Global Economics Research Articles

Domain generality in metacognitive ability: A confirmatory study across visual perception, episodic memory, and semantic memory.

Metacognition is the ability to monitor and control one's own cognitive processes, with higher order mechanisms assessing the performance of lower level cognitive operations to determine subjective confidence. An open question is whether metacognitive capacity is domain-general, akin to a conductor overseeing various sections of an orchestra, or whether it is inherently coupled with each domain, resembling a collection of specialized musical directors for each instrument group. Previous studies attempting to address this question have suffered from methodological drawbacks, such as a lack of control over cognitive performance and low statistical power. In this confirmatory, preregistered study, we addressed this gap by testing metacognitive ability in visual perceptual, episodic memory, and semantic memory domains using a newly developed adaptive "trivia" task spanning judgments about nutrition and global economics. We found substantive correlations in metacognitive bias and efficiency across domains, even when controlling for cognitive ability, suggesting up to 15%-20% shared variance in metacognition across different modalities. Surprisingly, however, we found the lowest correlation in metacognition between the two semantic memory domains, despite these tasks being matched on performance and surface-level features. Our results broadly support the existence of a metacognitive "g-factor," excluding several important methodological confounds, while also highlighting the importance of further research into interindividual differences in metacognitive priors which may explain the lower correlations between the different semantic memory domains. (PsycInfo Database Record (c) 2025 APA, all rights reserved).

Latin American Equities, Volatility Regimes, and the US Economic Policy Uncertainty

We investigate how the volatility of the iShares Latin America 40 ETF (ILF) responds to key economic and market sentiment indicators associated with economic uncertainty. Specifically, we explore the regime-dependent nature of ILF volatility in relation to Economic Policy Uncertainty (EPU), U.S. Economic Uncertainty (ECU), Global Economic Policy Uncertainty (GEPU), and implied risk, as captured by the Chicago Board Options Exchange's VIX (CBOE VIX), from 2001 to 2023. Our findings highlight that the connection between market volatility and economic/market sentiment is influenced by distinct volatility regimes. Utilizing a two-covariate GARCH-MIDAS (GM) model, a regime-switching Markov Chain (MSR) model, and quantile regressions (QR), we reveal that the impact of sentiment on realized volatility varies depending on the prevailing volatility regime, reflecting investors’ differing responses to market uncertainty. Additionally, our results show a significant linkage between ILF’s short and long-term volatility and economic uncertainty/sentiment indicators, suggesting that these factors shape ILF volatility across different market conditions and quantiles of the volatility distribution. Overall, our findings indicate that investor sentiment and economic uncertainty extend beyond their domestic origins, influencing volatility patterns in U.S., global, and Latin American markets. JEL classification: G12, G14, G38. Keywords: Volatility, GARCH-MIDAS, VIX, Economic policy uncertainty, Global economic policy uncertainty, Quantile regression, Regime switching Markov Chain regression.

Japan and Indonesia Economic Partnership in Food Industries Market

Economic became high foundation in each countries and with Cooperation Agreement can increase GDP (Gross Domestic Product). ASEAN (Association Southeast Asian Nations) as a regional which has potential doing business especially Indonesia with the Implementation of ASEAN Economic Community Blueprint 2025 specifically in Food, Agriculture and Forestry sector for Foreign Investment doing business in Food Industries Market area and Global Economics. Free Trade Agreement (FTA) one of Economic Agreement between two countries for arrange International Trade Cooperation and for encounter of that, Indonesia first time did in work Partnership comprehensive in bilateral Economic International Trade with Japan as a partner between two countries and got a point of Indonesia Japan Economic Partnership Agreement (IJEPA). Indonesia Japan Economic Partnership Agreement (IJEPA) is Economic Agreement between Indonesia and Japan based on the Principle of Economic Partnership Agreement (EPA). This research aims to analyze bilateral cooperation between Japan and Indonesia in Food Industries Market through by companies or multinational enterprises with the concept of John H Dunning (I) Ownership, (II) Location and (III) Internationalization called OLI as International Business Paradigm and Economic Liberalism as International Relations Paradigm with using Qualitative method technical in this writing. Keywords: Implementation ASEAN Economic Community Blueprint 2025, Japan and Indonesia Economic Partnership Agreement, Food Industries Market, John H Dunning Concepts in International Business.

