Efficient Reallocation Research Articles

Impact of the US-China Trade War on Bystander Countries

Abstract: This paper evaluates the impact of US-China trade war on bystander countries (untargeted by additional tariffs) by analysis of changes in import value of 9 taxed products from China and other 11 bystanders in the US from 2018 to 2019. The paper reveal incomplete substitution of Chinese imports on average after adoption of tariffs targeting China. The difference in value between decline of imports from China and aggregated growth of imports from other 11 countries are termed the gaps. The gaps are explained in four aspects: a) supply elasticity; b) heterogeneity across countries; c) global value chain; d) increased use of domestic products. In beneficiary-level, bystanders are divided into large beneficiaries, small beneficiaries and losers. This paper provides suggestions in firm-level, product-level and country-level to help bystanders take advantage of the trade war, which involve efficient reallocation of resources and transformations. Improved positions of countries except for the US and China contribute to both global economic growth and development and multi-polarization in the world.

Do Firms Smooth Earnings Less When They Can Hedge Noise Better?

ABSTRACT Firms’ use of accounting discretion to report a smooth earnings profile is commonly believed to be pervasive. We examine whether smoothing, at least partly, reflects managerial attempts to avert unhealthy pressures from outsiders who cannot fully disentangle the impact of transitory shocks from sustainable trends in value creation. Using variation in firms’ ability to hedge foreign currency (forex) exposure through derivatives, we find that firms are less likely to smooth earnings when they can better shield their business from extraneous forex fluctuations. Our findings inform the debate on discretion in accounting rules and illustrate how markets that facilitate efficient reallocation of risk can shape the informational properties of accounting output. JEL Classifications: F31; G32; M41.

The tilt illusion arises from an efficient reallocation of neural coding resources at the contextual boundary.

The tilt illusion - a bias in the perceived orientation of a center stimulus induced by an oriented surround - illustrates how context shapes visual perception. While the tilt illusion has been the subject of quantitative study for over 85 years, we still lack a comprehensive account of the phenomenon that connects its neural and behavioral characteristics. Here, we demonstrate that the tilt illusion originates from a dynamic change in neural coding precision induced by the surround context. We simultaneously obtained psychophysical and fMRI responses from human subjects while they viewed gratings in the absence and presence of an oriented surround, and extracted sensory encoding precision from their behavioral and neural data. Both measures show that in the absence of a surround, encoding reflects the natural scene statistics of orientation. However, in the presence of an oriented surround, encoding precision is significantly increased for stimuli similar to the surround orientation. This local change in encoding is sufficient to accurately predict the behavioral characteristics of the tilt illusion using a Bayesian observer model. The effect of surround modulation increases along the ventral stream, and is localized to the portion of the visual cortex with receptive fields at the center-surround boundary. The pattern of change in coding accuracy reflects the surround-conditioned orientation statistics in natural scenes, but cannot be explained by local stimulus configuration. Our results suggest that the tilt illusion naturally emerges from a dynamic coding strategy that efficiently reallocates neural coding resources based on the current stimulus context.

The K Critical Path Sets to Protect in Interdiction Networks Under Limited Defensive Resources

This paper considers a network under intelligent threats. The defender of the network attempts to identify which disjoint K-critical path sets to be fortified under limited resources in order to better resist to attacks. Strengthening paths consists on increasing the path survivability by increasing individual survival probabilities of some or all arcs within the path accounting for limited resources. These resources are expressed through a defensive budget. The model assumes different reinforcement scenarios using different levels of resources. The paper proposes two solution methods. The first method maximizes the smallest survival probability over the K breakthrough paths to select under a budget constraint. The second one minimizes the cost of the overall survivability improvement while maintaining the smallest survival probability over the K selected breakthrough paths to a predefined threshold value. The formulated integer programs are solved optimally in a short time. This is the case even for large networks. The sensitivity analysis indicates in particular that, beyond some levels of defensive resources consumption, the survivability improvement becomes very slow suggesting an efficient re-allocation of the budget.

