Development Expenditures Research Articles

Exploring the impact of macro-determinant factors on energy resource depletion: Evidence from a worldwide cross-country panel data analysis

The depletion of energy resources stands out as one of humanity's major challenges. Therefore, understanding the determinant factors that could potentially affect the depletion rate of energy resources is emerging as one of the main research interests of academics in this field, and this study intends to contribute by filling this gap. This paper aims to investigate the influence of different factors that can be categorised into six main categories, such as education, governance quality, sustainability, technological advancements, economic development, and health expenditures, on the depletion of energy resources in a large sample of 132 countries clustered according to their income level, for a 14-year period (2007–2020). To this end, we propose six composite indices that we developed to capture each of the six categories of macroeconomic factors. Following the panel data analysis conducted for each cluster of countries, classified based on World Bank income classification, our findings suggest that the most determinant factors for the energy depletion rate are education (for upper-middle income), governance quality (for high-income), technology advancements (for low-income), economic development (for high, upper-middle, and low-income), and health expenditures and diseases (for high, lower-middle, and low-income countries).

The Determinants of Venture Capital Investment Decisions

Venture capital is pivotal in contemporary economic landscapes, as a critical intermediary in funding nascent or expanding young enterprises. This study delves into the intricate interplay between economic growth, research and development (R&D) expenditures, population density, and the aggregate volume of venture capital investments. The primary objective is to enrich the existing knowledge regarding the factors influencing venture capital allocation. Employing a rigorous fixed-effect model, this research unveils a noteworthy and substantiated positive association between population density and the magnitude of venture capital injections into the entrepreneurial ecosystem. In a rapidly evolving global economy, where innovation is a cornerstone of progress, understanding how population density influences venture capital investments assumes paramount importance. Beyond the well-documented relationship between economic growth and venture capital, this study sheds light on the nuanced impact of population density, accentuating its role as a vital determinant in attracting venture capital funding. This research thus extends the frontiers of knowledge in the field of venture capital. It provides valuable insights for policymakers, entrepreneurs, and investors, offering a more comprehensive understanding of the multifaceted dynamics shaping the venture capital landscape. As the global economic landscape continues to evolve, recognizing the influence of population density on venture capital investments serves as a crucial step toward fostering innovation and sustainable economic growth.

Research and development expenditures, technology spillovers, and green productivity in agriculture: an empirical analysis

ABSTRACT We study the relationship between technology spillovers from trade, domestic research and development (R&D) spending, and the growth in green total factor productivity within the agricultural sector. An empirical illustration is provided using a sample of 48 countries involved in China’s Belt and Road Initiative from 2000 to 2019. Our findings highlight the important role of agricultural imports as a positive driving force behind green productivity growth, while the impact of domestic R&D expenditures on agricultural productivity lacks statistical significance in our sample. Furthermore, we find that trade-related technological spillovers drive environmentally sustainable agricultural growth in economically developed nations, but this effect is weaker in developing countries. Conversely, greater domestic investment in agricultural research and development programs helps promote green productivity growth in relatively rich countries, but its influence diminishes in middle-income and developing countries. Lastly, a positive impact of importing vegetable and edible oil products on productivity is observed.

Role of natural resource rents, financial development and technological research in achieving sustainable development: A study of South Asian Countries

Environmental sustainability and natural resource management are critical concerns in the modern era. While developed countries have received more attention in the literature, the contribution of developing nations towards carbon neutrality has been overlooked. This study addresses this gap by analyzing the role of natural resources in achieving carbon neutrality in South Asian countries from 1990 to 2021. Additionally, the research investigates the impact of financial development, renewable electricity, educational expenditure, and research and development (R&D) expenditure on carbon emissions. By employing non-parametric panel estimation approaches, the study confirms the co-integration of the variables. The findings reveal that financial development and educational expenditure significantly contribute to environmental degradation, while natural resources, renewable electricity, and R&D expenditures help reduce emissions across different quantiles, facilitating the attainment of carbon neutrality. The study emphasizes the importance of sustainable natural resource extraction, increased renewable energy production, and higher R&D investments to achieve carbon neutrality in developing economies. By providing empirical evidence and practical recommendations, this research contributes to understanding the relationship between these factors and their impact on carbon emissions, paving the way for effective policy interventions and sustainable development.

