Panel Data Research Articles

Impact of internet adoption on poverty vulnerability of rural households: panel evidence from China

ABSTRACT We examine the impact of Internet adoption on rural households’ poverty vulnerability in China using the difference-in-differences (DID) approach with varying treatment timing. Our analysis is based on panel data from more than 5,000 rural households in 28 provinces spanning 2014–2018. The DID results indicate that Internet adoption significantly reduces poverty vulnerability among rural households though the effect varies by regions and household characteristics. These findings remain robust across different poverty lines used to compute poverty vulnerability, alternative estimation methods (e.g. other DID approaches accounting for variation in treatment timing across units, propensity score matching with DID, and the endogenous switching regression model), and several other robustness checks. We also explore employment, insurance and health – both physical and mental – as possible mechanisms underlying the relationship between Internet use and vulnerability, drawing relevant policy implications.

Does China’s regional green finance reform drive low-carbon transition? A spatial spillovers perspective

ABSTRACT This study examines the impact of China’s regional green finance reform on low-carbon transition using a spatial Difference-in-Differences approach. Based on panel data from 262 cities (2007–2022), we find that green finance reform significantly improves low-carbon transition efficiency in Green Finance Reform and Innovation Pilot Zones but generate negative spillovers in neighbouring non-pilot areas. Heterogeneity analysis reveals that only Guangzhou experiences a strong and positive direct policy effect, due to its advanced economic foundation and a higher proportion of tertiary industry. In contrast, pilot zones exhibiting weak or insignificant direct policy effects are located in less developed areas (e.g. Guiyang, Nanchang), or in resource-dependent regions dominated by energy-intensive industries (e.g. Huzhou, Quzhou, Karamay, Lanzhou). Our findings provide empirical evidence for policymakers to refine green finance strategies, optimize policy coverage, and mitigate regional disparities in low-carbon development.

Ambiguity aversion and the adoption of weather index-based insurance: experimental evidence from Uganda

PurposeThis study aims to estimate farmers’ ambiguity aversion and analyze its impact on the adoption of weather index-based insurance in Uganda.Design/methodology/approachThe research question we address is: Does the ambiguity of insurance contract outcomes affect farmers’ decisions to adopt weather index-based agricultural insurance (WII)? To explore this, we use incentivized choice experiments to elicit ambiguity preferences and insurance adoption decisions. Our sample includes 291 small-scale coffee farmers from Central and Western Uganda. Given the panel data and the dependence of adoption decisions over time, we employ a dynamic probit model to analyze how ambiguity aversion influences WII uptake. Additionally, we use a pooled binary probit model to test the robustness of our results to different model specifications.FindingsThe results indicate that the adoption of WII decreased with each round of the choice experiment, particularly among ambiguity-averse farmers. We found that 58% of respondents were ambiguity-averse and that ambiguity aversion is negatively associated with WII adoption. Conversely, tertiary education positively influences the likelihood of adopting WII.Practical implicationsThe results imply that farmers are not likely to invest in risk management strategies whose outcomes are not predictable with some level of certainty. Also, the negative effect of ambiguity aversion can be reduced as farmers gain more knowledge about the insurance products. Our findings highlight the need to provide sufficient information and education about the use of WII.Originality/valueThis study contributes to the limited literature on the role that behavioral factors play in the adoption of index-based agricultural insurance.

Real-time functional proteomics enhances therapeutic targeting in precision oncology molecular tumor boards

Collaborative review of molecular profiling data by multidisciplinary molecular tumor boards (MTB) is increasingly important for improving patient management and outcomes, though currently relies nearly exclusively on nucleic acid next-generation sequencing (NGS) and limited panels of immunohistochemistry-based protein abundance data. We examined the feasibility of incorporating real-time laser microdissection (LMD) enrichment of tumor epithelium and commercial CLIA-based reverse phase protein array (RPPA) protein drug target expression/activation profiling into our cancer center’s MTB to complement standard clinical NGS-based profiling. The LMD-RPPA workflow was performed within a therapeutically permissive timeframe with a median dwell time of nine days, during which specimens were processed outside of standard clinical workflows. The RPPA-generated data supported additional and/or alternative therapeutic considerations for 54% of profiled patients following review by the MTB. These findings suggest that integrating proteomic/phosphoproteomic and NGS-based genomic data creates opportunities to further personalize clinical decision-making for precision oncology.

