Resource-based Sectors Research Articles

Industry 5.0 Research in the Sustainable Information Systems Sector: A Scoping Review Analysis

Industry 4.0, centered on cyber-physical production systems, has been criticized for prioritizing profit over social and environmental concerns. In contrast, Industry 5.0 emphasizes AI efficiency while promoting human-centric, resilient, and sustainable approaches, integrating economic, social, and environmental systems. Previous research has often focused solely on conceptual frameworks and technologies, overlooking Industry 5.0's sector-specific impacts. This study addresses that gap by conducting a scoping review to map research findings, identify trends, and highlight knowledge gaps and future research opportunities. By systematically analyzing literature from the Scopus database (2016-present), the study refined a large dataset to focus on Industry 5.0's relevance. The analysis revealed significant attention to sectors like Industry and Producer Services, while Agriculture and Retail, particularly natural resource-based sectors like agriculture and fisheries, are often neglected. Key findings indicate that Industry 5.0 is likely to be driven by the industrial sector, followed by product services and financial industries. The study also highlights the strong connection between IoT and AI in optimizing operations with real-time data and automation and identifies blockchain as a promising technology for enhancing transparency and security, despite existing implementation challenges. This research not only serves as a foundational record of Industry 5.0's implications across various sectors but also provides valuable insights into its role in Information Systems (IS). It lays the groundwork for future exploration of Industry 5.0 in diverse sectors and industries.

How does digital transformation affect the total factor productivity of China's A-share listed enterprises in the mineral resource-based sector?

In light of the escalating constraints on resources and the complexities of sustainable development, the conventional extensive production approaches employed by mineral resource-based enterprises are ill-suited to fulfill the demands for efficient and eco-friendly operations. Such circumstances call for the adoption of novel development paradigms that promote sustainable practices. Particularly, the digital transformation has become a pivotal pathway towards the realization of high-quality development within the context of the ongoing technological revolution and the shift in economic frameworks. Based on the comprehensive dataset of the annual reports and input-output data of Chinese A-share listed enterprises between 2009 and 2021, this study seeks to examine the net impact and potential channels through which digital transformation affects the total factor productivity of these specific enterprises. The empirical results confirm the promoting effect of digital transformation on enterprises' total factor productivity. This highlight persists valid after a series of thorough robustness checks. Notably, this beneficial role can be achieved by the enhancement of corporate capabilities, the mitigation of financial constraints, and the improvement of economic advantages. And the heterogeneity in this promoting effect is evident across enterprises with different characteristics. The positive moderating influence of government competitions in this context is a factor that warrants consideration. Thereby, the research highlights not only furnish a rigorous scientific foundation and direction guide for the strategic formulation of mineral resource-based enterprises, but also proffer critical insights for policymakers to accelerate the modernization endeavor of resource-based cities as well as entire regional domains.

Evolution from natural resources to trade dynamics: Paving the way for sustainable development goals

This study investigates China's transition from resource reliance to trade dynamics, emphasizing sustainable development. Through panel data analysis spanning 1990 to 2020, it explores the nexus between natural resources, trade, and sustainable outcomes. China's economy evolves from resource-based sectors to trade-driven industries, indicating progress in sustainability. Trade significantly drives economic growth, diversification, and environmental balance. The study underscores the need for strategic policies and global partnerships to leverage trade for sustainable development while addressing environmental concerns tied to resource-intensive practices. These insights inform policymakers and stakeholders, aligning trade strategies with sustainable goals, thus fostering a resilient and equitable economy.

