Incentive Arrangement Research Articles

INSENTIF PAJAK PENGHASILAN BAGI UMKM: REFORMASI, KERINGANAN DAN KEPATUHAN

As a response to COVID-19, the Government issued some income tax incentives based on the Minister of Finance Regulation (MoF Regulation) No. 23/PMK.03/2020 concerning Tax Incentives for Taxpayers Who Suffered from COVID-19. There are six tax incentives given by the Government to the Taxpayer, one of them is PPh Final DTP UMKM. In 2021, the Government issued two MoF Regulations which extended the period until December 2021. Through Law Number 7 of 2021 concerning Harmonization of Tax Regulations (UU HPP), the incentive arrangement is adjusted once again. The research topic will focus on the utilization of tax incentives by taxpayers, in particular, the SMEs after the enactment of UU HPP. This research is normative research using regulatory and structural approaches. The research result shows that the reformation of PPh incentives for SMEs through the UU HPP is meant to 1) simplify and make a permanent facility that can be utilized by the SMEs; and 2) improve legal certainty as part of community support. However, this is not enough. The Government shall enact the implementing regulations of UU HPP to improve awareness and compliance of the SMEs to register their businesses and become the registered taxpayer.

Deals and value measuring in interactive health-care services

PurposeThis paper aims to investigate the role of value measuring (VM) as an integrated part of a deal introduced to govern the cross-boundary relationship of state specialist- and primary care providers in the Norwegian health sector.Design/methodology/approachDrawing on a longitudinal ethnographic case study, this study explores the role of payment for dischargeable patients (PDP), an incentive arrangement introduced as a mechanism of value appropriation intended to create stability in the relationship and support improved patient flows between care providers. The fieldwork took place over approximately 18 months, consisting of intensive participant observations, interviews and document studies.FindingsThe VM integrated in the PDP deal between the hospital and municipality, on the surface level, appears simple. The VM, however, rests on a very complex practice of information sharing where accounts on patient status, procedures and activities form the basis of the integrated VM. The deal and its VM, despite its ambitious aims, were not able to fulfill the expectations of a smooth appropriation of value through the management of monetary flows or supporting information sharing for value creation. The VM of the PDP deal aimed at bringing the parties closer together, rather created a distance where money matters became a source of tension.Originality/valueThis study investigates the interconnections of deals and VM in a public sector service context, showing aspects of deals different from that of prior studies into private sector deals.

The GSP+ and Exports of Pakistan to the European Union

The European Union (EU) introduced a scheme known as GSP+ (Generalised Scheme of Preferences Plus) for importing products from developing countries, effective from January 2014, with lowering of tariffs substantially. The GSP+ is termed as a ‘special incentive arrangement for sustainable development and good governance.’ There are currently eight GSP+ beneficiary countries: Armenia, Bolivia, Cape Verde, Kyrgyzstan, Mongolia, Pakistan, the Philippines, and Sri Lanka. This study is focused on the exports of Pakistan, Sri Lanka, and the Philippines to the European Union. In addition, the impact of GSP+ on the trade of Pakistan, Sri Lanka, and Philippines. Descriptive statistics and regression analyses have been performed to identify the impact of GSP+. For regression analyses, data for the period 2008-2019, i.e., six years before the GSP+ (2008-2013) and six years after the GSP+ (2014-2019) has been studied. The result shows that Pakistan is the most beneficiary of the GSP+ as compared to Sri Lanka and the Philippines. It has also been noticed that the exports of Pakistan have shifted from Asia and Africa to the EU in the wake of the GSP+.

USING KPI FOR INCENTIVIZATION

Construction projects are getting bigger and more complex. The services of multi-disciplinary teams of professionals are needed. To complete the projects on time, within budget and of required standards, concerted efforts of all team members are paramount. In Hong Kong, the HKSAR government has been promoting the use of the New Engineering Contract (NEC) for use in public projects on the belief that NEC can foster cooperation among the team members. Furthermore, incentives have been used to galvanize team effort in order to meet the project goals. This study posits to study the use of incentives under the NEC, in particular, how the Key Performance Index (KPI) can be used to monitor the attainment of the goals set under the incentive arrangement. Accordingly, Option X20 of the NEC was selected as the focus of this study. A questionnaire survey was used to collect views of practitioners as to what kinds of KPIs are suitable the operation of Option X20. The results of the survey indicated that cost-and time-related; objective and quantitative KPIs should be used as these are indicative of the achievement of collaboration. It is concluded that when suitable KPIs are selected with realistic and attainable targets, incentivizing effects can be materialized.

