Human Capital Flows Research Articles

Extracting at the borders: Negotiating political and ecological geographies of movement in mineral frontiers

AbstractThis paper questions the drive towards more ecologically determined porosity across national borders in the context of incongruent economic regulation and incentives. The push towards regionalization and less austere border conditions have socio‐ecological salience and deserve consideration. However, mining creates human and financial capital flows across “mineral frontiers” which deserve greater attention by policy‐makers who are advocating for more relaxed border conditions. While minerals frontiers can be areas of cooperation under certain circumstances, they are highly vulnerable to acting as threat multipliers if not effectively monitored. A typology from border studies is used to develop a framework of how mineral resource projects can lead to human movement across borders. While mining projects in resource frontiers can be a means of fostering regional cooperation, they can also create vulnerabilities involving the migrants. The ways in which development donors and companies can facilitate more constructive harmonization of regulatory mechanisms to prevent such vulnerabilities are examined.

An Inquiry Into the Nature and Causes of Climate Wealth of Nations: What Temperature Finance Gravitates Towards? Sketching a Climate-Finance Nexus and Outlook on Climate Change-Induced Finance Prospects

What is the optimal temperature finance gravitates towards? While we have empirical evidence for the optimal cardinal temperature for GDP production and international development links external climate conditions to levels of societal development, no literature exists on climate induced-finance flows. Research on temperature-dependent financial flows holds invaluable insights in light of climate change. The connection between climate change and finance will be drawn via price mechanisms. Given the extinction potential of crops, industry and service production, price mechanism will be prospected with a hyperbolic tilt towards the end of durability and the closeness to extinction. In contrast to classical and standard approaches in economics to determine prices, the following research thereby takes into account that agents in their behavior can be constrained by shrinking timeframes for production in light of global warming. The contemporary attention to global warming and climate shocks is thereby assumed to affect the price expectations and hence actual market prices of commodities. Paying attention to supply and demand side perspectives, inflated prices surrounding scarcity will be first modelled and then back-tested on data about prices in commodities of food and beverages. Future wealth of nations will be introduced by the concept of climate flexibility defined as the range of temperature variation of a country. So far, a broad spectrum of climate zones has not been defined as asset but climate change will require territories being more flexible in terms of changing economic production. The more climate variation a nation state possesses, this paper argues, the more degrees of freedom a country has in terms of GDP production capabilities in a differing climate. These preliminary insights aid in answering what financial patterns can we expect given predictions the earth will become hotter. Already now this paper presents human capital flows and financial market inflows into areas that are winning economically from a warming globe. The degree of climate flexibility is found to be related to human migration inflow.

Human capital flows in failing organizations: an integrated conceptual framework

PurposeThe purpose of this paper is to examine the dynamics of human capital accumulation and human capital depletion in the processes leading to business failure.Design/methodology/approachBuilding on the human capital theory, strategic human resource and business failure literature, this paper develops a conceptual framework which links the inward and outward dimensions of human capital flows in the business failure process.FindingsThe analysis sheds light on why some highly skilled individuals may opt to flee declining firms to avoid being stigmatised whilst others become motivated to joint such firms.Research limitations/implicationsThe paper suggests that understanding the nature and dynamics of both flows are essential when seeking to avert collapse.Originality/valueIn spite of a growing body of research on business failure and intense competition for top talent, much of the existing literature has circumvented the relationship between them. This study develops a unified model towards enhancing our understanding of the human capital flows.

