International Journal of Economic Policy in Emerging Economies (9 papers in press)
Consumer behaviours on the luxury goods market in Poland
by Bogdan Mroz
Abstract: The basic objective of the paper is to highlight new trends in consumer behaviours on the luxury goods market in Poland. The paper focuses on recent developments and growth trends in different categories of luxury goods and services. The author provides an empirical insight into luxury goods market in Poland based on available statistical data, think tanks reports and research findings. The relevant statistical data, e.g., regarding the number of high net worth individuals in Poland are provided as well as the split of the Polish luxury and premium goods market into categories of goods and services. The author tries to pinpoint factors conducive to the growth of the luxury market in Poland and to highlight country-specific consumer behaviours on this particular market.
Keywords: consumer behaviour; consumer trends; luxury goods market; Poland.
Long Run Analysis of Tourism and Economic Growth in Nigeria
by Abidemi Adegboye, Clement A.U. Ighodaro
Abstract: In this paper, the impact of tourism on economic growth in Nigeria is examined using a dynamic framework and data covering the 1983
Keywords: ARDL; capital investment; economic growth; employment; export shares; Nigeria; tourism.
Macro-Economic Determinants of Tax Revenue in India: An Application of Dynamic Simultaneous Equation Model.
by Yadawananda Neog, Achal K. Gaur
Abstract: Due to its recurrent and mandatory nature, the tax becomes a crucial instrument for revenue generation and resource mobilisation. Excessive dependence on foreign finance by any country could lead to a debt trap in the long run. Therefore, it is become obvious to strengthen tax revenue performance for a country. This study tries to find major macro-economic determinants of tax revenue performance in India for the period 1981 to 2016 based on the availability of data. We propose a dynamic simultaneous equation model for the study. Empirical results suggest that growth, aid and trade are positively enlarging tax revenues. And inflation, development expenditure and agriculture contribution come out to be detrimental factors for tax revenues performance. Use of dynamic three-stage least square estimator helps us to trace possible channels through which tax revenue performance can be improved.
Keywords: Macroeconomic; Tax Revenue; Dynamic Simultaneous Equation; Public Finance.
Reinvestigating the Determinants of Environmental Degradation in Nigeria
by Demet BETON KALMAZ, Awosusi Abraham Ayobamiji
Abstract: This study aims to reinvestigate the impact of economic growth in relation with trade openness, financial development, energy consumption and foreign direct investment to overcome the omitted variable problem on environmental degradation in Nigeria for the years from 1971 to 2015. Bounds test results reveal a cointegrating relationship between variables in the long run. Both in the long and short run, economic growth tends to affect CO2 emissions positively. In the long run, energy consumption positively impacts CO2 emissions while CO2 emissions tend to be negatively affected by foreign direct investment. Furthermore, a robust check was performed through the FMOLS and DOLS to establish the long run effect. Moreover, we employed wavelet coherence based causality test which provided stronger supportive evidence to the long-run estimations of this study. The significance of this study stems from the uniqueness that to the best of our knowledge there has been no study combining these variables in addition to the fact that the econometric techniques employed have not been applied in conjunction to the subject for the case of Nigeria.
Keywords: CO2 emissions; economic growth; ARDL bounds test; FMOLS; DOLS.
Consumer Perception of Sharing Economy: Pilot Survey in Latvia
by Jelena Titko, Tatjana Tambovceva
Abstract: The overwhelming goal of large-scale cross-country research is to evaluate consumers' perception of a sharing economy. The specific goal within the current paper is to evaluate the appropriateness of the existing questionnaire to study goals and the quality of questions. Besides, respondents' experience in using sharing economy services was analysed. The pilot survey was conducted by the authors, involving 244 respondents. The current research allowed making conclusions about the overall perception of sharing economy among Latvian citizens. Most popular sharing economy activities in which respondents are engaged in were determined. The reasons for avoiding participation in the sharing economy were detected. The results of the research will be used to conduct a cross-country survey that will be aimed to compare the perception of a sharing economy in different countries.
Keywords: sharing economy; circular economy; consumer perception; Latvia; research instrument.
