Exchange rate appreciation, trade competition and technology transaction: evidence from China

PurposeThe purpose of this study is mainly to investigate the stimulating effect on technology transactions of trade competition resultant from RMB appreciation.Design/methodology/approachThis study uses Chinese provincial panel data from 1998 to 2015 and utilizes GMM method to estimate the stimulating effect of RMB appreciation on technical transactions through trade competition.FindingsThe results demonstrate that RMB appreciation can encourage enterprises to make use of domestic technology market resources for innovation. Specifically, the increase in imports due to the appreciation of RMB can generate technology spill-over and significantly promote technology trade. The export competition resultant from RMB appreciation can also encourage domestic and foreign enterprises to enhance export competitiveness through increased technology transactions.Originality/valueThe current research investigates the impact of exchange rate on independent innovation, but this study demonstrates the influence of exchange rate on technology transactions. In addition, the data in this study cover 1998–2015 in China and thus contributes to determining the effects of exchange rate appreciation in emerging countries.

Measuring the Value of Softwood Log Exports: Evidence from Oregon

Oregon softwood log exports experienced a resurgence during years after the Great Recession. Using an empirically grounded partial equilibrium model, the purpose of this study is to assess the net effects of log exports on total economic surplus by measuring the effects of a hypothetical absence of export markets from 2010:Q1 to 2015:Q4. Based on our modeling results, the net economic losses would have amounted to $248 million during the study period in total. Oregon mills would have gained $1.66 billion in total, whereas landowners would have lost $1.91 billion in total had there not been export markets. Furthermore, additional losses would have occurred from the forgone export premium. Our modeling results suggest that harvests would have been 1.97 billion board feet lower in the absence of export markets. However, Oregon mills would have used an additional 3.0 billion board feet. We also provide estimates for potential employment effects. Study Implications The purpose of our study is to compute how much Oregon mills would have gained from the absence of export competition during the six years after the Great Recession and how much landowners would have lost if they did not have the opportunity to export softwood logs. We also assess how many additional jobs domestic mills would have sustained and how many jobs would have disappeared from logging and transportation activities if exports were absent. Our results inform policymakers and stakeholders about the net benefits of softwood log exports in Oregon, as well as about the distributional consequences of exports.

A new model for assessing the role of IT-based systems, public policies and business intelligence on the export competitiveness’s efficiency

Purpose By using some tools such as business intelligence (BI) and exploring data stored in data warehousing systems, it is possible to increase export competition efficiency. Efficiency in the export competition is affected by several factors. Therefore, this paper has attempted to provide a new conceptual framework for assessing the impact of new information technology (IT)-based systems, public policies and BI on the efficiency of export competitiveness. Design/methodology/approach Increasing exports and its high efficiency depend on each country’s IT. So, IT is the main tool to increase the production process, improve quality and reduce products’ cost. In addition, each country develops policies for business activities and commerce to increase productivity in export competition. Clarifying public policies and strategies critical to the development of export competition is important in this field. Therefore, this paper has tried to provide a new conceptual framework for examining the impact of new IT-based systems, public policies and BI on the effectiveness of export competition. The research method of this study is based on structural equation modeling. This method has been used to evaluate the causal model, assess the reliability and check the measurement model’s validity. Model and data were analyzed using SPSS 22 and SmartPLS software. Findings The results showed that the impact of new IT-based systems, public policies and BI on export competitiveness efficiency has been positive. Research limitations/implications To generalize this study’s results and have a more accurate external validity, it is necessary to conduct this research program over a more extended time and space. Also, larger and more comprehensive samples should be taken for further validation. The authors also suggest that other factors can be considered. Practical implications The framework is conceptually innovative in modeling the efficiency of export competitiveness and assessing implications. Export competitiveness is a crucial factor in long-term global farm business survival, as it fosters opportunities for business prosperity on global markets. Originality/value The research offers important hints for emerging markets to find their ways to maintain a sustainable competitive advantage in the export market by controlling the country-level factors. This research will be helpful to both policymakers and global managers.

WTO Agreement on agriculture and peculiarities of its implementation under the conditions of the Republic of Belarus

The article presents the stages of formation and development of the WTO Agreement on Agriculture, its structure and content of the main sections. It has been established that agriculture is one of the strategic and vulnerable sectors of the economy of any state, the development of which determines the level of national economic and food security. It is determined that the adopted document establishes a system of rules and obligations of countries in relation to agricultural policy measures related to the regulation of market access, domestic support, and export competition. The current trends in the development of the agri-food sector of Belarus in terms of agricultural production, food security, foreign trade are justified. The features of the implementation of the WTO Agreement on Agriculture in the conditions of the republic, taking into account external and internal factors of industry competitiveness, are highlighted. At the country level, directions for the development of agricultural trade policy, improvement of support measures that do not fall under obligations to limit in accordance with international requirements of the World Trade Organization, and ensure competitive advantages in foreign agricultural markets are proposed. It was noted that promising areas and criteria for the effective functioning of the agri-food sector should take into account national priorities, provide measures and mechanisms for the development of competitive and environmentally friendly production of agricultural products, expand market infrastructure, create favorable organizational and economic conditions for the functioning of the industry, and form its scientific and innovative potential. The issues disclosed in the article are of interest in developing a set of measures to increase the efficiency of foreign trade in the context of expanding the country’s participation in international and regional trade and economic integration, justifying mechanisms for improving agricultural regulation, and developing a system for promoting agri-food products on the domestic and foreign markets.

The Enemy of My Enemy: When Firms Support Climate Change Regulation

Policies to mitigate global climate change entail significant economic costs. Yet a growing number of firms lobby in favor of regulation to mitigate carbon emissions. Why do firms support environmental regulations that directly increase production costs? This question is all the more puzzling in a globalized economy where regulation may undermine the competitiveness of domestic firms at home and abroad. By imposing differential costs on participants in the domestic market, policies designed to mitigate carbon emissions shift market share toward firms with low anticipated adjustment costs. I develop and test a model of climate change policymaking in the presence of market competition and open borders. Heterogeneity in adjustment costs induces a preference for regulation among low-cost firms. Firms facing import pressure—or export competition—may prefer stringent regulation if costs are sufficiently asymmetric. Firms embedded in global value chains also benefit if regulation raises the costs of domestically produced intermediate goods.