Path Of Economic Development Research Articles

Optimization Decision of Supplier Selection in Green Procurement under the Mode of Low Carbon Economy

AbstractUnder the background of economic globalization, selecting a path of low-carbon economic development and developing green supply chains are the inevitable choice of realizing the sustainable development for the enterprises. In this paper, we investigate the optimization decision problem of supplier selection in green procurement under the mode of low carbon economy. Concretely, we construct a new evaluation system for green supplier selection by considering commercial criterion and environmental criterion, and then present a decision method with 2-tuple linguistic assessments for green supplier selection. In this proposed decision method, all original decision data are transformed into linguistic 2-tuples, and then a ranking method based on 2-tuple weighted averaging (TWA) operator and 2-tuple ordered weighted averaging (TOWA) operator is presented to rank all alternative suppliers. Moreover, we provide an application decision making example of green supplier selection and compare our method with t...

The effects of environmental regulation and technical progress on CO2 Kuznets curve: An evidence from China

Based on environmental Kuznets curve theory, a panel data model which takes environmental regulation and technical progress as its moderating factors was developed to analyse the institutional and technical factors that affect the path of low-carbon economic development. The results indicated that there was a CO2 emission Kuznets curve seen in China. Environmental regulation had a significant moderating effect on the curve, and the inflection of CO2 emissions could come substantially earlier under stricter environmental regulation. Meanwhile, the impact of technical progress on the low-carbon economic development path had a longer hysteresis effect but restrained CO2 emission during its increasing stage and accelerated its downward trend during the decreasing stage which was conducive to emission reduction. Strict environmental regulation could force the high-carbon emitting industries to transfer from the eastern regions to the central or the western regions of China, which would make the CO2 Kuznets curve higher in its increasing stage and lower in its decreasing stage than that under looser regulation. Furthermore, energy efficiency, energy structure, and industrial structure exerted a significant direct impact on CO2 emissions; we should consider the above factors as essential in the quest for low-carbon economic development.

Structural change in Chinese economy: Impacts on energy use and CO2 emissions in the period 2013–2030

This study investigates the effect of the change of economic structure on the emissions and energy use in China. The study uses the ChinaLINDA model, a calculation framework especially well-suited for analyzing structural change and sectoral shifts in Chinese economy and industry. We illustrate the implications of the different economic development paths up to year 2030 regarding emissions, energy use and employment with a set of three scenarios.In comparison with the reference scenario, the reduction in CO2 emission level in Policy scenario is less than 13 by 2030 even with huge investment in renewable energy capacity and a clear turn away from carbon-intensive growth pattern. Cumulatively the difference of emissions between the Reference scenario and Policy scenario within 2013–2030 is less than 20%. The Chinese CO2 intensity and energy intensity targets are rather stringent. Reaching the CO2 intensity target is difficult even with the optimistic assumption of fast expansion of renewable energy capacity and fast structural change. However, while the renewable energy capacity grows fast, targets set for it are not equally ambitious. The set CO2 intensity and energy intensity targets call for concretization of energy policy.

Economic Development Path of Poland: Innovation and Competitiveness in Light of the Situation of Southern European Countries

Abstract The financial crisis of 2007 revealed structural weaknesses in many European countries, particularly in Southern Europe. The goal of this article is to identify the existing economic situation in the four main Southern European countries: Greece, Italy, Portugal, and Spain (GIPS), and in Poland, conduct a comparative analysis of the development paths and competitiveness levels of these countries using statistical data as well as existing scientific literature, and finally to formulate suggestions for a new development path of Poland. The results of the analysis suggest that Poland's development is currently on a turning point, portraying many similarities to Southern European economies after their EU accession, as well as before the crisis. The authors come to a conclusion that unless Poland undertakes crucial reforms, particularly in the field of its innovation system, business environment, implementation of EU funds, and overall strategic long-term planning, it is inevitable that its economic growth will slow down, possibly falling into a middle-income trap. Poland might not avoid the same mistakes of GIPS, that failed to implement adequate reforms in times of economic growth, what today results in suffering from serious consequences. T is paper presents a unique view on the future economic development of Poland in relation to the paths already undertaken by Southern European economies.

