Role Of Subsidies Research Articles

Unveiling the TFP Nexus with ICT and IPRs: An Empirical Analysis of Textile & Apparel Industry of Pakistan

Textile and apparel industries of Pakistan are the largest industrial sector contributing about 60% to total exports and 25% of value-added of the manufacturing sector. The degree of competitiveness in this sector is closely associated with their Total Factor Productivity (TFP), which can be enhanced through trade liberalization, efficient and effective use of Information and Communication Technology (ICT), protection of intellectual property rights (IPRs) along with the investment in human capital, and advertisement expenditures. Additionally, investment in machinery and equipment and the role of subsidies cannot be ignored in enhancing TFP growth. This study utilizes data from the 2005-06 Census of Manufacturing Industries. Total factor productivity has been calculated employing the methodology of Tomiura (2007). The results indicate TFP is positively and significantly affected by ICT, IPRs, investment in machinery & equipment, human capital, import duties, subsidies for exports on TFP growth. The safeguarding textile and apparel industries from foreign competition relocates resources towards improving TFP whereas incorporation of ICT and IPRs enables firms to realize benefits of foreign developed technology which further improves TFP growth. Furthermore, the effect of advertising expenditures on TFP is positive but it lacks statistical significance.

Do changes in local government's income in Poland lead to the country's sustainable development?

Purpose. The main aim of this paper is to delve into the alterations in local government revenues in Poland and their subsequent impact on the nation’s sustainable development. Methodology. Methods of literature analysis and statistical materials analysis are employed. The scope of the study encompasses the dynamics and structure of the state budget, local government budgets, and the city of Kalisz’s budget from 2015 to 2022. Results. It is concluded that an increase in the role of subsidies in local government budgets may signify a rise in the state’s influence on determining the directions of expenditures from local budgets. This could lead to a decrease in the degree of sustainable development in public finances and regional and city development. Theoretical contribution. This paper adds value to the field of public finance by providing a detailed analysis of the changes in local government revenues and their impact on sustainable development. It also offers insights into the relationship between state and local government budgets. Practical implications. The findings of this paper have practical implications for policymakers and local government officials. They underscore the need for a balanced approach to budgeting that considers both the needs of local governments and the goal of sustainable development.

Assessment of the conditions for the development of the photovoltaic investment in the countries of the Visegrad Group – Comparative study of the researched countries

This paper presents the most important directions of contemporary changes taking place and their conditions on the solar energy market in the Visegrad Group countries. The aim of the article was to identify the factors influencing the development of solar energy in the V4 and assess their impact over the period of 2010–2018. In addition, presents changes in the photovoltaic market. The development of this field of energy is to, on the one hand, ensure the right amount of energy, and, minimize the negative impact on the natural environment, on the other. Such an approach is particularly important energy security and counteracting climate change contributing to significant economic losses. The development of solar energy systems is uneven, particularly in countries with similar economic and social conditions. The dynamic panel model using the generalized method of moments was applied. The changes occurring in this market showed a high variability of dependencies and the necessity of continuous monitoring of the transformations and effects of the policy pursued. The study points to the importance of economic conditions, in particular subsidies for investors, economic growth and the development of renewable energy sources in stimulating the development of solar energy. It showed the sense of ensuring a stable path of economic growth. The role of subsidies, often used in this market, is ambiguous and their effects are spread over time and show different directions of impact in particular time intervals. The article allows for a better understanding of the conditions for the development of photovoltaic investments, so that in the future photovoltaics can become a global source of energy. The results provide valuable information for shaping policies aimed at increasing the use of renewable energy sources. The research showed the great significance importance for the implementation of the development in accordance with the microeconomic model.

A New wto Protocol on Fisheries Subsidies: Potential Implications for the South China Sea Disputes

Abstract For close to two decades, wto member countries have discussed the possibility of disciplining the practice of subsidizing fishing activities. Concrete progress has been made as there is now a consensus on eliminating certain forms of fisheries subsidies that contribute towards overcapacity, overfishing and illegal unreported and unregulated fishing. In June 2022, at the end of 12th Ministerial Conference in Geneva, Switzerland, the Agreement on Fisheries Subsidies (afs) was finally adopted. Against this backdrop, this paper will attempt to investigate the role that the afs might play in arresting the collapse of global fish stocks. Part i provides a brief background on the state of global fisheries and the role of subsidies in their depletion. Part ii discusses the key features of and contentious issues in the afs. Finally, Part iii considers the potential implications of the afs on disputed waters such as the South China Sea.

