Economic GDP Research Articles

Does Economic Complexity Influence Carbon Emissions? Evidence from Next Eleven Countries

Abstract Research Purpose The study examines the effect of economic complexity on carbon dioxide emissions in the Next 11 countries with the view to validate or refute the economic complexity-Kuznets curve (EcKC) between 1995 and 2019. The Next 11 countries include Bangladesh, Egypt, Indonesia, Iran, Mexico, Nigeria, Pakistan, Philippines, South Korea, Turkey, and Vietnam. Design/Methodology/Approach Two econometric methods, correlated Panel standard error (PCSE) and feasible generalized least squares (FGLS) estimating techniques, are used to achieve the objectives of the study. Findings The estimates from the FGLS approach are consistent with that of the PCSE approach. The results from both techniques show that economic complexity increases carbon emissions in the Next 11 countries. Also, from the EcKC, the study invalidates the hypothesis and supports a positive monotonic linear relationship between economic complexity and carbon emissions, which also means the “pollution haven hypothesis”. Originality/Value/Practical Implications The study examines whether the environmental Kuznets curve (EKC) in the Next 11 countries is valid or not. To do this, the current study is different from earlier studies in that it uses economic complexity—that is, the economic complexity-Kuznets Curve (ECKC)—instead of GDP. This is explained by the fact that environmental issues should involve the development of more advanced commodities rather than just raising an economy's GDP productivity. And most of the countries in the Next 11 countries are currently shifting their economies to produce more complex goods.

Measuring the digital economy in Vietnam

This study uses the concept of digital spillover and a panel model to measure the GDP contribution of Vietnam's core digital economy and digitalized economy. The proposed model is suitable for the case of countries, especially developing countries, with limited data. The calculations and analysis give three main results. Firstly, the scale of Vietnam's core economy has increased rapidly over the past 14 years. In 2007, the share of the core economy in GDP was only 1.45%. In 2019, this number increased to 7.08%. Second, the scale of Vietnam's digitalized economy grew significantly from 2007 to 2019. In 2007–2011, the digitalized economy accounted for 4.90% of GDP. This number increased to 11.56% for the period 2016–2019. Third, the growth of the digitalized economy is mainly based on the growth of the core digital economy. Therefore, the digital spillover effect in Vietnam's digitalized economy during the 13 years has only slightly changed. This study implies that Vietnam needs policies to develop the core digital economy and especially promote digital transformation to achieve the national digitalized economy goal of 20% of GDP by 2025 and 30% by 2030, respectively.

TOURISM INDUSTRY OF JAMMU & KASHMIR – CHALLENGES AND OPPORTUNITIES

ABSTRACT
 Almost every economy in the world relies on tourism to generate cash, create job opportunities, and contribute to the economy's GDP. Tourism is also playing a significant role in the overall development of the state's economy in Jammu and Kashmir. Kashmir has been aptly termed as "Heaven on Earth" for its breathtaking beauty all over the world. Tourism has a lot of promise in Kashmir, and it also gives a lot of commercial chances for residents in the region. This paper looks at the potential, prospects, and constraints of the tourist industry in Jammu & Kashmir.

Research on the Development Trend of Wenzhou Digital System

The digital environment is improving day by day. All walks of life, such as agriculture, industry, trade, transportation and so on, closely embrace digitization. Data resources are increasingly becoming an important factor in economic and social development, and the proportion of digital economy in GDP is increasing year by year. At present, Zhejiang Province is in the second stage of digital reform, in the process of promoting the standardization and systematization of digital reform. The construction of digital standard system in Wenzhou is mainly concentrated in 2021-2025, which is the second stage of digital transformation and reform in Zhejiang Province. Wenzhou has made outstanding achievements in the application of public data, which mainly covers 16 aspects such as transportation, medical and health care, life service and credit service, with a total of 26 kinds of applications. In order to promote the transformation and utilization of public data and incubate new industries, Wenzhou has built South Zhejiang Science and Technology City. Realize industrial agglomeration, function integration, factor intensification, industry and city integration, create an intensive highland, and promote the deep integration of industry and data.

Are western sanctions so terrible and how to contain their impact on the economy and population of Russia?