A STUDY ON DEVELOPMENT OF DERIVATIVES MARKET IN INDIA

The derivatives market is relatively new in India. They supply what the financial and product markets require in terms of investment risk management. To make sure that the products offered by these changes satisfy investors' needs for risk management, a number of committees have been established to review the operation of the financial and derivative markets. Indian markets currently trade in both exchange traded and over-the-counter derivatives on a variety of asset classes, including securities, commodities, currencies, stock indices, and more. The derivative markets in India are expanding right now.It is well known that the growth of the free-market system can coincide with that of the financial markets, particularly the development of derivatives. Global economic integration has facilitated the free flow of products, services, capital, and human capital. While assuring the best possible use of the world's limited resources, this phenomenon rejects instability and risk in all areas of the organization. The management of this risk volatility becomes a difficult task since it calls for new goods and procedures-derivatives products. Derivatives are viewed as the hedging mechanism and risk management tools all over the world. Several economic elements influence the economy's value. The best measure of a healthy economy is the performance of the stock market and secondary market. In recent years, the Indian stock market has experienced increasing volatility and warning signs of disaster. In order to draw in the community of new investors, some degree of market volatility is desirable. Nonetheless, a number of studies show that the Indian stock market has too much volatility. Investors will be blamed unless market regulators take proper action to reduce the excessive volatility. In order to reduce the excessive volatility, derivatives trading was established in India. In order to reduce the risk associated with an investor's investment, derivatives are financial instruments that hedge the risk of a certain financial asset. It is often believed that derivatives are the best solution for reducing the excessive volatility in the stock market. The evolution of the derivatives market in the Indian setting is being carefully examined at this point.

Predicting Interfirm Human Capital Flow: Leveraging Networks and Heterogeneous Effects

Predicting Interfirm Human Capital Flow: Leveraging Networks and Heterogeneous Effects

Immigration and the path dependence of education: the case of German‐speakers in São Paulo, Brazil (1840–1920)

AbstractThis article studies the path dependence of human capital accumulation in the state of São Paulo, Brazil. It focuses on the impacts of German‐speaking immigrants on education through three channels: their share of the population in the nineteenth century, their on‐the‐job skills, and the schools they founded. Using a new dataset based on almanacs from 1873 and 1888, these effects are evaluated for the nineteenth, early twentieth, and early twenty‐first centuries. The article shows that the institutionalized demand for education of these immigrants, reflected by the establishment of schools, was their main contribution to the accumulation of human capital. The effect of German schools on educational levels required a period to mature and dissipated over time. Nevertheless, its influence was substantial at the beginning of the twentieth century, affecting enrolment levels in private and state schools, a result that suggests the existence of spillover and contagion effects. Moreover, current indicators for stocks and flows of human capital in São Paulo are strongly associated with their historical levels. At the same time, this path dependence is conditional on the type of school: while a positive persistence is found for the private system throughout the twentieth century, convergence occurred in state schools.

India to U.S. Migration Case Study

Indian migration to the U.S. dates back to the the 1800s, but more recent legislation resulted in a large flow of highly skilled Indian workers to the U.S. While this has boosted the U.S. economy and led to the creation of more jobs, India has not experienced the same degree of beneficial effects. Those who emigrate typically continue to exchange valuable information— in the form of investments and remittances— back with India to increase productivity and stimulate the economy. Yet, this has not proven to counteract the great economic loss due to this outflow of their most educated and skilled laborers. This paper specifically explores the ways in which Indian immigration to the U.S. has contributed to an academic phenomenon known as “brain drain,” and the adverse as well as positive effects that this flow of human capital has on both the U.S. and Indian economies. Further, we examine how President-Elect Trump’s administration will likely handle the H-1B visa program.

Drivers of Collective Human Capital Flow: The Impact of Reputation and Labor Market Conditions

An emerging body of research examines collective human capital flow via context-emergent turnover (CET) theory, which builds on resource-based theory and the literature on human capital. CET theory indicates that collective human capital flow—or employee movement into and out of organizations—is of growing significance to scholars and practitioners given the effects that it has on important organizational outcomes. Yet, a better understanding of what drives systematic variance in collective outflows and inflows is needed so that employers can strategize and plan ways to manage human capital flow. We use CET theory to highlight the role of a firm’s reputation as an antecedent to human capital flow. Moreover, because CET theory emphasizes the significance of context, we consider how labor market conditions change the nature of these relationships. We predict and find that a positive reputation helps employers reduce several types of collective human capital flow, yet more reputable employers are better able to do so in slack, rather than tight, labor markets. These results shed light on the importance of context on collective human capital flow and indicate the potential of CET theory to understand not only the consequences but also the drivers of collective movement in and out of organizations.