GREEN ECONOMY AS A FACTOR OF SUSTAINABLE DEVELOPMENT

The purpose of the article is to study the directions of development of the green economy in Ukraine as a factor of ensuring the transition to sustainable development of the country. Methodology. One of the main elements of the methodology for conducting research on the green economy as a factor of ensuring sustainable development are evaluation methods. Comparative, balance, graphic, economic-mathematical and other methods of economic justification are used in the work. The methods of systematisation and generalisation were used to study the principles of further ecologically balanced development, economic-statistical, structural-logical and analytical – for the development of methods and indicators for the analysis of the system of directions of the green economy, graphic – for the visual presentation of the dynamics of indicators of sustainable development. The results of the work show that the growth of income and employment in the green economy is guaranteed at the expense of public and private investments aimed at increasing energy efficiency, reducing the negative impacts of economic activity and increasing the diversity and productivity of the biosphere, in the interests of the entire population, especially the poorest. It is important to emphasise that the concept of the green economy does not replace the concept of sustainable development, but develops it and is a means of putting it into practice. Green development can only be ensured if environmental and economic policies are integrated in such a way that social progress, economic growth and improvement in the quality of life of the population take place against a background of reduced threats to the surrounding natural environment. Practical implications. The concept of green growth emphasises the importance of integrating environmental and economic policies in order to identify new potential sources of economic growth without placing an "unsustainable" burden on the quantity and quality of natural resources. The transition to a green economy requires the application of a wide range of measures, including economic instruments (taxes, subsidies, emissions trading schemes), government regulatory measures (setting standards) and non-economic measures (voluntary initiatives, provision of information). Value/originality. Important economic indicators of sustainable environmental and economic development are a nature-intensive economy and a structural indicator that reflects the specific weight of products and investments in the natural resource-based sectors of the economy.

Environmental policy integration in a newly established natural resource-based sector: the role of advocacy coalitions and contrasting conceptions of sustainability

Contributing a new South American case study, this paper seeks to advance the research agenda on processes of policy integration by developing a better understanding of how nascent subsystems become integrated into mature ones and the role that changing beliefs of advocacy coalitions play in fostering policy integration. The paper examines environmental policy integration in Uruguay’s forestry sector since the 1990s and is based on an inductive qualitative analysis of policy documents, sector reports, parliament hearings and semi-structured interviews with key stakeholders. This demonstrates that environmental policy integration has increased continuously since the 1990s, accelerating particularly during the 2000s. We can derive three insights that specifically address this path of integration: a change in the policy beliefs of the dominant advocacy coalition, international salience of the minority coalition`s beliefs and participatory policy processes that foster interactions between opposing coalitions. Despite this, the two advocacy coalitions have crystallized with fundamentally different deep core beliefs about what a sustainable forestry sector should be. While one coalition argues that commercial tree plantations are sufficiently regulated in environmental terms, the other coalition maintains that the way that the pulp industry has developed in Uruguay is fundamentally unsustainable and therefore seeks to change the forestry sector as a whole.

TOURISM FOR ECONOMIC RECOVERY IN CENTRAL KALIMANTAN : SIMULATION USING INPUT-OUTPUT TABLE


 
 
 
 Abstract
 The Covid-19 pandemic has had a negative impact on Central Kalimantan's economic growth with a contraction of 1.40 percent in 2020. Central Kalimantan's economic is still highly dependent on natural resource-based sectors, and it will be very vulnerable because the movement of the economy will be greatly influenced by global price volatility and its uncertainty. The tourism sector, therefore, is an important sector that is expected to be an alternative driver sector of economic recovery. This study aims to measure and analyze the relationship between the tourism sector and other sectors, as well as to simulate investment policies in Central Kalimantan. Limited studies that focus on the tourism sector as planning for economic recovery after the pandemic, especially in Central Kalimantan, can make this research as a reference for policy makers in economic planning. The Input Output table released in May 2021 becomes secondary data used in research with forward and backward linkage analysis and investment simulations in the tourism sector. The results showed that the tourism sector is the sector that has the highest forward linkage in Central Kalimantan. Furthermore, if investment is given to the sector of accommodation and food service activities, it will provide the greatest boost to the total economy compared to other tourism sectors. However, the transportation sector which is the infrastructure in tourism also has an important role as a leading sector with more than one forward and backward linkage index.
 
