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on Investment |
| By: | Lee, Sora (Korea Institute for Industrial Economics and Trade); Lee, Minju (Korea Institute for Industrial Economics and Trade) |
| Abstract: | The Israel-Hamas War began when Hamas attacked Israel on October 7, 2023. The international community remains alertly attuned to the war’s developments, not least because conflicts in the Middle East have historically tended to fuel oil price hikes. Thus far, however, the war has not yet exerted a significant effect on global oil prices, as neither belligerent in the conflict is an oil producer. However, if a third-party country such as Iran enters the war, the international price of oil could well rise to USD 150 per barrel. Rising oil prices exert inflationary pressure first by directly increasing import prices. In South Korea, rising oil prices have been associated with higher prices of imported raw materials and intermediate goods since 2000. Higher input costs significantly raise the cost of business for Korean firms. Should business revenues fail to rise at the same pace as costs, firms stand to experience losses. Our analysis of different Korean industries reveals that rising prices have significantly elevated material costs for the chemical, primary metal, and petroleum refinery industries, with the impacts on the profitability of the chemical industry particularly severe. Our analysis also shows that the income terms of trade worsened especially for Korean chemical and steel exports under war-induced oil price hikes, while the income terms of trade for the semiconductor and automotive industries actually improved over the same period of time. Geopolitical factors can lead to abrupt fluctuations in oil prices, making it is critical to remain abreast of developments in the Israel-Hamas War. Moreover, the Korean government needs to monitor oil prices closely so as to take timely and proactive policy actions that ensure stability in domestic oil prices. Policy support should also be tailored to the needs of industries that are especially vulnerable than to oil price hikes, while measures should be introduced to enhance the competitiveness of their products. In the long run, more investment should be made in developing alternative and renewable energy sources. |
| Keywords: | Israel; Hamas; Israel-Hamas war; Middle East; oil; oil prices; oil price volatility; inflation; global trade; renewable energy; KIET; Korea |
| JEL: | F13 F51 F52 Q31 Q34 Q35 Q37 Q38 Q41 |
| Date: | 2023–10–31 |
| URL: | http://d.repec.org/n?u=RePEc:ris:kietrp:2023_019&r=inv |
| By: | Marcos Lacasa Cazcarra |
| Abstract: | This paper analyzes the impact of the National Minimum Wage from 2001 to 2021. The MNW increased from 505.7/month (2001) to 1, 108.3/month (2021). Using the data provided by the Spanish Tax Administration Agency, databases that represent the entire population studied can be analyzed. More accurate results and more efficient predictive models are provided by these counts. This work is characterized by the database used, which is a national census and not a sample or projection. Therefore, the study reflects results and analyses based on historical data from the Spanish Salary Census 2001-2021. Various machine-learning models show that income inequality has been reduced by raising the minimum wage. Raising the minimum wage has not led to inflation or increased unemployment. On the contrary, it has been consistent with increased net employment, contained prices, and increased corporate profit margins. The most important conclusion is that an increase in the minimum wage in the period analyzed has led to an increase in the wealth of the country, increasing employment and company profits, and is postulated, under the conditions analyzed, as an effective method for the redistribution of wealth. |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2402.02402&r=inv |
| By: | Mahdi Gholami; Samuel Muehlemann |
| Abstract: | This paper analyzes the association between an individual's mathematical skills in ninth grade, the subsequent selection process in firm-based apprenticeship training, and post-training skilled worker wages. Using data from the National Educational Panel Study and the Institute for Employment Research, we show that math skills are associated with training placements in larger and higher-paying firms, as well as higher subsequent skilled worker wages. Furthermore, we apply instrumental variables regression to account for measurement error in standardized math test scores. We find that a one-standard deviation increase in math skills is initially associated with a 36% increase in initial post-training earnings, reducing to 10% after five years. Our results suggest that math skills help school leavers find an apprenticeship in firms in which they have a comparative advantage, thereby increasing allocation efficiency. Moreover, when we control for observable cognitive and non-cognitive skills, we find that female school-leavers sort into lower-paying training firms. This selection accounts for a significant portion of the gender wage gap observed later among women who continue their careers as skilled workers within their training firms. |