What’s the Catch? A Review of the Fiscal Treatments of Fisheries in Sub-Saharan Africa

Virtually no attention has been directed towards how tax policies shape fisheries development in Sub-Saharan Africa and to their contribution to government revenue. This is despite abundant evidence of fish stock depletion in the continent, and a longstanding interest by economists and marine scientists in the role of government regulation of fisheries. To help starting this discussion, the article provides an overview of the theoretical underpinning of fisheries taxation and of selected experiences of high-income countries. Following a presentation of fisheries economic contribution in Sub-Saharan Africa, the main debates on the fiscal treatment of fisheries are covered: Prioritising their welfare or wealth contribution; their co-management between local and central government; fishing agreements with distant water fishing nations; and the role of subsidies. The review shows that while fisheries revenue contribution is likely limited in the short run, fiscal policies can be central in promoting the sector sustainable development.

A Techno-Economical Characterization of Solar PV Power Generation in Rwanda: The Role of Subsidies and Incentives

A Techno-Economical Characterization of Solar PV Power Generation in Rwanda: The Role of Subsidies and Incentives

Two‐level trout supply chain's economic efficiency analysis in Iran: Trout egg import subsidies role

AbstractIran has subsidised trout egg imports due to the lower feed conversion ratio of most imported trout eggs. However, the rainbow trout industry is divided on whether to allocate or abolish imported trout subsidies. The elimination of such support would lead to a three‐fold rise in the price of imported trout eggs (which are already more expensive than domestic trout eggs). Furthermore, the economic performance of the domestic trout supply chain over the imported trout supply chain remains yet to be clarified. The present study seeks to evaluate whether imported trout egg subsidies should be continued. Economic efficiency and network data envelopment analysis are used to evaluate the performance and role of subsidies in trout supply chains in Mazandaran, one of the largest trout farming provinces as a new case study in the aquaculture sector, in 2018. Farms that used imported trout eggs were found to have lower economic efficiency and higher dependence on import subsidies. Feed costs were identified to be the most important explanation for poor economic efficiency of trout production. Finally, the results reveal that the development of domestic trout propagation supply chains with integrated forward vertical structures could improve efficiency in the system. The re‐distribution of imported trout egg subsidies to fund feed cost reduction technologies could provide effective solutions to enhance economic efficiency, production sustainability and food security.

Stimulation of economic growth in agro-industrial complex of the Zhambyl region of Kazakhstan

Issues of government support for agricultural sector, types of subsidies and procedure for their distribution are considered, as well as the role of subsidies in the development of agroindustrial complex of Kazakhstan. The goal is to develop theoretical and practical provisions for improving organizational and economic mechanism for financing agriculture in the Zhambyl region by the State. Methods – comparative, logical, statistical, analysis of structure and dyna-mics, tabular and graphical interpretation of information. Results – based on the analysis of the state of the main branches of agro-industrial complex, assessment of State assistance measures, factors hindering the growth in the volume of products produced by agricultural producers of the repu blic (concentration of production in households; unsatisfactory quality of raw materials; seasonal ity, low level of investment incentives; insufficient scientific and technical support). Conclusions – taking into account the existing problems of the small-scale nature of agro-industrial production, the need for cooperation of small forms of management is substantiated in order to bring together the efforts of all economic entities in one commodity flow, the availability of marketing agricultural products, providing consumers with quality goods, while large and small producers will have equal conditions for increasing their own, joint and State income. The article identifies such priority areas as the possibility of creating retail outlets in the markets and in trading houses for domestic food products, organization of scientific and industrial schools in order to improve the competence of individual entrepreneurs in agribusiness. The authors note that State regulation and support of agricultural economy is one of the strategic goals of the policy of effective protectionism and ensuring free competition in the agri-food market.