 Keywords: Pandemic, Tourism Sector, Economic Recovery, Input Output Table
 
 
 
 
 
 
 
 

The political economy of actively phasing out harmful industries: Lessons from resource-based sectors beyond fossil fuels

The growing urgency of reducing fossil fuel consumption has spurred interest in the political economy dimensions of policies that aim to phase out existing industries. Much of this growing literature has focused on previous energy transitions and phase-outs. In this perspective article, I highlight the value of looking at cases beyond energy and fossil fuels to understand the dynamics of industry phase-out. To illustrate the point, I provide three short empirical case studies of industries in which policymakers have taken active steps to phase out or reduce specific industries. The cases are asbestos mining, tobacco cultivation, and cod fisheries in the UK's Humber region.The cases highlight the potential for economic diversification policies to both soften the blow faced by communities that are dependent on industries at the heart of phase-out policies, and to undermine the advocacy coalitions opposing phase-out policy. All three also suggest that cultural identity issues can play an important role in the politics of industry decline. The paper concludes by highlighting four avenues for future research into the political economy of actively phasing out harmful industries.

Non-Oil Sectors, Economic Diversification and Growth in Nigeria: Further Empirical Evidence

Abstract The adverse consequences of over-reliance of Nigerian economy on oil has continued to heighten the call and need to diversify the productive base of the economy towards non-oil sectors. To heed the call, successive governments have implemented several economic policies at different periods. However, while the contents of these policies are plausible, the full-anticipated benefits are far from being realized. The disappointing results have been linked to two principal factors: the incoherent implementation of the policies and neglect of the country-specific circumstances. Informed by the need to take cognizance of the country’s peculiar circumstances, the question as to which priority sectors that Nigeria should target for diversification efforts has come up in literature. Empirically, in view of the country’s natural resource abundance, studies have suggested agricultural, industrial and many others non-oil sectors as plausible options for diversifying the economy. In light of this, the study examines the interactions among non-oil sectors, economic diversification and growth in a multivariate VAR model over the period 1960-2019. Empirical results reveal that while an expansion of economic activities into resource-based sectors is a necessary condition for diversification; however, it is not a sufficient condition as the dimension of the diversification matters.

Climate variability, innovation and firm performance: evidence from the European agricultural sector

Abstract It is generally accepted that adaptation to climate variability requires a technological advancement strategy. However, the innovation process has received little explicit consideration in this framework. We employ a panel endogenous switching regression model to explore whether and to what extent climate variability affects firm performance through the ability to induce the development of adaptation innovations in key resource-based sectors in Europe during the period 2007–2017. Our findings confirm that the knowledge generation process at the heart of climate change adaptation technologies enhances firm performance, especially for firms in the aquaculture and fishing sub-sectors in northern European countries.

Improving Competitiveness Through Vocational and Higher Education: Indonesia’s Vision For Human Capital Development In 2019–2024

This article explores Indonesia’s readiness to upgrade its human capital in response to changes in population and economic structure in order to harness the technological advances of the Fourth Industrial Revolution. The symptoms of premature deindustrialisation can be clearly observed in Indonesia, suggesting that it needs to improve its productivity to adapt to digital disruption and structural economic change. Supplyside advancement will require infrastructure and human resource development. On the production side, Indonesia will need to revitalise its manufacturing, service and resource-based sectors, treating them as value chains to be integrated into global networks. Indonesia’s education policy framework to upgrade human resources and improve the country’s competitiveness focuses on five areas: access to education; quality of education; synergies between government, industry and higher education; industry linkages; and incentives. Meanwhile, the disruption caused by the Covid-19 pandemic is forcing the Indonesian education system to instantly revolutionise its teaching methods to adapt to pandemic and post-pandemic conditions.

