Economic Underdevelopment Research Articles

Addressing the issue of corporate raiding in Ukraine

The phenomenon of “raiding,” i.e., the unlawful establishment of control over the property or governing boards of an enterprise, as well as the seizure of its shares, has been reported in all countries of the world for many decades. This phenomenon has the most dangerous forms in the states with the underdeveloped economy and legal system, particularly in Ukraine. The paper aims to determine the areas for counteracting and overcoming corporate raiding in Ukraine and to provide proposals for improving the legislative framework for reliable protection against attacks on the enterprises’ property.The information in the paper, including the geography of raider attacks, indicates a greater vulnerability of enterprises in the most economically developed regions, with extensive transport infrastructure and the prospects for various industries and sectors of the economy development. The state should take some steps to increase the level of enterprises protection against raider attacks. Thus, to improve the quality of preventing and combating corporate raiding, this paper argues the need to develop and adopt the Corporate Property Protection Code of Ukraine. The introduction of the raider attacks register will be an effective measure to warn potential investors and counterparties about the dangers of cooperation with certain companies. The state register should be bilingual (Ukrainian and English) and contain information on the attempts and cases of raider attacks on property and corporate business rights. Also for further innovations in starting a business, Ukraine must pay attention to New Zealand’s and Finland’s experience.

EVOLUTION OF THE FIRM SIZE DISTRIBUTION IN TURKEY

Evolution in economics has been treated mainly as a theoretical journey. The methodological difficulties reside in strict assumptions in order to maintain a tractable model for firm dynamics. Agent-Based Computational modeling could be an important breakthrough for evolutionary applications. However, these models rely on deep interpretations of the complete data. In this study, in depth analysis of Turkish firm level data has been presented with an evolutionary point of view using the method of density estimations. The comprehensiveness of the data is unique to the literature. For modeling purposes, Turkish firms could be seen as representing their birth era. The stagnant nature of firms could also be considered as linked to the lack of managerial delegation in underdeveloped economies.

Addressing the Issue of Corporate Raiding in Ukraine

The phenomenon of “raiding,” i.e., the unlawful establishment of control over the property or governing boards of an enterprise, as well as the seizure of its shares, has been reported in all countries of the world for many decades. This phenomenon has the most dangerous forms in the states with the underdeveloped economy and legal system, particularly in Ukraine. The paper aims to determine the areas for counteracting and overcoming corporate raiding in Ukraine and to provide proposals for improving the legislative framework for reliable protection against attacks on the enterprises’ property. The information in the paper, including the geography of raider attacks, indicates a greater vulnerability of enterprises in the most economically developed regions, with extensive transport infrastructure and the prospects for various industries and sectors of the economy development. The state should take some steps to increase the level of enterprises protection against raider attacks. Thus, to improve the quality of preventing and combating corporate raiding, this paper argues the need to develop and adopt the Corporate Property Protection Code of Ukraine. The introduction of the raider attacks register will be an effective measure to warn potential investors and counterparties about the dangers of cooperation with certain companies. The state register should be bilingual (Ukrainian and English) and contain information on the attempts and cases of raider attacks on property and corporate business rights. Also for further innovations in starting a business, Ukraine must pay attention to New Zealand’s and Finland’s experience.