| Keywords: | Math skills, Cognitive skills, Non-cognitive skills, Apprenticeship training, Post-training earnings |
| JEL: | I26 J23 J24 J31 M51 M53 |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:iso:educat:0212&r=inv |
| By: | Armanda Cetrulo; Dario Guarascio; Maria Enrica Virgillito |
| Abstract: | Are wages really a good proxy of the value of labour? Or, alternatively, do they largely reflect socio-institutional embedded practices of current societies according to which a manager deserves to be paid more than a nurse? This paper studies the determinants of wage remuneration and wage distribution focusing on two neglected origins of inequality: hierarchical power and care-work. Our contributions include, first the construction of a new synthetic indicator able to capture and quantitatively assess the distribution of power across occupations; second, the development of an indicator able to fine grained account for care jobs; third, the econometric estimation of the determinants of wage levels and wage distribution contrasting our new proxies for occupational attributes of care and power versus the benchmark Mincer equation and the routine task index. Our results downplay the role of the accustomed routine task index in determining the wage remuneration and prove the role of the socioinstitutional embeddedness of wage determination, rooted on hierarchical positions and largely discarding the role of essentiality in the executed job activity. |
| Keywords: | wage determination, social classes, labour-process, managerial functions, care jobs |
| Date: | 2024–02–16 |
| URL: | http://d.repec.org/n?u=RePEc:ssa:lemwps:2024/04&r=inv |
| By: | Elise Aerts;; Ive Marx;; Zachary Parolin; |
| Abstract: | This paper takes stock of income support provisions for families with children in the European Union, the United Kingdom and the United States. We look at the impact of regulatory instruments such as statutory minimum wages and also at the role of more direct income supports like child benefits and refundable tax credits. We also consider the impact of design. What is the relative role of universal as opposed to more targeted provisions, be it by family type or (pre-tax) income level? In short, what can we learn from the best-performing countries when it comes to ensuring that families with children have adequate minimum resources? We demonstrate that there is very substantial variation in the levels of income support provided to working and non-working families across Europe and the US. The most generous countries support incomes through layers of policies of which significant minimum wages and both universal and targeted child benefits (or tax credits) are key layers. The main lesson here is that, if the political will is there, workable policy mixes are available to make sure that parents have adequate minimum income resources to provide their children an upbringing free from poverty. |
| Date: | 2022–04 |
| URL: | http://d.repec.org/n?u=RePEc:hdl:wpaper:2204&r=inv |
| By: | Xiao Chen; Hanwei Huang; Jiandong Ju; Ruoyan Sun; Jialiang Zhang |
| Abstract: | We study infectious diseases in a spatial epidemiology model with forward-looking individuals who weigh disease environments against economic opportunities when moving across regions. This endogenous mobility allows regions to share risk and health resources, resulting in positive epidemiological externalities for regions with high R0s. We develop the Normalized Hat Algebra to analyze disease and mobility dynamics. Applying our model to US data, we find that cross-state mobility controls that hinder risk and resource sharing increase COVID-19 deaths and decrease social welfare. Conversely, by enabling "self-containment" and "self-healing, " endogenous mobility reduces COVID-19 infections by 27.6% and deaths by 22.1%. |
| Keywords: | SIRD model, spatial economy, endogenous mobility, basic reproduction number, Normalized Hat Algebra, containment policies, Covid-19 |
| Date: | 2024–02–12 |
| URL: | http://d.repec.org/n?u=RePEc:cep:cepdps:dp1981&r=inv |
| By: | Frisell, Oskar (IHE - The Swedish Institute for Health Economics); Bexelius, Christin (Roche AB); Jönsson, Linus (Karolinska Institutet); Lindgren, Peter (IHE - The Swedish Institute for Health Economics); Persson, Sofie (IHE - The Swedish Institute for Health Economics) |
