The private saving glut and the developed countries' government financial balance

2019 ◽  
Vol 7 (1) ◽  
pp. 94-107 ◽  
Author(s):  
Leon Podkaminer
Keyword(s):  
Public Sector ◽  
Fiscal Policy ◽  
Income Distribution ◽  
Private Sector ◽  
Private Investment ◽  
Developed Countries ◽  
Cyclical Growth ◽  
The Developed Countries ◽  
Financial Balance ◽  
Financial Deficits

The ‘global saving glut’ à la Bernanke is not a serious problem for a large group of high-income countries considered collectively. More importantly, taken together these countries exhibit a tendency for a growing GDP share of private-sector saving and a falling GDP share of private investment. Given prevailing tendencies regarding income distribution and gross capital formation, the private sector of developed countries considered collectively is prone to accumulating ‘saving gluts’ which is reflected in persistent public-sector financial deficits. Fiscal policy may need to support growth with the debt-financed income injections more or less permanently, and not just in response to ‘cyclical’ growth slow-downs or occasional recessions.

scholarly journals Public Sector Finances as Determinants of Private Investment in PPP Projects – Experiences from Select Countries

2019 ◽  
pp. 1-17
Author(s):  
Satinder Bhatia
Keyword(s):  
Developing Countries ◽  
Public Sector ◽  
Private Sector ◽  
Private Investment ◽  
Developed Countries ◽  
Financial Health ◽  
Indian States ◽  
Checks And Balances ◽  
Private Partnership ◽  
The Public

Public-Private Partnership (PPP) projects have been gaining in popularity in many developing countries along with developed countries. While there has been sufficient research on private sector capacity to make the partnership successful, not much research exists on the importance of the financial health of the public sector in PPP projects. The premise of the current research is that strong public sector finances instil confidence in the private sector of governments’ ability to honour PPP commitments and that, in turn, increases the attractiveness of PPP projects. Through a number of case studies relating to government finances of Indian states and other countries, it is seen that governments which have checks and balances to issuance of guarantees and other forms of indirect support for PPP projects are actually able to attract higher levels of PPP investment.

scholarly journals DESENTRALISASI FISKAL KONTEMPORER DALAM PERSPEKTIF KEBIJAKAN PUBLIK ISLAM

2014 ◽  
Vol 4 (1) ◽  
pp. 1
Author(s):  
Any Setianingrum
Keyword(s):  
Public Sector ◽  
Fiscal Policy ◽  
Income Distribution ◽  
Private Sector ◽  
Voluntary Sector ◽  
Optimum Allocation ◽  
Institutional Framework ◽  
Fiscal System ◽  
Islamic Economic

One of the essential instruments designed for achieving the goals of sharia in Islam is fiscal policy. There are some key elements of Islamic fiscal theory, namely: 1) Islamic Economics, which comprises private sector, social/ voluntary sector, and public sector. The collaboration of these three sectors would provide an ideal Islamic economic institutional framework; 2) Zakat (taxation of income and wealth of a Muslim) as the basis of fiscal system; 3) Implementation of all fiscal instruments which disallow exploitation that results in usury (riba), uncertainty (gharar ), speculation, sinful (haram) products / services and all forms of meanness. 4) Allocation, distribution and stabilization functions of Islamic economics is administered and presented through all the sectors cooperatively; 5) Public sector does not affect significantly yet essential on condition that it works continuously to ensure optimum allocation of society resources, income distribution, and stability establishing

The Present Situation and Policy Suggestion of Clean Coal Technology in China

2012 ◽  
Vol 616-618 ◽  
pp. 1120-1123
Author(s):  
Wen Sheng Wang ◽  
Shao Dong Huang ◽  
Jie Long Zou
Keyword(s):  
Capital Investment ◽  
Private Investment ◽  
Developed Countries ◽  
Market Mechanism ◽  
Clean Coal ◽  
Financial Investment ◽  
Clean Coal Technology ◽  
Energy Economy ◽  
Coal Technology ◽  
The Developed Countries

In recent years, our clean coal technology made some breakthrough by means of introduction, digestion, and innovation. But compared with the developed countries, the use of clean coal technology in our country is not common for the unsound policies and standards, the lack of market mechanism, insufficient capital investment, decentralize of trade management and so on. We can effectively promote the development of clean coal technology, promote our country's energy consumption to transform extensive to intensive consumption and gradually realize a coordinated development between the energy, economy and environment by completing the relevant policies, laws and regulations of technology, finance, taxation, environmental protection, perfecting the independent innovations and technology admittance mechanism, increasing financial investment, encouraging private investment and setting up specialized standard managing and setting body of clean coal technology.

scholarly journals Contraction and Expansion: The Divergence of Private Sector and Public Sector Unionism in the United States

