Evaluating Asian Cross Country Differences in Export Openness and Import Openness

2017 ◽  
pp. 280-303
Author(s):  
Manoj Kumar
Keyword(s):  
Instrumental Variables ◽  
Capita Income ◽  
Trade Openness ◽  
Total Trade ◽  
Net Exports ◽  
Per Capita ◽  
Country Differences ◽  
Cross Country ◽  
Net Export ◽  
New Framework

A new framework is developed to evaluate how Asian cross-country differences in export openness and import openness in 2015 affected the level of real per capita income. Familiar and novel instruments are used to extract the exogenous components of total trade (exports plus imports) and of net exports (exports minus imports), which in turn imply distinct export and import effects. We build on an existing literature (Frankel-Romer and others) that uses aspects of an Asian country's geography as instrumental variables for total trade openness. We build on an Asian country's demography and net wealth abroad to develop a novel instrument for net export openness. Our new estimates reveal that export openness alone correlates with income cross-sectionally, not import openness.

Income and Democracy

2008 ◽  
Vol 98 (3) ◽  
pp. 808-842 ◽  
Author(s):  
Daron Acemoglu ◽  
Simon Johnson ◽  
James A Robinson ◽  
Pierre Yared
Keyword(s):  
Instrumental Variables ◽  
Fixed Effects ◽  
Causal Effect ◽  
Statistical Association ◽  
The Past ◽  
Critical Junctures ◽  
Per Capita ◽  
Cross Country ◽  
Development Paths ◽  
Political Economic

Existing studies establish a strong cross-country correlation between income and democracy but do not control for factors that simultaneously affect both variables. We show that controlling for such factors by including country fixed effects removes the statistical association between income per capita and various measures of democracy. We present instrumental-variables estimates that also show no causal effect of income on democracy. The cross-country correlation between income and democracy reflects a positive correlation between changes in income and democracy over the past 500 years. This pattern is consistent with the idea that societies embarked on divergent political-economic development paths at certain critical junctures. (JEL D72, E21)

scholarly journals Per-capita income versus household-need adjusted income: a cross-country comparison

2009 ◽  
pp. 11
Author(s):  
Christos Koulovatianos ◽  
Polina Minkovski ◽  
Carsten Schröder
Keyword(s):  
Capita Income ◽  
Household Size ◽  
Disposable Income ◽  
Per Capita Income ◽  
Demographic Trend ◽  
Country Comparison ◽  
Per Capita ◽  
Cross Country ◽  
Over Time

We use data from the Luxembourg Income Study in order to quantify the economy-wide monetary gains achieved by Household-Size Economies, due to the within-household sharing of goods by individuals living in multi-member households. In most of the twenty countries we examine, we observe a decline in monetary gains achieved by Household-Size Economies over time. This decline is the result of a demographic trend towards smaller-sized household units, rather than a change in the shares of aggregate disposable income earned by household types of different size.

scholarly journals Suicides and Macroeconomic Variables: Are They Related in the Long-run?

2020 ◽  
Author(s):  
Yuksel Oksak ◽  
Cuneyt Koyuncu ◽  
Rasim Yilmaz
Keyword(s):  
Suicide Rate ◽  
Capita Income ◽  
Per Capita Income ◽  
Economic Crises ◽  
Macroeconomic Variables ◽  
Long Run ◽  
Economic Downturns ◽  
Self Harm ◽  
Per Capita ◽  
Cross Country

Abstract BackgroundThis study investigates the cross-country long run relationship between suicides and macroeconomic variables (unemployment, per capita income, and inflation). It is hypothesized that while inflation level and unemployment level stimulate suicide and intentional self-harm in a society, per capita income level alleviates suicide and intentional self-harm in a society.MethodA balanced annual data spanning the period 2000 to 2012 across 35 countries is used in the empirical analysis. We employ panel test and estimation approaches to reveal the long-run association among suicide, inflation, per capita income and unemployment series. The most conventional cross-sectional dependency tests, panel unit root tests, panel cointegration tests, and heterogeneous panel non-causality tests are implemented. ResultsWe found a statistically significant cross-country long run association between suicides and all macroeconomic variables under study. The results of the study suggest that while 1% increase in per capita income causes 0.752% decrease in suicide rate, 1% increase in inflation and unemployment rate is associated with a rise in suicide rate by 0.088% and 0.238%, respectively. In regard to causality, there is no causality is identified between inflation and suicide. On the other hand, a statistically significant unidirectional causality running from per capita income level to suicide and a unidirectional causality running from suicide to unemployment are found. A unidirectional causality running from suicide to unemployment can be stem from the fact that rises in suicides are associated with both early indicators of economic downturns and during economic downturns when unemployment increases.ConclusionHaving found that adverse economic conditions such as increase in unemployment or inflation or decrease in per capita income triggers suicides and suicides are also associated with early indicators of economic crises, this study suggest that social and economic policy measures and programs related to labor market, health safety, family support and debt relief should be implemented both prior to and during economic crises in order to prevent suicides and loss of human capital of the society. Economic policies that result in a high level of unemployment or inflation should be critically assessed from the human cost of these measures.

scholarly journals Interpreting economic complexity

2019 ◽  
Vol 5 (1) ◽  
pp. eaau1705 ◽  
Author(s):  
Penny Mealy ◽  
J. Doyne Farmer ◽  
Alexander Teytelboym
Keyword(s):  
Spectral Clustering ◽  
Clustering Algorithm ◽  
Product Complexity ◽  
Economic Complexity ◽  
Complexity Index ◽  
Reduction Methods ◽  
Per Capita ◽  
Country Differences ◽  
Cross Country ◽  
Spectral Clustering Algorithm

Two network measures known as the economic complexity index (ECI) and product complexity index (PCI) have provided important insights into patterns of economic development. We show that the ECI and PCI are equivalent to a spectral clustering algorithm that partitions a similarity graph into two parts. The measures are also closely related to various dimensionality reduction methods, such as diffusion maps and correspondence analysis. Our results shed new light on the ECI’s empirical success in explaining cross-country differences in gross domestic product per capita and economic growth, which is often linked to the diversity of country export baskets. In fact, countries with high (low) ECI tend to specialize in high-PCI (low-PCI) products. We also find that the ECI and PCI uncover specialization patterns across U.S. states and U.K. regions.

Beyond Zeroes and Ones

2016 ◽  
Vol 61 (1) ◽  
pp. 56-83 ◽  
Author(s):  
Stephen Chaudoin ◽  
Zachary Peskowitz ◽  
Christopher Stanton
Keyword(s):  
Instrumental Variables ◽  
Capita Income ◽  
Civil Conflict ◽  
Empirical Models ◽  
Economic Conditions ◽  
Civil Conflicts ◽  
Battle Deaths ◽  
Tremendous Amount ◽  
Per Capita ◽  
Conflict Intensity

There is a tremendous amount of variation in conflict intensity both across and within civil conflicts. Some conflicts result in huge numbers of battle deaths, while others do not. Conflict intensity is also dynamic. Conflict intensity escalates, de-escalates, and persists. What explains this variation? We take one of the most prominent explanations for the onset and occurrence of civil conflict—variation in economic conditions—and apply it to the intensity and dynamics of civil conflict. Using an instrumental variables strategy and a rich set of empirical models, we find that the intensity of conflict is negatively related to per capita income. We also find that economic conditions affect conflict dynamics, as poorer countries are likely to experience longer and more intense spells of fighting after the onset of conflict.

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