| Abstract: | Dementia contributes to large costs to the Swedish society, more than SEK 80 billion in 2019. Of the costs, most fall on the municipalities in the form of home help and nursing homes. Informal care is also a major contributor to the total costs and in this context a small cost fall on the health care regions. Novel disease modifying treatments for Alzheimer’s disease have shown in clinical trials to have a significant effect on how quickly the disease progresses. A prerequisite for these new treatments is that the recipient has a correct Alzheimer’s diagnosis and does not have any other characteristics that make them unsuitable for treatment. The new treatments are expected to be expensive at the same time as there is no alternative treatment and many people living with dementia who will expect and hope for quick access once they are approved for use in Sweden. Since these new treatments do not cure, merely slow the rate of progression of Alzheimer's disease, it is of great importance that diagnosis and treatment are available as early as possible. In addition to this, more and more people with mild cognitive decline are expected to seek care and diagnostics. This will increase the burden on diagnostics and treatment. For society to cope, new payment models, innovative financing solutions and larger investments in prevention will likely be required. Large patient groups, diagnostics in multiple steps and expensive treatments may lead to health care budgets being unable to cope, since demand and need for other care remain. An expected transferral of cost burden from the municipalities to the regions is likely as more and more people will be diagnosed and treated, funded by the regions. This may lead to a reduced need for home help and nursing homes. Hopefully the burden on loved ones will also decrease when treatment is available. Society, in the form of municipalities, regions, private care providers and the government (via the expert authority TLV) will need to, together with industry representatives, be prepared and ready for the day this goes from an expectation to a reality. This to ensure that as many as possible have access to prevention programs, accurate diagnostics, and effective treatments. |
| Keywords: | dementia; health economics |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:ihewps:2024_002&r=inv |
| By: | Snead, Ken C.; Kraft, Margo J.; Lozada, Aida R.; McGrath, Richard N.; Biswas, Tania; Zhou, Fuzhao |
| Abstract: | With increased global interaction, cultural awareness among stakeholders is crucial, especially for companies seeking growth in the international environment. This study focuses on comparing the perceptions of business skill importance between student subjects from China/Hong Kong (CHK) and the United States (US). The results show that the six cues representing the business skills/attributes strongly influenced student perceptions of job offer likelihood and the relative importance of these cues were not equal, with Interpersonal Effectiveness (INPER), Internship Experience (INT), and Ethical Awareness (ETH) having a higher impact than Communication (COMM), Cultural Intelligence (CULT), and Critical Thinking (CRIT). The results indicated that INPER, INT, and ETH were associated with similar, substantial effects, while COMM, CULT, and CRIT exhibited smallerand comparable effects. The analysis revealed significant interactions between the country and two cues Interpersonal Effectiveness (INPER) and Ethical Awareness (ETH). Chinese students perceived INPER to be somewhat more important than U.S. students, possibly influenced by cultural dimensions such as the emphasis on interpersonal relationships in Chinese culture. Conversely, U.S. students regarded ETH as more crucial than their Chinese counterparts, aligning with findings that suggest cultural variations, particularly in power distance and collectivism, may influence ethical values. The findings enhance our understanding of the relative importance of business skills in different cultural contexts and provide insights for educational institutions and employers in preparing students for the global business environment. The study contributes to the existing literature by providing direct comparisons of student perceptions across cultures and employing a rigorous judgment modeling methodology. |
| Keywords: | business skill, judgement model, business education |
| JEL: | A10 |
| Date: | 2023–12–06 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:120040&r=inv |
| By: | Fuhrmann-Riebel, Hanna |
| Abstract: | Recent decades have shown an unprecedented growth in demand for resources, with a trend that is projected to accelerate in the future. Policymakers around the world have started to recognise that transitioning to a more resource-efficient and circular economy (CE) is key to addressing this challenge. Two important enablers for the transition to a CE are circular business models (CBMs) and consumers. The two are interlinked, as demand shifts among consumers can foster the development and supply of new business models, which in turn require the uptake by consumers to be successful. To promote the development and increase the uptake of new CBMs, policymakers need to provide the respective regulatory frameworks and incentives. Doing so requires systemic policy mixes that go beyond encouraging technological innovations and include targeting the demand side as well. This paper zooms in on the role of the consumer for CBMs, discusses potential consumer barriers to CBM demand, and outlines how policy-making can address these barriers by applying systemic mixes of instruments to tackle the macro-, meso-, and