BRICS Expansion and Future Prospects

The BRICS (Brazil, Russia, India, China, South Africa) bloc, representing a coalition of major developing nations, has recently expanded by admitting six new members—Argentina, Egypt, Ethiopia, Iran, Saudi Arabia, and the UAE—effective from January 1, 2024. This expansion transforms the bloc into BRICS Plus (+), reflecting the rising multipolarity in global politics and economics. This paper examines the implications of BRICS Plus for Pakistan, assessing potential economic, geopolitical, and security benefits while addressing challenges such as Indian opposition and Western pressure. The study concludes with policy recommendations for Pakistan to leverage this opportunity by enhancing trade, investment, and diplomatic relations within BRICS.

India in 2024

In 2024, India’s ascent in global politics and economics continued. Narendra Modi’s Bharatiya Janata Party retained its status as the dominant force in India’s politics, reaffirmed by Modi’s election to his third term as prime minister following parliamentary elections. Yet 2024 was also characterized by overreach by Modi’s government and its consequences. These setbacks were tangible but hardly transformational. Modi and his coalition will have a smaller parliamentary majority, which will keep easy constitutional change out of reach. Troubles in India’s domestic periphery, especially Manipur, as well as its near abroad, notably in Bangladesh, complicate Indian national security policy. Turbulence in the US–India relationship has required diplomatic attention, even as it is likely to prove transitory.

A review on collateral management and Risk-Weighted Assets (RWA) strategies: Challenges and solutions for financial institutions

The steady state of global economics demands financial institutions providing investment businesses and insurance firms who control capital flow and enforce risk regulations to align with regulatory requirements. Firms combining asset management methods with RWA optimization achieve two advantages by reaching financial requirements for bank capital yet adhering to banking regulation standards. This paper evaluates the present-day collateral management systems because they serve as essential risk mitigation tools to protect against financial market dangers. The regulatory framework defined by 'Basel III', 'CRD IV' and 'Dodd-Frank Act' establishes rules for both capital composition and collateral procedure regulations. Modern financial management technology receives evaluation because its combination of blockchain authentication systems, automatic portfolio controls, and AI analytical tools makes operations more performative while increasing visibility. Research explores RWA calculation by investigating methods for reducing credit risk and internal ratings as well as securitization approaches. This evaluation examines central obstacles because of liquidity challenges cybersecurity issues, and regulatory complexity through proposing multiple solutions. The research utilizes market information alongside contemporary tools to produce essential understandings about market-based risk structure development along with operational transformations and ability to adapt to market changes.

Examining the Impact of Financial Management on Shareholder Wealth Maximization and Firm Value amidst Global Economic Resilience.

Purpose: This study examines the impact of financial management on shareholder wealth maximization and firm value amidst global economic resilience. Methodology: Using annual reports from selected listed consumer goods sector on Southern African stock exchanges, data were collected over a nine‐year period (2015–2023) and divided into pre‐COVID (2015–2019) and post‐COVID (2020–2023) periods. Employing advanced statistical techniques, including multiple regression analysis, difference-in-differences estimation, Pearson correlation, variance inflation factors, and unit root tests, the study investigates how specific financial management indicators influence strategic financial investment (SFI). Findings: The regression analysis reveals that the equity multiplier, earnings per share, and liquidity management are significant positive predictors of SFI, whereas higher leverage exerts a constraining effect. Furthermore, a marked decline in SFI in the post-COVID period, as evidenced by a significant difference-in-differences estimate and Wilcoxon signed-rank test (Z = –6.75, p < 0.001), underscores the adverse impact of economic uncertainty on corporate investment behaviour. Unique Contribution to Theory, Practice and Policy: These results support theoretical perspectives, such as the pecking order and trade-off theories, which emphasize the importance of internal financing and capital structure optimization in fostering strategic investments. Policy implications include the need for regulatory frameworks that encourage optimal capital structure, improved liquidity standards, and risk management practices to help firms maintain investment capacity during economic stress. The study’s findings contribute to the broader discourse on corporate financial strategy in volatile environments and offer avenues for future research, including investigations into industry-specific dynamics and cross-country comparisons.