The role of subsidies in stabilising farm income: Evidence from Estonia

This study examines the role of agricultural subsidies in the farm income (FI) variation in Estonia in the period 2006–2019 using data from a balanced panel of Farm Accountancy Data Network (FADN) farms. FI variability is decomposed to three components: market income, total subsidies, and the cost of external factors. The results reveal that subsidies have a larger share in income of smaller farms. Variability of FI differs in farm size quartiles and is significantly lower in case of largest 25% of farms. Revenues are the largest source of variation of FI. While subsidies reduce FI variation, there is no evidence that they are counter-cyclical. We argue that in addition to subsidies, smaller farms need advice on farm management to increase market income, improve its stability, and expand farm size, as larger farms have more stable incomes despite relatively lower producer support estimate (PSE) levels.

Vulnerability of fishery-based livelihoods to climate variability and change in a tropical island: insights from small-scale fishers in Seychelles

While climate shocks and stressors are not unique to developing countries, their impacts are expected to be most acute here due to limitations in the assets and infrastructure required for adaptation. This study assesses the vulnerability of fishery-based livelihoods to the impacts of climate variability and change across two major islands in Seychelles based on 80 household surveys and three shared dialogue workshops (SDWs) with small-scale fishers. Results showed that the percentage of fishers’ households that depend mainly on fisheries as a source of income was 95% and 97% for Mahe and Praslin respectively with alternative income streams along the fishing value chain such as transportation, fish mongers and processor. Fishers on Mahe Island had a dependency ratio index that was slightly higher than those on Praslin. Overall, fishing households on Mahe showed greater vulnerability on socio-demographic profile index compared to their counterparts on Praslin. However, greater livelihood diversification was recorded for householders on Mahe than Praslin as fishers earned income from tourism-related activities such as guest house, car rental, boat ride, and sales of coconuts as mentioned during the SDWs. Fishers on Mahe struggled to find fish for 3 months during the southeast monsoon season compared to 2 months for those on Praslin given that access is granted to fish in the lagoon during this season. More importantly, the voluntary closure of some fishing zones between the months of November to April on Praslin is a sustainability strategy that witnessed an increase in size and number for both rabbit and parrotfish. Further studies are needed in two key areas as follows: the role of subsidies and sustainable fisheries management, and a value-chain approach to vulnerability of small-scale fishers within the fishery sector in Seychelles.

Investment in Wind Energy: The Role of Subsidies

The U.S. Congress needs to determine subsidies for wind energy before they expire at the end of this year. Traditionally, the government has allowed each wind investor to choose its preferred subsidy among two types of subsidies: First is the investment subsidy which reduces the initial investment cost by a fraction. Second is the production subsidy which provides an additional payment for each unit of electricity produced. Energy experts suggest that these subsidies have different roles: The investment subsidy should be used to target investors facing a high financing cost, whereas the production subsidy attracts investors who can produce more electricity. Motivated by the looming deadline of The U.S. Congress, we analyze how it should offer subsidies to wind investors who are heterogeneous in financing cost and generation efficiency. Given their different roles, conventional wisdom suggests that the government should always offer the two subsidies jointly. Contrary to the conventional wisdom, we find that the government should offer only one type of subsidy unless the societal benefit from wind energy is sufficiently high. Moreover, this subsidy should be the investment subsidy even though production subsidy provides better price discrimination. This finding suggests that the government’s policy has been suboptimal until 2009 and in 2019 when it offered only the production subsidy. We also find that when the government should offer subsidies jointly, contrary to the suggestions of energy experts, the role of the production subsidy is to target investors facing a high financing cost.

Preliminary Estimations of Insect Mediated Transfers of Mercury and Physiologically Important Fatty Acids from Water to Land.