Subject. The article considers the impact of US and Western sanctions on the economy and citizens of the Russian Federation after the start of the special military operation in Ukraine. Objectives. Our aim is to analyze the impact of sanctions on the Russian economy and its financial system, to identify economic determinants enabling to restrain this impact. Methods. The study draws on methods of scientific and information base, synthesis, grouping of obtained data. The methodological and theoretical basis consists of works of domestic and foreign scientists on the impact of economic sanctions on the development of individual countries and the world economy. Results. The study shows that the Russian economy has proved to be much more resilient to the impact of sanctions. The sustainability of Russia's economic system rests on four main factors: (1) sales of our export goods, due to price hikes and the absence of a complete embargo; (2) sustainable domestic consumption through extensive support to businesses and citizens, and tightening the State regulation; (3) structure and composition of GDP (the real sector of the Russian economy in GDP is almost 38%); (4) preservation and expansion of friendly relations with major powers that refused to join the restrictive measures of Western countries. Conclusions. The Bank of Russia should stimulate the country's economy, annually increase the amount of money supply, reduce the key rate up to 3% per annum by the end of 2023. This will increase investments in the economy and provide annual GDP growth.

The nexus between toxic-air pollution, health expenditure, and economic growth: An empirical study using ARDL

India's emerging economy is dealing with severe air pollution. The main reasons for this include industrial activity, population growth, a construction boom due to housing and infrastructure development, increased vehicular traffic, congested streets, poorly maintained vehicles, limited access to clean fuel, and a lack of effective control programmes. Poor health conditions brought on by the toxic air are a double-edged sword for a nation. Increased spending on health raises the financial burden on individuals and increases individual healthcare costs. The current study investigates the association between hazardous air, health spending, and India's growing economy's GDP. The results are based on a 44-year-long dataset that includes all three factors listed above. The results are based on the ARDL bounds test and Granger causality. The nexus between all three variables is not identical in the short and long term. Granger causality has mixed evidence since it has demonstrated both one-way and two-way causation flowing between variables. The study's finding has consequences for various stakeholders who might analyze the association created between variables of a study done to enhance air quality, allocate health budgets, and design action plans for economic growth.

Цифровая экономика Китая: уровень и факторы развития

The article considers the active development and significant impact of digital technologies on people’s lives, functioning of enterprises in various sectors of the economy and government agencies. The level of digital competitiveness is different, which determines the importance of studying and adapting the experience of countries - digital leaders with a developed and rapidly growing digital economy of China. There has been given analysis of the main indicators of the development of China’s digital economy over the period 2018-2020, which showed high growth rates of the digital economy - more than 25%, an increase in the share of the digital economy in GDP by almost 6 p.p. There have been defined the policies, in which China is the undisputed world leader: e-commerce, financial technology, cloud computing, and the export of IT products. China’s strengthening its position in international digital rankings has been analyzed. It was ranked 4th in the Digital Opportunity Index, 16th in the Global Digital Competitiveness Index and 45th in the E-Government Development Index. This became possible due to factors such as the scale and potential of the domestic market, a high level of technological development, an active innovation policy of the state and large Chinese corporations that promotes digitalization, high quality education and research results. Taking into account the processes taking place in the global economy in 2020, the short-term and long-term effects of the COVID-19 pandemic on the development of China’s digital economy have been identified. The short-term effects include the capitalization of restrictions, testing of new technologies and familiarization of the population with new digital opportunities, the long-term ones are the expansion of demand and a change in its structure, an increase in investments in digital transformation, including through public and private support programs

Determinants of Vietnam’s Exports to RCEP Countries: A Gravity Model Analysis

This paper investigates the determinants of Vietnam’s exports to members of the Regional Comprehensive Economic Partnership (RCEP) Free Trade Agreement, using a panel data set from 14 countries over the period 2005-2018. The analysis is based on the gravity model with different explanatory variables that potentially affect the export performance of Vietnam, in addition to standard gravity regressors. The study employs different estimation techniques and formal tests to decide which model is the most appropriate for analysis. Based on the outcome of the F-test, Breusch-Pagan’s Lagrange Multiplier test, and Hausman test, it is clear that the Random Effect Model is favored over Pooled Ordinary Least Square and Fixed Effect Model. The empirical results of the study reveal that Vietnam’s exports to RCEP markets might be positively affected by the GDP of economies, control corruption ability of the importing countries, and common border sharing. The distance between countries is reported to restrain the export performance. These findings are quite consistent with existing literature on the gravity model of bilateral trade. Against the expectation, the effect of exchange rate on exports is negative; the coefficients of Vietnam’s integration to Free Trade Agreements and corruption control ability are not statistically significant.

