◽  
Zoltán Šeben

In 2015, the Slovak Parliament adopted the Law on Amendments to the Law on Value-Added Tax. This law came into force on January 1, 2016. One of the most significant changes was the introduction of a reverse-charge for the provision of construction works. A government statement of its positive influence on the business environment is inconsistent with the two-year experience in the building sector. The main goal of this paper is to establish the reason for the practical effects of the value-added tax reverse-charge mechanism on the construction companies. The hypothesis is that the negative effect on the cash flows of the construction companies increases ‘opportunity costs’ connected to excessive deductions. The paper focuses on evaluating and quantifying such an effect. It presents a comparison of the conditions before and after the adoption of the Act. No. 222/2004 Coll., as amended in 2016 and includes factors that influence costs and cash flows of construction companies. It but does not consider factors related to turnover and the economic situation.  The reverse-charge mechanism affects the total of tax owing, the total deductible tax, the total excessive deduction, and the construction companies’ cash flows. In this study, the data from the information system of the Slovak Republic, under the condition of anonymity, are analyzed for the period 2014–2017. The effect of the value-added tax is quantified by way of financial interest expenses. These expenses depend on time limits for the excessive deduction, total of tax owing, and on the excessive deduction amount. Indicators of ‘Financial Burden 1’ and ‘Financial Burden 2’ are calculated. The results show that the Law on Amendments of Value Added Tax has significantly affected the constructions companies since January 2016. The reverse-charge system has not changed the delay in excessive deduction payments to the taxpayer’s bank account. It has changed the amount of excessive deduction expressed through money and the total tax owing. Based on the study results, this change markedly affects the financial burden of construction companies and provides an ‘opportunity cost’ Value Added Tax payers‘ construction company.


2020 ◽  
Author(s):  
Markus Lehmkuhl ◽  
Nikolai Promies

Based on the decision-theoretical conditions underlying the selection of events for news coverage in science journalism, this article uses a novel input-output analysis to investigate which of the more than eight million scientific study results published between August 2014 and July 2018 have been selected by global journalism to a relevant degree. We are interested in two different structures in the media coverage of scientific results. Firstly, the structure of sources that journalists use, i.e. scientific journals, and secondly, the congruence of the journalistic selection of single results. Previous research suggests that the selection of sources and results follows a certain heavy-tailed distribution, a power law. Mathematically, this distribution can be described with a function of the form C*x-α. We argue that the exponent of such power law distributions can potentially be an indicator to describe selectivity in journalism on a high aggregation level. In our input-output analysis, we look for such patterns in the coverage of all scientific results published in the database Scopus over four years. To get an estimate of the coverage of these results, we use data from the altmetrics provider Altmetric, more precisely their Mainstream-Media-Score (MSM-Score). Based on exploratory analyses, we define papers with a score of 50 or above as Social Impact Papers (SIPs). Over our study period, we identified 5,833 SIPs published in 1,236 journals. We consider a power law fit with an exponent of about -2 to be plausible for the distribution of the source selection but cannot confirm the power law hypothesis for the distribution of the selection of single results. In this case, an exponentially truncated power law seems to be the better fit.


1972 ◽  
Vol 4 (1) ◽  
pp. 165-170 ◽  
Author(s):  
J. B. Penn ◽  
G. D. Irwin ◽  
R. A. Richardson

Discussion of the possibility of a value added tax (VAT) has recently become a lively topic for the press, public, and politicians. The President's 1970 Task Force on Business Taxation recommended that the tax not be imposed immediately, but that the possibility of using the VAT in the future be given more exposure and discussion. A number of states have also considered enacting a VAT, and a few have done so.