INNOVATIVE UNDERTAKINGS IN THE POLISH INDUSTRY

The purpose of this research is to determine if there is any correlation between the sale of new or significantly improved products and the physical capital and human capital in the Polish industry between 2011 and 2013. In the quantitative analysis a Cobb-Douglas regression model has been used and together with its parameters it has obtained results which indicate a higher degree of flexibility of the sale of new and significantly improved goods relative to real capital expenditure streams (0.868) than human capital investment flows (0.190). The model of innovation growth rate (Cobb-Douglas theory) indicates that the flexibility of sold production of new and significantly improved goods can be equal to unity. The research has found regression dependence of new and substantively improved products sold on the physical and human capital expenditure. Thus, there is an imbalance of these capitals in the impact on the volatility of sold production of new and significantly improved goods in the industry. The above-specified production relative to the combined effect of real and human capital investment flows was growing more than proportionally (1.058) in the industry in the years 2011–2013. The current potential for innovation with an unchanged production method allows us to obtain increasing economies of scale of production sold of new and significantly improved goods in the Polish industry. The conducted research shows that the impact of human capital (0.190) amounts only to one-fifth of the potential opportunities available in the Polish industry.

The Impact of Reputation annd Labor Market Conditions on Collective Human Capital Flow

Companies are often concerned with movement in and out of organizations. Although research in economics has examined labor flow, or transitions into and out of the labor force at the macroeconomic ...

BRAIN DRAIN – BRAIN GAIN: SLOVAK STUDENTS AT CZECH UNIVERSITIES

The Slovak Republic is experiencing a growing brain drain of elite secondary school students. Slovak human capital flows chiefly to Czech Higher Education Institutes (HEIs). The aim of this paper is to analyse who these Slovak students are to create a complete profile of Slovak students at Czech HEIs. We used a unique dataset based on the surveys EUROSTUDENT V and DOKTORANDI 2014 to explore differences between Czech and Slovak students, their financial situation and the functionality of the intergenerational transmission mechanism. We have found that Slovak students at Czech HEIs come from highly educated families and from the middle and higher class families significantly more often than Czech students at Czech HEIs or Slovak students at Slovak HEIs. Approximately 80% of them came from grammar schools. Slovak students also often have better language skills. We have discovered that Slovak students at Czech HEIs enjoy certain social benefits, slightly more often they have higher monthly income compared to Czech students, and they work slightly less often during their studies. Finally, according to our findings, Slovak doctoral students are often reluctant to return back to the Slovak Republic or to stay in the Czech Republic.

Human capital, FTAs and foreign direct investment flows into ASEAN

In this paper, we examine the impact of foreign direct investment flows into ASEAN in a gravity model using the bilateral FDI data from 2000 to 2009. In particular, we study the key factors that determine the FDI flows into the region including human capital development and whether membership of a bilateral or regional trade agreement has a differential impact on FDI flows using an extended gravity model. The empirical results indicate that free trade agreements do have positive impact on FDI inflows. However, the returns on FDI inflows depend on the domestic absorptive capacity of the economy and region. It is imperative for ASEAN to align its infrastructure, human capital and technologies to provide MNCs with the necessary linkages to the global network and also to move the domestic industries seamlessly up the global production value-chain. The paper highlights that this is crucial for deeper ASEAN integration and for sustainable growth in the region.

