Domestic Product Research Articles

Purchasing new for remanufacturing: Sourcing co-opetition, tax-planning and data validation

In practice, to guarantee remanufactured products to be “the same as new”, many remanufacturers purchase the core component and then assemble it with the remanufactured non-core components. Doing so enables the remanufacturer to keep the high product quality and achieve an overall cost saving, but the core component supplier like LG usually has the self-brand business that competes with the remanufacturer. We refer to their relationship as sourcing co-opetition in this study, under which the core component supplier determines its production location: overseas production for tax-planning benefit vs. domestic production for centralized supply efficiency. We reveal that the core component supplier's inclination towards overseas/domestic production is non-monotonic, depending on both the cost disadvantage and the corporate income tax disparity between the production and sales countries/regions. When the new product's cost disadvantage is not significant, overseas production is preferred under either limited or very large tax disparity. Interestingly, we find that overseas production can lead to a higher system profit and better environmental performance, indicating a win-win situation for the Pareto improvement of profitability and environmental sustainability.

Research on the Accounting and Spatial Effects of Emergy Ecological Footprint and Industrial Green GDP--The Case of Yangtze River Economic Belt

The booming development of industrial enterprises at the cost of ecological resource consumption has inevitably harmed the ecological environment, especially since the phenomenon of water resource pollution is more serious. Exploring the relationship between the ecological environment and the industrial economy is crucial to the green and sustainable development of the region. This study uses the Spatial Durbin Model (SDM) to investigate the impact of emergy ecological footprint on the industrial green of gross domestic product (GDP) under the perspective of water resources, based on the panel data of 11 provinces in Chinas Yangtze River Economic Belt (YREB) from 2012 to 2021. The results show that first, the overall industrial green GDP of the YREB has increased year by year, and the effect of water resource protection is outstanding. Second, the emergy ecological footprint has a significant positive effect on industrial green GDP, and the spillover effect is also significant. Third, heterogeneity analysis shows that the spatial relationship between emergy ecological footprint and industrial green GDP is different in different regions, and the local effect and neighborhood effect of the high industrial green economic development areas are consistent with those of the YREB, while the relationship between the low industrial green economic development areas is not obvious. This paper is of great significance for the green development of industrial enterprises in the YREB and guides the formulation of sustainable development policies.

Variation in labor skills and offshoring across time zones

AbstractWe check the role of time‐zone difference on offshoring of service tasks when the skill of labors varies between the partner countries. We frame a model where partner countries are located in non‐overlapping time zones, and the skill level of the partner‐country labors is lower. In our model, service production is divided into two sequential stages, and output is a supermodular function of the skill of labors and time. The problem of the producers is to choose between domestic production and offshoring. Domestic production employs high‐skill labors though the time management is inefficient. On the other hand, offshoring to a non‐overlapping time zone helps to work round the clock and reduce the cost, but the lower expertise of skilled labor lowers the output. In such a framework, we check conditions for beneficial offshoring. The condition derived in our analysis provides combinations of skill and time that can make offshoring beneficial. Results show that offshoring across time zones is beneficial even when the complexity of stages of production vary. However, only the relatively less‐critical task is offshored. We further find that availability of domestic low‐skill labor does not benefit the firm, while foreign low‐skill labor may be beneficially utilized through time‐zone exploitation.

Bank loans to agricultural SMEs and the performance of the agriculture sector in Sri Lanka

The objective of this study is to examine the impact of bank loans for agricultural SMEs on agriculture sector performance, specifically assessing how this financial support influences the overall performance of the agricultural sector in Sri Lanka. Data for both dependent and independent variables were meticulously sourced from the annual reports of the Ministry of Finance, covering the study period from 2012 to 2021. The study evaluates the performance of 16 distinct agricultural economic activities, each contributing uniquely to Sri Lanka's economy. The descriptive statistics, particularly the mean values, highlight intriguing aspects of Sri Lanka's agricultural sector. Notably, there is a considerable disparity in the average gross domestic production, with marine fishing and marine aquaculture emerging as highly productive. At the same time, the growing of other beverage crops demonstrates a significantly lower contribution. Crucially, the regression analysis affirms a positive and statistically significant impact of bank loans to agricultural SMEs on the performance of the overall agricultural sector in Sri Lanka. This substantiates the fundamental need for adequate bank loans for agricultural SMEs to empower and enhance the performance of the entire agriculture sector. As this study sheds light on the positive correlation between bank loans for agricultural SMEs and agricultural sector performance, it underscores the importance of tailored public policies concerning loan proportions and amounts for distinct economic activities within the agriculture sector.