Productivity loss and misallocation of resources in Southeast Asia

This article examines within-sector resource misallocation in three Southeast Asian countries—Indonesia, Malaysia, and Vietnam. The methodology accounts for measurement error in revenues and costs. The firm-level evidence suggests that measurement error is substantial, resulting in an overestimation of misallocation by as much as 30%. Nevertheless, resource misallocation across firms within a sector remains large, albeit declining. The findings imply that there are considerable potential gains from efficient reallocation—above 80% for Indonesia and around 20% to 30% for Malaysia and Vietnam. Private domestic firms and firms with higher productivity appear to face larger distortions that prevent them from expanding.

Efficient Reallocation of BESS in Monopolar DC Networks for Annual Operating Costs Minimization: A Combinatorial-Convex Approach

This article deals with the solution of a mixed-integer nonlinear programming (MINLP) problem related to the efficient reallocation of battery energy storage systems (BESS) in monopolar direct current (DC) grids through a master–slave optimization approach. The master stage solves the integer nature of the MINLP model, which is related to the nodes where the BESS will be located. In this stage, the discrete version of the vortex search algorithm is implemented. To determine the objective function value, a recursive convex approximation is implemented to solve the nonlinear component of the MINLP model (multi-period optimal power flow problem) in the slave stage. Two objective functions are considered performance indicators regarding the efficient reallocation of BESS in monopolar DC systems. The first objective function corresponds to the expected costs of the annual energy losses, and the second is associated with the annual expected energy generation costs. Numerical results for the DC version of the IEEE 33 bus grid confirm the effectiveness and robustness of the proposed master–slave optimization approach in comparison with the solution of the exact MINLP model in the General Algebraic Modeling System (GAMS) software. The proposed master–slave optimizer was programmed in the MATLAB software. The recursive convex solution of the multi-period optimal power flow problem was implemented in the convex discipline tool (CVX) with the SDPT3 and SEDUMI solvers. The numerical reductions achieved with respect to the benchmark case in terms of energy loss costs and energy purchasing costs were 7.2091% and 3.2105%, which surpassed the results reached by the GAMS software, with reductions of about 6.0316% and 1.5736%.

Liquidity Windfalls and Reallocation: Evidence from Farming and Fracking

Financing frictions may create a misallocation of assets in a market, thus depressing output, productivity, and asset values. This paper empirically explores how liquidity shocks generate a reallocation that diminishes this misallocation. Using a unique data set of agricultural outcomes, I explore how farmers respond to a relaxation of financial constraints through a liquidity shock unrelated to farming fundamentals, namely exogenous cash inflows caused by an expansion of hydraulic fracturing (fracking) leases. Farmers experiencing positive cash flow shocks increase their land purchases, which results in a reallocation effect. Examining purchases across areas, I find that farmers in high-productivity areas who receive cash flow shocks buy farmland in low-productivity areas, but farmers in low-productivity areas receiving positive cash flow shocks do not. Moreover, farmers increase their purchases of vacant (undeveloped) land. Average output, productivity, equipment investment, and profits all increase significantly following these positive cash flow shocks. Farmland prices also rise significantly, consistent with a cash-in-the-market pricing effect. These effects are consistent with an efficient reallocation of land toward more productive users. This paper was accepted by Tyler Shumway, finance. Funding: This work was supported by the Kritzman and Gorman Research Fund Grant. Supplemental Material: The online appendix is available at https://doi.org/10.1287/mnsc.2022.4602 .

Product Market Competition and its Implications for the Australian Economy*

This paper documents firm mark‐ups and competition in Australia, and their impact on productivity, using administrative data. I find that mark‐ups increased by around 5 per cent since the mid 2000s, less than previously documented for Australia and slightly less than documented for the average advanced economy. While part appears to reflect technological change, part appears to reflect an increase in market power. This increase appears to explain part of the slowdown in productivity growth observed in Australia over the past decade, by slowing the efficient reallocation of resources from low productivity to high productivity firms.

