scholarly journals Fostering Economic Growth in Frontier Markets: Perceptions in The Tunisian Post-Arab Spring

2020 ◽  
Vol 13 (2) ◽  
pp. 32-40
Author(s):  
Victoria L. Crittenden ◽  
Miranda Beggin ◽  
William F. Crittenden ◽  
Kaylea Dohm
Keyword(s):  
Economic Growth ◽  
Arab Spring ◽  
Business Environment ◽  
Policy Implications ◽  
Social Reforms ◽  
Managerial Practices ◽  
Business Press ◽  
Entrepreneurial Behaviour ◽  
Medium Enterprise ◽  
The One

   The need for economic reform is at the heart of the criticism for many frontier economies. Fostering entrepreneurship and identifying business opportunities generate paths for job creation and economic growth. Given the underlying tensions that led to the Arab Spring, our study focuses on the one country that is considered to be a post-Arab Spring success story and explores the Small-Medium Enterprise (SME) business environment in Tunisia. Perceived changes in the SME environment in Tunisia were examined qualitatively via in-depth personal interviews with 21 Tunisian economic experts. Analysis of the interview data followed the thematic analysis approach. Our findings indicate that social reforms and the development of financing alternatives should be paramount for the growth of SMEs and the economic success of frontier markets. Additionally, educational reform and communication to foster entrepreneurial behaviour and effective managerial practices are required to ensure that current and future generations are prepared to engage successfully in the formal economy. Although our research focused on a single frontier market economy, we believe these findings are generalizable to many emerging economies. The findings should hold considerable policy implications due to the nature of the reforms suggested. There are popular and business press articles about the post-Arab Spring and stories about Tunisia’s Jasmine Revolution; however, increased scholarly focus on entrepreneurial efforts post-Arab Spring in Tunisia will further solidify the intersection of economic gain and human development. 

scholarly journals Trade Openness, Economic Growth and the Vicissitude of Labor-intensive Industries: The Case of China

2014 ◽  
Vol 43 (1) ◽  
pp. 7-31 ◽  
Author(s):  
Ma Ying ◽  
Li Jing ◽  
Yu Guansheng ◽  
Yuan Dongyang
Keyword(s):  
Economic Growth ◽  
Industrial Structure ◽  
Negative Impact ◽  
Trade Openness ◽  
Analytical Framework ◽  
Simultaneous Equation ◽  
Policy Implications ◽  
Transformation Theory ◽  
Total Employment ◽  
The One

Abstract In this paper, we use China’s 1986-2008 data to make an empirical analysis on the interrelationship between trade openness, economic growth and the structural change of labor-intensive industries by using simultaneous equation models and a VAR model. Our empirical study leads to the three conclusions. First, trade openness has accelerated economic growth, though with some negative impact on the development of labor-intensive industries; Second, economic growth has had a positive effect on trade openness, but again negatively impacted the development of labor-intensive industries. Third, the expansion of labor-intensive industries has had negative effects on both trade openness and economic growth. Methodologically we rely on the transformation theory of industrial structure as an analytical framework to empirically study these three paradoxical outcomes. We introduce the three variables: trade openness, economic growth and the change of labor-intensive industries, as dependent as well as independent variables into our empirical models. And then we use technological progress, the share of secondary industries to GDP, total employment and investment ratio as control variables in order to test the robustness of the empirical results. In addition to explaining the factors responsible for changes in labor-intensive export industries we also provide two policy implications: First, labor-intensive industries should be scaled down to improve the efficiency of resources allocation. Second, China should timely transform its industrial structure of the export sectors from the one that is dominated by labor-intensive industries to the one that is dominated by capital (technology)-intensive industries so as to induce the export sectors to move in the direction favorable to the transformation of China’s present outward pattern of economic development.

scholarly journals THE EFFECTS OF ACCOUNTABILITY, GOVERNANCE CAPITAL, AND LEGAL ORIGIN ON REPORTED FRAUDS

2019 ◽  
Vol 25 (6) ◽  
pp. 1213-1231 ◽  
Author(s):  
Domicián Máté ◽  
Rabeea Sadaf ◽  
Judit Oláh ◽  
József Popp ◽  
Edit Szűcs
Keyword(s):  
Economic Growth ◽  
Business Environment ◽  
Policy Implications ◽  
Reporting Standards ◽  
Legal Origin ◽  
Institutional Perspective ◽  
Diverse Economies ◽  
Financial Crimes ◽  
Director Liability