Photocatalytic Degradation of Quinolones by Magnetic MOFs Materials and Mechanism Study.

With the rising incidence of various diseases in China and the constant development of the pharmaceutical industry, there is a growing demand for floxacin-type antibiotics. Due to the large-scale production and high cost of waste treatment, the parent drug and its metabolites constantly enter the water environment through domestic sewage, production wastewater, and other pathways. In recent years, the pollution of the aquatic environment by floxacin has become increasingly serious, making the technology to degrade floxacin in the aquatic environment a research hotspot in the field of environmental science. Metal-organic frameworks (MOFs), as a new type of porous material, have attracted much attention in recent years. In this paper, four photocatalytic materials, MIL-53(Fe), NH2-MIL-53(Fe), MIL-100(Fe), and g-C3N4, were synthesised and applied to the study of the removal of ofloxacin and enrofloxacin. Among them, the MIL-100(Fe) material exhibited the best photocatalytic effect. The degradation efficiency of ofloxacin reached 95.1% after 3 h under visible light, while enrofloxacin was basically completely degraded. The effects of different materials on the visible photocatalytic degradation of the floxacin were investigated. Furthermore, the photocatalytic mechanism of enrofloxacin and ofloxacin was revealed by the use of three trappers (▪O2-, h+, and ▪OH), demonstrating that the role of ▪O2- promoted the degradation effect of the materials under photocatalysis.

Is GRDP a mediating factor in enhancing local tax revenues due to ICT development in Indonesia?

Purpose: This study aims to investigate whether the Gross Regional Domestic Product (GRDP) of the information and communication sector mediates the relationship between Information and Communication Technology (ICT) development and local tax revenue enhancement across districts and municipalities in Indonesia. Design/Methodology/Approach: This study uses a quantitative approach to examine how ICT growth, access, infrastructure and utilization affect local taxes and regional levies using panel data from 2017 to 2021.The GRDP of the information and communication sector is incorporated as a crucial moderating variable. Findings: The findings reveal that the GRDP of the information and communication sector plays a vital moderating role in the relationships between ICT factors and local taxes and levies. ICT development benefits local tax systems through increased efficiency, transparency, reduced disparities and enhanced accessibility. Effective ICT infrastructure enables digital fiscal transactions, increasing revenues while improving collection efficiency and reducing income disparities among provinces. High ICT utilization supported by technological proficiency enables local governments to enhance local taxes and levies. Practical Implications: An increase in the GRDP of the information and communication sector leads to higher tax revenues for local governments, funding public services and infrastructure development. Additionally, it attracts investments from other sectors, boosting regional levies and promoting overall regional economic development. The study highlights leveraging the GRDP of this sector as a strategic factor to enhance local tax revenue and regional levies across Indonesian provinces contributing to fiscal decentralization efforts.

Evaluasi pemungutan pajak restoran berdasarkan Peraturan Daerah Kota Ternate Nomor 15 Tahun 2014 tentang pajak restoran di Badan Pengelolaan Pajak dan Retribusi Daerah Kota Ternate

Restaurant tax is a source of regional revenue that contributes significantly to the increase of Regional Original Domestic Product (PAD) due to the large number of culinary tourisms in Ternate City. This research aims to evaluate the implementation of restaurant tax collection based on Ternate City Regional Regulation Number 15 of 2014 concerning Restaurant Tax at the Ternate City Regional Tax and Levy Management Agency. This type of research is descriptive qualitative. The research results show that the collection carried out at BP2RD Ternate City is in accordance with Ternate City Regional Regulation Number 15 of 2014 regarding restaurant tax. However, there are also areas that do not comply with the regional regulations, namely designated areas. This shows that BP2RD Ternate City has not fully implemented the collection in accordance with the applicable regulations, but has only partially implemented the collection in accordance with the applicable regulations.

A Panel Data Analysis of Antidumping Duties in Seafood Trade: A Gravity Model Approach

ABSTRACT This study uses a panel of monthly data to investigate the effects of antidumping (AD) duties imposed on shrimp imports to the U.S. The results from the augmented gravity model show that initiating AD investigations and the final AD duty rate harm trade with the named countries. Distribution of AD duties among domestic industry producers stimulates a positive supply response. Rejection of imports by European countries for food safety reasons deflects trade to the U.S. The pass-through effects of the AD duty rate (and exchange rate) on import prices are small, indicating minimal adverse effects of AD policy on consumer welfare.

