Government Balance Research Articles

Protecting Minority Investors: Issues and Development Prospects under Russian Law

The article considers the protection of minority investors rights in joint-stock companies and limited liability companies under Russian law. Reflecting on the legislation and caselaw, the author states that a minority investor has a sufficient level to safeguard their rights. The author states a high level of guarantees for minority shareholders, however, concludes that the use of judicial remedies in some cases imposes an additional burden of proof on minority shareholders, namely when challenging general meeting resolution or increasing authorized capital of LLC. Plus, within the current regulation the most effective tools are mainly preventive (ex-ante) related to a balance of corporate governance embracing the minority investors interests through the charter and corporate agreement.

Public-Private Partnerships in the Healthcare Sector and Sustainability: Managerial Insights from a Systematic Literature Review

This article aims to critically understand the current state of the art of Public-Private Partnerships (PPPs) in the health sector and to highlight implications useful for implementing sustainability-oriented PPPs. By employing text mining to analyze the sampled articles, we identify the main themes distinguishing healthcare PPPs and sustainability. We critically discuss the narrative underlying the results achieved in terms of emerging topics: governance, managerial tools, barriers, advantages/disadvantages, and big data. Finally, we propose a literature-driven framework on PPP management that identifies implications – systemic approach, technical managerial skills, governance balance, operational instruments – that can facilitate the development of sustainability-oriented PPPs in the healthcare sector.

Research and analysis of urban-rural residential carbon emissions in China

Residential carbon emissions are an important component of anthropogenic carbon emissions. a significant increase in residential carbon emissions has become a reality under the global urbanization process. In this context, this paper built a feature combination value model based on NPP-VIIRS nighttime light remote sensing data, and divided urban-rural areas through breakpoint analysis method and reference comparison method. Then, explored the characteristics and differences of residential carbon emissions and per capita residential carbon emissions in nine different levels of cities in 2019 from the perspective of urban-rural areas. The results indicate that the residential carbon emissions and per capita residential carbon emissions shows the spatial distribution characteristics of first tier cities>second tier cities>third tier cities. Among them, the residential carbon emissions in Beijing, Guangzhou, Nanjing, Taiyuan show a distribution pattern of urban>urban-rural fringe>rural. The residential carbon emissions in Shijiazhuang, Wuxi, Xiangyang, Zunyi, Huai’an show a distribution pattern of rural>urban-rural fringe>urban. The per capita residential carbon emissions of urban areas are relatively low, while the per capita residential carbon emissions of rural areas are relatively high, show a distribution pattern of rural>urban-rural fringe >urban. The results can help the Chinese government balance the needs of urban-rural development in different levels of cities, so as to formulate targeted carbon emission reduction policies and achieve low-carbon goals.

Role preferences for ethnic autonomous region government in emergency management in China

China's ethnic autonomous regions, inhabited by diverse ethnic groups and located near national borders or at provincial intersections, confront complex natural, relatively underdeveloped economic, and ethnic harmony challenges. Governments balance central government-assigned tasks and ethnic harmony, showing varied responses: some prioritize stability, others focus on management, and some are indifferent to local emergencies. Given this phenomenon, why do governments in these regions vary in their responses to emergencies? This research, based on government role theory, examines how role preferences influence government behavior in emergency management, identifying two key roles: economic man and social man, and establishes a four-quadrant role analysis framework: : local guardian, political competitor, moral paragon, and indifferent bystander. Grounded theory explains these roles and evaluation indicators, with evaluations from 44 scholars gathered via questionnaire, and the indicator weights determined using the Analytic Hierarchy Process. The weight matrix then calculates economic man (X) and social man (Y) values for 272 cases based on expert scores. The research results reveal that (1) these governments exhibit an overall role preference of “local guardian > political competitor > indifferent bystander > moral paragon” in emergency management. (2) This ranking also reflects their preference for the economic man role. (3) Factors contributing to this ranking include cultural differences, administrative contracting, and performance tournaments within the Chinese system and administrative ethics. These findings provide theoretical insights into emergency management role preferences in multi-ethnic, multi-racial, and even multicultural regions, ultimately aiming to enhance local government emergency management efficiency, optimize policy formulation, and ensure community resilience.

