Developed Economies Research Articles

Time-varying relationship between international monetary policy and energy markets

This paper examines the spillover dynamics and connectedness between international monetary policies of four developed economies (i.e., UK, US, Japan and Eurozone) and energy markets (i.e., crude oil, heating oil, gasoline and propane) while accounting for the impact of global volatility, economic uncertainty and geopolitical risk factors. This paper uses the time-varying parameter vector auto-regression (TVP-VAR) and TVP-VAR-based extended joint connectedness models to explore the connectedness of monetary policy and energy markets using daily data from June 1, 2007, to March 31, 2022. The results reveal a time-varying connectedness between the energy markets and international monetary policy, and global events affect the magnitude of connectedness. In all, energy markets were found to be the major shock transmitters and monetary policy the receiver. Additionally, we found that energy dependence explains why the Euro Area shadow short rate is more related to energy markets than other monetary policies. The findings also show “Oil to monetary policy” risk spillover, which suggests oil price controls monetary policy. Finally, economic uncertainty positively affects monetary policy and energy price connectedness.

The Spatial-Temporal Matching Characteristics of Water Resources and Socio-Economic Development Factors: A Case Study of Guangdong Province

The spatial-temporal mismatch of water resources and socio-economic development in rapidly urbanized regions has been the focus of water resource management, and is one of the main limitations to sustainable development goals (SDGs). Guangdong Province is represented by a highly developed economy and society, and has been undergoing disproportionately rapid population growth during the past two decades. The uneven distribution and spatial mismatch of water resources have aggravated the contradictions between water supply demand. In this paper, we evaluate the matching degree of water resources and social economic elements, detect the spatial-temporal changing pattern of the matching degree, and reveal the changing mechanism using the combined methods of the Thiel index, the space–time Gini coefficient, and the Lorenz curve. The results show that (1) the temporal matching is relatively balanced and reasonable, while the spatial mismatch is prominent and deteriorating constantly, especially the connection between the amount of water and GDP; (2) the water volume pressure is mainly concentrated in the Peral River Delta and eastern and western Guangdong, while water consumption stress is relatively lower in northeastern Guangdong; and (3) the water volume inequality is dominated by an intercity difference and is primarily caused by regional differences. Based on the results, policy implications, such as the implementation of integrated water resource management plans, investment in the development of alternative water sources, as well as enhanced public education and the establishment of a water saving society, have been provided to alleviate the mismatch issue between water elements and socio-economic parameters, and to push the realization of water-related SDGs.

Collaborative Action, Policy Support and Rural Sustainability Transitions in Advanced Western Economies: The Case of Scotland

Rural areas face profound challenges in transitioning towards sustainability. Intensive agriculture is deeply implicated in high greenhouse gas emissions, biodiversity decline and water pollution. As a more socio-economically heterogenous rural Europe emerges with a greater non-farming component, changes such as in-migration and tourism in some areas can also be seen to compromise sustainability, as can an ageing and declining population in others. The dominant means of European rural policy support has been direct income payments to farmers, with modest but increasing expectations of environmental cross-compliance over time. Since the early 1990s, new policy means have been introduced, many based around collaborative actions to enhance sustainability. These include the European Union (EU) Leader scheme, environmental cooperatives, catchment management projects and support for community renewable energy. These changes mark a shift from sectoral support to a more territorial and place-based policy, often built around collaborative partnership models. Scotland has developed a wide and distinctive range of communitarian policies to support sustainable rural development which connect to this territorial approach. This paper reviews the contribution of communitarian and collaborative policies to sustainability transitions, drawing primarily on Scottish policy but referencing these policies against policies in other developed economies.

International practices in the development of administrative legal relations in the field of child protection

Ensuring and protecting children’s rights is a priority in building harmonious legal relations in everycivilisedcountry. Thestudyoftheexperienceofdifferent countries regarding the specifics of the development of administrative legal relations in the field of child protection allows analysing the problematic aspects and identifying positive developments that should be adopted and disseminated. The purpose of this study is to investigate administrative legal relations in the area of child rights protection in certain countries of the world. A set of methods was employed, including methods of induction and deduction, analysis and synthesis, comparison and generalisation, etc. The study examined the content of certain provisions of the Convention on the Rights of the Child, as well as the specific features of legal relations existing between the bodies and institutions of the United Nations. The study analysed the specifics of the development of administrative legal relations in the countries of the Anglo-Saxon and Romano-Germanic legal systems. It was emphasised that in each of the countries under consideration, ensuring and protecting children’s rights is a priority for the state. Even though an effective mechanism for ensuring children’s rights has been developed in countries with highly developed economies and legal culture, certain elements of ensuring children’s rights still need to be improved. The legal relations between different state structures for the protection of children’s rights in the United States of America, England, Germany, France, and Romania are investigated and systematised. Based on the study conducted, a classification of the system of development of administrative legal relations in the area under study was proposed. In addition, the similarities and differences in the development of administrative legal relations for the protection of children’s rights in countries with different legal systems, legal cultures, levels of economic development and mentality were generalised, with author’s generalisations and proposals. The proposed scientific study can be used by researchers as a basis for further scientific investigations, by teachers of higher education institutions, as well as by employees of social services for children and representatives of public authorities who influence the development of state policy on the protection of children’s rights