micro-level factors that influence consumer demand simultaneously. While the macro-level describes the economic context of consumers' decision-making, that is, the availability and supply, infrastructure and price of CBMs in the market, the meso-level characterises the social environment, including social norms and social status, whereas the micro-level focuses on individual characteristics such as consumption habits, security and quality concerns, and environmental knowledge or concern. This paper illustrates how the different consumer barriers are closely interlinked, and that, ideally, policymakers should target all three levels jointly to encourage CBM demand most effectively. In doing so, policymakers should consider the principles of the waste hierarchy in order to maximise the environmental benefits of CE policy mixes. The paper mostly takes a European perspective on the topic, especially when discussing relevant policy frameworks, and reflects on potential differences to other regions, particularly in the Global South, when appropriate |
| Keywords: | green economy, circular economy, circular business models, consumers, policy mixes, Environment, ecosystems and resources |
| Date: | 2024 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:diedps:283130&r=inv |
| By: | Provan, James Albert; Lane, Laura; Horne Rowan, Jessica |
| Abstract: | People who use wheelchairs can benefit in many ways from living in homes which are designed to meet their needs. They can enjoy a much greater independence and ability to do everyday tasks such as showering, cooking, using all areas of the house and garden, being able to work, and using all the amenities of their home. This can lead to an overall increase in their confidence and wellbeing, including engagement in social and community life. Accessible homes can also be much safer, reducing risks of accidents or falls at home, and considerably reduce the need for other people to be regularly available to assist with everyday life – including family members, informal carers, or local authority care and support staff. Recent proposals to change planning regulations will mean, once implemented, that all new homes are required to meet an inclusive design standard called the ‘accessible and adaptable design standard’, which is set out in building regulations in ‘Approved Document M’. This has been widely welcomed by many disabled people and others, as it will provide homes that can be adapted to meet many of the changing needs of households over time. But there are still no regulations which require the building of a basic proportion of new homes to a standard which meets the needs of wheelchair users. LSE Housing and Communities were commissioned by Habinteg Housing Association to review the existing evidence around the potential benefits to individual wheelchair users and the public purse of increasing the availability of wheelchair accessible housing to meet current needs, and compare those benefits to the additional costs of building to that accessible standard. We also interviewed 17 wheelchair users about their experiences of living in, or their lack of, accessible housing. |
| Keywords: | housing; disability; wheelchair user; cost-benefit analysis; qualitative research; accessibility; new build |
| JEL: | I30 |
| Date: | 2023–09–04 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:121508&r=inv |
| By: | Fargher, Ben |
| Abstract: | Global food security in a riskier world is a vitally important topic. Nearly 830 million people are food insecure – there are real and urgent challenges facing the global food system. Topics such as market access and the empowerment of people, especially as it relates to smallholder agriculture in the Asia Pacific region, are critical. As Cargill sits at the centre of the global agricultural supply chain, working alongside farmers, producers, manufacturers, retailers, governments, and other organisations, the presentation will raise solutions for resilient food and nutrition systems, with particular emphasis on the supply chain. It will explain the Cargill experience of the implications for farmers of disruptions to global supply chains in a modern geopolitical environment including from rising demand, climate and geopolitical conflict. Experiences from COVID-19 lockdowns and the more recent disruptions due to the war in Ukraine, have had significant implications for farmers and agribusiness and strategies for diversification of markets, more flexible and resilient supply chains, and planning for resilience to reduce future vulnerability for the benefit of consumers and growers will be considered. One if not the most urgent challenge is the climate crisis. Cargill is committed to reducing the climate impact of agriculture and agriculture is part of the solution to this challenge. Working with suppliers, customers, and partners, action-oriented, lasting solutions and several practical examples will be outlined. |
| Keywords: | Agribusiness, Agricultural and Food Policy, Crop Production/Industries, International Relations/Trade |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:ags:cfcp23:339619&r=inv |