Urgensi Persetujuan Dewan Perwakilan Rakyat dalam Pengangkatan Jabatan Publik

Every country and every government, whatever its form and system of government, is required to design and implement policies that are appropriate to the socio-economic conditions of its people and are effective in directing the policies that must be implemented by government organs and government bureaucracy. decisions made by someone who has authority in government, both formal and informal. The approval of the House of Representatives (DPR) for appointments to public positions that are not regulated in the 1945 Constitution of the Republic of Indonesia is an important mechanism in the Indonesian constitutional system. Although the 1945 NRI Constitution does not regulate in detail all public positions, several derivative laws give the DPR the authority to approve the appointment of certain officials. This process is important to ensure checks and balances in government, prevent abuse of power by the executive, and increase accountability and transparency. Through an open fit and proper test, Constitutional Court Decision Number 16/PUU-XII/2014, I Request for re-examination regarding paragraphs (2) to (8) Article 30 of the Corruption Eradication Commission Law, Law concerning DPR Involvement in Recruitment Corruption Activities candidate for member of the Corruption Eradication Commission. Participating in filling public positions by the DPR is regulated by the 1945 Constitution of the Republic of Indonesia (1945 Constitution) and so on. The 1945 Constitution with its broad authority has its own objectives. This study seeks to understand how constitutional DPR protocols can assess the competence and integrity of candidates for public office, so that elected officials are able to carry out their duties well and receive legitimacy from the people. Thus, the DPR's involvement in this process strengthens democratic principles and improves the quality of government in Indonesia.

Navigating the innovation policy dilemma: How subnational governments balance expenditure competition pressures and long-term innovation goals

In the pursuit of economic growth, the role of innovation has become increasingly important, posing dilemmas for subnational governments as they navigate the balance between expenditure competition and long-term investments in innovation. This study aimed to investigate the intricate relationship between fiscal pressures and the pursuit of innovation goals faced by regional authorities. To achieve this, a systematic literature review was conducted, synthesizing more than 150 studies published within the past 15 years. Keyword searches were conducted across multiple databases, and additional scholarly articles were incorporated through citation tracking. Rigorous qualitative analysis techniques, including inductive coding and thematic analysis, were employed to distill conceptual insights from the literature. The analysis performed in this review reveals extensive discussions regarding the influence of competition on innovation outcomes, encompassing a wide range of perspectives. The potential advantages of localization are emphasized by some viewpoints, while others caution against the risks of inadequate investment. The effective coordination of policies across multiple levels of governance to maximize synergies between national and subnational innovation systems emerges as a complex yet crucial challenge. It is observed that collaborative networks, which facilitate knowledge exchange through industrial clustering and public-private linkages, play a significant role in leveraging regional innovation assets. Strategic approaches that successfully balance competition with long-term capacity development have been demonstrated by leading jurisdictions. These findings highlight the significance of tailored policy frameworks that account for the unique contexts of each region, providing opportunities to harness competitive motivations while sustaining investments in innovation. Ongoing coordination is essential to strike a balance between responsiveness and coherence across diverse territories. This study offers practical guidance and academic insights on strategies to align decentralized imperatives, aiming to optimize prosperity through knowledge creation within evolving multi-level innovation systems. By shedding light on these strategies, the research contributes to both practical and academic understandings of how to effectively navigate and capitalize on the dynamics of such systems.

Do debt relief and fiscal rules improve public debt sustainability? The experience of sub-Sahara African countries

The sub-Sahara African (SSA) region accounts for 33 of the 39 Highly Indebted Poor Countries (HIPCs) with many of these countries facing challenges in public debt management. This paper examines issues that are key to improving the debt situation in the region. Specifically, the study investigates two key questions namely whether the adoption of fiscal rules and debt relief improve public debt sustainability. What factors reduce the public debt of SSA countries? Interestingly, the findings reveal that while debt relief improves debt sustainability, the imposition of fiscal rules threatens the debt sustainability of the region. Further, higher economic growth and increasing government balance are instrumental to reducing public debt. These findings have far-reaching policy implications for public debt management in developing countries.

Balancing act: How do local governments use social media in crises?

Governments can benefit from social media usage in crisis management, but the amplified public scrutiny facilitated by social media may also impede crisis management and damage reputations. How governments balance such benefits and risks when using social media for crisis communication remains an open question. With a data set of epidemic statistics and social media posts of local governments across China during the first wave of COVID-19, we quantitatively investigate how the local crisis situations and coping resources influenced government usage of social media. Our analysis reveals that the first confirmed case in a city leads to a significant increase in government social media use. This effect is stronger in cities with more medical resources. In addition, the number of cumulative cases has an inverted U-shaped influence on government social media use. These findings suggest that governments value the importance of social media for crisis handling and reputation protection, adapting their communication strategies based on the crisis severity and their own capacities.

