The Effect of Foreign Direct Investment Human Capital and Community Welfare

National development goals are not merely to create growth in Gross Domestic Product (GDP) and high per capita income. But more than that, it expected to alleviate poverty levels and income inequality in every class of society. Foreign Direct Investment (FDI) one of the most important investment to accelerate economic growth. The advantages of FDI inflow for host country are: capital accumulation; job creation; transfer of technology and management; and access to international market networks. This study aims to determine the relationship between FDI, economic growth, human capital, and community welfare. The quantitative analysis method in this study uses a simultaneous equation system model with six structural equations: domestic investment, economic growth, public consumption, education, health, unemployment and poverty. In addition, there are 3 identity equations: investment equation, the labour force, and economic growth. All data is a combination of cross-sectional and time-series data. The cross-section data used are 33 provinces in Indonesia and the time series data for the period 2010 to 2019.

Digital and traditional media advertising and business performance of agribusiness firms – Empirical evidence in Japan

Can digital media advertising strategies benefit agribusiness farms? This study addresses this issue by investigating the extent to which digital and traditional media advertising strategies affect agribusiness performance and the underlying factors associated with agribusiness farms' adoption decisions. We estimate a non-linear simultaneous equation system and use a population-based survey data of agricultural processing farms in Japan. We find that female and younger farm operators', as well as incorporated agribusiness farms, are more likely to adopt digital media advertising. The sales value of digital media advertising users is higher by 51% than that of non-users. Moreover, the effect of digital advertising is not equally distributed among farms. Family farms and farms located in rural areas benefit more from the adoption of digital media advertising.

INST Institutional Ownership and Firm Value: A Study on the Bist Manufacturing Index

The aim of this research is to test the relation between institutional ownership and firm value. To accomplish this aim, data from 104 firms listed in the BIST (i.e. Borsa Istanbul) industrial index between 2006 and 2018 have been used. Studies on the structure of ownership have problems with endogeneity. In order to avoid these problems, this study adopted Durbin-Wu-Hausman test with advanced econometric techniques, Ordinary Least Squares (i.e. OLS), and Two-Stage Least Squares (i.e. 2SLS). As a result of the simultaneous equation system improved in this study, a positive relation between institutional ownership as an endogenous variable, and firm value has been located. Besides, it has been found that institutional investors are more interested in the firms that have a higher market performance.

Human Movement Representation on Multivariate Time Series for Recognition of Professional Gestures and Forecasting Their Trajectories

Human-centered artificial intelligence is increasingly deployed in professional workplaces in Industry 4.0 to address various challenges related to the collaboration between the operators and the machines, the augmentation of their capabilities, or the improvement of the quality of their work and life in general. Intelligent systems and autonomous machines need to continuously recognize and follow the professional actions and gestures of the operators in order to collaborate with them and anticipate their trajectories for avoiding potential collisions and accidents. Nevertheless, the recognition of patterns of professional gestures is a very challenging task for both research and the industry. There are various types of human movements that the intelligent systems need to perceive, for example, gestural commands to machines and professional actions with or without the use of tools. Moreover, the interclass and intraclass spatiotemporal variances together with the very limited access to annotated human motion data constitute a major research challenge. In this paper, we introduce the Gesture Operational Model, which describes how gestures are performed based on assumptions that focus on the dynamic association of body entities, their synergies, and their serial and non-serial mediations, as well as their transitioning over time from one state to another. Then, the assumptions of the Gesture Operational Model are translated into a simultaneous equation system for each body entity through State-Space modeling. The coefficients of the equation are computed using the Maximum Likelihood Estimation method. The simulation of the model generates a confidence-bounding box for every entity that describes the tolerance of its spatial variance over time. The contribution of our approach is demonstrated for both recognizing gestures and forecasting human motion trajectories. In recognition, it is combined with continuous Hidden Markov Models to boost the recognition accuracy when the likelihoods are not confident. In forecasting, a motion trajectory can be estimated by taking as minimum input two observations only. The performance of the algorithm has been evaluated using four industrial datasets that contain gestures and actions from a TV assembly line, the glassblowing industry, the gestural commands to Automated Guided Vehicles as well as the Human–Robot Collaboration in the automotive assembly lines. The hybrid approach State-Space and HMMs outperforms standard continuous HMMs and a 3DCNN-based end-to-end deep architecture.