Less-advanced regions in EU innovation networks: Could nanotechnology represent a possible trigger for path upgrading?

This paper examines whether nanotechnology projects funded under the European Union (EU) Framework Programmes (FPs) are a possible trigger for path upgrading (i.e., infusion of new technologies in existing traditional sectors) in less-advanced regions. First, the adoption of cluster analysis and a set of key indicators (i.e., technological intensity, scientific excellence, human capital, and research and development expenditure) allowed us to distinguish between 79 more-advanced and 127 less-advanced EU regions. Subsequently, through social network analysis and nonparametric testing we were able to demonstrate how the less-advanced EU regions (average degree centrality: 40.5) play a marginal role compared with the more-advanced ones (average degree centrality: 98.5) in the nanotechnology network created within Horizon 2020-i.e., the EU programming cycle implemented in the 2014-2020 period. Despite this, we observed that a few less-advanced regions (33 out of 127) were able to score higher than the EU median in terms of participation in the targeted nanotechnology network, thus benefiting from relevant knowledge flows potentially leading to re-industrialization processes. The adoption of qualitative comparative analysis allowed us to determine which combinations of key innovation, scientific and socioeconomic factors could facilitate such beneficial interregional interactions and related knowledge exchange in these types of regions (i.e., primarily what we defined as "relative innovativeness," excellence in nanotechnology research and a comparatively high level of gross domestic product per capita). Our empirical results provided some clear policy implications. For instance, the necessity to I) remove the barriers impeding a more balanced participation to promote a widespread renewal of traditional industries in less-advanced regions and II) implement coordinated EU and domestic actions designed to encourage the involvement of the great majority of the less-advanced regions, which remain marginal in the periodically launched FPs.

Beyond borders: Assessing the transboundary effects of environmental regulation on technological development in Europe

Environmental regulation motivates producers to adopt greener and more sustainable technologies, fostering innovation in green technology. The study aims to examine the direct impact of environmental regulations (EPY) regulation on green innovation (EINV) to observe the learning effect in Europe. Therefore, this study uses a panel dataset of 25 European nations from 1994 to 2020 and employs the Spatial Durbin model to test the relationships. In addition, the study illuminates the significance of various factors, including environmental taxes, fiscal expenditure, urbanization, foreign direct investment, and research and development expenditures, in shaping the relationship between EPY and EINV. The results indicate that EPY has a significant total impact of 0.636 %, with a direct impact of 0.187 %. This direct effect incorporates both formal and informal EPY impacts on the development of green technologies. It indicates that EPY enhances EINV in Europe significantly. Furthermore, the spatial spillover effect demonstrates a substantially positive coefficient of 0.449 %, representing the learning behavior in European countries. The outcomes suggest that policymakers should consider EPY's direct and indirect effects on EINV when considering policy interventions to promote EINV in Europe.

R&D Expenditures-Innovation Relationship: Panel Data Analysis for Selected Countries

In the study, the concept of innovation, which is an important phenomenon in the process of economic growth and development, has been analyzed. This study aims to reveal the relationship between innovation, which is an important factor in economic development and growth, and research and development expenditures. In the study, an econometric model was established in order to determine the effect of research and development expenditures on innovation. In this model, the number of domestic patent applications was taken to represent innovation as the dependent variable. As independent variables; R&D expenditures and gross capital data were used. Panel data analysis was conducted for the sample of 35 countries, covering the period 2000-2019. The country sample was formed from among the top 49 countries whose data is available in the 2022 global innovation index ranking.
 In the analysis, it has been concluded that R&D expenditures have a significant positive effect on innovation. The gross capital variable, on the other hand, negatively affects the patent variable, which represents innovation. In the study, it was concluded that R&D expenditures have a significant positive effect on innovation. In order to increase innovation, countries should first allocate more resources to research and development activities.

