Market Rates Research Articles

An Empirical Study on Factors Affecting the Demand of Life Insurance Policies in Colombo District

The life insurance market is a significant factor that affects the growth of an economy in any country. In developed countries, the life insurance market grows at a fast pace and stimulates the economy. However, most developing countries including Sri Lanka show a low growth rate in the life insurance market. This study focused on identifing the factors for the low demand for life insurance policies in the Colombo district. Primary data were collected using a structured questionnaire and the two-stage cluster sampling technique was utilized to select a sample size of 384. Based on the analysis result of the logistic regression, it was identified that age, family size, monthly income, awareness about policies, and subjective norms of respondents are significant variables that affect demand for life insurance. Moreover, it was revealed that people whose monthly income was more than Rs 90,000 were four times more likely than people with monthly incomes below Rs. 30,00 to be a life insurance policy holder. Also, it was discovered that people aged 50 years or above were three times more likely than the people of age between 20 and 29 years to be a life insurance policy holder. Furthermore, the study found that the awareness of people especially, among the non-policyholders in the Colombo district regarding life insurance, was at a low level, and a considerable number of responds had an unsatisfactory level of confidence about life insurance companies. Thus, it is necessary to take action to establish trust among the people about the insurance company and their policies. It is suggested that awareness programs about the importance of having life insurance in high-risk situations in the modern world and benefits of the life insurance for ordinary people to increase the demand for life insurance should be made available.

Macroeconomic Variables’ Impact on Rental Rate in the United Kingdom Islamic Home Financing Using Bound Cointegration Test

Rental rate has been suggested as a better alternative to replace the interest rate in Islamic home financing. However, the suggested alternative has to be free from the influence of any form of interest rate. This paper examines the long-run influence of macroeconomic variables on the rental rate in the United Kingdom housing market. The aim is to investigate whether the rental rate is free from the influence of both long-term and short-term interest rates in order to substitute the interest rate in Islamic home financing. The study employs Autoregressive distributed lags (ARDL) model to empirically estimate a long-run relationship between the rental rate and some selected macroeconomic variables. Using the United Kingdom housing market data from the first quarter of 1990 to the last quarter of 2016. The results show that rental rate is free from the influence of both short-term and long-term interest rate. Hence it could be recommended as an alternative to interest for Islamic home financing. The results further show that GDP, inflation rate, and share price positively influence rental rate.

Competitiveness of Vietnam tuna export industry in the European market

Export competitiveness is a relatively late research topic, but there has been a rapid increase in the number of studies in the last three decades. To date, this topic is not only a concern of researchers but also businesses, manufacturing industries, and countries, especially policymakers. In this study, we evaluate Vietnam's tuna export competitiveness in the European market through industry competitiveness indicators, including manifest comparative advantage (RCA), export market share (MS), and export price. In addition, the gravity model is used to determine the factors determining the competitiveness of Vietnam's tuna export industry in this market. The research results show that the competitiveness of Vietnamese tuna in the European market is quite high and tends to increase but is still much weaker than leading competitors such as Thailand, Ecuador, and Spain. The deciding factor for competitiveness is the large amount of domestically exploited tuna. Although the product quality is still low compared to major competitors in the market, it has improved rapidly in recent years. In addition, the suitability of tuna products exported from Vietnam to the import market and exchange rate fluctuations favorable to exports are other competitive advantages, among them, the exchange rate is the biggest decisive role. On the contrary, import taxes are the biggest barrier that reduces competitiveness in this market. To improve competitiveness and move towards sustainable development of the tuna export industry, Vietnam needs to make great efforts, especially strictly controlling domestic tuna resources, avoiding overexploitation, and focusing on improving high product quality. Furthermore, Vietnam needs to focus on meeting the commitment conditions in signed free trade agreements, actively research the market, focus on trade promotion policies, and strengthen trade connections with other import countries.