| By: | McKnight, Abigail Ann; Obolenskaya, Polina |
| Abstract: | In this paper we evaluate the distributional impact of higher education policy in the period since the Conservative government took office in 2015 up until the eve of the Covid-19 pandemic in early 2020. We do this by following the common framework adopted by research papers in the Social Policies and Distributional Outcomes in a Divided Britain (SPDO) research programme. Higher education is a devolved matter, so to assess the UK government’s record the analysis mainly focuses on England with comparisons made between UK nations. Key policy changes in England include the removal of the cap on student numbers, changes to HE architecture including the new Office for Students (OfS) and UK Research and Innovation, the introduction of a teaching quality framework and a simplified single route into the sector for new providers. Annual government spending on HE in England, in real terms, remained stable at around £11 billion with the vast majority spent on subsidising student loans. The growing use of unconditional offers is causing concerns with their link to poorer A-level performance, higher rates of drop-out, greater use by lower tariff universities and among applicants from less advantaged areas. More young people attend university than in the past and there is some evidence of a slight narrowing in the socio-economic gap in England. However, inequalities remain including a wide gender gap in participation and ethnic inequalities in degree performance. On average, graduates continue to enjoy an advantage in the labour market. However, beneath average rates of return lie considerable inequalities and it is estimated that a significant share of students would have been financially better-off had they not attended university. While demand stays high, there is no disincentive for providers to offer low value courses as the cost of education for students with low lifetime earnings is borne by tax-payers. Although recent OfS regulatory changes and threats to withhold student loan income to providers not meeting minimum acceptable student outcomes, has the potential to change incentives. The sustainable financing of higher education in England is once again emerging as a major issue. The nominal value of tuition fees is unchanged since 2016/17 leading to a fall in real income per student from this source, and this will inevitably impact on education quality and student experience. The Government did not publish a full response to the most recent review (the Augar Review) until spring 2022, some four years after it was set-up. The review and recommendations already seem a bit dated. |
| Keywords: | education; higher education; university |
| JEL: | I28 |
| Date: | 2023–04–27 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:121557&r=inv |
| By: | Strupat, Christoph; Balasubramanian, Pooja; Srigiri, Srinivasa Reddy; Hornidge, Anna-Katharina |
| Abstract: | Die Corona-Pandemie hat uns die Anfälligkeit der Gesundheitssysteme vor Augen geführt und gezeigt, dass wir neue Finanzierungsmechanismen für Pandemieprävention, -vorsorge und -reaktion (PPR) und die flächen-deckende Gesundheitsversorgung (Universal Health Coverage, UHC) brauchen. Aus der Pandemie lassen sich zwei allgemeine Lehren ziehen. Erstens: Globale Probleme erfordern globale Lösungen, und dabei sind sowohl lokale als auch nationale Akteure gefragt. Deshalb sollte öffentliche Gesundheit als globales öffentliches Gut betrachtet werden. Dies erfordert Solidarität zwischen reichen und armen Ländern, um die Bewältigung von Pandemien und anderen Gesundheitskrisen zu ermöglichen. Die Bereitstellung eines solchen globalen öffentlichen Gutes erfordert jedoch erhebliche öffentliche Mittel. Die Bereitstellung zusätzlicher Mittel, insbesondere für den Pandemiefonds, die WHO, sowie die Umsetzung des internationalen Pandemieabkommens sind erste Schritte in die richtige Richtung. Wichtig ist dabei, dass der Schwerpunkt nicht nur auf der Verhinderung der Ausbreitung von Infektionskrankheiten liegt, sondern auch auf ihrer Erkennung und Bekämpfung direkt an der Quelle, was eine systemische Blickweise erfordert. Die zweite Lehre ist, dass Prävention sich lohnt, da sie weniger kostet als spätere Abhilfemaßnahmen. Gesundheitssysteme lassen sich als Instrument zur Umsetzung von PPR und UHC begreifen. Studien zeigen, dass Gesundheitssysteme mit verlässlichen Kernkapazitäten im Bereich Gesundheitssicherheit (z. B. Labore) und grundlegenden UHC-Strukturen (z. B. Zugang zu Gesundheitseinrichtungen) ihre Bürger*innen oft besser vor den negativen Auswirkungen der Corona-Pandemie schützen konnten. Gerade mit Blick auf Länder mit niedrigem bis mittlerem Einkommen (LMICs) wird deutlich, dass die internationale Unterstützung im Bereich Gesundheit während der Corona-Pandemie deutlich anstieg. Die nach wie vor hohen Zuzahlungen von privaten Haushalten für Gesundheitsdienstleistungen (Out-of-Pocket-Ausgaben (OOPE)) in LMICs deuten jedoch auf ein strukturelles