Climate policy uncertainty and regional innovation performance: New empirical evidence from the United States

AbstractThis study aims to explore the empirical relationship between climate policy uncertainty (CPU) and regional innovation performance. The empirical analysis was conducted on 36 years of available data over the period 1987 to 2022 in the United States (US). By using an autoregressive distributed lag (ARDL) model for regression analysis, we examine the impact of CPU on two crucial indicators of innovation, namely, research and development (R&D) expenditures and patent applications (PTA). The empirical analysis reveals a significant negative effect of CPU on both R&D expenditures and PTA, suggesting that higher levels of climate uncertainty may hinder innovation activities in the regional context. A high CPU introduces hesitancy and risk aversion, impacting the allocation of resources, confidence in markets, and the willingness of businesses to pursue innovative endeavors. The negative effect remains consistent even after the inclusion of several control variables and robustness checks. The findings underscore the significance of a stable and supportive policy environment and economic conditions in promoting innovation. Overall, this research provides valuable empirical evidence on the interplay between CPU and innovation outcomes, offering insights for policymakers, businesses, and researchers seeking to navigate the complexities of climate‐related challenges and their impact on innovation. We did not find any study exploring the comparable impact of CPU on innovation.

The impact of “Internet plus” enterprises on municipal solid waste classification and social welfare: An example from China

Following rapid economic development and urbanization, the classification of municipal solid waste (MSW) has become an urgent problem. This study analyzes the multiple subjects, including government, residents, and “Internet plus” MSW classification enterprises (IPMCE), and proposes a dynamic evolutionary collaborative framework for the coproduction of public goods to address the government and market failure during the supply of MSW classification as a public good. Using China as an example, this study constructs a multi-agent equilibrium simulation model to analyze this theoretical framework and investigate how to improve the related policies. The simulation results reveal that the collaborative and coproduction of public goods facilitated by IPMCE can improve classification rates and social welfare. Moreover, government subsidies for the research and development (R&D) expenditures of IPMCE are shown to further enhance this effect. In addition, the social welfare growth rate exceeds the subsidy growth rate, indicating that the subsidy has a leverage effect. Although this study has some limitations, such as the fact that the simulation model setting cannot fully reproduce the real situation, it provides policy recommendations on how to better utilize IPMCE in MSW classification as well as strategies for solving similar problems in other regions or public goods.

FORECASTING GROSS DOMESTIC PRODUCT (GDP) OF OECD COUNTRIES BASED ON DIGITAL TRANSFORMATION INDICATORS: ANN APPROACH

The ongoing COVID-19 pandemic process we all face currently has highlighted the fact that digitalization of economic activities is very crucial. Digital economy became even more important after the pandemic. When the governments allocate a greater proportion of Gross Domestic Product on some public services, the lower the proportion spent on other goods and services. For this reason, many countries want to estimate the Gross Domestic Product spent on public services within the scope of public control and risk management. The main goal in this study is to predict Gross Domestic Product per capita based on digital indicators such as fixed-broadband subscriptions, mobile-cellular telephone penetration rate, fixed-telephone subscriptions, internet penetration rate, research and development expenditure and patent applications. Artificial Neural Networks are employed to predict Gross Domestic Product per capita via digital indicators. Artificial Neural Network method is used to estimate the digital economy for 29 OECD countries between 2002–2018. The results demonstrate that Artificial Neural Networks can be utilized effectively in applications of digital economy forecasting. According to the results, coefficient of determination (R2 = 0.92) is very high, meaning that Artificial Neural Networks can be effectively utilized in Gross Domestic Product per capita estimations through digital indicators. This article differs from previous studies as it uses digital economic indicators in predicting Gross Domestic Product per capita by applying Artificial Neural Networks model.