Внутрирегиональная миграция трудовых ресурсов в Юго-Восточной Азии

The regional labor market in Southeast Asia is second only to China and India. Its development is subjected to the movement of labor force within the region. The flow of intraregional migrants has begun to grow since the 1990s, reflecting imbalances in the distribution of labor among the countries of the region and the existence of significant differences between them in household income, wages and competitiveness, working conditions and employment opportunities. The number of labor emigrants in 2015 was 10.2 million people, of which 6.8 million found work in the region itself. The positive results of labor migration are indisputable for both importing countries and exporters of labor. The first, which include Thailand, Malaysia and Singapore, by attracting foreign workers cover the shortage of labor force in their labor market, especially in labor-intensive industries. The bulk of migrants from neighboring countries are semi-skilled and unskilled labor. Its main suppliers are Laos, Cambodia, Myanmar, Indonesia and, to a lesser extent, Vietnam. In these countries, due to higher rates of population growth and its rejuvenation, excess labor has emerged, which does not have the opportunity to find employment in still underdeveloped economies. Intraregional migration facilitates the solution of the problem of poverty and employment in these countries, raising the level of skills of the workforce, and the flow of funds into the economy through the remittances of migrant workers. However, intraregional migration brings not only economic benefits to the countries of the region, but also creates certain difficulties for them, since it is often accompanied by exploitation, violence of migrants, especially illegal ones. Although labor migration in labor-importing countries is regulated by laws that restrict the entry of migrants from neighboring countries and the duration of their stay in the country, these measures are not sufficient to stop the flow of illegal migrants. Costly and time-consuming bureaucratic procedure for obtaining a visa, the high cost of services of labor agencies, brevity and rigidity of labor contracts – all these factors encourage migrants to seek informal channels to move to another country. To combat illegal migration, various means of policy are used: the deportation of illegal migrants, their criminal prosecution (applies also to the entrepreneur who hires an illegal worker), periodically conducted campaigns for their registration and amnesty. However, these measures are ineffective in terms of reducing the influx of illegal migrants, and most importantly, are detrimental to the economy. The migration policies carried out in Malaysia and Thailand do not satisfy the needs of their economic development. In Singapore, the solution to these problems is ensured by the presence of an effective migration management system. Given the prospects for the development of integration processes in Southeast Asia, the problem of improving the management of intraregional migration is of particular importance. The ways to solve it are seen not so much in the tightening of migration policies in host countries, but in the removal of those barriers that impede the free movement of labor force within the region through legal channels. The task of the countries is to make amendments to their migration systems, including the elimination of any forms and types of exploitation of migrants.

ПОЛЬСЬКЕ РОЗТОЧЧЯ: ПОТЕНЦІАЛ УКРАЇНСЬКО-ПОЛЬСЬКОЇ СПІВПРАЦІ У СФЕРІ РЕКРЕАЦІЇ ТА ТУРИЗМУ

The recreational and tourist potential of Roztocze, a region in the south-east of Poland, bordering on Ukraine, its tourist specialization and opportunities for the development of cooperation with Ukraine in the field of recreation and tourism have been revealed. The resource base of the Roztocze region for the formation of its modern tourist specialization, in particular, gastronomic, urban, rural green, pedestrian, literary, historical- cognitive and military types of tourism has been studied. The specifics of gastronomic tourism in the region, which is based on a rather specific agricultural base of Roztocze, are revealed. The poor nature of Polissya and economic underdevelopment in the past led to a low standard of living for the local population, which was reflected in its food preferences. The main ingredients of Roztocze cuisine are porridge, cheese, sauerkraut, and peas, but now they are at a high price due to their health benefits. It is noted that there are no meat and sweet dishes among the delicacies of Roztocze, which reflects the standard of living and nutrition of the population of this region in the past. So, the most famous Roztocze “delicacy” – a cake with onion (Polish – cebularz), but now this dish of local misery has become a Polish pride, as it was the first product of the Lublin Voivodeship, which received the Protected Geographical Indication of the European Union. Today it is the first product that is recommended to tourists upon arrival in Roztocze. Interesting are other dishes of local cuisine – Roztochan borsch, which locals call Ukrainian, cakes made of flour and water, potato pancakes with dough with potatoes and eggs, local dumplings, stuffed with buckwheat porridge and cheese, Roztochan cutlets, which are made from buckwheat porridge, cheese, and potatoes. The simple and healthy nature of Roztocze cuisine included restrictions on the consumption of sweets. The range of gastronomy of Roztocze can be found at local gastronomic festivals, such as Galician Fair “Tastes of Roztocze” in Narol, local product festival in Zamost, Lublin meetings with hunting tradition and culture in Zwierzyniec, the festival of Kresy Meals in Bashnya Dolna, etc. Tourist resources of the main cities of Roztocze – Zamost, Tomaszow Lubelski, Szczebrzeszyn have been revealed. Routes of military and bicycle tourism on the basis of visiting of fortifications of so-called Molotov lines, which have survived in large numbers in Roztocze are offered. The legendary origin of Swedish table style, connected with war experience of the city of Zamosc during Mideveal times is revealed. Tank battle place from II World War near the city of Tomaszow Lubelski is considered a great tourist attraction. The city of Szczebrzeszyn is a place of all Poland Literature Festival. Touristic routes connect Zamosc and Tomaszow Lubelski with the Ukrainian city of Lviv. Local Polish tourist firms propose tours of sentimental tourism to Ukrainian historic cities of Kamianets-Podilskiy and Kremenets and also to Chernobyl zone.