Increasing The Share Of The Agricultural Economy In The Country's Gross Domestic Product

The content of the article is devoted to the scientific basis for increasing the share of the agricultural economy in GDP. In this regard, proposals are being made to increase the factors affecting the efficiency of agriculture. By increasing agricultural efficiency, we will be able to increase GDP and provide employment for the country’s workforce. In this way, we will improve the living standards of the population, that is, increase the income of the population through self-employment. The main purpose is to make proposals for the construction of agriculture based on innovative technologies based on modern technologies. That is, we can achieve GDP growth in the country through the use of intensive methods.

Development of Internet Supply Chain Finance Based on Artificial Intelligence under the Enterprise Green Business Model

At present, China’s economic development has made unprecedented progress, but it is also facing a severe situation, and the environmental carrying capacity has almost reached its limit. For this reason, the government vigorously promotes the construction of ecological civilization and advocates green development, circular development, and low-carbon development. Enterprise green operation is a business activity that integrates environmental protection into the whole process of enterprise operation and management. It requires the guiding ideology of business operations and every link of business management to be based on environmental protection. The purpose of this article is to solve the problems between the development of corporate GDP and green protection and analyze the impact of green business development policies on China’s corporate GDP. In order to further clarify the impact of green development on social development of Chinese enterprises, this paper investigates the economic and environmental aspects of green transformation enterprises nationwide. The research results show that China’s green enterprise development has achieved remarkable development achievements. The average growth rate of China’s green development GDP in recent years has begun to significantly exceed the average growth rate of green GDP over the same period. The average annual growth rate of the enterprise’s total economic growth of green environmental protection GDP has reached 11.58%, surpassing the average growth rate of the green GDP economy of the same period of 0.12%. Chinese companies have also achieved impressive corporate achievements following the implementation of the national guidelines for green development. For the first time in 31 inland provinces, municipalities, and autonomous regions in China, chemical companies have achieved green production, and the average GDP growth rate has reached 8.75% for the first time.

CYBERSECURITY AS A FUNDAMENTAL ELEMENT OF THE DIGITAL ECONOMY

The development of the digital economy is inextricably linked to cybersecurity. The article discusses issues related to the definition of cybersecurity, its elements, and examines data on cyber-attacks. The analysis of the tightness of the relationship between the share of the digital economy in GDP and the GCI index using a correlation analysis is carried out in this article. The issues of cybersecurity in the Republic of Moldova are also discussed and ways to improve it are suggested. Currently, there have been significant changes in the structure of cyber threats. These changes are associated with discrete changes in the motives and tactics of cybercriminals. The reasons for enrichment contributed to the emergence of crypto miners. At the same time, there is a shift towards reducing the use of malware and complex infrastructure and moving to low-profile social engineering attacks. This article analyzes the situation in the

FRAUD MECHANISMS - ACCOUNTING AND FISCAL EVALUATION - SEEN AS POSSIBILITIES FOR ESTIMATING THE UNDERGROUND ECONOMY

The interrelationship between activities specific to the shadow economy and those specific to corruption is obvious and long-noted between academia, numerous authors, and international institutions. A deeper understanding of this economy can help to provide a basis for the behavioral analysis of those who are prone to fraud, so that opportunities for manifestation are limited by the creation of effective control mechanisms. The research issue, therefore, proves to be useful and front-runner to new directions for further development, taking into account its importance, timeliness, significance, and necessity, for financial management, both public and private, for accounting and tax professionals, and for any person interested in the harmonious good-boarder development of the society we live in. Statistical estimates are drawing strong alarm signals in global economies, where we are dealing with huge proportions of the “underground†economy, with estimates of up to half of the economic activity carried out. It is noted that the global trend toward macroeconomic modeling in the area of measuring the “shadow†economy is present. One example, which comes to support this idea, is our own country. According to the information provided by the National Statistics Institute, 20% share of the “underground†economy in GDP, while some specialists, including the Romanian Intelligence Service, estimate a 45% share of the “underground†economy. The differences are colossal and come to broaden the line of arguments that are not suitable for measuring the economy of this kind and its relevance.