REPRESENTATION OF POVERTY IN SOUTH KOREA: A CASE STUDY OF BONG JOON-HO’S PARASITE

<p>South Korea’s transformation into a modern industrial nation and leading global economic power is a remarkable example. Even though the economy is developing rapidly, pockets of poverty still exist, so a practical alleviation approach is needed. This journal article examines South Korea’s economic growth from 2019 to 2024, showing its extraordinary transformation from crisis to one of the most influential global economic forces. Additionally, this analysis includes perspectives from Bong Joon-ho’s film “Parasite,” which visually shows the social and economic disparities in South Korea, encouraging thoughts about capitalism, poverty, and social class. Methodologically, this research examines well-known national and international journals focusing on how the “Parasite” conception influences the South Korean economy in overcoming poverty. This film depicts social differences through scenes, settings, and dialogue. Various perspectives are used in this discussion, including global development economics and neoclassical growth theory. The recommendations emphasize that vocational skills development, equitable access to education and health services, and sustainable policy implementation in collaboration with the private sector are all important. Ultimately, this article reveals the message of the film Parasite, which illustrates how difficult it is to deal with poverty in South Korea. It also suggests a broad strategy that combines global development economics with local policies tailored to people’s needs.</p>

Examining the Impact of Financial Management on Shareholder Wealth Maximization and Firm Value amidst Global Economic Resilience.

Purpose: This study examines the impact of financial management on shareholder wealth maximization and firm value amidst global economic resilience. Methodology: Using annual reports from selected listed consumer goods sector on Southern African stock exchanges, data were collected over a nine‐year period (2015–2023) and divided into pre‐COVID (2015–2019) and post‐COVID (2020–2023) periods. Employing advanced statistical techniques, including multiple regression analysis, difference-in-differences estimation, Pearson correlation, variance inflation factors, and unit root tests, the study investigates how specific financial management indicators influence strategic financial investment (SFI). Findings: The regression analysis reveals that the equity multiplier, earnings per share, and liquidity management are significant positive predictors of SFI, whereas higher leverage exerts a constraining effect. Furthermore, a marked decline in SFI in the post-COVID period, as evidenced by a significant difference-in-differences estimate and Wilcoxon signed-rank test (Z = –6.75, p < 0.001), underscores the adverse impact of economic uncertainty on corporate investment behaviour. Unique Contribution to Theory, Practice and Policy: These results support theoretical perspectives, such as the pecking order and trade-off theories, which emphasize the importance of internal financing and capital structure optimization in fostering strategic investments. Policy implications include the need for regulatory frameworks that encourage optimal capital structure, improved liquidity standards, and risk management practices to help firms maintain investment capacity during economic stress. The study’s findings contribute to the broader discourse on corporate financial strategy in volatile environments and offer avenues for future research, including investigations into industry-specific dynamics and cross-country comparisons.

Soil resource acquisition strategy modulates global plant nutrient and water economics.

Natural selection favors growth by selecting a combination of plant traits that maximize photosynthetic CO2 assimilation at the lowest combined carbon costs of resource acquisition and use. We quantified how soil nutrient availability, plant nutrient acquisition strategies, and aridity modulate the variability in plant costs of nutrient acquisition relative to water acquisition (β). We used an eco-evolutionary optimality framework and a global carbon isotope dataset to quantify β. Under low soil nitrogen-to-carbon (N : C) ratios, a mining strategy (symbioses with ectomycorrhizal and ericoid mycorrhizal fungi) reduced β by mining organic nitrogen, compared with a scavenging strategy (symbioses with arbuscular mycorrhizal fungi). Conversely, under high N : C ratios, scavenging strategies reduced β by effectively scavenging soluble nitrogen, compared with mining strategies. N2-fixing plants did not exhibit reduced β under low N : C ratios compared with non-N2-fixing plants. Moisture increased β only in plants using a scavenging strategy, reflecting direct impacts of aridity on the carbon costs of maintaining transpiration in these plants. Nitrogen and phosphorus colimitation further modulated β. Our findings provide a framework for simulating the variability of plant economics due to plant nutrient acquisition strategies in earth system models.