Fostering environmental preservation: exploring the synergy of green human resource management and corporate environmental ethics

PurposeThis study aims to explore the unique and synergistic effects of green human resource management (GHRM) and corporate environmental ethics (CEE) on the environmental performance (EP) of manufacturing small and medium-sized enterprises (SMEs) in Yemen, a less developed country (LDC).Design/methodology/approachThrough a cross-sectional survey design, data were collected from 262 manufacturing SMEs in Yemen and analyzed using “hierarchical regression analysis” via PROCESS Macro.FindingsThe empirical results showed that GHRM and CEE positively affect EP and, more importantly, that CEE and GHRM have a synergistic effect on EP.Research limitations/implicationsThis study makes a theoretical contribution by integrating GHRM, CEE and EP into a single framework, taking into account the perspectives of the resource-based view and the ethical theory of organizing. The results corroborate the unique and synergistic effects of GHRM and CEE on EP of SMEs in the manufacturing sector.Practical implicationsThe results of this study offer valuable insights for SME managers/decision-makers, who are anticipated to become more interested in integrating environmental ethics into their companies. This has implications that with the consideration of CEE, SMEs can benefit from GHRM practices to improve their EP.Social implicationsThe study highlights the positive economic and social impact of SMEs adopting eco-friendly practices like GRHM. In today’s economy, it is not sufficient to simply strive for economic growth. It is possible for SMEs to achieve well-rounded performance by implementing the recommended framework that emphasizes the importance of social and environmental well-being.Originality/valueThis study advances the existing work on the impact of GHRM on EP by demonstrating the crucial role of CEE in predicting EP of manufacturing SMEs in LDCs like Yemen. Previous research on GHRM has mainly been conducted on SMEs in developed nations, which may not be entirely applicable to LDCs. It is crucial to understand this aspect in the context of LDCs so that SMEs can adopt environmental practices effectively in the future: how SMEs conserve the environment through their environmental practices.

Does frequent internet use increase the propensity to change address? UK evidence from Understanding Society on mobility preferences, expectations and moves

AbstractLong‐term declines in rates of internal migration have been widely documented in many developed economies. Accompanying this decline has been a proliferation in the everyday use of new technologies such as the internet. New communication technologies have been theorised to influence migration decisions, but the direction of this influence is ambiguous, with some studies finding that they decrease migration, others that they increase it. Using data from the UK Household Longitudinal Study, this paper assesses the relationship between internet use and preferences/expectations to change address as well as the decision to move. Although frequent users of the internet tend to be more mobile on average, longitudinal analysis offers no evidence that internet use influences migratory preferences and expectations or actual moves. This paper contributes to the literature by studying a developed country with high levels of internet penetration, by engaging not only with actual moves but also with preferences and expectations to move, and by drawing on longitudinal data to address unmeasured confounding in so far as possible. More broadly, it provides a reference point for future studies which might consider whether internet use plays a different role in the aftermath of the COVID‐19 pandemic.

Perspectives On Unemployment in Nigeria: Lessons from Cuban Economy

Unemployment is a ubiquitous phenomenon in all economies. Though most empirical studies assert that unemployment is higher in less developed economies as compared to developed one; it is an established fact that no country has the capacity to provide jobs for all its citizen at same time. Hence, the attainment or maintenance of an acceptable rate of unemployment is a major concern of public policy formulators. Despite the numerous economic challenges, Cuba has the one of the lowest rate of unemployment in the world. How has it managed to achieve and maintain this? What did they do particularly different? The developing countries need this information to be able to deal with this seemingly intractable problem. Thus, the paper examined the economic strategy used by Cuba to tackle unemployment and identify some lessons for developing economies like Nigeria.

Does financial inclusion enhance per capita income in the least developed countries?

