Demand Supply Factors Research Articles

Mineral prices persistence and the development of a new energy vehicle industry in China: A fractional integration approach

In this paper we examine price persistence in a set of minerals critical for the production of new energy vehicles. We implement techniques based on fractional integration also allowing for non-linearities and structural breaks at unknown periods of time. The results show that the series are generally very persistent, with orders of integration equal to or higher than 1 in practically all cases. The only exceptions being cobalt, tin and zinc if breaks are permitted and only for a given subsample. These findings are extremely relevant to initiate a discussion about the challenges that the new energy vehicle industry faces in China. China's government has already enforced some relevant initiatives to stabilise prices, but we conclude that additional measures will be necessary considering the high degree of uncertainty of certain supply-demand factors.

The association between bed occupancy rates and hospital quality in the English National Health Service

We study whether hospitals that exhibit systematically higher bed occupancy rates are associated with lower quality in England over 2010/11–2017/18. We develop an economic conceptual framework to guide our empirical analysis and run regressions to inform possible policy interventions. First, we run a pooled OLS regression to test if high bed occupancy is associated with, and therefore acts as a signal of, lower quality, which could trigger additional regulation. Second, we test whether this association is explained by exogenous demand–supply factors such as potential demand, and unavoidable costs. Third, we include determinants of bed occupancy (beds, length of stay, and volume) that might be associated with quality directly, rather than indirectly through bed occupancy. Last, we use a within-between random-effects specification to decompose these associations into those due to variations in characteristics between hospitals and variations within hospitals. We find that bed occupancy rates are positively associated with overall and surgical mortality, negatively associated with patient-reported health gains, but not associated with other indicators. These results are robust to controlling for demand–supply shifters, beds, and volume. The associations reduce by 12%-25% after controlling for length of stay in most cases and are explained by variations in bed occupancy between hospitals.

Financialisation of Commodity Markets: Evidence from India

The known circumstances that favour financialisation of commodity markets which result in unidirectional co-movement of equity and commodity indices are either weak or non-existent in India. Yet, after 2015, there has been a greater correlation between equity and commodity markets even when decoupling is observed in global markets. Results from the rolling regression attest to the shift in response of commodity and equity indices to wholesale price inflation (WPI) and call rate after 2015, indicating that post 2015 co-movement could have been a result of inflation targeting regime. The linear regression as well as the Granger causality analysis based on vector autoregression (VAR) framework, which accounts for simultaneity, confirms that commodity markets are moving on its own supply-demand factors. The rolling regression also brings to light the disciplining effect of regulatory scrutiny and audit trail in the Indian commodity market around July 2013, when National Spot Exchange Ltd. (NSEL) payment crisis and commodity transaction taxes (CTT) occurred. JEL Classifications: G180, G28, C580, G1, G100. G130

Research on the price impact mechanism of Pu'er tea under Internet + environment

ABSTRACT This paper combination with the Internet + environment, constructed an evaluation index system for Pu'er tea price impact mechanism from five dimensions including economic development level, national tea supply-demand, Yunnan tea supply, Pu'er tea supply-demand and Yunnan Internet development level factors during 2012–2019, and using technique for order preference by similarity to ideal solution method (TOPSIS) to have an empirical research. The results show that economic development factors and Yunnan Internet development level factors have a great influence on price. The influence of national tea supply-demand factors, Pu'er tea supply-demand factors and Yunnan Internet development level factors on the price increased year by year. Therefore, enhance product competitiveness, plan production and business activities reasonably and using internet thought are important work for the industry future development.

Business Cycles and Distribution of Wages in Colombia: A Semi-Parametric Wage Density Decomposition Approach

This paper examines the changes in real hourly wages in Colombia along the recovery phase taking place from March 2009 to March 2014. The starting finding is that the distribution of wages at trough looks like translations to the left of recovery distribution. To shed light on those procyclical translations this paper performs a sequential decomposition on change of wages in 1) cyclical demand and supply factors, 2) changes in the attributes of workers, 3) changes and spillovers effects of minimum wage and 4) a residual. As literature suggests, this paper shows that procyclicality of real wages is associated mainly to shifts in labor demand-supply factors and to updates of skills --usually linked to the secular trend of wage distribution. As a novelty, evidence suggests that there is a positive spillover from monthly Minimum Wage on hourly wages explaining 25% of the divergence between distributions.

Why is household electricity uptake low in Sub-Saharan Africa?