1988 ◽  
Vol 2 (2) ◽  
pp. 63-88 ◽  
Author(s):  
Richard B Freeman
Keyword(s):  
United States ◽  
Public Sector ◽  
Private Sector ◽  
Developed Countries ◽  
The United States ◽  
Public And Private ◽  
The Public ◽  
Union Status ◽  
Contraction And Expansion ◽  
Public Sector Unionism

The institutional structure of the American labor market changed remarkably from the 1950s and 1960s to the 1980s. What explains the decline in union representation of private wage and salary workers? Why have unions expanded in the public sector while contracting in the private sector? Is the economy-wide fall in density a phenomenon common to developed capitalist economies, or is it unique to the United States? To what extent should economists alter their views about what unions do to the economy in light of the fact that they increasingly do it in the public sector? To answer these questions I examine a wide variety of evidence on the union status of public and private workers. I contrast trends in unionization in the United States with trends in other developed countries, particularly Canada, and use these contrasts and the divergence between unions in the public and private sectors of the United States to evaluate proposed explanations.

scholarly journals Public / Private Investment Linkages: A Multivariate Cointegration Analysis

2005 ◽  
Vol 44 (4II) ◽  
pp. 805-817
Author(s):  
Abdul Rashid
Keyword(s):  
Public Investment ◽  
Empirical Studies ◽  
Private Investment ◽  
Developed Countries ◽  
Cointegration Analysis ◽  
Public And Private ◽  
Empirical Results ◽  
Long Run ◽  
Stable Association ◽  
The Developed Countries

The issue of whether public investment crowds out or crowds in private investment has received considerable attention in the economic literature. Most of the empirical studies that examined the long run stable association between public and private investment have focused on examining this relationship for the developed countries with very little attention on the developing countries. The empirical results of these studies, however, are highly controversial. The existing empirical studies in this area can be divided into three categories. The studies in the first category including Barro (1974), Kormendi (1983), and Feldstein (1982) have examined the empirical implications of the Ricardian equivalence hypothesis (REH). The empirical results of most of the studies in this category were supportive of the REH. Seater (1993) argues that good empirical studies generally provide evidence in support of the REH; however, some studies refute it owing to the lake of econometric accuracy.

scholarly journals Is the Private Sector more Productive than the Public Sector?

1991 ◽  
Vol 30 (4II) ◽  
pp. 721-729
Author(s):  
Khwaja Sarmad
Keyword(s):  
Developing Countries ◽  
Public Sector ◽  
Private Sector ◽  
Public Investment ◽  
Empirical Work ◽  
Empirical Support ◽  
Private Investment ◽  
Total Production ◽  
The Public ◽  
The Government

In developing countries the rapid growth of the public sector during the past few decades was viewed as an important means for accelerating the pace of economic growth. In most developing countries the public sector now accounts for a prominent share of total production and investment. But the contribution of the public sector to growth has been much below expectations. In many cases public enterprises require large subsidies from the government and impose a significant fiscal burden on the economy, which leads to the notion that the private sector is much more productive than the public sector. However, little empirical work has been done in this field so that the proposals that emphasize the private sector vis-a-vis the public sector rest largely on theoretical considerations. Recent work by Khan and Reinhart (1990) is an important exception. Using cross-section data for the seventies of 24 developing countries they show that the arguments favouring the private sector in adjustment programmes have empirical support. Khan and Reinhart estimate a growth model in which the effect of private and public investment on growth is separated. A comparison of the marginal productivities of the two types of investment allows them to conclude that "all in all, there does seem to be some merit in the key role assigned to private investment in the development process by supporters of market -based strategies". [Khan and Reinhart (1990), p. 25.]

Gender pension gaps along the distribution: An application to the French case

2020 ◽  
pp. 1-23
Author(s):  
Carole Bonnet ◽  
Dominique Meurs ◽  
Benoit Rapoport
Keyword(s):  
Public Sector ◽  
Income Distribution ◽  
Private Sector ◽  
Decomposition Method ◽  
Relative Advantage ◽  
The Public ◽  
Pension Income ◽  
Career Interruptions ◽  
French Case

Abstract In this article we estimate the relative contributions to the gender pension gap of career duration and income earned at different points along the pension income distribution, as well as the role played by minimum pensions and other partly or wholly non-contributory policies in reducing this gap. Our research covers all retirees in France in 2012 employed in the public or private sector at least once in their lifetimes. We first highlight that at every point in the distribution, the gender pension gap is wider for private-sector retirees than for those in the public sector. This is because public sector careers are less fragmented and because the calculation of the public sector reference wage does not penalize career interruptions so heavily. This relative advantage of women in the public sector is probably an additional factor explaining their over-representation in this sector. Applying the decomposition method proposed by Firpo et al. (2007, 2009), we show that composition differences in the gender pension gap are essentially due to differences in contribution periods and wages, with a smaller effect of career duration in the public sector than in the private. In the first deciles, the gap can be attributed largely to differences in career duration. This effect gradually weakens, and differences in the reference wage become the main explanation. We also show that minimum contributory pensions play an extremely important role in limiting the gender pension gap in the first deciles, essentially in the private sector. Last, we show that in all cases the unexplained share of the pension gap is substantial only at the bottom of the distribution and, to a lesser extent, in the top decile. The unexplained share is generally smaller than the explained one and favours men.