Politics for Survival: Ideological Control and Corporate Strategic Behavior

Ideological control is widely adopted in authoritarian regimes and is often seen as a top-down process. This article advances an alternative view that focuses on its bottom-up part, where firms not only comply with state power but also utilize the control to advance their interests. We substantiate this claim by studying how firms reacted to the policy shift in China during 2017–2018. Using an original firm-year-level panel data set and difference-in-differences as causal identification, we show that Chinese firms engage in party-building activities in the face of rising ideological control, with large firms showing more prominent response than small firms. We conduct further mechanism analysis to show their incentives: firms exhibit political loyalty as a means of self-preservation, but they also leverage such control measures to serve their interests. These findings elucidate the bilateral interactions between firms and the state in durable authoritarian regimes.

FINANCIAL LEVERAGE AND MANAGERIAL EFFICIENCY OF LARGE-SCALE ENTERPRISES IN CAMEROON

This is a quantitative study to investigate the effect of financial leverage on the managerial efficiency of large-scale enterprises in Cameroon. The study made use of the panel data spanning from 2013 to 2019 over a sample of 300 large-scale enterprises. The study’s objective was achieved empirically by using the two step generalised methods of moment system GMM estimation techniques and the pooled ordinary least square and the random effect estimation techniques for robust check. The result indicated that financial leverage is a significant positive determinant of managerial efficiency among large-scale enterprises in Cameroon. In light of the findings, the study recommends that enterprises should invest in managerial training programs to equip managers with the latest tools, knowledge, and strategies that can help improve managerial efficiency and, consequently, the financial performance of enterprises. Keywords: Financial leverage, Managerial efficiency, Large scale Enterprises in Cameroon

Carbon Border Adjustment Mechanism as a Catalyst for Greenfield Investment: Evidence from Chinese Listed Firms Using a Difference-in-Differences Model

Research on the EU’s Carbon Border Adjustment Mechanism (CBAM) has predominantly examined its implications for climate governance and export trade yet overlooked how enterprises adapt their foreign investment strategies. Using panel data from Chinese listed companies between 2011 and 2022, this study employs the CBAM as a quasi-natural experiment and applies a difference-in-differences (DID) model for analysis. Our findings indicate that the CBAM has a significant positive impact on outward greenfield investments, as robustly validated through a series of rigorous robustness checks. Mechanism analysis reveals two operational channels: trade restructuring effect (reduced export shares) and innovation-driven demand effect (enhanced R&D intensity). Heterogeneity tests further indicate more substantial CBAM responsiveness among eastern coastal firms, non-state-owned enterprises, and those pursuing horizontal production-oriented expansions. This study contributes to the literature on CBAM’s effects and offers practical recommendations for enterprises to mitigate CBAM’s impact via greenfield investments.

Green and profitable for sustainable development: the strategic advantage of integrated management systems on environmental, economic and financial performance

Purpose In today’s rapidly evolving and competitive business environment, Integrated Management Systems (IMS) have become essential for firms striving to excel across various performance metrics. The benefits of individual ISO standards have been widely documented; however, the extent to which adopting IMS affects firm performance in the economic, financial and environmental dimensions is less understood. Therefore, this study aims to assess the influence of IMS adoption on manufacturing firms’ performance across all performance dimensions. Design/methodology/approach To achieve this objective, panel data from 245 firms listed on the Pakistan Stock Exchange for 2009–2023 were analyzed. The authors empirically analyzed the results using a two-way fixed-effects panel regression model. The authors empirically analyze the results using a two-way fixed-effects panel regression model. Findings The authors find that firms that adopt IMS significantly improve their economic, financial and environmental performance. Originality/value This study shows how IMS improves firm performance and provides a competitive edge in a changing business environment.