Between-item similarity frees up working memory resources through compression: A domain-general property.

Compression, the ability to recode information in a denser format, is a core property of working memory (WM). Previous studies have shown that the ability to compress information largely benefits WM performance. Importantly, recent evidence also suggests compression as freeing up WM resources, thus enhancing recall performance for other, less compressible information. Contrary to the traditional view positing that between-item similarity decreases WM performance, this study shows that between-item similarity can be used to free up WM resources through compression. Across a series of four experiments, we show that between-item similarity not only enhances recall performance for similar items themselves, but also for other, less compressible items within the same list, and this in the semantic (Experiment 1), phonological (Experiment 2), visuospatial (Experiment 3), and visual (Experiment 4) domains. Across these different domains, a consistent pattern of results emerged: between-item similarity proactively-but not retroactively-enhanced WM performance for other items, and this as compared with a condition in which between-item similarity at the whole-list level was minimized. We propose that between-item similarity in any domain may impact WM using the same underlying machinery: via a compression mechanism, which allows an efficient reallocation of WM resources. (PsycInfo Database Record (c) 2022 APA, all rights reserved).

Productivity and job reallocation: evidence from the Indian manufacturing

PurposeThis study aims to examine the association between productivity growth and job reallocation in terms of job creation and job destruction. It also finds this productivity employment relationship for heterogeneous labor market institutions of the Indian states.Design/methodology/approachThe paper uses longitudinal data of the Annual Survey of Industries of Indian manufacturing from 2009–2010 to 2015–2016 and employs fixed-effect multinomial logistic regression.FindingsThe paper finds a mixed result of total factor productivity (TFP) increase on employment. An increase in TFP is positively associated with employment by reducing the probability of destroying jobs, while adversely associated with employment by reducing the probability of creating jobs. The negative association of the increase in TFP on employment is more in the Indian states with strict labor regulations.Research limitations/implicationsThe relationship between TFP and employment can be endogenous. TFP is calculated as output changes that are not explained by inputs, capital and labor. So, job creation/destruction may affect TFP by changing the composition of employment and/or returns on labor/capital. In addition, this study is only restricted to Indian organized manufacturing.Practical implicationsThe results from this study help deeply understand the Indian labor market. In particular, it provides valuable insights into the “jobless growth” in Indian manufacturing and the recent changes in labor laws.Social implicationsThe findings from this study provide useful information to enhance the robust growth of productive jobs and efficient reallocation of labor.Originality/valueUnlike most papers, which analyzed the relationship between productivity growth and net employment changes, the present paper finds the relationship between improvement in productivity and job reallocation in terms of simultaneous creation of new jobs and destruction of existing jobs. In addition, the paper links this relationship with the existing heterogeneous labor laws of the Indian states.

Economic Impact of Covid-19 on SMEs in Cumilla using Structural Equation Modelling

The enterprises, which are small and medium-sized (SMEs), are the backbone of the industrial sector of the overall economy in Bangladesh. This sector plays an essential role in spreading the economy of any country. The SMEs sector’s most significant role is invaluable to eliminating poverty in any country like Bangladesh. But it is impossible to reduce poverty in the Covid-19 pandemic situation. The main objective of this research is to inquire about the economic impact of Covid-19 on SMEs in Cumilla. It is too early to find the impact of COVID-19 impressions on different aspects of the economy. In Bangladesh, SMEs have been experiencing a brutal impact; as such, the motivation of the study is to increase insight relating to what is experienced by SMEs and how they are handling it. This study used a method of primary data of descriptive analysis acquired by the questionnaire method. Using the structural equation model, we find Covid-19 badly hampered the economy. So those governments need to invest essential effects for mobilisation and efficient reallocation of resources through assistance of Banks and other nonbanks economic instructions. Unemployment decreased economic growth speed, and social insecurity might come to light that prevails in future. Moreover, new technologies need to be used to reduce the harmful impacts. Public awareness programs should be organised.