ВАРІАЦІЇ ЕФЕКТИВНОСТІ ЗАПРОВАДЖЕННЯ ІНСТРУМЕНТІВ ПОДАТКОВОГО РЕГУЛЮВАННЯ

Formulation of the problem. The current conditions of the socio-economic state of Ukraine make the need for tax regulation more urgent, namely the introduction of various options for tax incentives. However, there is a need to clearly understand the further consequences of the relevant reform and the effectiveness of the implementation of the relevant instruments. The aim of the research is to analyze the existing variations in the effectiveness of the introduction of tax regulation instruments in order to identify the possibility of optimizing the tax regulation and incentive arrangement. The object of research is the process of determining the effectiveness of the introduction of tax regulation tools. The methods used of the research: logical-content method, system approach, monographic method, methods of induction and deduction. The hypothesis of research. The existence of a relationship between the effectiveness of tax regulation by comparing the results of providing tax breaks with budget losses and qualitative characteristics of specific categories of payers. The statement of basic materials. The calculation of the fiscal efficiency of the introduction of tax incentives can be done through the indicators of tax revenues in the budget for the estimated period and for the period preceding the estimated one, as well as the amount of tax benefits provided in the period under assessment. Originality and practical significance of the research consist in substantiating the methodical tools for determining the effectiveness of introducing various options for tax regulation. Conclusions of research. There are currently a number of techniques for assessing the effectiveness of tax incentive measures, but the selection of any of them will require further elaboration in terms of defining the tools, criteria, and most importantly, the goal that is expected to be achieved as a result of its implementation.

Hospital Value-Based Purchasing Performance: Do Organizational and Market Characteristics Matter?

The hospital value-based purchasing (HVBP) program of the Centers for Medicare & Medicaid Services challenges hospitals to deliver high-quality care or face a reduction in Medicare payments. How do different organizational structures and market characteristics enable or inhibit successful transition to this new model of value-based care? To address that question, this study employs an institutional theory lens to test whether certain organizational structures and market characteristics mediate hospitals' ability to perform across HVBP domains.Data from the 2014 American Hospital Association Annual Survey Database, Area Health Resource File, the Medicare Hospital Compare Database, and the association between external environment and hospital performance are assessed through multiple regression analysis. Results indicate that hospitals that belong to a system are more likely than independent hospitals to score highly on the domains associated with the HVBP incentive arrangement. However, varying and sometimes counterintuitive market influences bring different dimensions to the HVBP program. A hospital's ability to score well in this new value arrangement may be heavily based on the organization's ability to learn from others, implement change, and apply the appropriate amount of control in various markets.

A Little Less Conversation: The EU and the (Non) Application of Labour Conditionality in the Generalized System of Preferences (GSP)

This article argues that despite recent reforms to the labour conditionality of the EU GSP programme, many countries in which the government either commits serious violations of fundamental labour rights or fails to protect against such violations by private actors (by adopting appropriate laws and enforcing them when breached) continue to benefit. This includes the special incentive arrangement (GSP ), which is meant for countries with exemplary records with respect to international human rights standards, including labour rights. This is in part due to the European Commission’s clear preference that enforcement actions under the GSP programme should be avoided, even long after dialogue and cooperative mechanisms have failed to produce concrete results. Further, the European Commission’s peculiar interpretation of the GSP Regulation, which is based on what I argue is a misunderstanding of the International Labour Organization (ILO) supervisory system, is also responsible for past and likely future inaction.

The Legality of the European Union’s Special Incentive Arrangement

Globalization has propelled a mass influx of trading, opportunities, wealth, and cross-border relations. But, it has also added distance to the seemingly endless gap between developed and developing nations. Amidst this economic disparity, trade preferences present a solution to alleviate developing country dissatisfaction by providing access to international markets. It finds legitimacy in the Enabling Clause, which departs from the General Agreement on Tariffs and Trade’s principles of non-discrimination and reciprocity, and ensures that special and differential treatment is accorded to respond positively to the ‘development, financial and trade needs’ of developing countries. The focus of this article will be the European Union’s (EU) GSP+ Scheme that assists the entry of vulnerable economies to the EU’s international market. Contravening the rule against reciprocity, EU Regulation 978/2012 mandates the fulfilment of specific conditions before the granting of concessions. These conditions have the effect of increasing the burdens and responsibilities of vulnerable economies. Despite the Regulation’s apparent magnanimity, it is unilateral and fails to inquire into the real ‘development, financial and trade needs’ in developing economies. As a result, due to a lack of bargaining power, they find themselves compelled to fulfil EU obligations, which may have little or no bearing to the real causes for concern. This article endeavours to examine the legality of the GSP+ conditions in light of the Enabling Clause.

Optimizing the Performance of Ice-storage Systems in Electricity Load Management Through a Credit Mechanism: An Analytical Work for Jiangsu, China

Ice-storage air-conditioning is a technique that uses ice for thermal energy storage. Replacing existing air conditioning systems with ice storage has the advantage of shifting the load from on-peak times to off-peak times that often have excess generation. However, increasing the use of ice-storage faces significant challenges in China. One major barrier is the inefficiency in the current electricity tariff structure. There is a lack of effective incentive mechanism that induces ice-storage systems from achieving optimal load-shifting results. This study presents an analysis that compares the potential impacts of ice-storage systems on load-shifting under a new credit-based incentive scheme and the existing incentive arrangement in Jiangsu, China. The study indicates that by changing how ice-storage systems are incentivized in Jiangsu, load-shifting results can be improved.