At the Crossroads: Putin's Third Presidential Term and Russia's Institutions

In 2013, Russia's economy entered a phase of stagnation, with a rate of gross domestic product (GDP) growth much lower than that of other emerging economies. This article argues that economic stagnation is linked to the dysfunctional system of informal institutions that permeates every level of political decision making in the country. By discussing four recent books on the topic, the article shows the negative effect of Russia's informal institutions on economic development, as well as how their emergence and persistence is linked to the political system built by Vladimir Putin. The article then outlines different scenarios of institutional reform to show how Russia stands very much at a crossroads between different paths of political, economic and institutional development.

Power to the people: energy in Europe over the last five centuries

Power to the People examines the varied but interconnected relationships between energy consumption and economic development in Europe over the last five centuries. It describes how the traditional energy economy of medieval and early modern Europe was marked by stable or falling per capita energy consumption, and how the First Industrial Revolution in the eighteenth century--fueled by coal and steam engines--redrew the economic, social, and geopolitical map of Europe and the world. The Second Industrial Revolution continued this energy expansion and social transformation through the use of oil and electricity, but after 1970 Europe entered a new stage in which energy consumption has stabilized. This book challenges the view that the outsourcing of heavy industry overseas is the cause, arguing that a Third Industrial Revolution driven by new information and communication technologies has played a major stabilizing role. Power to the People offers new perspectives on the challenges posed today by climate change and peak oil, demonstrating that although the path of modern economic development has vastly increased our energy use, it has not been a story of ever-rising and continuous consumption. The book sheds light on the often lengthy and complex changes needed for new energy systems to emerge, the role of energy resources in economic growth, and the importance of energy efficiency in promoting growth and reducing future energy demand.

Decomposition of energy-related carbon emissions in Xinjiang and relative mitigation policy recommendations

Regional carbon emissions research is necessary and helpful for China in realizing reduction targets. The LMDI I (Logarithmic Mean Divisia Index I) technique based on an extended Kaya identity was conducted to uncover the main five driving forces for energy-related carbon emissions in Xinjiang, an important energy base in China. Decomposition results show that the affluence effect and the population effect are the two most important contributors to increased carbon emissions. The energy intensity effect had a positive influence on carbon emissions during the pre-reform period, and then became the dominant factor in curbing carbon emissions after 1978. The renewable energy penetration effect and the emission coefficient effect showed important negative but relatively minor effects on carbon emissions. Based on the local realities, a comprehensive suite of mitigation policies are raised by considering all of these influencing factors. Mitigation policies will need to significantly reduce energy intensity and pay more attention to the regional economic development path. Fossil fuel substitution should be considered seriously. Renewable energy should be increased in the energy mix. All of these policy recommendations, if implemented by the central and local government, should make great contributions to energy saving and emission reduction in Xinjiang.

Alice Amsden's impact on Latin America

On March 15 2012, we lost Professor Alice Amsden, a great intellectual power in development economics. Her work was systematically marked by creativity, originality, relevance and her fearless commitment to always speak truth to power both in academic as well as in policy-making arenas. This In Memoriam concentrates on just one part of her great intellectual legacy: her impact to better understanding Latin America's development challenges, obstacles and policy options. Our paper focuses on three broad areas of her main influence in the region: the role of transnational corporations, the importance of manufactured exports for development, and industrial policy. As we here argue, in all of them, her work is and continues to be a substantial contribution to knowledge that policy makers will be well advised to take into account if the region is to finally enter a path of structural transformation and sustained economic and social development.