Estimation of the economic burden of atrial fibrillation-related stroke in Greece

ABSTRACT Background Stroke is aleading cause of death and disability, with atrial fibrillation (AF) being among key risk factors and AF-related stroke inflicting significant burden on healthcare systems and society. The present study was undertaken for estimating the total annual socioeconomic burden of AF-related stroke in Greece and identifying the key cost contributors. Research design and methods A cost-of-illness model was developed for estimating the total annual economic burden of AF-related stroke in Greece, from asocietal perspective (year 2018). Atargeted literature review and an advisory board consisting of key experts in the management of AF and AF-related stroke were performed for collecting local resource use and epidemiological data. Results The total annual socioeconomic burden of AF-related stroke was estimated at €175million, in 2018. Direct and indirect costs accounted for 59% and 41%, respectively. Main contributors were informal care (21.1%), patients’ productivity losses (19.7%) and hospitalizations (15.0%), accounting for more than half of the total costs of AF-related stroke events. Conclusion: A F-related stroke imposes asignificant socioeconomic burden in Greece. Despite results relying on estimations, it seems that ensuring efficient reallocation of resources in appropriate prevention and early intervention strategies could decrease AF-related stroke’s burden but also enhance healthcare systems’ efficiency. Abbreviations AF=atrial fibrillation

IMPLEMENTING SOFTWARE DEFINED NETWORKING (SDN) BASED FIREWALL USING POX CONTROLLER

A firewall's main function is to limit unwanted traffic. It will track and manage the flow of data that comes from various sources into the network and functions on the principle of preconfigured rules. Firewalls are one of the important elements of the network infrastructure. In order not to increase the packet delay in the network, they should guarantee the correct level of protection and, at the same time, satisfactory efficiency. According to security policy, the firewall is interposed between two networks to buffer traffic between them. By implementing rule-based control on packets, a firewall gives security protection. With either hardware or software, or a fusion of both, firewalls may be implemented. Software-Defined Networking (SDN) is an evolving technology that will drive the networks of the next generation. Network managers are given the freedom to introduce their networks. But at the same time, it brings with its new security problems. We need effective firewall solution to protect SDN networks. The SDN provides network managers with a simple description of the whole layout of the network. It decouples the control and forwarding mechanisms of a network so that it is possible to handle the physical and logical networks separately. This approach facilitates the programmatic and efficient reallocation of network traffic flows to fulfil increasing needs. SDN makes networks completely managed by software applications and provides the hope of shifting the limits of traditional network infrastructures. For implementation of firewall POX controller is used. POX is an open source OpenFlow/Software Oriented Networking (SDN) Controller built on Python. For quicker design and development of experimental network technologies, POX is used. The POX controller arrives with the Mininet virtual machine pre-installed.

Re-engineering of Backoffice duties at Family Health Bureau, Sri Lanka

The objective of this research was to evaluate the back-office functions at the Family Health Bureau (FHB) for the purpose of efficient reallocation of duties to achieve better output through the approved carder and descriptive cross-sectional study design was used.

Spatial Inequity in Access to Intensive Care Unit Beds at Regional Level in Italy.

The high demand of hospitalization in the intensive care units (ICUs) during the first wave of the COVID-19 outbreak brought out the critical issues of the limited capacity of the regional systems to deal with high patient inflows in a short period of time. In this view, a rapid and efficient reallocation of resources is one of the main challenges to be addressed by regional systems to prevent overload and saturation. Aim of this study is to assess the spatial accessibility of ICU beds in the 20 Italian regions to capture the equity distribution of critical care services across the country. This analysis may contribute to gain a deeper understanding of the allocation of health resources. It can provide input for policy makers in view of a possible reorganization of the national system in terms of both its preparedness for emergency period and routine capability.