The Relationship Between Aging, Economic Development and Healthcare Expenditure in Japan: An Empirical Analysis

This paper investigates the relationship between ageing, economic development, and healthcare expenditure in Japan, considering the challenges posed by an ageing population. The study utilizes a VAR and ARMAX modelling approach to analyse the complex dynamics among these variables. The empirical results reveal interesting findings that contrast with previous literature. While population ageing is often assumed to lead to increased healthcare spending, this study finds no significant correlation between population ageing and healthcare expenditure as a percentage of GDP. The analysis suggests that factors such as advancements in medical technology, healthcare system efficiency, and cultural variations in healthcare utilization patterns may have mitigated the expected rise in healthcare expenditure associated with an ageing population. These findings have implications for policymakers and investors. Policymakers should consider a broader range of factors beyond population ageing when projecting future healthcare expenditures and developing strategies for managing healthcare costs. Investors can benefit from a nuanced understanding of the healthcare sector, focusing on areas such as medical technology, innovation, and healthcare delivery models that are likely to be influenced by population ageing and changing healthcare needs. Overall, this research contributes to the existing knowledge base, offering insights for addressing the challenges of population ageing and healthcare sustainability.

THE LINK BETWEEN E-GOVERNMENT AND RESEARCH AND DEVELOPMENT IN THE FIELD OF ICT

The research presented in this article had as objectives carrying out a review of the specialized literature in the field of E-government and the research and development in the field of ICT. To highlight the relationship between E-government and the ICT upsurge opportunities offered by frequent technological breakthroughs, correlation analyzes were carried out using the secondary data made available by the Eurostat databases. Three research hypotheses were formulated and the second research hypothesis, the one regarding the readiness of public sector to upgrade to Digital Transformation (DX) in terms of monetization of digital assets, a weak positive or strongly negative relationship between e-governance activities and companies’ IT research and development expenditures is validated in the case of most European countries. At the opposite pole it was revealed that there are also countries where investments in the development of IT infrastructure led to the upsurge of e-government infrastructure, as a starting point in promoting the increase in expenses with acquiring new IT terminals and services upgrading, as a leading example for countries with lower expenditures on ICT sector development. The other two research hypotheses regarding leveraging the strategic advantages of digitization in terms of state of knowledge and research staff, have been revealed that most European countries, including Romania, have a strongly negative relationship to present e-government services development, requiring future analysis of upstream and downstream use of advanced ICT techniques implemented in e-government development feedback based on reliable data.

The scientific-methodical approach to assessing the investment attractiveness of territories

The deepening of international integration and the expansion of economic cooperation leads to the strengthening of the influence of external factors on the socio-economic development of individual countries, among which investments occupy a special place. The inflow of foreign capital facilitates the solution of many problems faced by the country-importer of capital, therefore the attraction and effective inclusion of foreign investments in the system of factors of economic growth is the most important strategic and tactical task of any European country. The article aims to assess the investment attractiveness of Northern European countries and the degree of connection between its main dimensions, identifying internal and external factors for this. External factors are characterized by the country's ability to attract new resources. In this context, the openness of the economy, FDI and the number of foreign tourists are taken into account. Internal dimensions include five groups of indicators: socio-economic, infrastructural, innovative and research, energy resources and agricultural. On the basis of entropy methods, an approach was developed to assess the degree of connection between the main dimensions of investment attractiveness. The countries that were the subjects of the study for the period 2000-2021 were Finland, Norway, Estonia, Lithuania and Latvia. The analyzed data were obtained from the World Data Bank. The conclusions showed that the highest degree of connection of integrated investment attractiveness in 2010-2021 was the most attractive for investment in Latvia and Estonia. In 2020, Ukraine and Norway had the lowest integrated score due to the Covid-19 pandemic. Countries that today have fairly high economic indicators and political stability (Finland and Norway) are not IPs due to the oversaturation of the capital market. For Ukraine, the most destabilizing indicators of investment attractiveness were the introduction of innovations and the conducting of scientific research. Thus, the number of scientists from 2010 to 2021 decreased by three times, and the amount of research and development expenditures in relation to GDP doubled. The results of the paired and integrated assessment of coordination and the relationship between the main dimensions of investment attractiveness allowed to reveal both positive and negative trends of its change, justifying the state policy of increasing investment attractiveness.