Macroeconomic Determinants of Direct Investment Abroad of Singapore

The objective of this study is to discover the determinants of Direct Investment Abroad (DIA) of Singapore. It also measures the impacts of various determinants on DIA of Singapore. Based on theoretical justification, several potential determinants including aggregate income, interest rate, trade openness and exchange rate are considered in this study. Results obtained reveal that higher aggregate income will contribute to the expansion of abroad investment of Singaporean firms. Meanwhile, the increase (decrease) of DIA of Singapore is significantly related to the appreciation (depreciation) of the Singapore dollar per US dollar exchange rate in the long run. This finding is in tandem with the literature that suggests that appreciation of home currency tends to increase the volume of abroad investment activities. Meanwhile, the current study finds the existence of inverse relationship between interest rate and DIA of Singapore in the long run. This finding is consistent with the argument that lower interest rate reflects the abundance of capital in Singapore and subsequently lowers the opportunity cost in seeking capital for DIA. In other words, these firms have competitive advantage in financing foreign investment due to lower cost of borrowing in home country. Nevertheless, trade openness of Singapore exhibits inverse linkage towards DIA of Singapore in the long run. This may by due to the substitution effect of the trade activities against DIA of Singapore, as explained in the text. It is also discovered that exchange rate and aggregate income have larger influence on DIA of Singapore, compared to other determinants. It is argued that the association of the ownership, location and internationalization advantages gained by Singapore contributed to the economic development path of the country. DOI: http://dx.doi.org/10.5755/j01.ee.25.1.1302

Chinese Economic Development and Leadership Strategy: The Challenges of Creating Competitive Advantage

In the last three decades China’s economic development have achieved great many things some of which are 73 or more companies among the Global Fortune 500 (E & Y Report, 2012). This progress accelerated the country second to the US in its ranking. In addition, Chinese companies are expected to represent close to one fifth of all Global 500s by the 2020. The economy consistently grew 10 percent for the past decades and is anticipated to recover from the recent global financial crisis faster than some Western nations (Ju and Mirza, 2012). The economic growth has created debate among two camps; the skeptics are projecting the bust is near, while the cohorts claim to foresee continuity in the general direction. The purpose of this paper is therefore, to examine China’s economic development in light of an assertive strategic leadership that created sustainable economic development and distinguish the challenges of implementing a strategy to create competitive advantage through multiple economic systems; a market lead economy and a robust state developmentalism. The main question is; could it be possible for China to continue on the path of economic development and create a competitive advantage? If so, what are the opportunities and the challenges? Examination of the questions by using Institutional theory, leadership strategy, economic growth and institutional development theories indicated that continuity of the economic development depends on an assertive leadership and liberalization. Also, China should look into its own brand, and create unique or differentiated products, methods and processes that can sustain economic development. The local sector has similar characteristics as western market lead economy; that the managers are motivated by financial incentives that are received when their decision lead to an overall profit.

The Changes in the Position of Poland on Its Investment Development Path: the Results of the Empirical Analysis

Summary The aim of this paper was to indicate on which stage of an economic development path is probably Poland. The subject of this paper was one of the economic development paths, named usually the investment development path, which model has been shaped mainly by J. H. Dunning and R. Narula. This model is also similar to the model of the economic development path proposed by M. Porter. Therefore, were discussed the changes in the main elements of this model, which took place in the Polish economy in 1995-2012. Those elements were the trade structure diveded by the degree of technological sophistication, direct investment and indicators of economic performance. In order to verify if in the case of Poland have been occurred economic dependences assumed by the representatives of this model also was carried out correlation and regression analysis. The results of the study suggest that Poland shifted to the third stage of analyzed economic development path where more emphasis is placed on innovations as the country moves toward producing more technology intensive products.

Sustainability and Genuine Saving: Empirical Evidence from Sudan Economy

This paper assesses economic development path of Sudan during the period 1977 -2009 via genuine saving rate GSR, determines factors affect genuine saving, using vector autoregression. Genuine saving estimates were obtained from World Bank over the period 1977 to the referendum on South Sudan succession in 2009. Results show that the past values of manufacturing share to GDP, GSR lagged once, and growth rate GR have positive effects on GSR, contrary to GSR lagged twice, and import duty rate values IDR. Almost half the period Sudan suffers from dis-saving, affecting adversely well-being and sustainability. Dutch disease DD is apparent since the export of oil in the last quarter 1999. Keyword: dis-saving, Dutch disease, genuine saving, growth, sustainability, well-being