The Return of the Market Models: The Continuous Forward Market (CFM) Rate Model

The Return of the Market Models: The Continuous Forward Market (CFM) Rate Model

Predicting country-specific financing capacity for renewable energy project

This study aims to scrutinize the various determinants that influence a nation’s ability to fund and support renewable energy ventures, encompassing factors such as economic stability, regulatory environment, energy demand, and access to capital markets. By drawing on a range of empirical data, financial indicators, and statistical models, this study seeks to determine which factor most potent when predicting financing capacity of a specific country towards renewable. A secondary research using published data by government publications and non-governmental databases is the research method for the present study. The data derived from these databases organized into tables to allow for regression analysis to be conducted to achieve the research objectives. The results from the regression analysis indicate that stock market and inflation rate are significant variables should be included in the predictive model of financing capacity for renewable energy.

Response of stock return volatility to money market rates in Nigeria

Response of stock return volatility to money market rates in Nigeria

AI-Driven Decision Support System for Green and Sustainable Urban Planning in Smart Cities

Abstract This study focuses on innovative practices in sustainable urban planning, demonstrating significant advancements in key areas such as solar panel efficiency, rainwater harvesting capacity, community garden space, and bike-sharing station accessibility through in-depth experimentation and analysis. The research results show that the energy conversion rate of solar panels reached 25%, surpassing the market standard of 24%, which is crucial for enhancing self-sufficiency in energy in urban areas. The rainwater harvesting system performed well, achieving a capacity of 600 liters per square meter, slightly below the market rate of 650 liters, but still demonstrating significant potential in dense urban environments. Additionally, our project provided 3 square meters of community garden space per resident, exceeding the market average, effectively promoting urban greening and improving residents’ quality of life. In terms of transportation, our experimental model featured 1.5 bike-sharing stations per 1000 residents, better than the market data of 1.2 stations, contributing to the development of sustainable urban transportation. These outcomes not only showcase the potential of sustainable urban planning but also provide practical references and guidance for future urban development.

Bank Regulation and Market Risk of Nepalese Commercial Banks

The purpose of this study is to measure the impact of banking regulations specifically broad money supply, weighted average spread rate, base rate, bank capital, and loan loss reserve on market risk of commercial banks in Nepal. This study used descriptive, correlational, and casual comparative research design. This study has used secondary sources of data. Data were used of twenty-six, out of twenty-seven commercial banks from fiscal year 2012/13 to 2018/19. After 2019/20 fiscal year to 2021/22, data were collected from nineteen commercial banks. Rastriya Banijya Bank, Government owned bank not included in this study. The statistical methods employed in this investigation for data analysis included mean, range, coefficient of variation, correlation analysis, and regression analysis. This study presented that highest to lowest scattered data as market risk, loan loss reserve, bank capital, broad money supply, base rate, and weighted average spread rate respectively. There is low degree of inverse relationship between market risk and base rate but there is insignificant relationship of market risk with weighted average spread rate, broad money supply, bank capital, and loan loss reserve. There is positive significant impact of broad money supply and weighted average spread rate on market risk but there is negative impact of base rate on market risk, insignificant impact of bank capital and loan loss reserve on market risk of commercial banks in Nepal.

Corresponding Solutions to the Problems in China's Derivatives Market

With the increasing uncertainty of the interest rate, exchange rate, inflation rate, and other factors in the financial market, financial institutions need all kinds of financial instruments in order to avoid financial risks, and in this situation, financial derivatives were born. With the progress of society and economic development, the financial derivatives market continues to expand in China. However, opportunities always coexist with crises, and there are still some problems in China's derivatives market. This paper studies the problems existing in Chinas derivatives market and puts forward corresponding solutions. It is found that problems such as an ineffective mechanism for supervision, insufficient innovation, immature investors, single market tools, and ineffective market functions still exist in Chinas financial derivatives market. To address these issues, China should improve the legal system, enhance transaction transparency, strengthen supervision and management, enrich the types of financial derivatives, cultivate qualified institutional investors, and reduce restrictions on overseas business.