The Impact of Artificial Intelligence (AI) Implementation on Islamic Financial Literacy and Global Economic Changes in the Banking World

Currently, the banking sector is facing a transformation towards the digital era in response to the development of fintech and the digital technology revolution. This transformation has brought banks into the era of digital banking services that aim to spread financial inclusion and provide access to the community without time and place constraints. Advances in information and communication technology have brought changes to various industries, including the Islamic finance sector. The development of artificial intelligence (AI) is crucial in the digitalization of Islamic money and offers opportunities to increase efficiency, personalize services, and reduce risks. This study aims to analyze the impact of AI implementation on financial literacy and global economic changes in the banking world by emphasizing effectiveness, efficiency, and compliance with Sharia principles. The research method used is qualitative literature research. Data comes from various sources, including relevant research papers, journals, and books. The findings of this study indicate that the application of AI in Islamic finance can improve operational efficiency, make financial services more accessible, and enable data analysis in a way that facilitates the development of strategic plans. However, the most important thing is to ensure that AI development complies with Sharia principles, including identifying riba, gharar, and non-halal transactions. The findings of this study highlight the importance of clear regulations to support the use of AI in Islamic finance, even if it is based on Islamic law. Through careful and innovative thinking, AI can serve as a strategic tool to enhance the Islamic banking sector in Indonesia, promote financial inclusion, and foster the country's economic growth.

Transcendence and Reshaping: The Concept, Mechanism and Realization Path of “One Belt, One Road” to Promote the Change of Global Economic Governance System

Since the end of 2019 the new crown pneumonia epidemic has brought a profound impact on the world economy, the world economy has seen a large-scale contraction, economic and trade relations between major countries have faced great challenges, and economic forms such as trade protectionism and anti-globalization have been rapidly pursued, the new crown pneumonia epidemic has also led to the disruption of the global supply chain, and the industrial production of many countries has been seriously impacted, and the global political and economic landscape has undergone significant The global political and economic landscape has undergone significant changes, and global economic governance is facing numerous dilemmas, posing unprecedented challenges to the global economy. The shortcomings of the global economic governance mechanism dominated by developed countries have been highlighted, and the global governance mechanism dominated by developed countries is facing problems such as structural changes in the dominant forces, contradictions and conflicts between different forces, the evolution of the global governance system failing to keep pace with the development of globalization, the lack of opportunities for participation by disadvantaged groups and regions, and the diminishing dominant position of developed countries and other relevant countries in global governance. The Belt and Road Initiative advocated by China, based on its comprehensive national strength and the responsibility of a great power, advocates the building of a community of human destiny, adheres to the stance of multilateralism, upholds the concept of win-win cooperation and development, and focuses on the need to respond to global challenges and to promote changes in the global economic governance system. Based on a new type of development, multilateralism and economic globalization, China has participated in the transformation of the global economic governance system by strengthening global cooperation to prevent global economic risks, building a governance concept of a community of human destiny, formulating more balanced economic policies and rules, and realizing governance innovations in digital governance, so as to promote the improvement of the global economic governance environment conducive to the double cycle of mutual reinforcement. The Belt and Road Initiative advocated by China is a product of the changes in the world economy and the evolution of the international landscape, and its purpose is to conduct business on the basis of access to roads and navigation, to find a new impetus for the growth of the world economy, to respond to the deepening of economic globalization, and to realize the transcendence and reshaping of the pattern of global economic governance.

Technology Level Exports, Global Economic Policy Uncertainty, and the Role of Government: A Panel Svar Analysis

Technology Level Exports, Global Economic Policy Uncertainty, and the Role of Government: A Panel Svar Analysis

Assessing US and Global Economic Policy Uncertainty Effects on Non‐Performing Loans in MENA's Islamic and Conventional Banks

ABSTRACTBanks within the MENA regions serve as pivotal agents in fostering economic growth through extensive lending to businesses, individuals and corporations, thereby amplifying employment within the banking sector. A pressing concern affecting these banks is the proliferation of NPLs, which not only diminishes net earnings but also escalates credit risks. This study examined the impact of US monetary certainty and global economic policy uncertainty on NPLs within MENA, involving both conventional and Islamic banks. The study selected 92 banks from 13 countries across the MENA region, spanning an 18‐year dataset from 2005 to 2022, comprising 50 conventional and 42 Islamic institutions. Utilising GMM estimation to surmount endogeneity and auto‐serial correlation. The study discerned that US monetary policy uncertainty exerted a significant negative influence on NPLs across MENA, encompassing both conventional and Islamic banks. Moreover, the research highlighted a positive and significant relationship between global economic policy uncertainty, bank size and capital adequacy ratio with NPLs in MENA banks. These findings provide comprehensive insights for banks in the MENA region, informing their loan‐granting strategies amidst uncertainty, ultimately mitigating the incidence of NPLs.