Fiscal sustainability, fiscal reactions, pitfalls and determinants

ABSTRACT We examine the sustainability of public finances and its determinants for 19 Eurozone countries from 1995 to 2020. We conclude for the existence of panel cointegration between government revenues and expenditures; primary government balance and lagged public debt-to-GDP ratio; and public debt-to-GDP ratio and lagged primary government balance. The estimated fiscal reaction functions suggest the existence of a Ricardian fiscal regime, although there is also evidence of a non-Ricardian fiscal behaviour. Finally, modelling via time-varying coefficients, we find that fiscal sustainability increases with the output gap, fiscal rules indices and current account balances. Inflation and sovereign ratings assigned by the main rating agencies produce mixed results.

Evolution of the revenue/ expenditure structure and passenger cost coverage ratio of regular passenger transport between 2007 and 2022

This article presents a general methodology for aggregating the actual costs and revenues of public transport in Hungary, which allows to calculate a realistic passenger (user) cost coverage ratio for the main players in the domestic market (MÁV-Volán Group, GYSEV, BKK). After an international perspective and a presentation of the specificities of the domestic market, it is concluded that the cost coverage ratio for fixed rail transport is significantly lower than for public transport services on road. The main reason for this is that fixed rail infrastructure is expensive to develop and operate and is mainly used by public passenger transport. The ridership ratio is significantly reduced by significant investments, and this has been analysed both on a time series and average basis. We present the timetable, tariff changes and major investments that have had an impact on ridership rates, typically only to a small extent. Our analysis is financially oriented and only touches on positive externalities, social benefits and the general government balance

Debt Stabilisation and Dynamic Interaction Between Monetary Authority and National Fiscal Authorities

AbstractThe main aim of the present research is to consider a monetary union’s economy consisting of N countries, N fiscal authorities (one for each country) and a single monetary authority. The fiscal authorities want to stabilise output and public debt through the primary government balance, and they can exhibit heterogeneous preferences about the trade-off between output and debt stability. Unlike these, the monetary authority has the aim of price and output stability. They play a non-cooperative policy game, in which they independently and simultaneously choose monetary and fiscal instruments to pursue their goals. In a dynamic setting, each authority must choose its policy instrument prevailing in the next period without knowing—at the end of each period—the choice of other authorities. By assuming static expectations, the present work shows the possibility of several dynamic outcomes. First, there exists one Nash equilibrium representing the optimal level for the macro economy; this equilibrium is stable if the average weight that fiscal authorities assign to output stability is not excessively high; therefore, this result holds even if some authorities are less willing to promote debt stabilisation. Second, in addition to this equilibrium, there exist other Nash equilibria representing steady-state values for macroeconomic variables that differ from the targets adopted by the authorities; these equilibria emerge and are stable if the authorities’ preference for output stability is even greater and with a higher degree of heterogeneity compared to the previous case. Third, the parameters of the model matter to determine the stability properties of the equilibria, and the analysis shows the possibility of nonlinear dynamics.

Determinants of the degree of fiscal sustainability

AbstractWe assess the link between fiscal sustainability coefficients, namely the responses of the primary government balance and the global government balance to the debt‐to‐GDP ratio, and the response of government revenues to government expenditures. For 22 OECD developed countries we use annual data between 1950 and 2019. Other determinants of fiscal responses are also studied in the context of quantile regressions. We find that the output gap contributes to increasing fiscal sustainability by positively influencing the responsiveness of the primary and global government balances; and the responses of the primary and global government balances to the debt ratio and the response of government revenues to government expenditures depend on the level of the debt ratio. In addition, from the quantile analysis, the influence of the response of government revenues to government expenditures is negative and increasing over the deciles, confirming the existence of a negative cross‐relationship between the fiscal sustainability coefficients.