Local-foreign technology interface, resource-based development, and industrial policy: how Chile and Malaysia are escaping the middle-income trap

This paper starts by showing that Chile and Malaysia are on the path of escaping the middle-income trap in terms of their income level relative to that of the USA. In contrast to the conventional view, we find that the leading export sectors are not manufacturing (such as electronics) in Malaysia or mining alone in Chile. Instead, the engines of growth have been (1) resource-based sectors (petroleum, rubber and palm oil) in Malaysia; and (2) non-mining resource-based sectors (salmon, fruits, wine and wood-based) in Chile. Furthermore, the sustained growth of these sectors is not the result of free-markets, as frequently argued, but also of specific industrial policy measures, that have enabled the accumulation of productive and innovation capabilities through R&D support, fiscal incentives, export assistance, and quality control. We also find that the emergence of locally-controlled firms has been an important aspect of this long-term success, although the sources of the initial learning included foreign actors and FDI. The cases of Chile and Malaysia consequently show the possibility of escaping the middle-income trap not through manufacturing but instead through resource-based development. Such strategy differs from the so-called short cycle technology-based catch-up by the East Asian tigers and from the unsustainable commodity rent-extraction in resource-rich countries, but is consistent with the view that emphasizes the need to specialize in sectors with low entry barriers, and to promote investments in innovation and technological capabilities.

The good, the bad, or the ugly? Corporate strategies, size, and environmental regulation in the fish-farming industry

AbstractThis article investigates corporate responses to environmental regulation of fish farming in Norway, the world's largest producer and exporter of salmon. We note a puzzling strategic divergence within the industry: whereas small firms have strongly opposed new standards, large and multinational firms have supported or even demanded stricter regulation. Traditional models for business response strategies can explain this divergence only partly. We develop a supplementary, explanatory perspective focusing on company size and predatory opportunities, to show how large and dominant corporate players can use environmental regulation strategically to strengthen their competitive advantages at the expense of small and weaker rivals. This highlights a neglected dimension of regulatory effects and motives behind corporate demand for strict and costly standards. It aso shows how environmental regulations may cause trade-offs with local development concerns, relevant to other natural resource-based sectors evolving from smaller-scale production towards full-fledged industrialization.

Stakeholder trust and holistic fishery sustainability assessments

Australia is considered world-leading in sustainable fisheries management. Despite this, public perceptions and trust in how fisheries are managed vary widely. Existing models of trust and community acceptance in extractive industries suggest transparently reporting on a wider range of sustainability issues than resource use and condition levels, or the status of target stocks in the case of fisheries, as a potential way to build public awareness and trust. Public perceptions of sustainability can be narrow or broad and related to different world views and perspectives about what is important. Here we investigate whether approaches such as Australia's conceptual ‘Healthcheck’ framework for fisheries sustainability reporting, could contribute to increasing public trust in fishery management. Interviews with 21 people who currently use (or would use) fisheries information in their professional work revealed interest in a wide range of sustainability issues and a desire for more easily accessible and trusted information. The interviews also revealed four common themes: Trust and distrust; Sustainability concerns and interpretations; Conflicts and values; and Fisheries information sources and knowledge gaps. These themes emphasise the need to take a broad view of sustainability and communication in fishery management, across the range of actors involved, to collaborate widely and build more engagement and relationships with the public in different forms. We use these findings to propose how the established model of trust and community acceptance of natural resource-based sectors could be applied to commercial fisheries and relate to other initiatives, such as the Sustainable Development Goals.

Branching Out: How Canada’s Forestry Products Sector is Reshaping its Future

The external forces buffeting Canada’s forest sector – price swings, US trade protectionism, and shifting market demand for its core products – have challenged the sector to become an innovation leader. As a natural resource-based sector, it also has had the come to terms with the challenges of sustainability and associated changes in the regulatory environment. Today, Canada’s forest sector shows potential as a leader in innovation, environmental sustainability and international trade. Among key exporters of forest products, Canada has been more exposed to the dwindling demand for newsprint than many of its key competitors, who have been able to expand more rapidly their exports of other types of paper and related products. More generally, investments in new capacity have languished in Canada, while expansion (including by Canadian companies seeking to diversify and jump over protectionist barriers) has proceeded in the United States, Europe and elsewhere. However, wood products are now being used as the base materials for tall buildings, such as condo towers, and as an important component to the nation’s fuel supply. Meanwhile, bioplastics made from wood are being turned into everything from airplanes to product packaging. While many of these applications are in a somewhat nascent phase of development, they are fast evolving and show significant potential. Even though the forest sector is already a leader in many parts of the emerging bio-economy and accounts for 12 percent of Canada’s manufacturing sector GDP, it has the potential to do even better. Given the rapid growth in applications for wood products, supporting the forest sector directly reinforces Canada’s desire to provide world-leading opportunities to its citizens in STEM professions. Moreover, sound forest management practices lead to better environmental and economic outcomes, including greater levels of carbon sequestration and increased biodiversity. Key recommendations include: • Scale up the government contributions to FPInnovations, a non-profit innovation hub for the forestry industry, and other vehicles with a successful track record of commercialization. • Consolidate the early product and process innovations supported by the federal government in partnership with the industry to make Canada a global leader in the emerging “tall wooden building space.” • Endeavour to ensure “regulatory neutrality” for the use of emerging wood and wood-based products. • Create a window supported by carbon tax revenues to drive innovative local solutions to forest management, adaption and utilization; and • Develop a sectoral arrangement on trade in forest products with China, focused on the construction sector.