Structure and agency in the Malaysian government’s policies for economic development

AbstractThis article examines the role of government in Malaysia’s history of economic development. In addressing two key challenges – inter-ethnic inequalities, conflicts and tensions, and exposure to global trade and economic relations – the Malaysian government has become directly involved in the economy. Strong government has played a role in Malaysia’s economic success in a range of ways, from 5-year plans to specific industry promotion and the creation of organisations for particular economic development purposes. Government has also been aware of environmental changes and in response has modified its strategies, established new organisations and invested in innovative ventures. Thus, while the drivers of economic development in Malaysia have been deeply embedded structural phenomena, the actual economic development path taken has been determined by the actions of the Malaysian government in concert with other stakeholders.

Assessment and optimization of economic restructuring in a small peripheral region

An evaluation model is presented which is suitable for planning methods related to the construction of regional economic scenarios. The model is constructed for assessment and optimization the regional economic structure in the medium-run. A scenario experiment was performed in a small peripheral area of Finland, Northern Karelia, in the early 1980s, and preliminary results are given regarding its ability to evaluate the course of restructuring in manufacturing in this area. The best estimates of restructuring were provided by selected individuals forming expert groups, and the best fit at this stage is achieved by the scenario representing the majority of those questioned. The optimization procedure proved to be fruitful only for finding the constraints on the possible economic development paths. The base year for the model was 1978 and the essential criterion parameters, the profitability estimates, were from the years 1974—79. These profitability parameters had changed only slightly by 1984 and 1985, so that the results remain applicable to the mid-80s and indicate that this course of the restructuring is a more permanent phenomenon.

Promoting Efficient and Renewable Energy for Sustainable Development and Climate Change Mitigation in Nigeria: Policy, Legislative and Regulatory Challenges

Energy is essential for development. No developing society can hope to achieve economic sustainability without adequate energy supplies. Virtually every aspect of economic and social activity demands energy. The unavailability of modern forms of energy to some two billion of the world’s population, and inadequate supplies to an estimated additional two billion people, is a major challenge to the achievement of the poverty, gender and health objectives of the United Nations Millennium Development Goals and the Plan of Implementation of the World Summit on Sustainable Development. At the same time, energy generation using fossil fuels is the principal source of greenhouse gas emissions that cause global warming. The mining and processing of fossil fuels can also endanger the lives of miners, cause severe land disruption and pollute land, air and waters. Furthermore, burning fossil fuels emits nitrogen and sulphuric oxides that are themselves toxic and are the precursors of urban smog and acid rain, while coal-burning power stations are responsible for mercury emissions that bio-accumulate in ecosystems, presenting a threat to human health as well as the environment. Providing the energy essential for development while minimising environmental hazards is one of the principal challenges in the 21st century.Energy efficiency offers perhaps the greatest potential to greatly reduce the amount of polluting energy needed to achieve current and future development targets. By eliminating waste, efficiency can often be accomplished at a profit or with a very short payback period of a year or two. Renewable energy, in the form of energy produced from solar, wind, sustainably managed hydro, geothermal and biomass resources, offers the potential to significantly displace the need for polluting fuels. These renewable resources are emphasised in the Plan of Implementation of the World Summit on Sustainable Development. This chapter therefore contends that, while much has been written about the science, technology and policies for promoting energy efficiency and renewable energy, little has been written about the legislative and regulatory options necessary to implement these technologies and policies that make a reality in practice. By promoting clean and efficient energy use at the legislative and regulatory levels, governments can ensure that all stakeholders have the opportunity and incentives to adopt new practices that will help to mitigate climate change and reduce pollution while keeping on the path of economic and social development. It is against this background that this chapter seeks to realise the following objectives: 1) To underscore the importance of efficient and renewable energy to produce electricity for the mitigation of climate change and sustainable development in Nigeria; 2) To provide an overview of the policy, legislative and regulatory measures available to promote energy efficiency and renewable energy as well as climate; change mitigation and adaptation in Nigeria; 3) To highlight the challenges and strategies to overcome the barriers to use and regulation of renewable and efficient energy for electricity in Nigeria.