Optimal Incentive Contract with Risk-Neutral Contractor

AbstractIncentive clauses within contracts, referred to as incentive contracts in this paper, based on a sharing of the project outcome are regarded as an important vehicle to align contractor interests with that of the owner. However, discussion is ongoing as to what is the optimal incentive arrangement. This paper derives an optimal incentive contract for a risk-neutral contractor; the owner may be either risk averse or risk neutral. An incentive is established based on a sharing of a project’s equivalent monetary outcome (expressed relative to a benchmark or target that is desired by the owner), while aligning the contractor’s interests with those of the owner. The derivation is based on solving an optimization problem. The paper shows that at the optimum and expressed relative to the target, any favorable or adverse outcome associated with both the contractor’s effort and events beyond the contractor’s influence should, respectively, be wholly received by or wholly borne by a risk-neutral contractor. ...

Managing supply chain backorders under vendor managed inventory: An incentive approach and empirical analysis

This paper shows how a manufacturer may use an incentive contract with a distributor under a VMI arrangement to gain market share. The manufacturer promises a distributor lower inventory levels in exchange for efforts by the distributor to convert potential lost sales due to stockouts to backorders. Data gathered from a third party provider of information services are then used to illustrate that this incentive arrangement may, at least implicitly, be employed in industry. Our data estimations show that when a manufacturer and distributor are operating under a VMI arrangement, lower inventory at the distributor is associated with a higher conversion rate of lost sales stockouts to backorders.

Contrato satisfatório multidimensional e a teoria do incentivo

Este artigo tem como foco a análise de arranjos de incentivos em contratos regulatórios com informações assimétricas, de maneira especial os contratos multidimensionais. O artigo revela que o uso de múltiplos incentivos é uma interessante alternativa para induzir os agentes aos objetivos do regulador e que um jogo com múltiplos critérios é uma importante referência para a definição de um arranjo satisfatório de incentivos. A aplicação efetuada para o caso específico da indústria de energia elétrica mostra que os resultados alcançados estão consistentes com os conceitos desenvolvidos.

An update of the Kladno Project: first IPP in the Czech Republic

Ice-storage air-conditioning is a technique that uses ice for thermal energy storage. Replacing existing air conditioning systems with ice storage has the advantage of shifting the load from on-peak times to off-peak times that often have excess generation. However, increasing the use of ice-storage faces significant challenges in China. One major barrier is the inefficiency in the current electricity tariff structure. There is a lack of effective incentive mechanism that induces ice-storage systems from achieving optimal load-shifting results. This study presents an analysis that compares the potential impacts of ice-storage systems on load-shifting under a new credit-based incentive scheme and the existing incentive arrangement in Jiangsu, China. The study indicates that by changing how ice-storage systems are incentivized in Jiangsu, load-shifting results can be improved.

On the Relation between Optimal Incentive Structures and the Cost and Benefits of Bottlenecks

We study optimal incentives for a two‐stage production process. First, we identify conditions under which the optimal incentive structure for both workers is based on total volume and conditions for when the final stage worker’s incentives are based on relative performance. We show that a bottleneck‐free and balanced line is optimal only when both workers’ contracts are based on volume, while it becomes desirable to limit the final stage worker’s productivity when his compensation is based on relative performance. Thus, we demonstrate that the benefit of removing bottlenecks hinges critically on the structure of the optimal incentive arrangement.

Trust Me: Technical and Institutional Determinants of Health Maintenance Organizations Shifting Risk to Physicians

This paper examines the factors that influence a Health Maintenance Organization (HMO) to shift risk to doctors through an incentive arrangement called capitation, where physicians are paid a fixed amount per patient for a period of time for any and all medical services required by the patient. Multispecialty-medical-group (Group) HMOs are more likely to shift risk than Independent Physician Associations (IPA) HMOs. Within IPA HMOs, larger enrollment per physician is positively associated with more risk shifting. We find that institutional factors signaling legitimacy play an important role in determining risk shifting. For-profit HMOs are less likely to shift risk, which we interpret as reflecting consumer distrust of for-profit HMOs. However, for-profit HMOs that are federally qualified, which we interpret as a signal of legitimacy, are more likely to shift risk.

Agency and theExcessusBalance in Manorial Accounts

Abstract This paper examines some accounting and legal aspects of the excessus balance in mediaeval manorial accounts. Earlier findings that such a balance may represent unpaid creditors are supported here with evidence from the Crowland Abbey estates, but it is also suggested that such a balance may possibly be explained as the outcome of an incentive arrangement in an agency relationship between the lord and the reeve. An attempt is made to apply the agency concepts of incentives, bonding and monitoring to this relationship. There is a discussion of whether manorial accounts and audit can be explained in terms of agency theory or whether the existence of the action of account implies a pre-existing legal obligation to account and submit to audit. The paper concludes with a consideration of the excessus balance in relation to the action of account.