Structural Transformation in South Africa: Moving Towards a Smart, Open Economy for All

South Africa’s post-apartheid economic transformation project has not generally delivered a “better life for all” as promised at the dawn of democracy. While most middle and upper-middle income countries have continued to see industry leading overall growth, with high investment levels, one of the most striking features of South Africa’s economy is that it remains strongly oriented towards resource-based sectors. South Africa has in fact prematurely de-industrialised. While the financial sector has grown, investment levels in productive capacity and infrastructure have remained low. At the same time, concentration levels and profits have remained high. This has profound effects on the ability to generate jobs and support livelihoods. This paper unpacks the factors that have led to poor outcomes, and puts forward ideas for a reindustrialization agenda by drawing lessons from three industry studies, metals, machinery and equipment, the food and agro-processing sector and the automotive sector. In order to reindustrialise, investment in productive capacity is critical. It requires a new vision and programme for industrialisation under a political settlement which prioritises long-term investment in productive capacity, and rewards effort and creativity rather than incumbency. The vision proposed takes into account the political economy factors that shape outcomes, and puts forward priorities for a reindustrialization agenda.

ORGANIZATIONAL ASPECTS OF TECHNOLOGICAL MODERNIZATION IN RUSSIA

At present, the issues related to overcoming technical backwardness, economic growth rate, increase in labor productivity, modernization of the industrial complex, formation of digital economy are coming to the fore in Russia at the present time. Under the circumstances, a crucial role is played by the industrial sector as a driver of scientific progress and social development. However, the current situation is not conducive to the development of industrial sectors and new technological modes. Moreover, it can lead to a de-industrialization. Technological upgrading and the transition to sustainable development in current situation depend on the speed of manufacturing production and the transition to a more efficient production models with a greater added-value and knowledge content. Modernization of conventional industries and the development of technological sectors will be a crucial factor for economic growth. However, the volatile situation of industrial sectors, the limits of resource-based sectors is capacity, prevalence of factors relating to the fluctuations in the global economy the posed challenges on the way.

Economic Transition and Changing Location of Manufacturing Industry in China: A Study of the Yangtze River Delta

Industrial restructuring is widely considered an important force in regional economic growth and sustainable development. With increased globalization and economic transition, a dramatic industrial restructuring has been taking place in China. Applying geographically weighted shift-share model (GW-SSM) and geographically and temporally weighted regression model (GTWR), we analyze (re)location dynamics and determinants of the manufacturing industry in the Yangtze River Delta (YRD) from 1999 to 2013, with particular attention to the implications of economic transition and institutional restructuring. We find that high-tech and capital-intensive manufacturing industries agglomerated in coastal cities, while labor-intensive and resource-based sectors have become spatially more dispersed to peripheral areas. We also find that the development of service and high-tech industries, rising labor costs, and more strict environmental regulations have facilitated the geographic dispersion of labor- and pollution-intensive industries. Moreover, regions with advantages in intermediate goods, preferential policies, and urbanization economies are attractive to capital- and technology-intensive manufacturing industries. Our research suggests that development policies should be tailored to specific regions to promote local production and innovative networks and make manufacturing industries more competitive.