Cityness and Informativeness of the Emerging Informational Cities in Japan

Abstract Based on the concept of Informational Cities, which are the highly developed prototypical cities of the 21st century, we conducted a regional comparison of four Japanese cities in terms of their “cityness” and “informativeness”. The purpose of our articles is to specify the theoretical framework for measuring the informativeness and cityness level of any desired city, to quantify the chosen indicators in order to compare the investigated cities, and finally, to conclude what is their advancement level in terms of a modern city of the knowledge society. Our methodology is based on a new approach to measure the position of a city in a national or a global scale, originating from information science and its indicators of the knowledge society. It includes such procedures as desktop research and bibliometrics, ethnographic field study, or grounded theory method. The investigated aspects under the notion of the informativeness level are the distinct labour market and mix of companies located in the city (concerned with creative, knowledge and information economy), as well as the progressive e-governance and advanced e-government. The notion of cityness level oscillates around the concept of space of flows in the city, including the flow of money, power, information, and human capital. In order to make our model practical and grounded on available evidence, we have chosen four Japanese cities to undergo the process. Tokyo, Yokohama, Osaka and Kyoto are big and economically significant Japanese metropolises. However, our results show that they differ from each other regarding many important aspects. We were able to quantify their performances and create a ranking. The limitation of our approach appears to be the strict quantification method that makes the cityness and informativeness levels of the cities dependent on other cities’ performances, and that does not precisely reflect the actual dimension of the differences between them. Hence, in the future work we will develop a more flexible and independent approach, enabling us to make more accurate statements on cities’ advancement unregarded the advancement level of the other metropolises.

Empirical Comparative Analysis of Household Sector Liabilities and Assets in the Context of Financial Crisis

ABSTRACT. This paper presents the characteristics and trends in household debt and assets in Poland and selected European countries (Germany, Ireland, Spain, Greece, Lithuania) over the period of 2005-2012. The empirical analysis presented in this paper aims to support the thesis that although the changes in the level and structure of household debt in those countries were not the primary source of the crisis, they had some impact on its course, and the financial crisis influenced the direction of these changes. Data are taken from the ESA, mainly the Eurostat Database. The analysis is carried out on the basis of a simple measure which is the relation of liabilities (by types of household debt) to assets compared with the relation of savings to the household assets.JEL Classification: G01, E21, E22Keywords: national accounts, saving, accumulation, financial crisis.(ProQuest: ... denotes formulae omitted.)IntroductionIn the literature concerning the financial crisis that began in 2007 on the U.S. market of riskier loans granted to persons (households) with a low credit rating, much attention is paid to the analysis of changes in financial market, as well as in the whole economy, both those which were the cause of the crisis and those which were its consequence. In most analyses, issues relating to institutional sectors are not considered, particularly for the household sector, whose specific debt in the United States was the direct impulse for the crisis. Lending / borrowing of the sector in European countries with respect to individual segments of financial markets underwent significant changes during their collapse and recovery. This paper presents the characteristics and trends in household debt and assets for the years 2005-2012 in Poland and selected European countries. The analysis was carried out mainly on the basis of the ESA data (European System of Accounts..., 1996). The empirical analysis presented in this paper aims to support the thesis that in Poland, like in other European countries, changes in the level and structure of household debt had influence on the course of the crisis, although they were not its primary source, and that the financial crisis undoubtedly influenced the direction of these changes.The structure of the paper is the following. The first section is a brief description of the financial crisis in Poland, Spain, Greece, Ireland, Germany and Lithuania - its origins, phases and effects on the financial markets. It also includes remarks on the whole economy. The second section presents the characteristics of the ESA, especially the financial account as a source of data (mainly Eurostat Database) used for comparative empirical analysis of changes of financial instruments for the selected countries presented in the third section. The assets and liabilities of households divided into the basic instruments of the financial market in the selected countries are analysed. The choice of the countries listed above was dictated by the specific course of the crisis, its determinants and effects in these countries. In section four, the financing of households' wealth with saving and acquisition of liabilities in specified instruments of financial market is widely analysed. Some comments concern the USA as well. This analysis is carried out on the basis of a simple measure, which is the relation of liabilities (by types of household debt, mainly long-term loans) to assets compared with the relation of savings to the wealth of households. A brief summary contains conclusions with reference to the assumed thesis.1. Financial crisis - main data characteristicsThe globalization of the world economy substantially strengthened the linkages among countries. There is not only the increase in the role of trade links, direct investment and the flow of human capital, but the most important was the increase in capital flows and financial markets relations between countries. …

Gender‐specific Human Capital, Openness and Growth: Exploring the Linkages for South Asia

