scholarly journals Technological Innovation, Production Efficiency, and Sustainable Development: A Case Study from Shenzhen in China

2021 ◽  
Vol 13 (19) ◽  
pp. 10827
Author(s):  
Sheng Zhang ◽  
Meng Xu ◽  
Yifu Yang ◽  
Zeyu Song
Keyword(s):  
Sustainable Development ◽  
Technological Innovation ◽  
Socioeconomic Development ◽  
Production Efficiency ◽  
Stochastic Frontier Analysis ◽  
Guangdong Province ◽  
Reform Process ◽  
Tobit Regression ◽  
Frontier Analysis ◽  
The Impact

Shenzhen is a national sustainable development innovation demonstration zone, with the theme of innovation leading the sustainable development of megacities. This manuscript studies technological innovation, production efficiency, and sustainable development and explores the impact of their relationship on Shenzhen. The benchmark test shows a significant negative correlation between the inefficiency of production, labor levels, investment levels, technical levels, and socioeconomic status. From 2001 to 2019, the production efficiencies of 21 prefecture-level cities in Guangdong Province were used as the research object. The Cobb–Douglas production function conducted panel stochastic frontier analysis and TOBIT regression, and the conclusion was robust. The mechanism test found that the economic growth of Guangdong Province, including Shenzhen, is still dominated by labor and investment. Its production efficiency has been dramatically impacted after 2008, and the increase in production inefficiency may be affected by the crowding-out effect of a four-trillion investment. Finally, based on the Tobit regression, we found that the rise in the labor force, capital input, technological level, and socioeconomic development level could reduce Shenzhen’s production inefficiencies by 3.6%, 20.2%, 2.5%, and 4%, respectively. There is still a long way to achieve sustainable development; however, Shenzhen’s technological innovation and mega-city reform process will provide valuable insights for other regions.

scholarly journals Measuring banking efficiency in Vietnam: parametric and non-parametric methods

2019 ◽  
Vol 14 (1) ◽  
pp. 55-64 ◽  
Author(s):  
Loan Thi Vu ◽  
Nga Thu Nguyen ◽  
Linh Hong Dinh
Keyword(s):  
Commercial Banks ◽  
Stochastic Frontier Analysis ◽  
Positive Impact ◽  
Parametric Method ◽  
State Ownership ◽  
Tobit Regression ◽  
Banking Efficiency ◽  
Frontier Analysis ◽  
The Impact ◽  
Non Parametric

The article aims to evaluate the business efficiency of commercial banks in Vietnam using both parametric and non-parametric approaches. In this study, the Stochastic Frontier Analysis (SFA), which belongs to a parametric method, and Data Envelopment Analysis (DEA), a non-parametric approach, are applied to a sample of 30 joint stock commercial banks in Vietnam in the period of 2011–2015. Applying Tobit regression model, the impact of bank size, bank age, and the ownership feature on the efficiency of bank service industry in Vietnam is also investigated. The analysis results show that in general, the Vietnamese banking efficiency is improving during the selected period regardless of techniques used. However, there is small level of similarity in efficiency rankings identified from the SFA and DEA models. In terms of efficiency determinants, the results show that all three variables of size, age, and state ownership have a positive impact on bank efficiency.

scholarly journals Strategies to increase production efficiency in Indonesian Sharia commercial banks using Stochastic Frontier Approach (SFA)

2019 ◽  
Vol 21 (3) ◽  
pp. 379 ◽  
Author(s):  
Pratystya Ika Wardhani ◽  
Abdul Mongid
Keyword(s):  
Commercial Banks ◽  
Production Efficiency ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Islamic Banks ◽  
Tobit Regression ◽  
Increase Production Efficiency ◽  
Frontier Analysis ◽  
Asset Quality