Socio-economic and Policy Determinants of Low Fertility in OECD Countries (2014–2023): Implications for South Korea

Low fertility rates pose significant demographic and economic challenges across many OECD countries, including South Korea. This study examines how economic, social, and policy-related factors collectively influence fertility decisions by employing fixed-effects regression models on panel data from 2014 to 2023. The findings confirm that higher unemployment rates and economic uncertainty negatively affect fertility, whereas family benefit expenditures and childcare support exhibit positive, statistically significant relationships with birth rates. Multidimensional Scaling (MDS) analysis further reveals distinct clusters among OECD countries, highlighting a group of Nordic nations that sustain relatively high birth rates alongside robust female labor force participation and comprehensive family policies. In contrast, South Korea stands out with a notably low fertility level and comparatively underdeveloped support structures, underscoring the urgent need for targeted policy interventions. Based on these results, the study proposes a comprehensive policy framework that integrates employment stability, enhanced childcare services, and culturally supportive environments to promote sustainable fertility outcomes. The study’s implications underscore not only the importance of aligning macro-level policies with micro-level sociocultural contexts, but also the particular relevance of such insights for addressing persistent low fertility rates in South Korea.

Anemia, weight, and height among children under five in Peru (2007-2022): a panel data analysis

Panel data methods are becoming crucial in econometrics and social sciences for analyzing data that follows the same entities (such as individuals, firms, countries) over multiple time periods. In this article, we employ a useful approach (Feasible Generalized Least Squares) to assess if there are statistically relevant relationships between hemoglobin (adjusted to sea-level), weight, and height for the period 2007–2022 in children up to five years of age in Peru. By using this method, we may find a tool that allow us to confirm if the relationships considered between the target variables by the Peruvian agencies and authorities are in the right direction to fight against chronic malnutrition and stunting. While health policies aimed at reducing anemia and improving nutrition, such as supplementation programs and maternal education initiatives, may have contributed to these trends, further research with multidisciplinary collaboration is necessary to quantify the specific impact of these interventions on the observed outcomes.

The Impact of Blockchain Technology on Corporate ESG Performance: The Moderating Role of Digital Financial Innovation

This study investigates the relationship between blockchain technology adoption and corporate Environmental, Social, and Governance (ESG) performance, with a particular focus on the moderating effect of digital financial innovation. Using panel data from 5,000 firms in the CMARS database, we employ a fixed-effects model to analyze how blockchain implementation influences ESG metrics across different dimensions. Our findings reveal that blockchain adoption positively affects ESG performance, with the effect being more pronounced for environmental and governance dimensions. Furthermore, digital financial innovation significantly enhances this relationship, suggesting complementary effects between blockchain technology and innovative digital financial services. The results remain robust to alternative specifications, endogeneity corrections, and various sensitivity analyses. Our study contributes to the emerging literature on technological innovation and corporate sustainability by highlighting the mechanisms through which blockchain technology can drive improvements in ESG performance. These findings have important implications for corporate technology strategy, sustainability policy, and financial innovation.

Does National Auditing Improve Local Fiscal Transparency? Evidence From China

ABSTRACTThis paper examines whether and how national audits affect local fiscal transparency in China. Using panel data from 30 provinces between 2009 and 2018, we find that national audits significantly improve local fiscal transparency after controlling for various economic and institutional factors. The effect of national audits on fiscal transparency varies significantly by region, which is stronger and statistically significant in eastern regions and in regions with high land finance, while not significant in central‐western regions or in those with low land finance. Furthermore, the positive impact is primarily driven by the disclosure and defense functions. These findings suggest that national audits are valuable for improving fiscal transparency, but their effectiveness varies depending on regional economic development and local government financing mechanisms.