Abstract This paper uses recent individual and household-level data from various sources covering over 30 countries in Sub-Saharan Africa, along with qualitative fieldwork in selected countries, to shed light on demand-side constraints to electricity access. First, it uses a simple accounting identity to decompose the electricity access gap into supply, demand, and mixed demand–supply factors. Results show that the demand factors account for over two-fifth of electricity access deficit across the region whereas electrification efforts have largely focused on supply issues. Second, the paper combines regression and qualitative fieldwork analysis to examine household and community characteristics that affect electricity uptake. It finds that at the household level, while the level of income is a primary driver of uptake, the regularity of income is as important. The quality of housing is also a consistently significant predictor. At the community-level, the results show that higher uptake is associated with communities that are better endowed with other infrastructures including public services. This finding is consistent with qualitative evidence supporting that households associate electricity access primarily with the prospect of more productive economic activities. Policies focusing on lowering access costs, streamlining flexible bill payments and connection mechanisms, and efforts to target, or bundle with, complementary income-generating inputs should go hand in hand with supply-side efforts.

Global talent management: A view beyond developed markets

This study aims to identify the main drivers, activity domains and outcomes of global talent management (GTM) in emerging market organizations. Through a structured keyword search and subsequent elimination of papers, 27 top peer-reviewed journal publications (out of 137 articles on talent management) are selected and thoroughly analyzed using mixed research techniques. Using VOSviewer software, I identify the four major clusters in GTM literature: TM in EMs, global talent mobility, TM in multinational corporations, and human resource management in a “global war for talent” context. I further conduct a structured content-analysis-based literature analysis and provide a much-needed overview of the underlying organization theories used in previous EM research to explain the GTM phenomenon. I additionally reveal the key GTM system components and determine the main demand-supply factors and outcomes of GTM implementation. Lastly, based on the study’s findings and subsequent discussions, I offer insights into future research avenues.

Asymmetric sensitivities of house prices to housing fundamentals: evidence from UK regions

Purpose This paper aims to examine asymmetries in the house price cycle and to understand the dynamic of housing prices, incorporating macroeconomic variables at regional and country level, namely, housing affordability, the unemployment rate, mortgage rate and inflation rate. Design/methodology/approach To highlight significant differences in the asymmetric patterns of house prices between regions, the STAR model is adopted. Findings The authors highlight significant differences in the asymmetric patterns of house prices between regions, in which some areas showed asymmetric response over the housing cycle; here the LSTAR model outperforms other models. In contrast, some regions (the South West and the North West) showed symmetric properties in the tails of the cycle; therefore, the ESTAR model was adopted in their case. Practical implications Being limited to a few fundamentals, this study opens an avenue for further research to investigate this dynamic using in addition such demand-supply factors as land supply, construction cost and loans made for housing. These findings can also be used to examine whether other models such as ARIMA, exponential smoothing or artificial neural networks can more accurately forecast housing prices. Originality/value The present paper aims to highlight housing affordability as a cause of asymmetric behaviour in house prices. Put differently, the authors seek to understand the dynamics of housing prices with other fundamentals incorporating macroeconomic variables in regions and country level data as a means of achieving a more concise result.

Los hogares sin empleo. Una perspectiva comparada

A partir de los datos del Luxembourg Income Study y de la OCDE se muestra que la tesis que defiende un supuesto aumento de la polarización social entre hogares no es del todo convincente. Los efectos del desempleo sobre los hogares están condicionados por las estrategias familiares, de modo que el volumen de hogares sin empleo varía entre países no sólo a causa de factores de oferta y demanda laboral. El resultado de las estrategias familiares hace que, además, la composición de los hogares sin empleo diste mucho de ser homogénea entre regímenes de bienestar.

The spread model of food safety risk under the supply-demand disturbance.

In this paper, based on the imbalance of the supply-demand relationship of food, we design a spreading model of food safety risk, which is about from food producers to consumers in the food supply chain. We use theoretical analysis and numerical simulation to describe the supply-demand relationship and government supervision behaviors’ influence on the risk spread of food safety and the behaviors of the food producers and the food retailers. We also analyze the influence of the awareness of consumer rights protection and the level of legal protection of consumer rights on the risk spread of food safety. This model contributes to the explicit investigation of the influence relationship among supply-demand factors, the regulation behavioral choice of government, the behavioral choice of food supply chain members and food safety risk spread. And this paper provides a new viewpoint for considering food safety risk spread in the food supply chain, which has a great reference for food safety management.

Decision Process for Adoption of Innovative Products in the European Seafood Market: The Importance of Supply and Demand Factors

This study proposes a new approach with two-dimensional point of view to test predicting factors that are influencing European trader decisions for the adoption of innovative seafood products in the distributor channels. A combination of two main predicting factors for adoption is investigated in the “supply factors” (4Ps: product, promotion, place, and price) and the “five innovation demand factors” (5IDs: relative advantage, compatibility, complexity, trialability, and observability). The findings indicate that 4Ps and 5IDs have a significant effect as controlling variables in the decision-making process for innovation adoption. This fact shows a strategic function and illustrates that supply–demand factors have a pressure effect on the innovation adoption process in the market. The results are important both for satisfying consumer expectations and for industrial innovation strategies.