Aquatic insects provide an energy subsidy to riparian food webs. However, most empirical studies have considered the role of subsidies only in terms of magnitude (using biomass measurements) and quality (using physiologically important fatty acids), negating an aspect of subsidies that may affect their impact on recipient food webs: the potential of insects to transport contaminants (e.g., mercury) to terrestrial ecosystems. To this end, I used empirical data to estimate the magnitude of nutrients (using physiologically important fatty acids as a proxy) and contaminants (total mercury (Hg) and methylmercury (MeHg)) exported by insects from rivers and lacustrine systems in each continent. The results reveal that North American rivers may export more physiologically important fatty acids per unit area (93.0 ± 32.6 Kg Km−2 year−1) than other continents. Owing to the amount of variation in Hg and MeHg, there were no significant differences in MeHg and Hg among continents in lakes (Hg: 1.5 × 10−4 to 1.0 × 10−3 Kg Km−2 year−1; MeHg: 7.7 × 10−5 to 1.0 × 10−4 Kg Km−2 year−1) and rivers (Hg: 3.2 × 10−4 to 1.1 × 10−3 Kg Km−2 year−1; MeHg: 3.3 × 10−4 to 8.9 × 10−4 Kg Km−2 year−1), with rivers exporting significantly larger quantities of mercury across all continents than lakes. Globally, insect export of physiologically important fatty acids by insect was estimated to be ~43.9 × 106 Kg year−1 while MeHg was ~649.6 Kg year−1. The calculated estimates add to the growing body of literature, which suggests that emerging aquatic insects are important in supplying essential nutrients to terrestrial consumers; however, with the increase of pollutants in freshwater systems, emergent aquatic insect may also be sentinels of organic contaminants to terrestrial consumers.

Study on Role of Subsidies in Recent Cultural and Artistic Activities in Japan: Based on a Questionnaire Survey

Study on Role of Subsidies in Recent Cultural and Artistic Activities in Japan: Based on a Questionnaire Survey

Do subsidies drive technical efficiency? The case of portuguese firms in the agribusiness sector

Abstract: Successive reforms in the Common Agricultural Policy (CAP), enlargements of the European Union (EU) and pressures in the public budget increase the need for empirical studies to assess the role of subsidies in shaping firms’ performance and, hence, to support policy-makers decisions and decision-making in the productive sector. This paper assesses whether subsidies affect the technical efficiency of 1,943 Portuguese agribusiness firms over 2007-2015. By applying stochastic frontier models and fixed-effects models, to calculate the average efficiency of these firms, the results show different effects of subsidies among agribusiness sectors. The stochastic frontier model revealed that the subsidies have a positive and significant impact on the technical efficiency of three sectors, animal production, manufacture of food, and manufacture of paper. Further, except for firms in the forestry and logging sector, Portuguese agribusiness firms had higher average efficiency levels when subsidised, which provides evidence that subsidies could be important and contribute positively to the technical efficiency of Portuguese firms.

The iron Silk Road: how important is it?

ABSTRACT Container transport by railway between Europe and China is a flagship project of China’s Belt and Road Initiative (BRI). Trade, economic and geopolitical aspects of the BRI have been widely analysed, but data on real traffic flows are scarce. A variety of data sources are examined to identify the structure and evolution of cargo volumes along the Eurasian Land Bridge in the light not just of the development of new railway freight services between Chinese cities and Europe but also of trade between Japan and South Korea and European countries. The roles of subsidies and new infrastructure investments in shaping past, present and futures trends are also examined.

ASSESSING AND UNDERSTANDING THE DRIVERS OF FARM INCOME RISK: EVIDENCE FROM SLOVENIA

The heterogeneity in income variability across Slovenian farms and time is explained by subsidies received by farm, off-farm income received by farm, and farm characteristics. Unbalanced and balanced farm-level panel data from the Slovenian farm accountancy data network are used to estimate coefficients of variation for gross farm revenues in less favoured areas (LFAs) and non-LFAs over the period 2004 to 2013. Gross farm income slightly increased over time with cyclical oscillations and an increase in the role of subsidies. Our estimations suggest that subsidies and off-farm income for non-LFA farms and farm specialisation for both LFA and non-LFA farms reduce farm income risk, whilst subsidies and farm size for LFA farms, and financial immobility for both LFA and non-LFA farms increase farm income risk. There is a non-linear relationship between farm size and income risk for LFA farms.

Why is the market for hybrid electric vehicles (HEVs) moving slowly?

Hybrid electric vehicles (HEVs) could be a good short term option to help achieve global targets regarding road transport greenhouse gas emissions. Several common and country-specific public policies based on price or tax rebates are established in order to encourage the adoption of HEVs. The present research empirically assesses market preferences for HEVs in Spain, looking at the role of subsidies. An interactive internet-based survey was conducted in a representative sample (N = 1,200) of Spanish drivers. Drivers are willing to pay an extra amount of €1,645 for a HEV model compared to a conventional vehicle, premium which is well below the price markup for these cars. Therefore, current levels of economic subsidies applied in isolation to promote these types of vehicles may have a quite limited effect in extending their use. Overall, it is found that drivers have clear misconceptions about HEVs, which affect their purchasing choices and perceptions. Therefore, a policy mix of various incentives (including informational campaigns) may be required in order to stimulate the demand for HEVs.