Assessing the Impact of Inflation and Exchange Rate on Nigerian Gross Domestic Product (1981-2022)

This study evaluated the impact of inflation and exchange rate on the Nigerian Gross Domestic Product (GDP) from 1981 to 2022. The data for this study were obtained from Central Bank of Nigeria Statistical Bulletin. Multiple Linear Regression model was adopted for the study to determine the relationship between the GDP, the inflation and exchange rates and the result showed that there is a significant relationship with the p-value (0.005). The result also showed with Ordinary Least Square (OLS) method that inflation rate has a negative impact on the Nigerian GDP while exchange rate is significant with (p-value <0,005) over the years of study. The value of the coefficient of variation R2 for this research is 92.2% indicating that inflation and exchange rate account for about 92% of the variation in the GDP over the years of study. It was observed there was an increase in exchange rate and price level is also detrimental to the economic growth, this means it contributes to the growth of Nigerian GDP over the period of study.

Tax Revenue In Asian Countries: Contribution Of Economic Sector With The Rule Of Law As A Moderating Variable

The implementation of government effectiveness aims to provide the best service to the community. The effectiveness of this organization can be measured by one of them using The Worldwide Governance Indicators (WGI) project index. From 2010 to 2019, there are seven Asian countries with effectiveness indexes above the world average, namely Georgia, Hong Kong, Thailand, Japan, South Korea, Singapore, and Malaysia. Through this study, it will be assessed whether this effectiveness supports tax revenue by conducting research on the effect of the contribution of the industrial sector and the service sector to Gross Domestic Product (GDP) on the effect of tax revenue. Then the author also conducts research whether the interaction of moderating variables, in this case the Rule of Law Index variable with the two independent variables (the contribution of the industrial sector and the service sector to Gross Domestic Product (GDP)) has an influence on the contribution of tax revenue to GDP considering that law enforcement is one of the steps in the implementation of controlling tax payments. The results obtained in this study state that before the interaction with moderating variables, the independent variables, namely the industrial sector and the service sector in GDP contribution, have a significant negative effect on tax revenue. Then when the moderating variable, namely the rule of law index, interacts with the industrial sector and the service sector, the effect of the two independent variables on the tax revenue variable has increased to a significant positive effect, so that the moderating variable in this study has a role that strengthens the influence of the independent variable on the dependent variable.

Fiscal Dominance and the Effectiveness of Monetary Authority in Nigeria 1980-2020

The study examined the existence as well as the degree of fiscal dominance in Nigeria. Annual time series secondary data for the period 1980-2020 were employed in the study. Specifically, data on fiscal deficit, public debt, government expenditure, money supply, interest rate, and real Gross Domestic Product (GDP) for the study period were obtained from the Central Bank of Nigeria (CBN, 2020), and the World Development Indicators (WDIs, 2020). The study used descriptive statistics in form of tables, and the Dynamic Ordinary Least Squares (DOLS) for long run analysis. It was established in the study that government expenditure and outstanding debt have significant positive relationship with money supply. Specifically, N1 billion increase in public debt is expected to increase money supply by N1.2 billion (t = 8.25, p < 0.01). Similarly, N1billion increase in government spending will cause money supply to increase by N1.36 billion (t = 4.29, p < 0.01). Conversely, interest rate exhibited negative effect on money supply, such that one percent increase in interest rate will bring money supply down by 150 percent (t = -2.0113, p < 0.05). With a measure of fiscal dominance with the δ of 0.28, the study concluded that there is no case of fiscal dominance in Nigeria. The study recommends that with the active counterbalancing roles of monetary policy Nigeria, the government can aggressively pursue and sustain economic growth through fiscal expansion-backed borrowings and spending.

Is Transition to Retirement Associated With Volunteering? Longitudinal Evidence from Europe.

Studies have shown that retired older adults are more likely to volunteer than their working counterparts. However, whether the transition to retirement is associated with increased volunteering frequency and whether this varies according to material and time resources of participants is unclear. We used four waves of data from the longitudinal Survey of Health, Ageing and Retirement in Europe, collected between 2011-2018 across 19 countries (n = 12,400 person-observations from 6200 individuals over 50). Within-person (or panel fixed-effect) regression analyses revealed that transition to retirement was associated with an increased volunteering frequency over time. This association was stronger among individuals with better health, higher education, improved financial situation and in countries with higher gross domestic product per capita. Overall, transition to retirement tends to open new ways of organizing everyday life and is associated with increased frequency of volunteering.