Prediction of Individual Tree Diameter and Height to Crown Base Using Nonlinear Simultaneous Regression and Airborne LiDAR Data

The forest growth and yield models, which are used as important decision-support tools in forest management, are commonly based on the individual tree characteristics, such as diameter at breast height (DBH), crown ratio, and height to crown base (HCB). Taking direct measurements for DBH and HCB through the ground-based methods is cumbersome and costly. The indirect method of getting such information is possible from remote sensing databases, which can be used to build DBH and HCB prediction models. The DBH and HCB of the same trees are significantly correlated, and so their inherent correlations need to be appropriately accounted for in the DBH and HCB models. However, all the existing DBH and HCB models, including models based on light detection and ranging (LiDAR) have ignored such correlations and thus failed to account for the compatibility of DBH and HCB estimates, in addition to disregarding measurement errors. To address these problems, we developed a compatible simultaneous equation system of DBH and HCB error-in-variable (EIV) models using LiDAR-derived data and ground-measurements for 510 Picea crassifolia Kom trees in northwest China. Four versatile algorithms, such as nonlinear seemingly unrelated regression (NSUR), two-stage least square (2SLS) regression, three-stage least square (3SLS) regression, and full information maximum likelihood (FIML) were evaluated for their estimating efficiencies and precisions for a simultaneous equation system of DBH and HCB EIV models. In addition, two other model structures, namely, nonlinear least squares with HCB estimation not based on the DBH (NLS and NBD) and nonlinear least squares with HCB estimation based on the DBH (NLS and BD) were also developed, and their fitting precisions with a simultaneous equation system compared. The leave-one-out cross-validation method was applied to evaluate all estimating algorithms and their resulting models. We found that only the simultaneous equation system could illustrate the effect of errors associated with the regressors on the response variables (DBH and HCB) and guaranteed the compatibility between the DBH and HCB models at an individual level. In addition, such an established system also effectively accounted for the inherent correlations between DBH with HCB. However, both the NLS and BD model and the NLS and NBD model did not show these properties. The precision of a simultaneous equation system developed using NSUR appeared the best among all the evaluated algorithms. Our equation system does not require the stand-level information as input, but it does require the information of tree height, crown width, and crown projection area, all of which can be readily derived from LiDAR imagery using the delineation algorithms and ground-based DBH measurements. Our results indicate that NSUR is a more reliable and quicker algorithm for developing DBH and HCB models using large scale LiDAR-based datasets. The novelty of this study is that the compatibility problem of the DBH model and the HCB EIV model was properly addressed, and the potential algorithms were compared to choose the most suitable one (NSUR). The presented method and algorithm will be useful for establishing similar compatible equation systems of tree DBH and HCB EIV models for other tree species.

Dampak Kebijakan Domestik terhadap Ketersediaan Jagung untuk Bahan Baku Industri Pengolahan di Indonesia

<strong>English</strong><br />Maize is a strategic commodity for Indonesia. In line with the consumption pattern, the domestic demand for maize has changed from previously dominated by household consumption to presently dominated by raw material for feed and food processing industries. The maize demand of the processing industry increases rapidly, outpaced domestic production growth, that makes Indonesia must import maize in an increasing amount. This study aims to determine the impact of government policy on maize production which is the input of the maize processing industry. The analysis was conducted using an econometric simultaneous equation system model which was estimated with the two stages least squares technique using time series data of 1985-2017. The results show that the maize harvest area is negatively related with labor wage and urea price, and is positively related with the maize farm price. Maize productivity is positively related with quantity of urea fertilizer and hybrid seeds. but negatively related with composite seeds. The scenario of subsidizing urea prices and hybrid seed, raising import tariffs can increase the availability maize for processing industries as indicated by increasing domestic production and decreasing maize imports.<br /><br /><br /><strong>Indonesian</strong><br />Jagung termasuk komoditas strategis untuk Indonesia. Seiring dengan perubahan pola konsumsi, permintaan jagung dalam negeri berubah dari sebelumnya didominasi oleh konsumsi rumah tangga menjadi kini didominasi oleh bahan baku industri pengolahan pakan dan pangan. Kebutuhan jagung untuk bahan baku industri pengolahan meningkat pesat, bahkan melampaui peningkatan produksi jagung dalam negeri, sehingga Indonesia terpaksa mengimpor jagung dalam jumlah yang terus meningkat. Penelitian bertujuan untuk mengetahui dampak kebijakan pemerintah terhadap produksi jagung yang menjadi input industri pengolahan jagung. Metode analisis yang digunakan ialah model ekonometrika sistem persamaan simultan yang diduga dengan teknik two stages least squares memakai data deret waktu 1985-2017. Hasil analisis menunjukkan bahwa luas areal panen jagung berhubungan negatif dengan upah buruh tani dan harga pupuk urea, sebaliknya, berhubungan positif terhadap harga jagung di tingkat petani. Produktivitas jagung berhubungan positif dengan volume penggunaan pupuk urea dan benih hibrida, namun berhubungan negatif dengan benih komposit. Skenario kebijakan subsidi harga pupuk urea, subsidi harga benih hibrida, dan kenaikan tarif impor dapat meningkatkan ketersediaan bahan baku industri pengolahan dan peternak mandiri sebagaimana ditunjukkan oleh kenaikan produksi dalam negeri dan penurunan impor jagung.

IMPACT OF IMPORT TARIFF POLICIES ON RICE DEMAND AND SUPPLY IN INDONESIA

Indonesia’s economic policies cannot be separated to its rice policies since rice is the staple food for Indonesian people. The paper aims to find out the impact of rice import tariff policies on rice demand and supply in Indonesia. The research uses time series data in 1981-2018. Data obtained are analyzed using econometric model with simultaneous equation system. Estimation results show that rice supply was positively and significantly influenced by grain rice price in farmer level, amount of rice production, and rice supply of the previous year. Meantime, domestic rice demand was negatively and significantly influenced by domestic rice price and positively and significantly influenced by domestic rice demand of the previous year. The result of policy simulation indicates that scenario of policy combination through an increase in rice import tariff and government purchase price brings a sizeable impact on the increase in domestic rice production and rice demand and supply. Therefore, Indonesia needs to conduct protection to farmers in the form of rice import tariff imposition as well as government purchase price.