An institutional perspective is employed to illuminate the complexity of frauds in various diverse economies, in order to enhance the efficacy of previous accounting concepts. In this study, the effects of the legal, regulatory and human framework of the strength of auditing and reporting standards, and the governance capital related to global sustainable competitiveness and economic growth, etc. are analysed by linear regression (OLS) methods. Moreover, the role of other indicators i.e. financial freedom, the extent of director liability and legal origin, are interrelated with the number of fraud cases. From the results, it appears that an increased level of governance capital, financial freedom from government pressure, strengthened transparency and more protected minority investors through liable directors might increase the number of reported fraud cases in the countries and years examined. The existence of legal origin also seemed to be an appropriate proxy for an improved understanding of fraud characteristics. This evidence suggests it is worth investigating in depth the nature of financial crimes across countries for a better understanding of this phenomenon. In this way, these findings might have sufficient potential in the case of adequate policy implications within a less litigious business environment to resolve the undesirable consequences of impending financial downturns, and to achieve sustainable competitiveness and economic development.

scholarly journals Increasing small- and medium-enterprise contribution to local and regional economic growth by assessing the institutional environment

2020 ◽  
Vol 27 (2) ◽  
pp. 259-280 ◽  
Author(s):  
Leyla A. Gamidullaeva ◽  
Sergey M. Vasin ◽  
Nicholas Wise
Keyword(s):  
Economic Growth ◽  
Organizational Behavior ◽  
Institutional Environment ◽  
Regional Economic Growth ◽  
Regional Economic ◽  
Content Type ◽  
Managerial Practices ◽  
Country Level ◽  
Geographical Regions ◽  
Medium Enterprise

PurposeA neo-institutional methodology defines the entrepreneurial environment for SMEs as a multidimensional set of interacting formal/informal institutions influencing regional economic growth. Acknowledging the multidimensional nature of SME growth, this study tests an approach to measure SME institutional environment quality through the identification of regional-level determinants.Design/methodology/approachThe method used in this paper is based on Bruns et al.’s (2017) model and is tested on 81 Russian Federation regions. The approach seeks to determine variation in entrepreneurial ecosystems based on quality and estimated marginal effects of difference across geographical regions.FindingsThe most severe obstacle to SME development in Russia is its shadow economy and corruption. Access to finance, high transportation fees, and instability in the political and economic field ranks second and third, respectively. Results suggest governments should eliminate main obstacles at country-level, which hampers the SME sector's development. While this is noted for this case looking at Russia, this is a common argument found in SME research.Practical implicationsFindings from this study are useful in managerial practice, aimed at increasing innovative development and increasing the competitiveness of Russian SMEs. A neo-institutional approach is one of the theoretical strands with the emphasis on enhanced understanding of organizational behavior and social capital, including cultural norms and beliefs.Originality/valueUtilizing an extended empirical approach to assess the institutional environment for SMEs addresses a research gap – offering novel insight on SME growth useful for policy makers. The results can inform managerial practices to increase SME contribution to economic growth.

scholarly journals THE BUSINESS ENVIRONMENT OF THERUSSIAN-BELARUSIAN BORDER IN THE CONTEXT OF INTERSTATE INTEGRATION

2020 ◽  
Vol 6 ◽  
pp. 656
Author(s):  
Anton Kuzavko
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Business Environment ◽  
Border Zone ◽  
Business Climate ◽  
Border Regions ◽  
Level Of Economic Development ◽  
Labor Resources ◽  
The One ◽  
Economic Growth Rates

The problem considered in the article is expressed in contradiction. On the one hand, the border position of the regions provides additional opportunities for the implementation of business ideas of international trade and cooperation. On the other hand, it can significantly change the business environment in comparison with other regions of the state, increasing competition and creating additional risks for entrepreneurs. The analysis explains the reason for the lag in the level of economic development of these regions from the national one. The aim of the study is to find evidence of hypothesis that the inter-metropolitan and at the same time border position of the regions of the two states engaged in political and economic integration negatively affects the economic development and business climate of these territories, stimulates the outflow of capital and labor resources - key factors of production. To achieve the goal, various methods are used, such as in-depth interviewing, questions from entrepreneurs, a retrospective analysis of historical facts of interstate interaction, but this article describes the results of the study obtained in the course of statistical analysis. This article discusses the elements of the business environment that directly or indirectly affect the behavior of economic and their desire to build and develop business in the border areas of Russia and Belarus. It is shown that over the years of integration, the economic growth rates of the Russian-Belarusian border regions lagged behind the national ones. Wages remained lower than the national average. This provokes the outflow of intellectual capital - the most important element of the business environment. Thus, the article shows that the integration of Russia and Belarus, despite the overall positive effect for the two states, limits the rate of economic growth in the border zone.  