The Implementation of Value Chain Holistic Model of Ulos Weaving Fabric Creative Industry

This research has a long-term goal to increase the income of stakeholders in the us weaving fabric industry in North Sumatra and the National Gross Domestic Product in Indonesia. The specific target to be achieved is to improve the concept of a value chain holistic model of the Ulos weaving fabric industry, which will soon be implemented. The methods used in achieving this goal are an experimental study by a value chain holistic model of the Ulos weaving fabric industry using the strength and opportunities strategy. Through a Focus Group Discussion involving MUSRENBANG, KOPERINDAG, City Government, Provincial Government, Ulos Weaving Fabric Manufacturers Group, Weaver Group, and Producers Cooperative, information and data will be collected, which will be grouped into Strengths, Weaknesses, Opportunities, and Threats information. The evaluation of data and information through a SWOT analysis shows the results that the proposed model is good and continues to implement a production and marketing strategy, where the establishment of a production cooperative will strengthen SMEs with a joint commitment of members and will facilitate the capital. The Association of SMEs was formed to produce quality production and standardized prices so as to be able to deal with internal competition properly, which will be able to support the Lake Toba tourist destination as a tourism activity in North Sumatera. Standing for marketing is also needed to support the construction of toll roads along the Lake Toba area through the tourist gateways of Medan and Silangit.

The effects of electricity load-shedding on the performance of small and medium enterprises in Pretoria, South Africa: A case study of Marabastad Business Community

South Africa has been experiencing electricity load shedding for over sixteen years and this has affected the performance of small and medium enterprises (SMEs) across the country, with devastating effects recorded in the post-Covid-19 era. SMEs are key drivers of the economy and their performance has a great influence on it, as they contribute 36% of gross domestic product (GDP). This case study of the problem used the qualitative research method, with data collected through interviews. This study established that, in the area studied, there is a decline in the performance of the entrepreneurs and working hours have been drastically reduced due to load-shedding. Proposals are made of measures that the SME implementers and the government of South Africa can take in order to prevent the situation from further deteriorating.

Asymmetry of the economic development of the Eurasian Economic Union: analysis and recommendations

The article analyses the asymmetry of the development of the Eurasian Economic Union countries (hereinafter referred to as the EAEU). The objective of the work is to analyse the symmetrical development of countries within the framework of the EAEU and to formulate measures and recommendations for increase of the economic potential of the countries. In order to achieve the purpose, the objective of comparative assessment on the basis of three indicators was set and overcome. The three indicators include gross domestic product per capita, investments per capita and average accrued salary. The corresponding calculations were done for each indicator, and graphs were constructed showing the general state of the economic development. During the study, the methods of factor and system analysis were applied. The initial data for the study were the official sources of the statistical authorities of the EAEU countries, the Interstate Statistical Committee of the Commonwealth of Independent States as well as publications and scientific articles related to this topic. The main problem is the uneven economic development of the EAEU member states which leads to negative consequences for strengthening the integration process. As a result of the study, some measures were proposed to achieve the symmetrical development of the countries within the framework of the EAEU, and recommendations were prepared for the effective development of interaction between the member countries of the integration association. Following the results of this work, a conclusion was formulated on strengthening ties between the countries by focusing on a mixed economy with government regulation, infrastructure development and increased investment activity.

Impact of tariff liberalization on economic and social benefits: Computable general equilibrium application to Kenya

AbstractThis study employed computable general equilibrium policy simulations to examine the impact of import tariff liberalization on socioeconomic outcomes including living standards, cost of living, gross domestic product (GDP) from expenditure, total investment expenditure, intermediate input demand, output, value‐added, tariff revenue, sales tax revenue, indirect tax revenue, direct income tax revenue, factor income tax revenue, and factor demand. Findings from the simulations have policy implications touching on a need to embrace reciprocal tariff liberalization under agreements like strategic trade and investment partnerships and economic partnership agreements as they are associated with welfare gains, reduction in cost of living, and GDP growth. Targeted policy incentives could be directed to specific domestic sectors since tariff liberalization has negative impacts on investment expenditure. Incentives regarding intermediate inputs should be directed to the manufacturing and services sectors for liberalization of agrifood commodities. Targeted policy incentives should be directed to the manufacturing and services sectors which experience decrease in output with tariff reductions. Liberalization of manufactured commodities should be accompanied by value‐added incentives directed to the agrifood and home production–home consumption sectors. For the liberalization of manufactured commodities, targeted policy incentives should be directed to the services sector which experiences job losses while for the liberalization of tariffs on imports of agrifood commodities, targeted policy incentives should be directed to the agrifood and the home production–home consumption sectors, which also lose jobs. These targeted policy incentives could support industrial activity and compensate for revenue loss, especially from customs duties.Related ArticlesGruber, Lloyd. 2013. “Trade, Growth, Poverty, and Politics: Toward a Unified Theory.” Politics & Policy 41(5): 723–64. https://doi.org/10.1111/polp.12034.Onyango, Gedion, and Japheth Otieno Ondiek. 2022. “Open Innovation During the COVID‐19 Pandemic Policy Responses in South Africa and Kenya.” Politics & Policy 50(5): 1008–31. https://doi.org/10.1111/polp.12490.Soto, Gloria. 2012. “Environmental Impact of Agricultural Trade Liberalization under NAFTA.” Politics & Policy 40(3): 471–91. https://doi.org/10.1111/j.1747‐1346.2012.00354.x.