Institutional ownership and firm value: A study on BIST manufacturing index

The aim of this research is to test the relation between institutional ownership and firm value. To accomplish this aim, data from 104 firms listed in the BIST (i.e. Borsa Istanbul) industrial index between 2006 and 2018 have been used. Studies on the structure of ownership have problems with endogeneity. In order to avoid these problems, this study adopted Durbin-Wu-Hausman test with advanced econometric techniques, Ordinary Least Squares (i.e. OLS), and Two-Stage Least Squares (i.e. 2SLS). As a result of the simultaneous equation system improved in this study, a positive relation between institutional ownership as an endogenous variable, and firm value has been located. Besides, it has been found that institutional investors are more interested in the firms that have a higher market performance.

Dampak Kebijakan Cukai Rokok terhadap Distribusi Surplus Ekonomi Industri Rokok di Indonesia

<strong>English</strong><br />Indonesian government has applied cigarette excise tax policy on clove cigarette which impacts on the rise of cigarette price and cigarette production. Because of tobacco and clove demand are derived demand of cigarette supply, so the change on cigarette production impacts on demand of cigarettes input (tobacco and clove) and it eventually impact on the price of these commodities. The rise of cigarette excise not only impacts on economic surplus of producer and consumer of cigarettes, but also on tobacco and clove farmers. Clove cigarette encompasses hand-rolled clove cigarettes (SKT), machine-rolled clove cigarettes (SKM) and klobot cigarettes (SKB). The aim of this research was to analyze the impact of the rise of cigarette excise tax policy toward economic surplus distribution among the economic agents on Indonesian cigarette industries. This research accomodated the data series of 1990-2016 with simultaneous equation system which consisting of 36 structural equations and 25 identity equations. This model was estimated by using 2 SLS (Two-Staged Least Squares) method. The results showed that cigarette excise tax impacted on the rise of government revenue and total economic surplus negatively. The rise of excise tax impacted on negative surplus of cigarette producer decreased, negative surplus of cigarette consumer increased, and farmer surplus decreased (negative). In order to keep positive economic surplus of the farmer, the rise of SKT cigarette tax maximum should be constituted no more than 5,8%. To anticipate the loss of farmer surplus and the decrease of tobacco and clove demand ini the future, the government can use the tax revenue to develop alternative crops besides tobacco such as vegetables, intensification of tobacco as import subtitution and develop diversification of clove products for essential oil, preservatives and others.<br /><br /><br /><strong>Indonesian</strong><br />Pemerintah Indonesia telah menerapkan kenaikan tarif cukai rokok kretek yang berdampak pada kenaikan harga rokok dan produksi rokok. Oleh karena permintaan tembakau dan cengkeh merupakan permintaan turunan dari penawaran rokok, maka perubahan produksi rokok akan berdampak pada permintaan input (tembakau dan cengkeh) dan berdampak pada harga kedua komoditas tersebut. Kenaikan cukai tidak hanya berdampak pada surplus ekonomi produsen dan konsumen rokok, tetapi juga petani tembakau dan cengkeh. Industri sigaret kretek meliputi sigaret kretek tangan (SKT), sigaret kretek mesin (SKM) dan rokok klobot (SKB). Tujuan penelitian ini adalah untuk menganalisis dampak kenaikan cukai rokok terhadap distribusi surplus ekonomi di antara pelaku ekonomi pada industri rokok di Indonesia. Penelitian ini menggunakan data deret waktu tahun 1990-2016 dengan sistem persamaan simultan yang terdiri dari 36 persamaan struktural dan 25 persamaan identitas, yang diestimasi menggunakan metode 2SLS (<em>Two-Staged Least Squares</em>). Hasil penelitian menunjukkan adanya tarif cukai rokok akan menambah penerimaan pemerintah namun berdampak negatif terhadap total surplus ekonomi. Kenaikan cukai rokok berdampak pada negatif surplus produsen rokok makin menurun, negatif surplus konsumen rokok makin meningkat dan surplus petani menjadi turun (negatif). Agar surplus ekonomi petani tetap positif, maka kenaikan tarif cukai khususnya SKT ditetapkan tidak lebih dari 5,8%. Pemerintah dapat memanfaatkan sebagian penerimaan cukai rokok untuk melakukan upaya pengembangkan alternatif tanaman lain selain tembakau seperti sayuran, intensifikasi tanaman tembakau subtitusi impor dan melakukan diversifikasi produk cengkeh sebagai minyak esensial, pengawet dan lainnya untuk mengatasi kerugian petani dan mengantisipasi turunnya permintaan tembakau dan cengkeh pada masa depan.