A hierarchical line planning approach for a large-scale high speed rail network: The China case

Planning a set of train lines in a large-scale high speed rail (HSR) network is typically influenced by issues of longer travel distance, high transport demand, track capacity constraints, and a non-periodic timetable. In this paper, we describe an integrated hierarchical approach to determine line plans by defining the stations and trains according to two classes. Based on a bi-level programming model, heuristics are developed for two consecutive stages corresponding to each classification. The approach determines day-period based train line frequencies as well as a combination of various stopping patterns for a mix of fast trunk line services between major stations and a variety of slower body lines that offer service to intermediate stations, so as to satisfy the predicted passenger transport demand. Efficiencies of the line plans described herein concern passenger travel times, train capacity occupancy, and the number of transfers. Moreover, our heuristics allow for combining many additional conflicting demand–supply factors to design a line plan with predominantly cost-oriented and/or customer-oriented objectives. A range of scenarios are developed to generate three line plans for a real-world example of the HSR network in China using a decision support system. The performance of potential train schedules is evaluated to further examine the feasibility of the obtained line plans through graphical timetables.

Impact of Urban Economic Openness on Real Estate Prices: Evidence from Thirty-Five Cities in China

Over the past decade, China’s major cities have experienced significant real estate price increase which has been fueled by the sustained growth of the economic fundamentals. It is well believed that deeper integration with the world market is one of the major reasons for such high speed macroeconomic growth. In this paper, we examined the linkage between urban economic openness, the ratio of trade volume as a percentage of GDP, and urban real estate prices basing on quality of life theory as well as Balassa-Samuelson (B-S) effects. Using panel data of 35 large Chinese cities from the year 1998 to 2006, we empirically find that for every 1% increase in urban economic openness, urban real estate prices will increase significantly by 0.282%, after controlling for other traditional demand-supply factors. Urban economic openness alone accounted for about 15.90% appreciations of Chinese real estate prices during the sample period, which is not neglectable. This result implies that urban real estate price fluctuations are potentially affected by international economic factors. The economic distance to the international market could be deemed as productive and consumption amenity for a city as well. This study enriches the perception of quality of life factors, and furthermore provides a new perspective for understanding the real estate price dynamics in the globalized economic development today.

Fight or Flight? Immigration, Competition, and Language Assistance Resources in Metropolitan Atlanta

As the Latino/a immigrant population increases, racial conflict historically understood in terms of Black and White in the U.S. South has expanded to include new contestants in metro-Atlanta public schools. By examining market and sociological competition theoretical perspectives, this study investigates how language assistance resource implementation for English language learners is influenced by supply–demand, school, neighborhood, and political factors. The findings suggest that programmatic decisions about language assistance are driven predominantly by supply–demand factors. However, neighborhood and school racial competition measures also influence the availability of language assistance for English language learners, particularly in terms of onsite language assistance instruction.

Impact of urban economic openness on real estate prices: Evidence from thirty-five cities in China

Abstract Over the past decade, China's major cities have experienced significant real estate price increase which has been fueled by the sustained growth of the economic fundamentals. It is well believed that deeper integration with the world market is one of the major reasons for such high speed macroeconomic growth. In this paper, we examined the linkage between urban economic openness, the ratio of trade volume as a percentage of GDP, and urban real estate prices basing on the quality of life theory as well as Balassa–Samuelson (B–S) effects. Using panel data of 35 large Chinese cities from the year 1998 to 2006, we empirically find that for every 1% increase in urban economic openness, urban real estate prices will increase significantly by 0.282%, after controlling for other traditional demand–supply factors. Urban economic openness alone accounted for about 15.90% appreciations of Chinese real estate prices during the sample period, which is not neglectable. This result implies that urban real estate price fluctuations are potentially affected by international economic factors. The economic distance to the international market could be deemed as productive and consumption amenity for a city as well. This study enriches the perception of quality of life factors, and furthermore provides a new perspective for understanding the real estate price dynamics in the globalized economic development today.

Easy grading practices and supply–demand factors: evidence from Italy

In this article, we investigate how heterogeneity in grading standards across university degree courses is related to supply and demand factors. Using a sample of almost 26,000 students enrolled at an Italian University, we document how grades vary significantly across degrees. After controlling for student characteristics, class-size, classmate quality and degree fixed effects, it emerges that students obtain better grades and are less likely to drop-out when their degree course experiences an excess of supply. We adopt an instrumental variable strategy to account for endogeneity problems and instrument the excess of supply using the total number of universities offering each degree course. Our two-stage least squares (TSLS) estimates confirm that the teaching staff on degree courses facing low demand tend to set lower academic standards with the result that their students obtain better grades and have a lower probability of dropping out than they might otherwise. Similar results are obtained using a control function approach.

Myocardial supply-demand factors and metabolism in isoproterenol treated dogs

Myocardial supply-demand factors and metabolism in isoproterenol treated dogs