Ungleichgewicht in der Gesundheitsfinanzierung hin. Daher ist eine weitere finanzielle Unterstützung durch die internationale Entwicklungszusammenarbeit und höhere nationale Gesundheitsausgaben der LMICs durch eine verstärkte Mobilisierung inländischer Ressourcen zur Erreichung von PPR und UHC unerlässlich. Regierungen und internationale Entwicklungspartner sollten in Zeiten begrenzter Mittel ihre Gesundheitsausgaben mithilfe der folgenden Maßnahmen stabilisieren oder ggf. ausweiten: i) Priorisierung des Gesundheitssektors bei den nationalen Ausgaben ii) bessere Prioritätensetzung bei der internationalen Gesundheitsfinanzierung, iii) Debt-Health Swaps, iv) Gesundheitssteuern, v) öffentliche Krankenversicherungen. Ein wichtiger Grund für diese Maßnahmen ist, dass Investitionen in die Gesundheit nicht nur aufgrund des gesundheitlichen Nutzens von entscheidender Bedeutung sind, sondern auch positive sozioökonomische Wirkungen haben, deren Wert die ursprünglichen Investitionen oft bei weitem übersteigt. Studien belegen, dass der wirtschaftliche und soziale Nutzen der Investitionen dabei die Kosten in Ländern mit niedrigem Einkommen um das Neunfache und in Ländern mit niedrigem und mittlerem Einkommen um das Zwanzigfache übersteigt. Angesichts der hohen Arbeitslosenquoten in vielen LMICs kommen Investitionen, die Arbeitsplätze im Gesundheitssektor schaffen, auch anderen Sektoren zugute. Es ist belegt, dass für jeden neu geschaffenen Arbeitsplatz im Gesundheitswesen durchschnittlich 3, 4 Arbeitsplätze in anderen Sektoren entstehen. Da ein großer Teil des Gesundheitspersonals weiblich ist, bieten diese neuen Arbeitsplätze insbesondere jungen Frauen eine Chance und können Geschlechtergleichheit fördern. |
| Keywords: | Gesundheitsfinanzierung, politische Optionen, sozioökonomische Auswirkungen von Gesundheitsinvestitionen, Länder mit niedrigem und mittlerem Einkommen |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:idospb:283115&r=inv |
| By: | KOIZUMI Hideto |
| Abstract: | The effectiveness of tax policies targeting firms has been evaluated conventionally based on the effects on the firms that are directly affected by the tax policies. However, the indirect effects through the supply chains of the directly affected firms can also be of first-order importance. This paper estimates the indirect effects on firm performance of tax incentives for investment through production networks, exploiting the quasi-experimental event of an investment stimulus policy targeting small and medium enterprises and unique proprietary data of supply chains in Japan. After confirming the direct effects, I find evidence suggesting that the indirect effects on direct suppliers are even larger than the direct effects, while no discernible effects are found on downstream firms. The absence of downstream effects appears to stem from the fact that treated firms crowd out the market share of untreated large firms, leading to an insufficient change in market prices. In total, while the tax policy successfully stimulates the targeted small firms, its spillover effects are primarily confined to the upstream customers which tend to be large. |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:eti:dpaper:24025&r=inv |
| By: | Morris, Mike |
| Abstract: | This paper focuses on analysing how Chinese firms operate in Latin America, Asia and Africa in regard to ESG (environmental, social and governance) standards and sustainability issues. How do they respond to the increasing global value chain requirement to incorporate and maintain ESG standards? Is their space for an alignment between Western development cooperation ESG policies, frameworks, strategies and practices and Chinese political and economic stakeholders in the developing world? The paper uses a variety of case studies covering Chinese firms (disaggregated into SOEs (state-owned enterprises) and large, medium and small private sector firms) operating in various sectors in countries across the developing world. It uses a three dimensional framework to analyse different types of Chinese firms in terms of value chain operations covering many of the ESG standards they are required to meet: 1. Supply chain relations (i.e. approach to supporting upgrading of local suppliers); 2. Internal firm processes (i.e. approach to local labour, training and upskilling); 3. Social licence to operate (i.e. approach to meaningfully engaging with local communities taking account of their social and economic needs). There are examples of Chinese firms behaving according to the negative type casting that has dominated much of the literature. However, Chinese firms in developing countries are fairly flexible and more willing to adapt to ESG standards than conventionally assumed. There are sufficient instances of Chinese firms in host developing countries showing significant movement to alignment on ESG dimensions. Unlike the industrialised world, these firms are not driven by civil society socio-political pressure within China. China's relationship to ESG has instead been driven by a) geo-political