The purpose of this research is to examine the right strategy in increasing production efficiency in Sharia commercial banks in Indonesia. This research was conducted in two stages of testing. The first stage is estimating the level of production efficiency of Indonesian Islamic banks in 2010-2017 through the Stochastic Frontier Analysis (SFA) approach. The second stage uses Tobit regression to examine the relationship between the efficiency of production of sharia commercial banks with specific bank characteristics, including; LASSET, CAR, NPF, GCG, NOM and FDR. The results indicate that the level of production efficiency of sharia commercial banks is strongly influenced by several things. From the input side, optimization of DPK, PSC and LC components is needed to maximize production efficiency. This study also found that CAR (solvency performance), NPF (asset quality performance), NOM (profitability performance), and FDR (liquidity performance) greatly influenced variations in the efficiency of Indonesian Islamic banks. Improving the quality of financing supported by an increase in the operational system and the quality of human resources and began to concentrate on revenue sourced from services to be a solution that could be implied by Indonesian Islamic banks.

scholarly journals Can Industrial Integration Improve the Sustainability of Grain Security?

2021 ◽  
Vol 13 (24) ◽  
pp. 13618
Author(s):  
Chen Cao ◽  
Xueyun Chen
Keyword(s):  
Production Efficiency ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Grain Production ◽  
Analysis Method ◽  
Frontier Analysis ◽  
Important Trend ◽  
Grain Security ◽  
The Impact ◽  
Panel Tobit Model

The sustainability to ensure grain security is an important issue that China’s government faces. It has become more important to ensure grain security by improving the efficiency of grain production under the constraints of limited resources. At present, industrial integration has become an important trend of economic development in China. This study explores the impact of industrial integration on the sustainability of grain security from the perspective of grain production efficiency. In this paper, the grain production efficiency was measured by stochastic frontier analysis method. The degree of industrial integration is measured by the coupling coordination method. Additionally, the effect of industrial integration on grain production efficiency is empirically studied by the panel tobit model. Empirical results show that industrial integration can promote the improvement of grain production efficiency, which reveals that accelerating industrial integration can also be conducive to grain security.

scholarly journals Implementation of the No Poverty Sustainable Development Goal (SDG) in Visegrad Group (V4)

2021 ◽  
Vol 13 (3) ◽  
pp. 1030
Author(s):  
Elżbieta Sobczak ◽  
Bartosz Bartniczak ◽  
Andrzej Raszkowski
Keyword(s):  
Sustainable Development ◽  
Socioeconomic Development ◽  
Complex Nature ◽  
Sustainable Development Goal ◽  
Development Goal ◽  
Poverty Area ◽  
Development Level ◽  
Poverty Indicators ◽  
The Impact ◽  
Visegrad Group

This presented study discusses problems related to the implementation of the Sustainable Development Goal 1: No Poverty, aimed at eliminating poverty, based on the example of the Visegrad Group (V4) countries. The introduction addresses the general characteristics of the V4 and attempts to define the concept of sustainable development, with particular emphasis on its complex nature and importance for future generations. The purpose of the research was to assess the diversity within the Visegrad Group countries in the years 2005–2018 in terms of poverty and sustainable development level in the No Poverty area and also to identify the impact of the socioeconomic development level in the studied countries on sustainable development in the No Poverty area. Taking into account the analysis of poverty indicators in the Visegrad Group countries, the best results were recorded for Czechia. The second part of the conducted analyzed allowed us to conclude that Czechia definitely presents the highest level of sustainable development, followed by Slovakia. The highest average dynamics of changes occur in Poland and Hungary, which result in the gradual elimination of the existing disproportions. Among other research results, it is worth highlighting that the V4 countries show significant, however, decreasing differences regarding the indicators describing poverty in relation to sustainable development.