Computer data analysis to estimate the effects of government effectiveness and voice accountability on Research and Development in Latin American countries (2002-2021)

This paper examines the relationship among Research and Development (R&D) expenditure, government effectiveness, and voice accountability in 15 Latin American countries. R&D expenditure is a crucial driver of innovation and economic growth, and effective governance and voice accountability are essential for promoting transparency and citizen participation in decision-making processes. The study utilizes a panel dataset from 2002 to 2021 and employs computer data analysis to estimate the effects of changes in government effectiveness and voice accountability on R&D expenditure. The findings reveal a positive impact of government effectiveness and voice accountability on R&D expenditure. A 1% increase in government effectiveness is associated with a 0.618% increase in research development expenditure, while a 1% rise in voice accountability corresponds to a 0.625% increase. These results highlight the importance of effective governance and citizen engagement in fostering R&D investment.

Common ownership and corporate innovation strategy

It is empirically challenging to test the effect of common ownership on corporate innovation as the observed impact of common ownership on corporate innovation is a net effect due to two offsetting powers: technological spillover and market stealing. This paper tends to mitigate that issue by investigating the impact of common ownership on the strategic features of corporate innovation. We analyze the effect of common ownership on corporate innovation activities using stacked difference-in-differences analyses based on events of financial institutional mergers and acquisitions. We find no significant effect of common ownership on research and development (R&D) expenditures, patent applications, and citations, whereas we find a positive effect of common ownership on exploitative innovation strategy. Our findings suggest that the weak market-stealing effect of exploitative innovation incentivizes common owners to encourage a higher weight of exploitative innovation among innovation outputs. Our study contributes to the current literature in three ways. First, it provides new evidence of the anti-competitive effect of common ownership. Second, it empirically examines competing theoretical predictions of common ownership impacts on corporate innovation. Third, it identifies common ownership as one of the determinants for variations of innovation strategy.

ВИТРАТИ НА ДОСЛІДЖЕННЯ І РОЗРОБКИ ТА РЕЙТИНГ УКРАЇНИ В ГЛОБАЛЬНОМУ ІНДЕКСІ ІННОВАЦІЙІ

The purpose of this article is to assess trends in changes in research and development (R&D) expenditures, analyse Ukraine's ranking in the Global Innovation Index (GII), and identify key problems influencing these changes. The research employs methods such as structural analysis, averages, comparison, generalisation, analysis and synthesis, and graphical methods. The article examines trends in R&D expenditures as a percentage of GDP, compares Ukraine's indicator values with those of other countries worldwide and in Europe, identifies trends in the number and structure of employees and organisations involved in R&D activities, and evaluates the volume and structure of R&D expenditures by sector and type of work. Negative dynamics are identified across all indicators, accompanied by processes such as the devaluation of the scientist's role, brain drain abroad, reduction in R&D spending, and decreased engagement and interest of organisations implementing R&D, leading to a reduction in scientific research, products, and innovations across various sectors of the economy, and a decrease in the volume of new knowledge. Ukraine's ranking in the Global Innovation Index and its sub-indices are comprehensively assessed, revealing Ukraine's strengths and weaknesses in these rankings. The period of Ukraine's rise in the GII from 2013 to 2018 and the subsequent decline in ranking positions from 2019 to 2022 have been identified. Despite the full-scale war in 2023, Ukraine strengthened its ranking by 2 positions, securing 55th place. It is established that despite negative factors (funding levels, declining innovation and research activity, devaluation of the scientist's role, brain drain abroad, etc.), Ukraine has significant human potential to ensure the country's economic development.