Decision Making and Execution: The Practice and Analysis of Technological Governance

At present, technical governance mainly refers to the governance form in which advanced technologies represented by artificial intelligence are incorporated into the governance process. In the decision-making stage, technical governance can not only enhance the wide representation of government policies, but also calm the passion of equalitarianism through technological control. In the policy execution stage, technical governance can realize extensive and accurate real-time monitoring of policy objects to ensure the realization of the original intention of the policy, but it invades the field of public privacy to an unprecedented extent. The increasing freedom right of the public in modern society makes the social structure more and more complicated and evolves towards a risk society. The balance of technical governance on the public freedom right in policy practice is the necessity of social development. However, the government and its officials should try their best to keep an open mind when applying technical governance means to decision-making; In the policy execution stage, they should maintain a modest attitude. First, we should adhere to the principle of limited monitoring, and second, we should adhere to the principle that the monitored information and data of the public will not be contacted by any other natural person when there is no misconduct.

Research on the trade-in modes for electric vehicle power batteries under deposit and fund policies

Abstract Recycling power batteries has gained attention as electric vehicles (EVs) develop rapidly. Government deposit and fund policies encourage battery recycling and cascade utilization. Thus, we construct six trade-in modes for battery supplier, EV manufacturer, and external recycler as recycle entity under deposit and fund policies. Supply chain member profits, battery recycling rate, environmental impact, and social welfare are compared between modes. The results are as follows: (1) Deposit policy has a greater battery recycling rate and lower environmental impact than fund policy, so the best trade-in mode is with the EV manufacturer as recycling entity; (2) Battery supplier and EV manufacturer gain more from the fund policy when recycling themselves, whereas external recycler prefers the deposit policy; (3) Battery supplier recycling under ‘high deposit-high subsidy’ is more likely to promote social welfare, while EV manufacturer recycling under ‘high deposit-low subsidy’ will help the government balance revenue and expenditure.

Fiscal Balance Factors of the Local Government: Panel Data Evidence from OECD Countries

Fiscal balance is perceived as a principal measure of fiscal sustainability in the local government. It also affects the budgetary response to a potential recession, determining a fiscal distress and a financial resilience. Thus, the economists conduct studies to identify factors influencing the fiscal balance at the local public level. Therefore, the aim of the paper is to examine fiscal, socio-economic, political, and institutional factors which affect the level of fiscal balance of the local government sector in Gross Domestic Product (GDP) on the basis of the OECD countries in the period 2007–2021. In the study both panel data models with fixed effects (FE) and random effects (RE), dynamic panel data models (GMM), as well as panel quantile regressions with fixed effects were estimated. As a result, the paper confirms that fiscal balance of the local government in GDP is affected by fiscal decentralisation on the expenditure side, an investment activity, a change in the debt ratio, an inflation, a change in the unemployment rate, the Human Development Index, the trade openness, the GDP growth, and local elections. What was also found was a statistically significant influence of the corruption in the case of the panel quantile regression with fixed effects. In addition, the Mann-Whitney U test, the Kruskal-Wallis test, and the Dunn test were applied to identify whether the level of fiscal balance of the local government sector in GDP had the same distribution in Central and Eastern European (CEE) countries and other OECD countries.

Fiscal and current account imbalances: The cases of Germany and Portugal

AbstractWe investigate the bilateral relationship between government budget balances and current account balances for Germany and Portugal. We find that the response of the current account balance to the budget balance is greater in Portugal than in Germany. On the other hand, the response of the budget balance to the current balance is higher in Germany than in Portugal. In Germany and Portugal, a fiscal rules index has a negative impact on the current account balance and the government effectiveness index has a positive impact on the government balance. The public debt‐to‐GDP ratio positively affects the current account balance in Portugal while the output gap has a negative influence, and that is not the case in Germany. During the period of implementation of the external assistance programme in Portugal, the current account balance improved, while the government balance did not. Finally, Germany's output gap positively influences Portugal's fiscal position.

Hello from the Other Side: Both Government Liabilities and Assets Matter for Sovereign Risk

AbstractWe provide evidence that for advanced economies' sovereign bond markets in recent decades, both sides of the government balance sheet matter: for explaining government borrowing cost empirically, (i) government assets are significant in addition to government liabilities, and (ii) it is government net worth (total financial and non‐financial assets less liabilities) rather than government liabilities that matters when both are included. The central country‐specific fiscal factor driving sovereign bond yields thus appears to be government net worth. The focus of policy and academic debates though has tended to be narrowly on government debt, even as government net worth has declined substantially in many OECD countries in recent decades.