Effects of tourism development on economic growth: An empirical study of China based on both static and dynamic spatial Durbin models

2021 ◽  
pp. 135481662110211
Author(s):  
Honghong Liu ◽  
Ye Xiao ◽  
Bin Wang ◽  
Dianting Wu
Keyword(s):  
Economic Growth ◽  
Spillover Effect ◽  
Tourism Development ◽  
Spillover Effects ◽  
Policy Implications ◽  
Long Term Effects ◽  
Spatial Spillover ◽  
Domestic Tourism ◽  
Inbound Tourism ◽  
Spatial Spillover Effect

This study applies the dynamic spatial Durbin model (SDM) to explore the direct and spillover effects of tourism development on economic growth from the perspective of domestic and inbound tourism. The results are compared with those from the static SDM. The results support the tourism-led-economic-growth hypothesis in China. Specifically, domestic tourism and inbound tourism play a significant role in stimulating local economic growth. However, the spatial spillover effect is limited to domestic tourism, and the spatial spillover effect of inbound tourism is not significant. Furthermore, the long-term effects are much greater than the short-term impact for both domestic and inbound tourism. Plausible explanations of these results are provided and policy implications are drawn.

scholarly journals Sustainable Energy-Related Infrastructure Development in the Mekong Subregion: Key Drivers and Policy Implications

2021 ◽  
Vol 13 (10) ◽  
pp. 5720
Author(s):  
Han Phoumin ◽  
Sopheak Meas ◽  
Hatda Pich An
Keyword(s):  
Carbon Dioxide Emissions ◽  
Energy Demand ◽  
Power Plants ◽  
Policy Implications ◽  
Infrastructure Investment ◽  
Infrastructure Development ◽  
Low Carbon ◽  
Energy Access ◽  
Low Carbon Economy ◽  
The One

Many players have supported infrastructure development in the Mekong Subregion, bridging the missing links in Southeast Asia. While the influx of energy-related infrastructure development investments to the region has improved the livelihoods of millions of people on the one hand, it has brought about a myriad of challenges to the wider region in guiding investments for quality infrastructure and for promoting a low-carbon economy, and energy access and affordability, on the other hand. Besides reviewing key regional initiatives for infrastructure investment and development, this paper examines energy demand and supply, and forecasts energy consumption in the subregion during 2017–2050 using energy modeling scenario analysis. The study found that to satisfy growing energy demand in the subregion, huge power generation infrastructure investment, estimated at around USD 190 billion–220 billion, is necessary between 2017 and 2050 and that such an investment will need to be guided by appropriate policy. We argue that without redesigning energy policy towards high-quality energy infrastructure, it is very likely that the increasing use of coal upon which the region greatly depends will lead to the widespread construction of coal-fired power plants, which could result in increased greenhouse gas and carbon dioxide emissions.

The Impact of the Business Environment on the Formalization of Informal Firms. The Case of Kosovo

Südosteuropa ◽  
2020 ◽  
Vol 68 (4) ◽  
pp. 505-529
Author(s):  
Kujtim Zylfijaj ◽  
Dimitar Nikoloski ◽  
Nadine Tournois
Keyword(s):  
Negative Impact ◽  
Positive Impact ◽  
Business Environment ◽  
Positive Influence ◽  
Policy Implications ◽  
Tax Reforms ◽  
Firm Level ◽  
Characteristics Analysis ◽  
Significant Negative Impact ◽  
The Impact

AbstractThe research presented here investigates the impact of the business environment on the formalization of informal firms, using firm-level data for 243 informal firms in Kosovo. The findings indicate that business-environment variables such as limited access to financing, the cost of financing, the unavailability of subsidies, tax rates, and corruption have a significant negative impact on the formalization of informal firms. In addition, firm-level characteristics analysis suggests that the age of the firm also exercises a significant negative impact, whereas sales volume exerts a significant positive impact on the formalization of informal firms. These findings have important policy implications and suggest that the abolition of barriers preventing access to financing, as well as tax reforms and a consistent struggle against corruption may have a positive influence on the formalization of informal firms. On the other hand, firm owners should consider formalization to be a means to help them have greater opportunities for survival and growth.

Fish Exports and Economic Growth: The Pakistan’s Experience

2019 ◽  
Vol 20 (2) ◽  
pp. 279-296 ◽  
Author(s):  
Syed Tehseen Jawaid ◽  
Mohammad Haris Siddiqui ◽  
Zeeshan Atiq ◽  
Usman Azhar
Keyword(s):  
Economic Growth ◽  
Time Series Data ◽  
Positive Impact ◽  
Impulse Response Function ◽  
Policy Implications ◽  
Sensitivity Analyses ◽  
Series Data ◽  
Distributed Lag ◽  
Long Run ◽  
Short Run

This study attempts to explore first time ever the relationship between fish exports and economic growth of Pakistan by employing annual time series data for the period 1974–2013. Autoregressive distributed lag and Johansen and Juselius cointegration results confirm the existence of a positive long-run relationship among the variables. Further, the error correction model reveals that no immediate or short-run relationship exists between fish exports and economic growth. Different sensitivity analyses indicate that initial results are robust. Rolling window analysis has been applied to identify the yearly behaviour of fish exports, and it remains negative from 1979 to 1982, 1984 to 1988, 1993 to 1999, 2004 and from 2010 to 2013, and it shows positive impact from 1989 to 1992, 2000 to 2003 and from 2005 to 2009. Furthermore, the variance decomposition method and impulse response function suggest the bidirectional causal relationship between fish exports and economic growth. The findings are beneficial for policymakers in the area of export planning. This study also provides some policy implications in the final section.

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