The quality of care in outpatient primary care in public and private sectors in Malaysia

2019 ◽  
Author(s):  
May Chien Chin ◽  
Sheamini Sivasampu ◽  
Nilmini Wijemunige ◽  
Ravindra P Rannan-Eliya ◽  
Rifat Atun
Keyword(s):  
Primary Care ◽  
Public Sector ◽  
Private Sector ◽  
Clinical Care ◽  
Developed Countries ◽  
Prescribing Practices ◽  
Public And Private ◽  
The Public ◽  
The Usa

Abstract In Malaysia, first-contact, primary care is provided by parallel public and private sectors, which are completely separate in organization, financing and governance. As the country considers new approaches to financing, including using public schemes to pay for private care, it is crucial to examine the quality of clinical care in the two sectors to make informed decisions on public policy. This study intends to measure and compare the quality of clinical care between public and private primary care services in Malaysia and, to the extent possible, assess quality with the developed economies that Malaysia aspires to join. We carried out a retrospective analysis of the National Medical Care Survey 2014, a nationally representative survey of doctor–patient encounters in Malaysia. We assessed clinical quality for 27 587 patient encounters using data on 66 internationally validated quality indicators. Aggregate scores were constructed, and comparisons made between the public and private sectors. Overall, patients received the recommended care just over half the time (56.5%). The public sector performed better than the private sector, especially in the treatment of acute conditions, chronic conditions and in prescribing practices. Both sectors performed poorly in the indicators that are most resource intensive, suggesting that resource constraints limit overall quality. A comparison with 2003 data from the USA, suggests that performance in Malaysia was similar to that a decade earlier in the USA for common indicators. The public sector showed better performance in clinical care than the private sector, contrary to common perceptions in Malaysia and despite providing worse consumer quality. The overall quality of outpatient clinical care in Malaysia appears comparable to other developed countries, yet there are gaps in quality, such as in the management of hypertension, which should be tackled to improve overall health outcomes.

The role of properly structured public-private partnerships in promoting economic development

2014 ◽  
Vol 10 (2) ◽  
pp. 90-97
Author(s):  
Michael Busler
Keyword(s):  
Economic Development ◽  
Public Sector ◽  
Case Studies ◽  
Current Literature ◽  
Public Involvement ◽  
Private Investment ◽  
Developed Countries ◽  
Public Private Partnerships ◽  
Theory Approach ◽  
Content Type

Purpose – The purpose of this paper is to find the characteristics that determine the success of public-private partnerships (PPPs) in promoting economic development and specifically to determine the long- and short-term public involvement. Design/methodology/approach – A grounded theory approach is utilized, involving desk research and a review of the current literature, as well as examining case studies. This reduction in data collection was based on the availability of literature and case studies which can be assimilated to develop theoretically justifiable conclusions. Findings – In less-than-developed countries (LDC), the lack of private investment capital severely hinders economic development. In developed countries it is often high risk factors and very large capital investment that slows economic development. In both cases, an input from the public sector is needed. The findings suggest that government involvement should be time limited, so that to achieve long-term success, a public sector exit strategy should be formulated. The length of time for public sector involvement varies but is generally longer in the LDC. Research limitations/implications – While the current literature provides some conclusions regarding the effect of PPPs on economic development, there is a gap when examining the proper structure particularly for developing countries. Originality/value – While the current literature provides some conclusions regarding the effect of PPPs on economic development, there is a gap when examining the proper structure. This paper also provides some guidance for participants to determine the optimum length of time that public involvement is needed. Both academics and practitioners should find this to be valuable information.

Competition in Indian Banking Sector Since 1990s

2017 ◽  
Vol 65 (1-4) ◽  
pp. 67-75
Author(s):  
Atanu Sengupta ◽  
Sanjoy De
Keyword(s):  
Private Sector ◽  
Banking Sector ◽  
Monopolistic Competition ◽  
Banking System ◽  
New Age ◽  
Developed Countries ◽  
Jel Classification ◽  
The Developed Countries ◽  
Wide Usage

In this article, we have estimated the degree of competition in Indian banking sector for the period 1992–2012, as well as in the two sub-periods 1992–2001 and 2002–2012. From our study, we have found that, like the majority of the banking sectors in the developed countries, Indian banking sector also operated under monopolistic competition. Further, the level of competition increased in phase two vis-à-vis phase one for the banking system as a whole as well as for all categories of banks. Liberalisation push, wide usage of technology and introduction of new age private sector banks have enhanced competition in the banking space. JEL Classification: G21, D41, C33

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