Cost valuation of special food products safety and quality integrated management systems

In order to guarantee the appropriate level of safety and quality of food products, integrated management systems are now actively used. To prevent the emergence of economic problems, to understand the financial value of all the organization's assets, it is important to assess their value, in particular, management systems. Integrated safety and quality management systems of special food products are defined as the object of the research. Their implementation makes it possible to ensure compliance with legislation, increase consumer satisfaction, and business excellence. The main international act regulating methodological aspects of assessment is the International Valuations Standards (IVS). It defines the terminology, procedure of organization, assessment, approaches, methods, reporting of results. It was established that when evaluating integrated management systems, it is recommended to use a cost approach. This is justified by the need to determine the amount of funds to ensure compliance with legislation, meeting the needs of consumers and stakeholders. It is appropriate to use methods of reproduction and substitution. The cost of the mentioned systems of the organization was determined by the method of reproduction, which as of the beginning of October 2023 amounted to UAH 167.6 thousand and UAH 34.7 thousand, respectively. Recommendations for estimating the cost of integrated management systems have been devised. Their main content is the need to take into account the level of changes in the market rate of the currency, in which the value is estimated, the coefficient of moral aging, based on the service life. Their consideration made it possible to estimate the cost of the investigated systems at UAH 144.6 thousand and UAH 30.0 thousand, respectively. This could contribute to more effective management of the organization's resources, investment in financial management systems

Interest Rate Pass-Through in Euro Area Mortgage Markets: The Long Shadow of the Great Financial Crisis

Abstract The tightening of monetary policy in response to the recently observed surge in inflation has focussed attention on the potential impact of changes in policy rates on European mortgage holders. Central to this question is the pass-through of policy rates to the mortgage rate charged in residential markets across the Euro Area as housing costs have contributed significantly to recent inflationary pressures. In particular, how much and how quickly does the change in the Euro Area policy rate pass-through to the mortgage rate in a particular member country’s market? The effectiveness of the monetary policy transmission mechanism has been impaired in a number of ways by the continuing effects of the great financial crisis (GFC). In this article, we seek to examine the manner in which the pass-through relationship between Euro Area policy rates and representative mortgage market rates has been impacted by financial sector considerations such as the degree of concentration in the sector, banks’ holdings of impaired loans, and the overall level of financial stress in the economy. Overall, our empirical findings indicate the level of financial stress experienced during the GFC has had a major impact on the effectiveness of monetary policy transmission in the Euro area. This article suggests that the GFC still has implications for the efficacy of current monetary policy in the Euro Area through several different but related channels. (JEL codes: E52, F45, and G21)

Analisis Penentuan Harga Jual Dalam Meningkatkan Laba Pada Usaha Ayam Geprek Di Batanghari Kabupaten Lampung Timur

UMKM play a crucial role in the national economy as primary contributors to economic activities. According to BPS data, approximately 1.5 million Indonesian MSMEs operate in the food sector. The aim of this research is to understand the determination of selling prices to optimize business profits, considering production costs, operational expenses, and other factors. The research employs a qualitative approach, utilizing primary data collected directly by the researcher. Analyzing all costs incurred in the production of "Ayam Geprek" at Lesehan Lala, the findings indicate that the establishment's pricing strategy does not maximize profits. Lesehan Lala sets its selling prices based on market rates without considering the overall production costs, operational expenses, and other relevant factors.

On the effectiveness of the interest rate channel within inflation targeting in Ukraine: a VAR approach

Assessing the effectiveness of the inflation targeting framework via the interest rate channel remains crucial in the current monetary policy debate. For Ukraine, the relevance of this discussion is enhanced by the adoption by the National Bank of a rigid inflation targeting policy since 2016, as well as by the challenges of price stability during war. The aim of the study is to identify how the discount rate affects the money market rates and how this affects inflation in Ukraine. Employing a VAR model on monthly data spanning 2016 – Q1 2022, the analysis demonstrates weak empirical evidence for the interest rate channel effectiveness. The impulse response indicates that the discount rate’s initial effect does not provide long-term inflation dynamics control. Variance decomposition analysis highlights the minimal influence of the NBU’s discount rate, primarily evident in the refinancing rate, followed by its impact on the rate of term deposits made by individuals, followed by the inflation, followed by the rate of new loans granted to residents, and finally the rate of government bond yields. Addressing the limitations of a rigid inflation targeting approach, the study recommends adopting a balanced approach, considering both price stability supported by exchange rate control measures and fostering economic growth. Additionally, a viable strategy for deepening the financial sector should be developed.