Islamic Stock Market Efficiency: Volatility and Performance Analysis Amid Global Economic Uncertainty

The efficiency of the Islamic stock market is pivotal amid global economic uncertainties, serving as a resilient alternative to conventional markets through adherence to sharia principles. This study aims to analyze the efficiency, volatility, and performance of the Indonesian Islamic stock market (Jakarta Islamic Index/JII) over a five-year period (2019–2024), reflecting global economic challenges. Using a quantitative approach, this research employs volatility and performance analysis models with data drawn from financial reports and macroeconomic indicators. Findings reveal that while the Islamic stock market in Indonesia experiences increased volatility during economic crises, it demonstrates superior stability and competitive returns compared to conventional markets. These results underscore the role of sharia principles in mitigating speculative risks and enhancing market resilience. Implications of this study suggest that policymakers, investors, and regulators can leverage the insights to develop strategies for risk management and investment optimization within the Islamic capital market ecosystem. Enhanced financial literacy and technological innovations are recommended to bolster transparency and efficiency, ensuring sustainability in the global economic landscape.

Why do labor regimes change? Worker power, the supplier squeeze, and structural transformation in the global apparel industry

Abstract Debates on labor regimes situate worker outcomes at the intersection of globalized production and specific social formations, but they do not specify how and why labor regimes change over time. This article presents a new approach to explaining how labor regimes change in the global apparel industry, the labor-led profit squeeze approach, combining insights from global production networks (GPN), development economics and labor studies. This approach argues that workers’ bargaining power is largely conditional upon processes of structural transformation. The article demonstrates this conceptual approach through a comparative analysis of the apparel export industries in Madagascar, Cambodia, and Vietnam.

The Global Economics of Acupuncture and Traditional Chinese Medicine—A Strategic and Financial Perspective

Acupuncture is an important practice within Traditional Chinese Medicine (TCM) and has been used for over thousands of years as a therapeutic technique based on the concept of Qi [...]

The Impact of Climate Change on Global Economic Stability: Developing Economic Policies to Manage Climate Risks

The Impact of Climate Change on Global Economic Stability: Developing Economic Policies to Manage Climate Risks

<span>An Emerging Economy Consumer View of Global Economic Rivals: Paraguay, China, and the United States of America</span>

<span>An Emerging Economy Consumer View of Global Economic Rivals: Paraguay, China, and the United States of America</span>

THE CAUSAL RELATIONSHIP BETWEEN GLOBAL ECONOMIC POLICY UNCERTAINTY (GEPU) AND STOCK MARKETS: EVIDENCE FROM MIKTA COUNTRIES

<p>The purpose of this study is to investigate the causality relationship among the GEPU (Global Economic Political Uncertainty) index and the stock market index of the MIKTA countries. Accordingly, Hatemi-J (2012) asymmetric causality test was applied to investigate the existence of a relationship between the stock markets of the MIKTA countries and the GEPU index. In the study using monthly data, the period between 1999 and 2022, which is the widest data range for all variables, was taken into consideration. First of all, Lee-Strazicich unit root test was used to test the stationarity of the variables and it was observed that the variables were stationary at different levels. Then, the GEPU index is taken as the dependent variable and models are constructed as paired tests for each MIKTA country stock market. (Walmex) for Mexico, (Jakarta45) for Indonesia, (Kospi200) for South Korea, (BIST100) for Türkiye, and (ASX) for Australia are taken as the representative indices of MIKTA country stock markets. The results of the study show that there is a statistically significant causality effect of the GEPU index on stock markets. In general, a negative change in the GEPU index is found to be more dominant on stock markets compared to a positive change. On a country basis, it is found that an increase in the GEPU index causes a decrease in the Mexican, South Korean and Turkish stock markets. In addition, the lack of causality effect in the Australian stock market is interpreted as the fact that this stock market moves more independently from this index.</p>