Discussion on the Impact of COVID-19 on Irelands Macroeconomic Development

This paper aims to discover how COVID-19 influences the development of the macroeconomy in Ireland, and help readers understand how Ireland, or even other countries or regions, should respond to a crisis such as COVID-19 to keep their business running effectively. Through the research, the relevant data of Ireland from 2019 to 2022 are quantitatively analyzed, including Gross Domestic Product (GDP), national income, people's employment and unemployment, the number of enterprises registered, Ireland's traffic conditions such as the number of passengers, the number of hotel stays and other data, the number of airline routes, hospital expenses and medical subsidies and the number of hospital inpatients. The Irish government's policies to control the spread of the epidemic will also be discussed. After analysis, COVID-19 can negatively affect employment, transportation, tourism, and the number of enterprises. However, it can raise the capital of the hospital. Therefore, Ireland and other countries and regions need to be aware of the impact of COVID-19 on economic development. This article can show the impact of COVID-19 on the macro-economy in what aspects, and reduce the impact of disasters through appropriate fiscal policies, adequate fund preparation, and subsidies for those who lose their jobs due to disasters.

Agricultural Information Needs and Resources of Smallholder Sugarcane Farmers in Swaziland

Abstract The sugar industry is the dominant agricultural sector in Swaziland’s economy, contributing significantly to the gross domestic product. Provision of relevant and timely information to smallholder sugarcane farmers is crucial for them to have a competitive footing with large-scale counterparts and reduce poverty. However, there is limited literature on the information needs and the kind of information communication resources that could make the dissemination of information to farmers efficient and effective. This study thus aims to investigate the information needs and resources of smallholder sugarcane farmers in Swaziland to inform the provision of information services in the sugar industry. It was underpinned by a positivist paradigm and used the survey research method complemented by methodological triangulation to collect quantitative and qualitative data. Data was collected using survey questionnaires and face-to-face interviews, with 168 responses and six interviews conducted. The findings revealed that 71 % of information needs of farmers were primarily in legislative compliance, sugarcane crop husbandry, markets and transport, and financial advice information, however, there were no statistically significant differences between the three mill groups in information needs. The smallholder sugarcane farmers also mostly obtained agricultural information through extension officers, farmer groups, and mobile phones, indicating that required information was mainly accessed through face-to-face interactions. The empirical findings of the study have implications for practice, policy, and theory with respect to guiding the implementation of agricultural information services by information providers in the context of rural farmers in developing countries.

Bilateral Remittance Inflows to Asia and the Pacific: Countercyclicality and Motivations to Remit

This paper examines the cyclicality of remittance inflows to economies in Asia and the Pacific, aiming to identify major factors associated with remittances using gravity models of bilateral remittances. An analysis that assesses correlation coefficients between the cyclical factors of remittances and gross domestic product suggests that remittances tend to be countercyclical, or acyclical, against the business cycle of the remittance-receiving economy relative to the sending economy. This observation is confirmed by the gravity models of bilateral remittances. Furthermore, the estimation results suggest that migrant stock is one of the most significant factors affecting bilateral remittances. The study also shows that an increase in bilateral remittances can be attributed to a higher occurrence of disasters triggered by natural hazards in receiving economies, an appreciation of the receiving economy’s currency value against the sending economy’s, a lower interest rate differential (receiver–sender), greater capital account openness, more political instability, and lower costs of remittances.

Investigating the relationship of government revenue and expenditure on economic growth using a generalized method of moments: Does state-level panel ensure sustainable growth?

The current research project investigates the correlation between economic growth, government spending, and public revenue in seventeen Indian states spanning the years 1990 to 2020. An analysis of the relationship between key fiscal policy variables and economic growth was conducted utilising a panel data approach, the Generalised Method of Moments (GMM), and fully modified Ordinary Least Squares (FMOLS & DOLS) estimation. In our investigation, we assessed the impacts of non-tax revenue, development plan expenditure, tax revenue, and development non-plan expenditure on (i) the net state domestic product (NSDP) and (ii) the NSDP per capita. The findings indicate that the selected fiscal variables are significantly related. The results indicate that expeditious expansion of the fiscal sector is obligatory to stimulate economic growth in India and advance the actual development of the economies of these states.