1997 ◽  
Vol 3 (4) ◽  
pp. 341-359 ◽  
Author(s):  
Daniel Freeman ◽  
Esther Sultan

Tourism has become one of the main export services in Israel in the last five years. The objective of this study was to estimate the comprehensive contribution of tourism to the economy of Israel and its spatial distribution. The study measured the impacts (multipliers) on three levels: direct, indirect and induced. A multi-regional input–output (MRIO) model was used in this research because of its capability to evaluate the impacts of inter-regional interdependencies simultaneously with those of sectoral ones. The results were expressed as multi-regional input–output multipliers. The authors conclude that the sum of the value-added from indirect output was 4% of GDP, and that from induced impacts was 7% of the GDP. There were differences in the impacts within and outside the regions. The analysis of multi-regional impacts through the use of MRIO enabled the authors to estimate simultaneously the magnitude of the impacts within the region, the related impacts in other regions, and the feedback impacts due to the other regions' demand.


2018 ◽  
Vol 4 (1) ◽  
pp. 49-70
Author(s):  
Rizki Putri Nurdiati ◽  
Rina Oktaviani ◽  
Sahara Sahara

Globalization has transformed the structure of industry into global integration of socalled global value chains (GVCs). Some literatures suggest that electronic industry is known as a successful industry in establishing global value chain. Electronic industry is one of leading cluster in driving economic growth in Indonesia. This study aimed to analyze the role of Indonesia in electronic global value chain according to its share towards global electronic industry, linkages, and value added distribution. An input output analysis by using the Asian International Input Output Table 2005 was employed to analyze the share of each country in electronic global value chain, inter-sector linkages, value added, also output and income multiplier. The result showed that Indonesia had low participation in electronic global value chain. Indonesia’s output share was the lowest among all countries which resulted in low valueadded acquisition. Indonesia played the role as the input user from the various sectors. It is suggested that Indonesia electronic manufacture sector should be integrated with the input supplier sectors. Electronic computing equipment sector can be the main priority in enhancing Indonesia electronic manufacture sector since it has the biggest effect to economic growth. Keywords: electronic, global value chain, Indonesia, input output analysis


2019 ◽  
Vol 10 (3) ◽  
pp. 329
Author(s):  
Lionel Effiom ◽  
Bassey Ebi

The collapse of the international price of crude oil in 2015 and its attendant negative consequences on government fiscal capacity and development efforts re-echoed the need for Nigerians to return to agriculture as the surest means of conserving foreign exchange and revamping productive capacity. Within this context, this paper deploys the autoregressive distributed lag (ARDL) econometric methodology to investigate the impact of Nigeria’s trade policy and infrastructural development on agricultural value added. Findings show that in the long run Nigeria’s trade liberalization policy is a disincentive to the growth of the agricultural sector value added, while key components of infrastructure (roads, telecommunications, and electricity consumption) had a significant relationship with the agricultural sector. We advocate guided trade liberalization wherein, while embracing the principles of conventional trade deregulation, the government properly articulates the weakness of the economy’s productive structure and encourage farmers and local producers to attain maturity. Specifically, the current ban on some selected food items should be consolidated, without which Nigeria would continue to be a net food importer. Goveronment might consider studying and implementing the African Development Bank’s Infrastructure Action Plan for Nigeria.


2019 ◽  
Vol 31 (3) ◽  
pp. 424-439
Author(s):  
Hyoung-Ju Seo ◽  
Ha-na Kim ◽  
Eui-Chan Jeon

Bio-energy is a research field that is of worldwide interest. South Korea, which imports all of its heavy fuel oil for consumption, passed a new law allowing bio-heavy oil made from animal fat, by-product of biodiesel processes, palm oil, and other leftover oil to be used to generate electricity in place of heavy fuel oil. As there is lack of policy research with respect to liquid biofuels, the purpose of this study is to define the bio-heavy oil industry in South Korea and to investigate the economic effects of bio-heavy oil. An input–output analysis model was used and demonstrated that the production-, value-added-, import-, and employment-induced effects of the bio-heavy oil industry were larger than those induced by the heavy fuel oil industry. As the import of fuel by the heavy fuel oil industry was greater than the bio-heavy oil industry, the import substitution effect of the bio-heavy oil industry was found to be greater. This resulted in a positive value for the net-induced effect of the bio-heavy oil industry. When considering the global concern with respect to the development and expansion of biofuel feedstock, this study shows the possibility of transforming heavy fuel oil plants distributed around the world into renewable energy sources.


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