Financial inclusion is a key factor for economic growth in most developing countries. This paper examines the relationship between financial inclusion and Gross Domestic Product (GDP) per capita in the Least Developed Countries (LDCs) using panel data for the period 1990–2021. The empirical evidence suggests that financial inclusion is indeed related to economic growth in the LDCs. We consider different dimensions of financial inclusion: usability (% of bank credit to bank deposits), accessibility (commercial bank branches), concentration (% of concentration of banks), and availability (depositors with commercial banks) to determine which has a greater effect on economic growth in the countries analyzed. Therefore, we assess which dimensions of financial inclusion are a better tool to improve the economic situation in the poorest countries in the world. While we conclude that all dimensions of financial inclusion have a positive effect on economic growth, in the expected direction, we find that not all dimensions affect economic growth similarly. The dimensions ‘accessibility’ and ‘concentration’ are robustly associated with economic growth, while ‘usability’ and ‘availability’ produce a significant but relatively lesser effect in the LDCs.

A virtuous debtor: South Korea in the Eurocurrency market, 1969 – 1984

This article examines the case of South Korea, in which the external private debt management leveraged the symbiosis of the authoritarian regime and the neoliberal policies in a less-developed country. In the pursuit of post-war growthamship, against the meddling of allies with official loans, the military government turned to the Eurocurrency market, an offshore market for major currencies to meet the triple goal of diversifying foreign reserve sources, financing the heavy-chemical industrialization, and underpinning the diplomatic struggle against North Korea. The dependence on the Euro-capital empowered technocrats at the Economic Planning Board to manage the sovereign borrower’s external indebtedness. Against the neo-mercantilist policy, they introduced price stability measures and maintained low debt-service-ratio so as to appease international banks and international financial organizations. Their success enabled the military government to eschew the debt crisis of 1982 and bolstered the legitimacy of the military government. In return, the technocrats resorted to the authoritarian rule to implement market-oriented policies against the labor the neo-mercantilist interests. Drawing on multi-archival sources, this article engages to the burgeoning scholarship on the relations between international banks and authoritarian regimes by analyzing the external debt-driven neoliberal turn in the developing world.

UIP deviations: Insights from event studies

We evaluate the behavior of the UIP relationship around monetary policy and global uncertainty shocks using event studies. We find that the covariance between exchange rate movements and changes in long-term yield differentials is conditional on the nature of shocks. A model of partial arbitrage between domestic and US bond markets predicts that tighter US monetary policy appreciates the dollar while increasing US yields relative to domestic bonds, a response that is consistent with UIP forces, while global uncertainty shocks appreciate the dollar while raising domestic yields relative to US bonds, exacerbating the widely documented UIP violation. The empirical analysis supports these mechanisms, specially for developed economies. For emerging economies, both relationships are weaker, consistent with more pervasive currency stabilization policies that mute the FX response at the expense of higher volatility in longer yields. Our results suggest a more nuanced interpretation of the unconditional failure of the UIP.

Is cryptocurrency a hedging tool during economic policy uncertainty? An empirical investigation

In light of the increasing investor interest in cryptocurrencies (CR) as alternative financial assets in financial markets, we sought to examine the connection between economic policy uncertainty (EPU) and cryptocurrencies. To do so, monthly data for Bitcoin (BTC), Ethereum (ETH), and Tether (THT) from January 2021 to April 2023 were employed. We utilized quantile regression and Granger causality analysis to investigate the relationship between EPU and cryptocurrencies. The initial results of this study suggest that EPU has little effect on the cryptocurrency market in the short-term. To enhance the strength and validity of these findings, we performed separate evaluations tailored to the unique contexts of the United States and China. The results revealed that the effects of EPU were adverse and statistically insignificant for China, while the situation differed slightly for the United States. Given that the United States has the most developed economy, its policies have a significant influence globally. As a result, cryptocurrencies have the potential to serve as efficient hedging tools. Furthermore, we incorporated nonlinear autoregressive distributed lag (NARDL) analysis to assess the asymmetric impact of EPU on cryptocurrencies by adopting both short-term and long-term perspectives. The outcomes demonstrated that both Bitcoin and Ethereum can serve as hedging tools in the short-term, although this utility diminishes in the long-term. Conversely, Tether displayed a positive association with EPU in the long-term. The findings of this study hold significance for policy-makers, offering valuable insights related to structuring efficient policies. The recommendations include fostering a rational framework for active participation from various stakeholders, including investors, governmental bodies, central banks, stock exchanges, and financial institutions. This collaborative effort aims to mitigate irrational fluctuations and enhance the acceptability of cryptocurrencies. In essence, this research underscores the potential of cryptocurrencies as a secure hedge against short-term EPU. However, we caution against assuming that any single cryptocurrency can consistently serve as a dependable investment haven.