Unhedged risk in hybrid energy markets: Optimising the revenue mix of Australian solar

Australia is facing a historic investment challenge, with an estimated $1.2 to $1.5 trillion in newly invested capital required by 2030 in order to meet 2050 decarbonisation targets. In response policy makers have begun “re-entering” energy markets, which were deregulated and privatised in the 1990’s. Public auctions for State-backed ‘Contracts-for-Differences’ (CfDs) now act as a key policy tool to “prime” energy markets for new variable renewable energy (VRE) capacity. In a phenomenon recently coined “market hybridisation”, market participants form long-term investment decisions that are increasingly disconnected from short-run spot pricing dynamics and day-to-day operations. Historically, it has been common practice to underpin VRE projects with some form of power purchase agreement (PPA). However, increasing investor appetites for “semi-merchant” projects (i.e. projects partially exposed to spot prices) has become an emerging trend. This article examines the semi-merchant phenomenon, aiming to explain why the investment model is becoming popular for investors in VRE. Of particular interest are the foregone advantages attributable to highly contracted plant when securing bankable project finance. Results reveal that a revenue mix comprising 70%–80% PPA coverage and 20%–30% merchant exposure appears viable and tractable for investors in utility scale solar — whilst maintaining a typical project finance capital structure of c.60%–70% gearing. By implication, policymakers targeting 4000MW of new solar capacity via CfD auction may need only offer ∼3000MW of contracted capacity, thereby reducing taxpayer exposures and protecting scarce government balance sheet resources.

Is fiscal deficit ‘curse’ or ‘haven’ for environmental quality in India? Empirical investigation employing battery of distinct ARDL approaches

Undoubtedly, throughout the past half-century, environmental quality has emerged as a significant obstacle to both economic and social endeavors. Recent local and international policy debates have focused on environmental deterioration and global warming, but how governments balance economic growth and environmental sustainability is still enigmatic. For this reason, we have examined the determinants of environmental quality in India from 1972 to 2021. More specifically, we have investigated whether the fiscal deficit is ‘curse’ or ‘haven’ for environmental quality (CO2) in India. Moreover, this study deliberated four other predictors, comprising technological development (TIN), fossil fuel consumption (FFC), urbanization (Ub), and human capital index (HCI). In order to attain this objective, a range of econometric estimation techniques are employed to ensure the validity and reliability of the outcomes. For instance, we have employed a battery of ARDL approaches, such as standard ARDL, nonlinear ARDL, and multiple threshold NARDL approaches. In light of our research findings, we will be focusing directly on the examination of the NARDL and MTNARDL outcomes. This is due to the empirical evidence indicating the existence of asymmetric effects resulting from FD on CO2 emissions in India. The NARDL approach reveals that the consequence of fiscal deterioration is more pronounced, and the influence of fiscal progress is mild in terms of CO2 emission growth. Further, the outcomes of the MTNARDL approach revealed that the size of the extremely low changes in FD is much higher than the extremely high changes in FD in both models. This implies that as the FD rises, CO2 ascends more significantly, and when the FD lowers, CO2 declines progressively. In a nutshell, FD has a long-run positive and asymmetric impact on CO2 in India; thus, we may conclude that FD is considered the ‘curse’ for CO2 in India. Furthermore, TIN, HCI, and Ub have detrimental effects on CO2, whereas FFC stimulates CO2 in India. This research work provides some important policy implications for environmentalists, economists and macroeconomic policymakers to promote a green and healthy environment.

Urgensi Checks and Balances Dalam Pemerintahan Daerah

This study aims to analyze the weaknesses of cheks and balances in local government based on the principle of trias politica. The research uses normative legal research methods through legislation and literature approaches. Using primary, secondary and tertiary legal materials then analyzed qualitatively to describe the results of this study. Research results: first, the problem of minimal synergy causes disharmonization between state institutions. This happens due to sectoral egos, for example not accepting or not following up on recommendations from the results of checks and balances. This ego is due to a mistaken view of equality among branches of power. Second, the absence of specific legal substance regarding standard standards for evaluating local government performance has an impact on non-progressive development performance. Third, the existing legal substance has not been able to create the correct checks and balances as described above. For this reason, the formation of legal substance is urgently implemented in order to create a very strict mechanism of checks and balances, with provisions containing material on strict performance appraisal standards and strict and real sanctions that will force these branches of local government power to submit, comply or be sanctioned.