Macroeconomic Impacts of Global Oil and Commodity Price Shocks on the Economy of Pakistan

The effects of oil and commodity price shocks on Pakistan's real exchange rate, inflation rate, government spending, money market rate, and industrial output are examined using monthly data from 2000-2017. Using the vector autoregressive (VAR) paradigm, we do an empirical investigation. Impulse response functions and generalized prediction variance decompositions are used to analyze the effect that fluctuations in oil and commodities prices have on Pakistan's economy. When the world oil price (LWOP) causes shock in the global oil market, the real exchange rate (LRER) shows a negative impulse response function. As a result of the rising cost of crude oil throughout the globe, inflation has been on the rise. Industrial output falls, the real exchange rate rises, and interest rates and inflation go up as a result of shocks. Despite increased industrial production, commodities prices have seen repercussions. Pakistan's interest rate follows shocks by rising for a prolonged period, much as the money market rate (MMR)or interest rate. After oil and commodity price shocks, governments tend to increase their spending. The real effective exchange rate is the primary source of economic volatility, as shown by generalized impulse response functions. Pakistan's economy has been hit hard by the shocks, especially the aftershocks in the currency rate. A depreciating currency rate is being seen in Pakistan. The real effective exchange rate is the main cause of fluctuations in the economy, as demonstrated by tools called generalized impulse response functions.

Green Treasury Bond – tool of sustainable finance

Green finance means financial solutions and investments that support environmentally friendly and sustainable economic development. Green finance includes financial activities, investments, business models enable economic growth, while minimizing environmental impacts and contributing to the fight against climate change. The rise of green financial products is motivated by several social, economic and market processes. This paper examines one tool of green financing, the Green Treasury Bond issues and its potential influencing factors in European Union comparison. The supposed influencing factors are the GDP/capita, CO2 emission/capita and market rate of long-term Treasury bond. Regression analysis was used to test the relationship of these variables in 2022. The model did not prove significant connections between the dependent and the input variables. However, filtering the database from outliers weak, positive connection was detected between the economic development and the intensity of green bond funding.

OVERVIEW OF THE PET FOOD MARKET IN UKRAINE

The article defines the peculiarities of the development of the world pet food market. The current state of the pet food market in Ukraine and the world is analyzed, the main market participants and their advantages are highlighted. The results of a sociological survey of Ukrainians on the question of which pets they keep are presented. It was found that 79% of respondents keep cats as pets, and 61% - dogs. The characteristics of the 5 leaders according to the "Top 101 manufacturers of pet food" according to the results of 2020-2021 are given. Mars, Nestle, Ralston Purina, H. J. Heinz, Hill's, etc. are the largest suppliers of compound feed for pets on the world and Ukrainian markets. Data on the dynamics of the global feed market and growth rates based on the results of 2020-2023 are presented. Experts predict that the growth of the compound feed market for pets is facilitated by the stable economic growth predicted in many developed and developing countries, by 2027 the volume will already reach $534.36 billion with an average annual growth of 7.6%. Among the domestic producers of pet food, the main producer is the company "Kormotekh", which produces both dry and wet compound feed for pets. The main advantages and disadvantages of wet compound feed for pets are given. Analyzed changes in the cost of the main fodder and additives for the production of compound feed for pets for the years 2020-2023, as well as the average prices for wet compound feed for pets depending on the class as of 2023, which are within the range of UAH 124...470/kg. The main factors affecting the formation of a solid base for the production of fodder for animals of domestic origin are highlighted. The trends were analyzed and the main directions of further development were determined. It was determined that the existence of many unanswered questions creates an objective necessity for the study of the domestic pet food market and the formation of demand for it. It has been established that the development of a proposal for the formation of a market portfolio of domestic producers of pet food will contribute not only to improving the level of competitiveness of existing enterprises in the industry, but also to the emergence of new domestic enterprises.