Do conditional cash transfers create resilience against poverty? Long-run evidence from Jamaica

Conditional Cash Transfer programs (CCT) have become the prominent component of social assistance programs in many developing countries. A major objective of CCT programs is breaking the cycle of intergenerational poverty and building a population resilient to adverse shocks that may push a person into poverty. The literature to date has not provided conclusive evidence for the long-run impact of CCT programs on beneficiaries’ resilience against poverty. To fill this gap, I exploit the age-based eligibility thresholds and regional variation in the proportion of persons receiving benefits from the Jamaican CCT program to identify its long-run impact on resilience against poverty. I find that child beneficiaries of the program are up to 8.4 percentage points more resilient against poverty when they become adults than they would have been in the absence of the program. Furthermore, these benefits are only evident in females, and are realized after beneficiaries are in their early 20′s. Overall, this study provides further justification for the expansion of CCTs or similar programs targeting children living in less-developed countries.

Islamic Microfinance an Instrument for Poverty Alleviation in Pakistan: A Case Study of Sindh

This study aims to investigate how Islamic microfinance can be utilised in Pakistan to alleviate poverty and encourage long-term development. Additionally, it examines the fundamental ideas of Islamic finance and the connection between sustainable development and real economies. The survey was conducted in Sindh; Province of Pakistan. It was observed that despite number of non-Muslim are living in Sindh; Islamic Microfinance does not hindered by any religion. The study also discovered that Islamic Microfinance combined with an appropriate framework for monetary and fiscal policy, have a favourable impact on Pakistan's efforts to reduce poverty.
 
 Received: 10 November 2023 / Accepted: 29 December 2023 / Published: 5 January 2024

Consumer sentiments across G7 and BRICS economies: Are they related?

This paper utilizes fractional integration and cointegration techniques to investigate the stochastic properties of the bilateral linkages between the Consumer Sentiment Index (CSI) of eight developed economies, Australia, Canada, France, Germany, Italy, Japan, the UK and the US and five emerging economies comprising Brazil, Russia, India, China and South Africa, for the time period from 15th January 2010 to 15th July 2019. The univariate results support fractional integration with mean reverting behaviour, with many of the series displaying orders of integration in the interval (0, 1), which connotes that shocks to consumer sentiment have significant long-lasting though reverting effects. From the covariate results and testing for cointegration, we found evidence of cointegration for Australia versus Italy, and France versus Italy. For the BRICS, the only evidence of fractional cointegration is found between Russia and India. Some policy implications of the results obtained are also mentioned at the end of the article.

Determining the challenges of transition to a hydrogen economy through developing a quantitative index

The global imperative to transition from fossil fuels to renewable sources is addressed, with hydrogen identified as a pivotal energy carrier. Departing from qualitative approaches, quantitative methodologies are employed to understand the challenges comprehensively. Qualitative insights are quantitatively assessed through a novel index, enabling a nuanced analysis of strengths and weaknesses. The resulting model is a precise tool for informed decision-making in energy transition efforts. Notably, Chile, New Zealand, and Morocco are identified as high-potential economies for hydrogen development, aligning with expert opinions. Conflict demonstrates an overall negative correlation with technological progress, while regulatory quality emerges as a strong positive correlation with the state of hydrogen in policy. This quantitative model offers a robust framework for future research and application, including incorporating additional data and subnational-level analysis. The study provides a quantitative foundation for advancing hydrogen development and sustainable energy transition.

Phytonutrient Screening and In vitro Antibacterial and Antifungal Properties of Polar and Nonpolar Extracts of Albizia gummifera, Prunus africana, and Combretum molle from Mount Elgon Region, Kenya

Background: Globally, and particularly in less-developed countries, one of the principal factors associated with morbidity and mortality is infectious diseases. Over the years, the abuse and misuse of pharmaceutical products have caused an increase in resistant microbes, and consequently, today, the rate of infectious disease cases continues to increase to dangerously high levels as most medications have lost their efficacy. This indicates that there’s a need for new effective medications and calls for active research in drug discovery to curb this dangerous trend.
 Results: Obtained data demonstrated the presence of different bioactive compounds in the tested plant extracts such as glycosides, alkaloids, tannins, terpenoids, saponins, and phenols. Using the Kirby-Bauer disc diffusion method, P. africana methanol and ethyl acetate extracts showed significantly bigger inhibition zones compared to the rest against S. aureus (excluding controls). None of the tested extracts, however, were able to inhibit C. albicans and E. coli. The P. africana methanolic extract and the A. gummifera hexane, ethyl acetate, and methanolic extracts all inhibited the growth of S. aureus at the same minimum concentration of 31.25 mg/ml. The methanolic extract of C. molle exhibited the least activity against S. aureus, with an MIC of 250 mg/ml and mean zones of inhibition of 9.33±0.33 mm.
 Conclusions: This study revealed the presence of various phytoconstituents in crude extracts of the selected medicinal plants, but also highlighted the resistance of E. coli and C. albicans to these phytochemicals. The P. africana methanolic extract showed strongest inhibitory effect against S. aureus compared to the other plant extracts. The highest susceptibility was demonstrated by S. aureus, while E. coli and C. albicans were resistant to all the extracts. These findings support the usage of A. gummifera, P. africana, and C. molle in folk medicine against infections caused by S. aureus and highlight them as potential sources of phytonutrients for the development of new drugs.