Sustainable Development in Focus: CO2 Emissions and Capital Accumulation

In the modern era, CO2 emissions is a popular and significant study topic. Environmental sustainability is adversely affected by CO2 emissions, which have become the main cause of climate change. Using panel data analysis, this study investigated the connections between CO2 emissions and economic development, capital accumulation, and the use of renewable energy. Long-term connections between variables were examined using the Augmented Mean Group (AMG) and Common Correlated Effects Mean Group (CCEMG) estimators, taking into account heterogeneity and cross-sectional dependence. Additionally, the Dumitrescu–Hurlin Panel Granger Causality Test was used to assess dynamic interactions between variables. Although CH4 emissions increase CO2 emissions, the effects of economic growth and capital accumulation are not statistically significant, as determined using the AMG and CCEMG. Although the use of renewable energy was shown to have the potential to lower CO2 emissions, this impact was not statistically significant. The results of the dynamic panel demonstrate that CO2 emissions increase with capital accumulation. Although methane (CH4) emissions significantly impact CO2 emissions, economic growth, capital accumulation, and renewable energy use do not show statistically significant effects, highlighting the varying influences of these factors across nations. The findings of this study emphasize the need to integrate environmental regulations into capital investment strategies and adopt country-specific policies to effectively reduce CO2 emissions. They also underscore the need to customize green legislation to the specific conditions of each nation while simultaneously advocating for further expenditures in clean energy and the formulation of policies to supplant fossil fuels.

The Role of Environmental Regulation and Agricultural Insurance Effect on Agricultural High Quality Development

Under the background of "double carbon" goal and Rural Revitalization Strategy, agricultural high-quality development needs to coordinate the policy synergy effect of environmental regulation and agricultural insurance. Based on the perspective of behavior change, this paper uses the panel data of 31 provinces in China from 2014 to 2023 and the two-way fixed effect model to explore the impact mechanism of agricultural insurance on agricultural green total factor productivity through environmental regulation. The results show that: first, agricultural insurance significantly promotes the improvement of agricultural green total factor productivity, and environmental regulation plays an intermediary role in it; Second, the heterogeneity analysis shows that agricultural insurance plays a significant role in the eastern and western regions, but its effect on the central region is limited; Third, the conclusion is robust after eliminating abnormal samples, which verifies the key value of policy tools in optimizing factor input and promoting low-carbon transformation.

Asymmetry and Spillover Effects in the Relationship Between Stock Markets and Mental Health: An Alternative Approach.

Despite the arguments made by prospect theory, there is a lack of studies investigating asymmetric effects in the relationship between stock markets and mental health. We use the UK based Understanding Society panel dataset between 2010 and 2023 to investigate if stock market fluctuations have an asymmetric impact on mental health, and if there are mental health spillover effects on investors' household members, providing the first paper to investigate this relationship using an asymmetric fixed effects model for panel data. We find that a decreasing stock market index has a stronger impact on mental health than an increasing one, supporting prospect theory. We also suggest that prospect theory does not hold for males in explaining the relationship between stock market fluctuations and mental health. Finally, we provide novel evidence for a mental health spillover effect of negative 52-week returns on investors' household members.

Does internal carbon pricing moderate the firm value effects of carbon emission? A study of an emerging economy

PurposeThe present research aims to analyse the impact of carbon emissions on the firm’s market value. Further, the study also purports to examine the moderating role of carbon management practices on the firm value effects of emissions.Design/methodology/approachThe study adopts the panel data regression method to analyse the data of 107 companies collected from 2014 to 2023. Further, the moderation effect has been tested using PROCESS Macro and the hierarchical regression approach. Besides, a system generalized methods of moment has been performed to control for potential endogeneity.FindingsThe study found a significant negative impact of carbon emissions on the market value of the sample firms. Further, the results also indicate that carbon management practices positively moderate this relation. It signifies that companies endeavouring to mitigate CO2 emissions experience low-intensity negative emission effects.Research limitations/implicationsThe present research enriches the growing literature on the economic outcomes of environmental performance and sustainability practices. However, the study covers the listed firms of an emerging economy, which restricts the generalizability in the developed economy context.Practical implicationsCorporate practitioners can base their carbon management policies on the verdicts of the present research by understanding the effects of CO2 emission on firm value.Originality/valueThe present study, to the best of the author’s knowledge, is the first empirical research that analyses the moderating role of carbon management practices on the emission and market value nexus.