Analyzing Challenges and Opportunities in the E-Commerce Industry of Turkey

This study provides an analysis of the e-commerce industry in Turkey, with a focus on recent developments, growth, and challenges. The primary objective of the study is to assess the size and growth rate of the e-commerce market in Turkey and identify key trends and emerging business models, such as social commerce and mobile commerce. Additionally, the study evaluates the impact of COVID-19 on e-commerce trends and analyzes the challenges facing the industry. Finally, the study provides recommendations for policymakers, regulators, and industry stakeholders to address the challenges and promote growth and development. The findings are useful for policymakers, industry stakeholders, and researchers to understand the dynamics of the e-commerce industry in Turkey and to develop effective strategies to leverage the opportunities and overcome the challenges.

Human liver organoid models for assessment of drug toxicity at the preclinical stage.

The hepatotoxicity of drugs is one of the leading causes of drug withdrawal from the pharmaceutical market and high drug attrition rates. Currently, the commonly used hepatocyte models include conventional hepatic cell lines and animal models, which cannot mimic human drug-induced liver injury (DILI) due to poorly defined dose-response relationships and/or lack of human-specific mechanisms of toxicity. In comparison to 2D culture systems from different cell sources such as primary human hepatocytes and hepatomas,, 3D organoids derived from an inducible pluripotent stem cell (iPSC) or adult stem cells are promising accurate models to mimic organ behavior with a higher level of complexity and functionality owing to their ability to self-renewal. Meanwhile, the heterogeneous cell composition of the organoids enables metabolic and functional zonation of hepatic lobule important in drug detoxification and has the ability to mimic idiosyncratic DILI as well. Organoids having higher drug-metabolizing enzyme capacities can culture long-term and be combined with microfluidic-based technologies such as organ-on-chips for a more precise representation of human susceptibility to drug response in a high-throughput manner. However, there are numerous limitations to be considered about this technology, such as enough maturation, differences between protocols and high cost. Herein, we first reviewed the current preclinical DILI assessment tools and looked at the organoid technology with respect to in vitro detoxification capacities. Then we discussed the clinically applicable DILI assessment markers and the importance of liver zonation in the next generation organoid-based DILI models.

Monetary policy implementation: Which “new normal”?

This article provides a simple model of monetary policy implementation, analyzing both the interest rate steering (IRS) and the quantitative easing (QE) policies. The model shows that the “floor system”, introduced with QE policies, is preferable to the traditional “corridor system”, for two reasons. First, it endows central banks with one more degree of freedom, since the interest rate and the balance sheet policies become two independent instruments. Second, it enhances the ability of central banks to keep the money market rates in line with their target level. This second prediction is confirmed by an empirical analysis of the money market in the euro area. Therefore, in the “new normal” monetary policy should be implemented by steering the level of interest rates within a floor system, instead of relying on the corridor system used in the old IRS framework.11I wish to thank the Reviewer and the Editor for their very useful comments on a previous version of this article.

Measuring and analyzing the effect of the exchange rate on the money demand in Iraq during the period (1990- 2022)

The research aims to find out the effect of the exchange rate on the money demand in Iraq for the period (1990-2022) based on annual data for the research variables. A standard model has been estimated to determine the relationship between the variables by using the (ARDL) model . The results proved that the exchange rate has a negative impact on the demand for money. The results also showed that the official exchange rate is significant in the short-term period, but its effect is weak and insignificant in the long-term period. As for the exchange rate in the parallel market, it has a greater impact on the money demand in the short and long term compared to the official exchange rate.Accordingly, a set of proposals were presented, including the necessity of taking into account the determinants of the money demand, including the exchange rate, when formulating monetary policy. In addition to the need to conduct more applied studies on the behavior of monetary demand for economic units in light of economic and regional developments in order to reach a state of economic stability.