An Efficiency Analysis of Micro Units in a Fragile Zone: A Panel Study of the Firms in J&K, India

2021 ◽  
pp. 097492922110448
Author(s):  
Javaid Iqbal Khan ◽  
Mehak Majeed ◽  
Saeed Owais Mushtaq
Keyword(s):  
Stochastic Frontier Analysis ◽  
Small And Medium Enterprises ◽  
Panel Study ◽  
Stochastic Frontier ◽  
Negative Relationship ◽  
Jel Classification ◽  
Tobit Regression ◽  
Jammu And Kashmir ◽  
Frontier Analysis ◽  
The Government

The micro, small and medium enterprises (MSMEs) are the backbone of the community development in the developing world. In the fragile and backward regions, it is the micro enterprise that is considered to be the engine of growth and development. Being labour-intensive and requiring lesser capital input, the micro unit start-ups demand lesser investment in plant and machinery, attracting more and more potential entrepreneurs. Over the time, such units gain experience and knowledge becoming more efficient. This article studies the firms located in the fragile and geographically remote region of Jammu and Kashmir. The article uses a panel of 15 years from 2002 to 2016 based on the Annual Survey of Industries data. Using the Stochastic Frontier Analysis, the article studies the MSMEs and the micro units. From the post-estimation, technical efficiency scores are attained for both MSMEs and the micro units. The results reveal that the micro units are more efficient than the MSMEs in general. Tobit regression is used to estimate the technical inefficiency model to determine the factors that contribute to the inefficiency present in the micro units. The results show that there is a negative relationship between the efficiency of the micro unit firms and the asset-liability ratio and the loan-liability ratio, while there is a positive relationship between the private ownership of the firm and the efficiency level. Age of the firm is considered separately to validate the ‘learning theory’ by Jovanovic. The article concludes by suggesting that the government must provide adequate boost and a big-push to the micro units in order to eradicate the widespread unemployment and fragility in the region. JEL Classification: F61, L25

scholarly journals International R&D Spillovers and Innovation Efficiency

2018 ◽  
Vol 10 (11) ◽  
pp. 3974 ◽  
Author(s):  
Jianping Liu ◽  
Kai Lu ◽  
Shixiong Cheng
Keyword(s):  
Capital Stock ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Sensitivity Analyses ◽  
Frontier Analysis ◽  
Country Level ◽  
Scientific Papers ◽  
Catch Up ◽  
The Right ◽  
The Impact

The objective of this study is to examine the impact of international research and development (R&D) spillovers on innovation efficiency of specific R&D outcomes, employing the country-level panel data for 44 countries in the 1996–2013 period. Fully considering the heterogeneity of different R&D outputs, scientific papers, PCT (Patent Cooperation Treaty) patents, US patents, and domestic patents are observed separately, which enriches the angles of measuring international R&D spillovers. By applying a stochastic frontier analysis to knowledge production function, we find that foreign R&D capital stock positively contributes to the innovation efficiency of scientific papers, but suppresses the productivity of domestic patents, whereas it does not really matter for PCT or US patents. These results are robust to control for a set of institutional factors and also in sensitivity analyses. Hence, dependence on international R&D spillovers seems neither to be the right way for emerging economies to catch up, nor to be a sustainable model for developing countries to fill the technical gap. Local R&D capital stock, instead, keeps an essential contributor to all four R&D outputs, so raising internal R&D expenditure is actually the key to improving innovation level and sustainable development ability.

Intellectual capital: a determinant of firms' operational efficiency

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kanishka Gupta ◽  
T.V. Raman
Keyword(s):  
Intellectual Capital ◽  
Stochastic Frontier Analysis ◽  
Stock Exchange ◽  
Stochastic Frontier ◽  
Value Added ◽  
Financial Sector ◽  
Operational Efficiency ◽  
Content Type ◽  
Frontier Analysis ◽  
The Impact