Role of gender-based digital financial inclusion and women empowerment in poverty reduction: evidence from Asian countries

The main aim of this study is to explore the role of gender-based digital financial inclusion (GDFI) and women empowerment in poverty reduction in Asian countries using a panel data set from 2011 to 2023. For this purpose, the GDFI index, consisting of various indicators, was constructed employing principal component analysis (PCA). It also uses econometric techniques like the cross-sectional dependence (CSD) test, second-generation unit root tests such as CADF and CIPS, and traditional cointegration tests such as Pedroni and Kao. Further, CS-ARDL, Feasible Generalized Least Square (FGLS) Driscoll–Kraay (DK) standard errors, and Pairwise Dumitrescu and Hurlin panel causality test were applied. It was found that gender-based DFI and women's empowerment have a significant role in poverty reduction. They both influence positively in increasing household consumption. Moreover, inflation in the economy negatively influences poverty reduction. Access to financial independence among women can enable them to improve their bargaining power in households. Access to banks can increase their access to capital and lead to entrepreneurial activities. Hence, it is creating a more inclusive and sustainable development society. Further, the causality test findings suggested a bi-directional causal relationship between GDFI and poverty reduction, female labour force participation (FLP) and poverty reduction, and a unidirectional relationship between inflation and poverty reduction. The findings imply that enhancing gender-based digital financial inclusion (GDFI) and women's empowerment can significantly contribute to poverty reduction by increasing household consumption and financial independence.

Economic Growth, Good Governance and Agricultural Development in the West African Economic and Monetary Union (WAEMU) Countries: Analysis of the Impact of Ofϐicial Development Assistance

The main objective of this research was to analyze the effects of official development assistance (ODA) on economic growth and agricultural development in WAEMU countries, with the exception of Guinea-Bissau. The study focused on a twenty-year period from 2000 to 2020. To achieve this objective, we use very recent econometric methods, including panel data cointegration. We estimated our model using the Pooled Mean Group (PMG) method. The results from our estimations show that ODA negatively influences economic growth while its impact is positive on agricultural development in WAEMU countries in the long term. Also, political stability and control of corruption positively impact agricultural development. On the other hand, the interaction of ODA in a context of governance on GDP per capita is not significant. Thus, the relationship between official development assistance and economic growth must be supported by good governance. In light of our results, the resulting policy implications for improving the use of official development assistance flows in these countries are as follows: (i) Promote the quality of governance, which is a condition for the effectiveness of official development assistance in developing countries (improve transparency and management of flows received by creating aid monitoring committees in the national assemblies of each country, reduce corruption); (ii) Invest in profitable sectors such as agriculture through the use of agricultural technologies and by training farmers in advanced cultivation techniques; (iii) Strengthen human capital by training competent national experts capable of implementing policies adapted to the realities of the area; (iv) Strengthen trade openness policies to facilitate trade within WAEMU countries.

The Poverty Alleviation Role of the “Insurance+Futures” Pattern—Evidence from 10 Chinese Provinces

This paper sorts out the poverty reduction mechanism of the “insurance+futures” pattern and uses actual data from the top 10 provinces in China with the highest underwriting value in the “insurance+futures” pattern since 2016 to test it by a panel data model. The results show that the “insurance+futures” pattern has a significant effect on reducing poverty. By replacing the proxy variable for the dependent variable and changing the samples for testing, the results remained significantly valid, demonstrating the robustness of the conclusion.

A Random Forest–Based Panel Data Approach for Program Evaluation

ABSTRACTIt is challenging to conduct controlled experiments to assess the impacts of social policy. To address this, past studies propose a panel data approach using factor models to estimate average treatment effects. The selection of control units is a critical step to balance the goodness of fit within‐sample with the posttreatment forecasting error when the number of observed potential control units is large. In this study, we propose using random forests, an ensemble learning method, which offers robustness and requires fewer candidate models compared to existing methods. We demonstrate that our approach effectively selects almost all relevant control units, and we provide asymptotic normality results under the null of no average treatment effect and significance tests for policy interventions. Extensive simulations confirm the method's superior performance. In the empirical studies, we showcase the usefulness of the method by evaluating the impact of Brexit on the United Kingdom's GDP growth and China's anti‐corruption campaign on the importation of luxury watches.