Influence of fiscal policy on GDP: an empirical study of GCC countries

The Gulf Cooperation Council (GCC) countries of late have made considerable attempts to achieve financial consolidation. However, this was limited to cuts in government expenditures. While scholars suggest the need for overall fiscal policy adjustments, countries should pay particular attention to efficient revenue generation and public debt management. In this paper, an attempt has been made to examine public finance of the GCC countries. The study has taken into account four significant components of public finance: public revenue, inflation, government expenditure and public debt. The co-integration rank test using the vector auto-regression method is employed to determine whether the chosen variables play any influential role in the GDP of the GCC economies. The results suggest that the effect of the consumer price inflation, total government revenue, revenue (percent of non-oil), and total government gross debt have a strong influence on the GDP of these economies. Thus, this means that the countries in the GCC region should focus on inflation, revenue, and public debt to have robust, viable and comprehensive development.

Problems and prospects of development of the tourist market of Poltava region

In today's world, recreation and tourism have a greater social value. The development of tourism activities in the region is part of the socio-economic complex, and directly affects sectors such as industry, trade, transport, agriculture and production of consumer goods and is one of the promising areas in the formation of the economy's GDP. It is the existing tourist resources and the main objects of tourist infrastructure that create the need for a detailed study and analysis of their state of use and prospects in tourist activity. The article analyzes the current state of development, problems and prospects of the tourism industry of Poltava region. The subject of the article is the peculiarities of tourism development in Poltava region. The aim is to identify the features, problems and prospects of tourism development in Poltava region. Tasks: identification of features of the market of tourist services of Poltava region and prospects of development of tourist services. General scientific methods are used: analytical, static, descriptive, comparative. The following results were obtained: based on the study, it was found that Poltava region has a strong tourism potential, but also has weaknesses in tourism development. It is proved that Poltava region can offer competitive tourist products in all promising tourist areas and has all the opportunities to successfully enter the tourist market, provided that the existing problems are overcome. Conclusions: it is necessary to increase the level of the main areas of stimulating tourism, which will strengthen the economy, fill the budget, create a strong tourism industry and preserve the historical and cultural heritage.

Approaches to Assessing the Contribution of Digital Economy to Gross Domestic Product of the Russian Federation

The article deals with assessment of digital economy contribution to economy of the Russian Federation. The author reviews the most frequently cited publications providing information about the volume of digital economy in GDP of Russia, as well as methods of this indicator estimation. The review was prepared by publications cited by Russian authors, which include research and analytical reports of the Russian Association of E-Communications, Boston Consulting Group and McKinsey. As a result the conclusion was reached that the absence of a unified concept of digital economy for statistics aims and a method of assessing the contribution of digital economy to GDP could hinder processes of digital transformation, as necessary tools of control and monitoring are not available. Classification principles used today in international statistics form the basis of product differentiation dealing with digital economy. At the same time experts acknowledge insufficient details in initial data for identification and classification of relevant types of products in orientation to national account data. In the future it is necessary on the basis of international organizations and home developments and concepts to work out steps aimed at encouraging presentation of digital economy spheres in the system of national accounts and creation of statistic tools, which could allow us to avoid fragmented study of digital economy.

Measuring sustainable development - the creative economy perspective

ABSTRACTWorld literature presents a variety of approaches to measuring the creative economy at global, national and regional levels, but so far not enough attention has been paid to the issue of sustainability of creative economies. Creative economies do not rely heavily on natural resources which means that their negative impact on the climate is relatively weaker than in the case of other industries. The measurement of sustainable development is an important contribution to the overall efforts in fighting the climate change. Statistical figures show that the share of the creative economy in GDP of the most developed countries is steadily increasing. Therefore, it is legitimate to analyse the sustainable development issues not only through the lenses of utilization of natural resources and environmental issues but also to look at the sustainability challenge for the creative economies. The growth of creative industries may be hindered by scarcity and improper utilization of resouces, but the main threat to the sustainability is the scarcity of intangible resources and goods such as ideas, freedom of thought, leadership, tolerance, quality of education, etc. Based on a literature review, we endeavoured to investigate the sustainability issues which are relevant specifically for the creative economy. In particular, we were interested in the role of local government in supporting the growth of creative economies. This study contributes to the literature in the sense that it provides understanding on how to assess the impact of local government on the sustainability of creative economy.