PurposeIntellectual capital (IC) has been recognized in improving the efficiency of businesses and gaining competitive edge in the developed world. The present study offers perspectives into the effect of IC on the efficiency of the Indian financial sector companies.Design/methodology/approachFor the purpose of evaluating efficiency, the research has used stochastic frontier analysis (SFA). All Indian financial sector companies listed in National Stock Exchange (NSE-500) for the timeframe of ten years (2008–2018) have been considered. The paper has employed modified Pulic's Value Added Intellectual Coefficient (VAICTM) as a proxy to measure IC. Correlation and panel data regression have been used in order to examine the relationship.FindingsThe results of the study indicate positive and significant relationship between IC and efficiency of the firm. The results also show that all the components of IC, that is, human capital, relational capital, process capital and capital employed have a significant impact on firms' efficiency. Additionally, it has been seen that sample companies do not invest in research and development leading to no innovation capital.Practical implicationsThe research will assist managers in managing and controlling the IC, investors in matters related to investment and financial experts in improving the company's IC and value creation.Originality/valueThe current research is one of the pioneering studies in the context of Indian financial sector that examines the impact of modified VAIC on operational efficiency calculated using SFA.

scholarly journals The Impact of Urbanization on Farmland Productivity: Implications for China’s Requisition–Compensation Balance of Farmland Policy

Land ◽  
2020 ◽  
Vol 9 (9) ◽  
pp. 311 ◽  
Author(s):  
Zhongqi Deng ◽  
Qianyu Zhao ◽  
Helen X. H. Bao
Keyword(s):  
Labor Force ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Agricultural Labor ◽  
Frontier Analysis ◽  
Conservation Policies ◽  
Use Efficiency ◽  
Urbanization Rate ◽  
Impact Of Urbanization ◽  
The Impact

The rapid growth of China’s economy since the reform in 1978 should be largely attributed to urbanization. Nonetheless, in terms of farmland productivity, urbanization may lead to perverse incentives and thus threaten food security. On the one hand, the requisition–compensation balance of farmland (RCBF) policy could reduce farmland productivity because of a “superior occupation and inferior compensation”; on the other hand, urbanization promotes the transfer of the younger labor force and thus reduces the productivity of the agricultural labor force. To investigate the undesirable effects, based on some stylized facts, this study selects 29,415 county-level samples in a Chinese county from 2000–2014 to construct an empirical model. With a new stochastic frontier analysis method that eliminates the classical econometric issues of endogeneity and heterogeneity, the empirical results show that there is a U-shaped relationship between the farmland use efficiency (productivity) and urbanization rate, indicating that only when the urbanization rate is relatively low would urbanization decrease the farmland use efficiency; in contrast, when the urbanization rate is relatively high, technical progress would obviously be accompanied by urbanization, and thus, the undesirable effects are fully offset. Furthermore, the U-shaped relationship is robust after considering the endogeneity of the urbanization rate and total-factor farmland use efficiency. With these findings, recommendations to implement sustainable management and conservation policies regarding farmland resources are made.

scholarly journals EFFECT OF GOVERNMENT SUBSIDIZATION ON CHINESE INDUSTRIAL FIRMS’ TECHNOLOGICAL INNOVATION EFFICIENCY: A STOCHASTIC FRONTIER ANALYSIS

2016 ◽  
Vol 17 (2) ◽  
pp. 187-200 ◽  
Author(s):  
Qi HUANG ◽  
Marshall S. JIANG ◽  
Jianjun MIAO
Keyword(s):  
Technological Innovation ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Small Scale ◽  
Industrial Firms ◽  
Frontier Analysis ◽  
Government Subsidies ◽  
Industrial Enterprises ◽  
Statistical Yearbook ◽  
The Relationship

This study aims to gain a better understanding of how effective government subsidization is in helping foster firms’ innovation. Drawing on the exploration/exploita- tion perspective and based on data collected from Statistical Yearbook on Science and Technology Activities of Industrial Enterprises, we look into the relationship between gov- ernment subsidization and Chinese firms’ innovation efficiency by applying a stochastic frontier analysis. The results show that when government subsidies are provided in small scale, firms’ innovation efficiency decreases; only when government subsidies increase to a certain scale, does firms’ innovation efficiency start to increase. We suggest that govern- ment subsidization would generate better innovation performance should it concentrate on a smaller number of firms at one time. As existing research is still inconclusive regarding the relationship between government subsidization and firms’ technological innovation output, we shed light on the issue by revealing a “U-shaped” relationship between the two.

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