Biomethane: A Renewable Resource as Vehicle Fuel

The European Union (EU) has set a mandatory target for renewable fuels of 10% for each member state by 2020. Biomethane is a renewable energy representing an alternative to the use of fossil fuels in the transport sector. This resource is a solution to reach this target. Furthermore, it contributes to reducing carbon dioxide emissions, gives social benefits and increases the security supply. Sustainability is reached also when the economic opportunities are verified. This work studies the profitability of small plants of biomethane, which is sold as vehicle fuel using the Net Present Value (NPV) and Discounted Payback Time (DPBT). The paper shows in detail the method used for the economic assessment of two typologies of feedstock recovered: (i) municipal solid waste and (ii) agricultural waste. Detailed information about the various parameters that affect the profitability of biomethane is given, and several case studies are analyzed as a function of two variables: subsidies and selling price. The results support the commercialization of small-scale plants, reducing also several environmental issues. The role of subsidies is strategic, and the profitability is verified only in some case studies

The Economic Feasibility of Residential Energy Storage Combined with PV Panels: The Role of Subsidies in Italy

A solar photovoltaic system produces electricity by converting energy from the sun. By the end of 2016, the global installed solar photovoltaic capacity reached 305 GW. Its growth is impressive in the last years; in fact, it was only equal to 41 GW in 2010. However, Europe has installed only 6.9 GW in 2016 (−1.7 GW in comparison to previous year) and this annual power installed is equal to 9% of global one in according to data released by Solar Power Europe. The profitability of PV systems in mature markets depends on the harmonization between demanded energy and produced one residential energy storage when combined with photovoltaic panels is able to increase the share of self-consumption. This work proposes a mathematical model, in which a Discounted Cash Flow analysis is conducted to evaluate the financial feasibility of photovoltaic-integrated lead acid battery systems in Italy. The indicator used is Net Present Value. Furthermore, a break-even point analysis, in terms of an increase of self-consumption, is conducted. The residential sector is investigated and energy storage system investment is incentivized by fiscal deduction and regional subsidies. The analysis provides several case studies, determined by combinations of the following variables: photovoltaic plant size, battery capacity, the increase of the share of self-consumption, and the useful lifetime of energy storage system. The same case studies are proposed also in four alternative scenarios, where is the modified the structure of subsidies. Results confirm that the profitability can be reached in presence of subsidies.

Energy Challenges and In Security in Nigeria: A Sectoral Perspective, In Okene O.V.C (ed). Reading in Law and Policy: Current Issues and Trends. Faculty of Law Rivers State University

Nigeria is energy rich yet its citizens are energy poor. Petroleum is the dominant energy source and the gas sector supplies 66% of fuel for powering the electricity generating plants in Nigeria. Petroleum is the main export commodity and a major foreign exchange earner for the country. Thus, if petroleum resource is properly harnessed, it may contribute seriously in promoting energy security, as well, galvanize the diversification to other energy resource base for Nigeria. An inclusion of renewable energy to the Nigeria’s energy mix would ensure more sustainable economic development and enhance poverty reduction. However, many factors are responsible for the failure to achieve a reliable, affordable and sustainable energy supplies in Nigerian despite the abundant natural resources in the country. Each energy sector, oil gas, coal, hydro and even the emerging renewable energy resources are bedeviled with different and inherent challenges. However, petroleum resource is the main energy provider for this country. Consequently, it is important that a deeper consideration of major segments of this industry, including, the legal and policy framework that affect the various sectors, would help to uncover the potentials of this sector to contribute to sustainable development of Nigeria. The objective of this paper is to uncover and analyze the causes of energy insecurity in Nigeria through the lenses of various sectors of the petroleum industry such as crude oil, natural gas, petroleum products; together with the role of subsidies in promoting a secure energy supply in Nigeria. The paper argues that an elucidation and dissection of the various sectoral problems is apposite for the attainment of energy security in Nigeria.