Do the Developments in Telecommunication Leads to the Solow Paradox on Economic Growth in Turkey?

Telecommunications infrastructure is critical not only for domestic growth, but also for combining credit with international commodity and financial markets, such as the smooth flow of foreign investment, facilitating the positive value of net exports, and increasing the added value in the economy's GDP. In this study, fixed telephone lines in the period since the Republic of Turkey, is to investigate whether mobile phone and affect the economic growth of the telecommunications sector showing growth in internet connection. In our study, the penetration rate represents the development of telecommunications industry. Penetration rate is defined as the number of fixed line and mobile phone subscribers per 100 people. In order to measure the penetration rate in Turkey, we have used the ratio of the total number of fixed line, mobile subscribers and internet users to the population, taking into account the dates when mobile communication and the internet started. Economic growth is represented as the rate of change to Gross Domestic Product. The data used in this study cover an annual period 1935-2017. After investigating the stationarity of the series of variables, a causal relationship between the Toda-Yamamoto causality test and the penetration rate and GDP change rate series was examined. The findings of the analysis, the development of telecommunications in Turkey revealed that does not affect economic growth. According to this result, the Solow paradox is valid in the period examined in Turkey.

ON THE ISSUE OF EXCESSIVE INDEBTEDNESS

Excessive indebtedness, or the “overproduction” of credits, is a feature of the modern credit system. Its results are commonly encountered in the local, regional or global economies. It appears before us as a cause of a severe financial and economic crisis. Despite the regulation methods using in the modern «mainstream» theory and practice to address the existing problems, it is still posing the new challenges for the regulatory institutions, beyond the focus of which, one main issue remains permanently: how the “overproduction” of credits is created in demand economics(but not in need economics)on such scarce resources as money and savings. Over the past few years, in the composition of bank loan portfolio of the Georgian banking sector, there has been significantly strengthened and increased the share of loans to natural persons, while the share of the local economy in GDP is almost non-existent and stays in the low single digits. Obviously, the process was observed by the National Bank, and based on the theoretical foundations of its functioning it has adopted a new regulatory norm. The article dwells on studying, the process of the “overproduction” of credits and the causes of the causes, as well as the main aspects of a new regulation set out by the National Bank of Georgia and the expected outcomes, and the relevant conclusions have been made.

Offshore renminbi trading: Findings from the 2013 Triennial Central Bank Survey

Using foreign exchange transaction data reported in the Triennial Central Bank Survey by the Bank for International Settlements, we find that offshore renminbi (RMB) trading activity is affected by both the host economy's characteristics and links with China. For instance, the occurrence of offshore RMB trading is determined by the economy's GDP, stage of financial development, equity market capitalization and free trade agreement with China. When an economy hosts offshore RMB trading, the trading volume is affected by the size of its foreign exchange market, equity market capitalization, as well as the bilateral link with China through FDI flows.

Earnings Management in Greece: A Case Study in Construction Sector Using Jones Model

Shadow economy is harmful to the whole official economy. It distorts competition and stock prices, it worsens income distribution and is an obstacle for entrepreneurship and economic growth. There are many reasons causing shadow economy. One of them is earnings management. A lot of research has been made on earnings management. In this paper Jones (1991) model will be used to examine the phenomenon of earnings management in the Greek construction industry. The findings are: first in the Greek construction sector discretionary accruals in practice affect negligibly the percentage of shadow economy in GDP, second in the Greek construction sector discretionary accruals (showing lower profits) increase in periods of higher capital tax rate, third in the Greek construction sector usually large companies resort to earnings management more than the small ones. Hence, Jones (1991) model shows the way for further investigation on tax avoidance. It should be noted however that shadow economy is a very complicated topic and is not only a matter of just earnings management. The contribution of this paper is that it uses Jones (1991) model to spot tax evading companies and triggers further research. Besides, the findings of this paper indicate the need for the global adoption of the international accounting and auditing standards. Cultural differentials across countries, which hinder this adoption, must be overcome.