국내 혼잡공항(3종 공항)의 효율적인 슬롯 재배분 전략 연구 : 제주국제공항을 중심으로

국내 혼잡공항(3종 공항)의 효율적인 슬롯 재배분 전략 연구 : 제주국제공항을 중심으로

Misallocation in Indian Agriculture

We exploit substantial variation in land-market institutions across Indian states and detailed micro household-level panel data to assess the effect of distortions in land rental markets on agricultural productivity. We provide empirical evidence that states with more rental-market activity feature less misallocation and reallocate land more efficiently over time. We develop a model of heterogeneous farms and land rentals to estimate land-market distortions in each state. Land rentals have substantial positive effects on agricultural productivity: an efficient reallocation of land increases agricultural productivity by 38 percent on average and by more than 50 percent in states with highly distorted rental markets. Both farm and state-level land market distortions are quantitatively important, with state-level wedges accounting for a significant fraction of rental market participation differences across states. Land market distortions contribute about one-third to the large differences in agricultural total factor productivity across Indian states.

Efficient Buffer Overflow Detection on GPU

Rich thread-level parallelism of GPU has motivated co-running GPU kernels on a single GPU. However, when GPU kernels co-run, it is possible that one kernel can leverage buffer overflow to attack another kernel running on the same GPU. There is very limited work aiming to detect buffer overflow for GPU. Existing work has either large performance overhead or limited capability in detecting buffer overflow. In this article, we introduce GMODx, a runtime software system that can detect GPU buffer overflow. GMODx performs always-on monitoring on allocated memory based on a canary-based design. First , for the fine-grained memory management, GMODx introduces a set of byte arrays to store buffer information for overflow detection. Techniques, such as lock-free accesses to the byte arrays, delayed memory free, efficient memory reallocation, and garbage collection for the byte arrays, are proposed to achieve high performance. Second , for the coarse-grained memory management, GMODx utilizes unified memory to delegate the always-on monitoring to the CPU. To reduce performance overhead, we propose several techniques, including customized list data structure and specific optimizations against the unified memory. For micro-benchmarking, our experiments show that GMODx is capable of detecting buffer overflow for the fine-grained memory management without performance loss, and that it incurs small runtime overhead (4.2 percent on average and up to 9.7 percent) for the coarse-grained memory management. For real workloads, we deploy GMODx on the TensorFlow framework, it only causes 0.8 percent overhead on average (up to 1.8 percent).

Causality Analysis of Disaggregated FDI Inflows on Sectorial Growth in OECD Area

Abstract This article revisits the link between disaggregated Foreign Direct Investment (FDI) inflows and sectorial growth using the panel dataset of 25 Organisation for Economic Co-operation and Development (OECD) countries for the period 1990 to 2017. It adopted the panel fixed effect and Feasible Generalized Least Squares Approach in its analysis. The findings show that disaggregated FDI inflows have the potential to improve growth in the OECD area with adverse effects on domestic investment and inflationary pressure. Additionally, the results further indicate that disaggregated FDI inflows have a positive and significant relationship on the service and manufacturing sector but with no evidence shown on the agricultural industry. Thus, the study concludes that efficient reallocation of FDI resource(s) among sectors will not only boost output growth but also impact on the real economy. However, the necessary policy strategy to regulate this inflow is vital to mitigate its negative impact on domestic investment and inflation pressure.

Do Short-term Incentives Hurt Innovation?

We study how incentives to boost short-term performance affect longer-term innovation outputs. We find that incentives to meet current-quarter EPS targets using share repurchases are followed by an increase in the quality of future innovation outputs such as forward citation counts and the economic value of patents. This effect can be attributed to the performance pressure that causes firms to make more efficient reallocation of R&D resources and focus more on novel technologies. Our evidence illustrates that not all actions that appear short-termist have adverse long-term consequences but instead can have a bright side.