Natural resource based growth, global value chains and domestic capabilities in the mining industry

Received theory of production is not very useful if we try to understand what the ‘sources’ of growth are when we deal with natural resource-based sectors of economic activity. In these industries, a complex set of interactions and co-evolution prevails between firms producing the commodity and leading the value chain, subcontractors supplying them with machinery, equipment, services and process engineering knowhow, public sector agencies monitoring their environmental impact and local communities engaged in the exploitation of the resource. These agents interact on a daily basis giving rise to a complex set of ‘sector specific’ rules of governance which vary from country to country and from sector to sector.In this paper we look at the mining industry, that has experienced a very rapid process of change due to the dramatic expansion of demand from China, India and other economies, and to major changes in the international knowledge frontier in many different scientific and technological disciplines (e.g. geology, biotechnologies, digital and computer sciences, health sciences and engineering). These developments have induced dramatic changes in the industry and most notably in the patterns of interaction among the various agents mentioned above. A similar process of sector-specific dynamic interdependencies seems to prevail in other natural resource based sectors, such as aquaculture, forestry products and others. In this paper we present a model of these interactions and sketch out an analytical view as to how production organization takes place in the mining sector, and how these location-specific forces induce change in the industry over time. Our way of looking at these issues has strong policy implications which we briefly examine in the final pages of the paper.

Fish Trade Liberalization Under 21st Century Trade Agreements: The CETA and Newfoundland and Labrador Fish and Seafood Industry

Both classical (Ricardo) and neo-classical (Heckscher-Ohlin) theories of international trade assume that free trade results in welfare gains for all involved. A more recent literature dedicated to liberalization of trade in renewable resources finds that welfare effects depend on certain factors, such as the country's status as importer or exporter, the state of the renewable resource stocks and the size of the country on the world market (Chichilnisky, 1993; Brander and Taylor, 1997a; Emami and Johnston, 2000, Hannesson, 2000), or remain theoretically indeterminate and require empirical analysis (Nielsen, 2009).Fish trade liberalization is provided in the Comprehensive Economic and Trade Agreement (CETA) concluded by the Canadian Government in 2013 with the European Union (EU). This new type of “21st century” trade agreement challenges both the conventional theory of international trade and renewable resource-based sectors of economic activity such as fish and seafood by opening them up to industrial-type international competition and integration. The paper uses the theoretical framework of ecological economics (Costanza et al., 2015) to demonstrate that the declining Newfoundland and Labrador (NL) fish and seafood industry is not ready to participate gainfully in implementation of the CETA. It also uses the concept of “policy space” (Rodrik 2007, Pauwelyn 2008) to recommend some policy changes that can prepare the NL fish and seafood sector for competitive and beneficial participation in the CETA. Restructuring the fish and seafood sector with a focus on small scale, elimination of harmful subsidies and redirecting them to achieve lower costs of operation, better trained labor force, and more just and sustainable supply/marketing networks, will make it fit to benefit from the gains from trade and to contribute to a more equitable distribution of the benefits of the fishery to the fishers and local communities.

Capability creation in the natural resource-based sector: experiences from Swedish mining

ABSTRACTIn the political arena, natural resources activities – including mining – are generally viewed as low-tech and are not associated with the technological innovations that serve as the precursors of competition. In old industrialized nations, mining is limited to a few countries and mining-related activities are typically considered low-tech endeavours that rely on old and outdated technologies. In addition, mining districts are seen as lacking the prerequisites of economic development, such as an entrepreneurial spirit, knowledge formation mechanisms and diverse human capital formation. This paper discusses mining in the old industrialized nation of Sweden where mining is an important contributor to national competitiveness. Through a case study of two mines and the mining district, we argue that in order to understand the processes underlying the competitiveness of the natural resource-based sector, that is, mining sector in the context of a high-income nation, Sweden, it is important to dig deeper as regards mechanisms such as overall economic and institutional conditions as well as industrial adoptions of generic technologies, learning and upstream collaborations. The paper concludes with suggestions for further research and provides policy implications in the context of competence development.