Executive Summary: The Evolution of Entrepreneurship in Kansas City: A Visual Approach to Analyzing Entrepreneurial Development

Kansas City followed a markedly different path of economic development than more prominent entrepreneurial regions such as Silicon Valley or Boston’s Route 128. Kansas City’s life sciences and technology industries evolved primarily through entrepreneurial spin-off processes, and a few large firms and institutions played key roles in these processes. We have conducted an analysis of and visualized the entrepreneurial dynamics in the Kansas City region in a unique way. Key results are highlighted in this executive summary.

Optimal Pollution Abatement Under ‘Sustainable’ and Other Social Time Preferences

This paper analyses optimal pollution abatement expenditure and the pricing of pollution under alternative social time preferences, including ‘sustainable’ preferences, defined as those that are consistent with two axioms of sustainable development introduced by Chichilnisky (Land Econ 73:467–491, 1997). These axioms state essentially that neither the welfare of present nor future generations ought to be favoured over the other in determining the socially optimal path of economic development. The method is to calibrate a modified Ramsey model of optimal global growth and saving, where pollution is generated by the global output of goods and services. Pollution in turn reduces output. The simulation results illustrate how sensitive the optimal pollution price and abatement expenditure can be over time to assumptions about the social time preference rate. They also show that ‘sustainable’ preferences impose a lower burden on future generations in terms of the pollution price and abatement expenditure. Hence there is a case for governments to make explicit their value judgments about intergenerational welfare, in the context of their notion of sustainable development, when setting target pollution abatement levels and pollution prices over time.

Economic growth consequences of structural stagnation: A two-sector model of productive diversification

The role of manufacturing input diversification is addressed in a two-sector model of endogenous growth. The general economic equilibrium is solved for the world. It is also solved for a small country with scant capital accumulation, low input diversification and high agricultural productivity. In this set up, developed economies lead the world structural transformation and achieve increasing growth rates by carrying out processes of productive diversification. For each country, the model yields that specialization may enhance economic development if factor prices are internationally equalized. However, due to terms of trade deterioration, factor prices are lower in underdeveloped economies. Hence, specialization of the small country according to its comparative advantages –structural stagnation– generates an inferior path of economic development (lower income and slower growth).

The co-evolution of innovation, demand and growth

In order to explain long-run economic development, we analyse in this paper the interplay between supply-side and demand-side processes. On the supply side, three different innovation processes are observed and interact: (i) growing productive efficiency, (ii) the emergence of new sectors and (iii) the increasing quality and differentiation of existing products. On the demand side, we analyse the meaning of disposable income and varying preference systems. The analysis is undertaken with the help of a numerical model of economic growth by the emergence of new industries. Our results show that the time path of economic development which we observe could not have been generated by taking into account a supply-side-based view on innovations alone. Without making reference to the formation of an adequate demand, development processes cannot be explained. The three processes need to be combined because each one individually would not suffice to generate long-run economic development. However, only with the formation of an adequate demand long-run economic development becomes sustainable.

Bhutan: On the Path towards Sustainable Economic Development

The world today is edging towards a precipice of crisis and disaster, pushed continually by unplanned development, and myopic vision of nations, and their leaders. The world requires moving towards sustainable development, which envisages the idea of meeting the worlds present needs, without compromising on the resources for future generations. Bhutan, a small Himalayan kingdom, is aspiring to achieve just that. This paper strives to highlight the uniqueness of Bhutan and discusses upon three of the vital tasks undertaken by Bhutan viz. promoting sustainable agriculture in the form of organic farming, sustainable energy production in the form of hydropower, and sustainable ecotourism as an important industry for the future, and in the process attempts to associate these factors to Bhutans ideology of ensuring happiness for all its citizen through a path of sustainable economic development. This paper attempts at sensitising the audience to the idea that Bhutan is marching ahead on the right path towards achieving sustainable economic development