considerations involving the Chinese government's global presence, and b) primarily economic risk considerations of Chinese lead firms operating internationally - risk relating to raising finance and ensuring that business operations in developing countries can avoid major disruption. For many Chinese lead firms operating in the developing world, ESG is increasingly being perceived as a fundamental risk mitigation tool assisting them to ensure that they are able to maintain continuous, consistent, and predictable economic operations. These tendencies can only be expected to grow much stronger as the Chinese government adopts more ESG standards within guidelines and regulatory frameworks and enforces compliance on Chinese firms operating abroad. As Chinese firms become more open to ESG compliance, this creates a foundation for potential development cooperation alignment with the Chinese government and Chinese lead firms operating in the developing world. |
| Keywords: | ESG, Global Value Chains, Chinese Firms, Developing World, Chinese FDI, Globalisation |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:diedps:283124&r=inv |
| By: | Lesley J. Turner; Oded Gurantz |
| Abstract: | College attendance has increased significantly over the last few decades, but dropout rates remain high, with fewer than half of all adults ultimately obtaining a postsecondary credential. This project investigates whether one-on-one college coaching improves college attendance and completion outcomes for former low- and middle-income income state aid recipients who attended college but left prior to earning a degree. We conducted a randomized control trial with approximately 8, 000 former students in their early- to mid-20s. Half of participants assigned to the treatment group were offered the opportunity to receive coaching services from InsideTrack, with all communication done remotely via phone or video. Intent-to-treat analyses based on assignment to coaching shows no impacts on college enrollment and we can rule out effects larger than a two-percentage point (5%) increase in subsequent Fall enrollment. |
| JEL: | I23 I24 |
| Date: | 2024–02 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32122&r=inv |
| By: | Schilirò, Daniele |
| Abstract: | This contribution first examined the topic of finance that takes ESG factors into consideration. It highlights that the main objective of sustainable finance is to direct investments towards more sustainable technologies and businesses. Another important goal is to better manage risks, such as those related to climate change, resource depletion, social problems and governance failures. Finally, we highlight the importance of "impact investing" which represents the new frontier of ethical and sustainable finance. The second theme of this contribution concerns public finance systems for the difficult implementation of the complex ESG objectives. The need for a partnership between the public sector and the private financial sector and greater attention to ecological issues by the financial system are highlighted. Sustainable finance, however, also implies a change in the economic paradigm which must move away from a neoclassical approach and towards theoretical models such as those of behavioral economics, which allows the objectives of economic agents to be redefined as compatible with the ESGs. |
| Keywords: | sostenibilità; finanza sostenibile; finanza pubblica sostenibile; economia comportamentale |
| JEL: | G0 G02 Q56 |
| Date: | 2024–01 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:120216&r=inv |
| By: | Hilbrich, Sören; Berensmann, Kathrin; Artmann, Giovanna; Ashman, Sam; Herbold, Theresa; Lötters-Viehof, Steffen; Monti, Agnese; Paffhausen, Felix; Roigk, Stephanie; Steenkamp, Lee-Ann |
| Abstract: | In recent years, many jurisdictions have developed sustainability taxonomies that aim to increase transparency of financial markets and redirect capital flows to sustainable investments. Such sustainable finance policies can be important levers because today's investments shape economic production processes for decades. This case study on South Africa's Green Finance Taxonomy (GFT) addresses the question of what factors influence the adoption of sustainability taxonomies by potential users. It finds that one year after its publication, the GFT has hardly been used in practice. Important factors hindering an effective implementation are a lack of regulatory embedding, the absence of a legal recognition of the GFT by the European Union (EU), a hesitancy among financial market participants to build capacities to collect the necessary data, and fossil-fuel path dependencies in South Africa's economy. These findings have important policy implications (e.g. regarding accompanying governance measures) for implementation processes in many countries in the coming years. |
| Keywords: | Green finance, sustainable finance, green taxonomy, sustainability taxonomy, South Africa, financial markets, policy implementation |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:diedps:282979&r=inv |