Կայուն առաջնորդությունից մինչև տեխնոլոգիական վերափոխում. եվրոպական և ասիական երկրների տեխնոլոգիական զարգացման դասերը / From Sustainable Leadership to Technological Transformation: Lessons from Technological Development in European and Asian Countries

The paper examines the trajectory of technological development of European and Asian countries. The economic complexity index, along with indicators such as patents securing intellectual property rights registered with both the national patent office and the US Patent and Trademark Office, as well as research and development (R&D) expenditures, have been used to characterize technological development. In terms of economic complexity, many EU countries continue to appear in the world's top ten, but the leading EU nations are gradually ceding their positions in the global top three to certain Asian countries. EU countries do not exhibit homogeneity in their performance. The differences between leading and lagging countries in terms of the studied indicators are significant, albeit decreasing over time. The ratio of public and private R&D expenditures is also different, in general, with the predominance of private expenditures on average. The study shows that European countries have consistently maintained a leading role in technological development, while certain Asian countries have transitioned from being consumers to creators of knowledge and technology in recent decades. Key factors contributing to the technological development of Asian countries include acquiring patents from developed nations, importing technologies, attracting foreign direct investments, and establishing industrial clusters. These factors underscore the pivotal role of the state.

ONE FOOT OUT THE DOOR: INTERROGATING THE RISKY HIRE NARRATIVE IN STEM FACULTY CAREERS

Many faculty members believe that the racial demography of their disciplines afford highly qualified, racially minoritized scholars more power in the academic job market. As such, search committees may not offer faculty positions to candidates from these groups because they perceive them to be high risk and difficult to retain. One often cited study debunked this myth, showing that highly competitive racially minoritized candidates did not have more offers; however, the study was published over two decades ago and the narrative still remains. Using publicly available data from the National Science Foundation Graduate Research Fellowship Program, we identified 671 awardees and found no statistically significant differences in rates of early departure between highly qualified, racially minoritized scholars and other highly qualified racial groups across three different science, technology, engineering, and mathematics disciplines. We also used data from U.S. News and World Report university rankings, and the FY 2007 Survey of Research and Development Expenditures at Universities and Colleges to understand whether early departing faculty members across all racial categories leave for more prestigious institutions, as is assumed. Those results indicate a slight trend of early departing faculty members leaving for more prestigious institutions than their previous one. We situate these findings within the faculty diversity discourse and offer implications for practice and future research.

SUSTAINABLE DEVELOPMENT AND SMART AGRICULTURE SYSTEM

Modern farming is being transformed by smart agricultural systems, which use creative innovation for long-term sustainability. Examining the approaches of smart agriculture, this paper mostly focuses on precision farming, IoT integration, and data-driven decision-making procedures. Precision farming's toolkit consists of drones, sensors, and global positioning systems (GPS), meant to enhance crop management, efficiency, and quality of harvest. By means of IoT, agricultural processes may be automated and real-time monitored, thus improving water and energy efficiency, lowering environmental effect, and raising productivity. Using predictive insights made available by merging big data analytics with machine learning algorithms helps one better forecast and address issues like global warming, pest control, and soil health. This research examines case studies and pilot projects all over to better grasp what factors influence the scalability and acceptability of an implementation as well as what makes it successful. The paper contends that infrastructural development, farmer education, and supportive laws are vital if smart agriculture is to fully realize itself. It addresses the social and financial consequences as well as how it may improve food security, provide employment, and increase farmers' pay. Emphasizing the need of research and development expenditure, stakeholder involvement, and continuous innovation, the paper closes with a conversation about what the future holds. By the use of smart agriculture systems, which mix contemporary technology with time-honoured farming practices, sustainable agricultural development—including the protection of the environment and future generations' food supply—may be much strengthened.

Economic Development and Public Health Expenditures Nexus for South Asian Countries

Economic Development and Public Health Expenditures Nexus for South Asian Countries