Factors Influencing Energy-Efficiency Retrofits in Commercial and Institutional Buildings: A Systematic Literature Review

ABSTRACT Renovating existing buildings to render them more energy efficient is critical. However, current energy-efficiency efforts in the building sector remain insufficient. Despite the growing literature related to energy efficiency in buildings, context-driven reasons for stakeholders to undertake energy-efficiency retrofits remain less understood. The researchers conducted a systematic literature review to synthesize and consolidate the results of studies worldwide from 2009 to 2020, examining factors and associated contexts that influence building stakeholders’ decisions to implement energy-efficiency retrofits. The review involved searching databases and topic-specific journals using multiple keywords and synonyms for energy-efficiency retrofits and decision-making. The initial search yielded 25,093 articles, and 134 were further assessed for inclusion and exclusion. Forty-two of those articles met the criteria for inclusion and were examined to evaluate the factors and context associated with the decisions related to energy-efficiency retrofits. Recent relevant research was analyzed, considering methodologies, regions, economic development, building types, participant characteristics, and study size. Based on the extensive review of the literature, this study identified 30 factors that can be categorized under seven decision criteria involved in determining retrofits: economic feasibility, team process, technical practicality, institutional characteristic, governmental policy, occupant impact, and environmental impact. The main factors that influenced energy retrofit decisions included life cycle cost, coordination and collaboration, system compatibility, internal value, government commitment, satisfaction and well-being, and eco-friendly installation. Variations regarding factors influencing stakeholders’ perceptions among different regions and building types were also examined. The study found that risk management, technology readiness, and standards and regulations were more significant in countries with developing economies. Conversely, system compatibility, reputation, and political influence were more important in developed economies. The findings from this study provide insights into future research that may guide the development of more context-appropriate strategies that drive stakeholders to implement energy-efficiency retrofits in their buildings.

Genome Analysis of Plasmodium falciparum: A Preliminary Observation - Sierra Leone, 2022-2023.

Sierra Leone, with a gross domestic product (GDP) per capita below $300 and significant poverty, ranks among the world's least developed countries (LDCs). Despite its modest population of 8.6 million, the nation reports approximately 2.6 million malaria cases annually. Previously, there has been no reporting on the malaria genome data from this country. In this study, we present the first reported whole-genome sequence analysis of 19 high parasite-density Plasmodium falciparum isolates from Sierra Leone, providing insights into the genomic epidemiology of this high-prevalence area. We found a high degree of relatedness among infections and substantial genetic diversity, consistent with the gradual reduction in overall case numbers. Moreover, our whole-genome analysis revealed that, beyond drug-resistance genes, gene families related to blood cell invasion, immune evasion, and others are undergoing directional selection. This suggests that the population in Sierra Leone has developed a relatively strong acquired immunity. The genomic data not only facilitate the creation of single nucleotide polymorphism barcodes for case tracking but also enable the analysis of evolving transmission dynamics and selection pressures. Additionally, the samples from Sierra Leone exhibited higher selective pressures on resistance genes compared to those from Asia, a trend not commonly observed in other African samples. This suggests that less stringent healthcare systems and inconsistent treatment strategies can subject parasites to increased drug pressure, thereby accelerating the development of resistant strains.

An Analysis of Liberia’s Vulnerability to Climate Change in the Context of Least Developed Countries (LDCs): A Review

An Analysis of Liberia’s Vulnerability to Climate Change in the Context of Least Developed Countries (LDCs): A Review

The Impact of Market Orientation on the Performance of Microfinance Institutions in Yemen, a Least-Developed Country: the Mediating Role of IT Capability

The Impact of Market Orientation on the Performance of Microfinance Institutions in Yemen, a Least-Developed Country: the Mediating Role of IT Capability