Dynamics among Banking Penetration, Transport Infrastructure, and Regional Growth: An Empirical Note from Indian states
by Harishankar Vidyarthi, Ram Kumar Mishra
Abstract: This study examines the dynamics among banking penetration, transport infrastructure and regional growth for 23 Indian states within panel vector error correction framework over the period 2001 to 2017. Findings confirm the presence of long run equilibrium relationship between banking penetration, transport infrastructure and income for the panel. Panel FMOLS and DOLS results suggest that 1% increase in transport (roadways) infrastructure stocks and banking penetration increases the regional growth by 0.0620% to 0.06784% and 0.1836% to 0.1935%, respectively. Further, panel VECM-based causality results suggest that bidirectional causality between the regional growth and roadways infrastructure, banking penetration and regional growth, and banking penetration and roadways infrastructure respectively in long run. However, there is bidirectional causality between regional growth to roadways infrastructure, and banking outreach to roadways infrastructure, and unidirectional causality running from banking outreach to regional growth in the short run. Therefore, improving transport (roadways) infrastructure would be the right step towards regional growth in short run and long run as well.
Keywords: Transport infrastructure; Banking penetration; Panel vector error correction method; Regional growth; India.
ISLAMIC BANK FINANCING: FINDING THE SPATIAL EFFECT AND INFLUENCING FACTORS FROM AN ARCHIPELAGIC INDONESIA
by Arief Mufraini, Ahmad Tibrizi Sony Wicaksono, Kurniawati Meylianingrum, Mega Noerman Ningtyas, Supriyono Supriyono
Abstract: In the light of Islamic bank inclusiveness, this study aims to analyse more for spatial regions effect to identify influencing factors of financing. Secondary data from 33 provinces of Indonesia took a part to complete research analysis. The findings of the research reveal such a strong spatial influence on Islamic bank financing. Jakarta and West Java Province ultimately luxuriate high value of financing, but Banten Province enjoy only low value of financing although it surrounded by the high value neighbour provinces, and Papua Province suffer from Islamic bank financing and also surrounded by the low value ones. Then it is found that Indonesia has seven provinces included in the category of neighbour less namely the Provinces of West Nusa Tenggara, North Maluku, Maluku, East Nusa Tenggara, Bali, Bangka Belitung, and Riau Islands. And factors that affect geographical spatial concentration of Islamic bank financing are gross domestic product and deposit.
Keywords: Spatial Regression Model; Islamic Bank Financing and Archipelagic Indonesia.
ANALYSIS OF SUPPLY CHAIN ADVANTAGES IN CREATIVE BUSINESSES: A CASE STUDY ON CREATIVE INDUSTRIES IN BANDUNG CITY, INDONESIA
by SAMUN JAJA RAHARJA
Abstract: Superior supply chain performance is an important foundation for the sustainability of business performance, either in domestic or international business. This study seeks to explore the source of creative industries business excellence from the supply chain side in the form of backward and forward linkages. This study takes Bandung City, a
Keywords: creative businesses; backward linkages; forward linkages; sales patterns.
Labor Market Flexibility, Distance to Frontier and Human Capital Accumulation: Evidence from Developing Countries
by Deniz Güvercin
Abstract: The present paper aims to explore whether policies enhancing labor market flexibility result in convergence to world technology frontier, and provide proper incentives to increase investment in human capital. Because of the interdependent relations among labor market flexibility, distance to world technology frontier and human capital investment, the Panel VAR methodology which account co-evolutionary relations in dynamic system is used. The data for 31 developing economies over the period 2000-2015 is used for the purpose of the study. Impulse response analysis shows that distance to frontier increases with labor market flexibility shock, while human capital investment decreases with labor market flexibility shock. Additionally, labor market flexibility decreases with the distance to frontier variable shock and distance to frontier decreases with the human capital investment shock. Results suggest that rigid labor market policies should be put in place first in developing countries to provide right incentives to invest in schooling, training,
Keywords: Labor Market Flexibility; Distance to Frontier; Human Capital Accumulation; Panel VAR.