AbstractUsing data covering 1970–2008 for South Asia, this study investigates the influence of human capital disaggregated by gender, on economic growth. We use an extended version of the Solow growth model with per capita gross domestic product (GDP) a function of the key variables, viz. physical capital accumulation, human capital accumulation, trade openness and capital flows, fiscal policy and financial development. The key contribution of this study is to show that openness when interacted with the human capital stock disaggregated by gender, has differential impacts on economic growth. While the positive impact of male secondary schooling captures the direct skill effect relative to primary schooling, the marginal influence of female primary/secondary schooling fails to show a positive impact on growth at higher levels of openness. An implication stemming from this study is that educational opportunities for females at the secondary level should be increased for South Asia.

"Managing Stock and Flow of Human Capital: Inflow, Outflow, and Stock Stability"

We advance the collective turnover literature by investigating the effects of human capital outflow, inflow, and the stock stability on organizational performance. Building on the human capital stock and flow model, we theorize that negative effects of human capital outflow—measured as voluntary turnover rates—are influenced differently by the types of human capital inflow— measured as inexperience and experienced hires. In addition, we also investigate how human capital stock stability— measured as employment variability—influences the human capital outflow and organizational performance relationship. Using balanced panel data from six years of biennial surveys of 310 Korean firms merged with archival data, we show that the turnover rates and organizational performance relationship is weakened when a firm hires inexperienced workers at high rates, but not when it hires experienced workers at high rates. In addition, the turnover-performance relationship was weakened when employment variability was high. We discuss the implications for future turnover, staffing, and human resource management research and practice.

Globalization Trends and Regional Development – Dynamics of FDI and Human Capital Flows

This is a post-peer-review, pre-copyedit version of an article published in [European Journal of Development Research]. The definitive publisher-authenticated version [European Journal of Development Research 26, 160-161 (January 2014)] is available online at: http://www.palgravejournals.com/ejdr/journal/v26/n1/full/ejdr201354a.html

Institutions and economic growth in Sub-Saharan Africa: a panel data analysis

Over the last three decades or so, there has been a considerable debate on factors that explaining economic growth in Sub-Saharan African (SSA) countries. The conventional determinants of economic growth, such as, economic policies, investment in human capital and foreign flow of private capital have been received a great attention in the literature. Nevertheless, the role of institutions in stimulating growth still has not been adequately studied. This study, therefore, aims at investigating the relationship between institutional quality and economic growth in 20 SSA countries over the period 1985–2007. The empirical results show that the institutional quality, in terms of low corruption, rule of law and efficient bureaucratic has positive impact on economic growth in SSA countries. Moreover, the study revealed that the institutional quality in British colonies has a significant impact on growth, while in the case of French colonies the impact is found to be insignificant.

Foreign Direct Investment: Is There Room for Human Capital Spillovers?

Many developing countries are financially constrained and therefore have to rely on international capital flows to finance economic activity. Empirical evidence shows that Foreign Direct Investment (FDI) as a percentage of total capital flows is higher for less developed countries compared to more developed countries. This paper uses a dynamic contracting model with human capital to explain why less developed countries receive a greater percentage of capital flows as FDI. I analytically show that countries that are financially constrained have a higher share of FDI in total capital flows, and that the share of FDI in total capital flows is increasing in human capital flows. In addition, the positive association between the share of FDI in total capital flows and human capital flows is decreasing in the degree of financial constraints. I construct a measure of intangible assets of FDI and find empirical support for the analytical results.

The Human Supply Chain: Mapping and Modeling the Flow of Human Capital for Navy ‘Seabees’

We propose that managing the flow of people through an organization shares many of the same characteristics and challenges as managing the flow of materials through a traditional supply chain, and that supply chain management principles and practices can be fruitfully applied to talent management. In particular, we focus on the application of value stream mapping to aid organizations in understanding their people-related processes and identifying opportunities for improvement, and on the use of simulation modeling to help organizations evaluate and make decisions about improving talent flow. We discuss the applicability of supply chain principles to human capital, and then illustrate the applicability of value stream mapping and simulation modeling using a real-world case study of a large, complex organization.