Stavovi studentske populacije srpske intelektualne dijaspore o uzrocima i posledicama fenomena "odliva mozgova" iz Srbije - pregled rezultata jednog empirijskog istraživanja

Currently unfolding before us is the process of globalization, which has led to the networking of the global society and the intensification of transnational mobility of human educational capital. In the conditions of regional and class division, the process of asymmetrical globalization is also reflected in the unequal labour exchange in the gray matter market between countries belonging to different areas of the global world system. Of course, Serbia today is also under the effect of the aforementioned process. The subjects of this paper are the global, regional and national causes and consequences of the brain drain from Serbia and the innovative-creative potential of the Serbian intellectual diaspora for the development of Serbia and the protection of its interests in the contemporary world. This research is of a multidisciplinary character - sociological-demographical, ethno-culturological and communicological. Following the dictates of the so-called integral paradigm, efforts have been made to obtain valid results for scientific conclusions through a unity of theoretical problematization and synthesis of the results derived from empirical research. The paper consists of the analysis and interpretation of the results of empirical research done on the topic of causes and consequences of the brain drain, as well as the potential of the Serbian intellectual diaspora, conducted on a two-fold sample: one part consisting of the student population of Serbia and the other of the Serbian intellectual diaspora. The focus of the research was on the beliefs of the respondents regarding the motives, causes and consequences of the brain drain happening in Serbia, as well as the motives and the possibilities for the return to the native country. The sample consists of more than 950 respondents (545 students from Serbia and 413 diaspora members). The results of the research have shown that students and members of the Serbian intellectual diaspora hold identical beliefs regarding the perception of the main cause behind the brain drain in Serbia, with both groups citing the economic underdevelopment of the country and low levels of the quality of life, with both of the aforementioned factors influencing the ability to keep cadres within the country or to encourage their return. Of course, this fact is also conditioned by, among other things, the level of Serbia's involvement in the processes of globalization, as well as by its position in the contemporary division of labour. The very end of the paper also highlights the program of possible measures and recommendations which have an action-oriented character, for the purpose of resolving this problem and creating a new policy regarding diaspora.

Estimating the Optimal Level of Public Debt for Economic Growth: An Evidence from Pakistan

Background: In underdeveloped economies, the role of public debt is very vital with the intention of achieving a desirable level of output, employment and sustainability in long run economic growth. Fiscal deficit in developing economies is a common phenomenon because of low tax base and high imports. Economy of Pakistan is also facing fiscal deficit and trade deficit since its independence, so it relies on public debt to fill this fiscal gap.
 Objectives: The objective of this study is to estimate the optimal level of public debt for economic growth.
 Methods: This study explores the nonlinear relationships between public debt and economic growth of Pakistan by using time series data. The ARDL bound test technique is used to estimate the short-run and long-run impact of debt on economic growth. The growth maximizing level of debt is also estimated.
 Results: According to the estimated parameters, the optimal level of public debt is 60% of GDP. It also indicates that increase in government borrowings will raise economic growth in Pakistan in the long run. However, in the short run, if public debt increases it will boost economic growth after some levels of public debt and it will start declining.
 Conclusions: This study implies that public debt must be discouraged beyond optimal level of debt, as above optimal level it adversely affects the economic growth.
 Implications: The implication of the findings of the study is that higher interest rate curbs economic growth, therefore, present policy of keeping high interest rate by government should be revisited.
 Recommendations: Government of Pakistan should focus on fiscal and current account deficit, which are the main cause of increasing public debt, because higher public debt is not good for economic growth. Also, suitable fiscal policy is needed to control the debt burden and to get rid-off Ponzi game of debt from Pakistan by strictly enforcing the Fiscal Responsibility and Debt Limitation Act 2005.

COMPREHENSIVE ASSESSMENT MODEL ON ACCIDENT SITUATIONS OF THE CONSTRUCTION INDUSTRY IN CHINA: A MACRO-LEVEL PERSPECTIVE

As one of the most high-risk sections, the construction industry has traditionally been the research hotspot. Yet little attention has been paid to macro-level accident situations of the entire industry. Therefore, this study develops a comprehensive assessment model on accident situations of Chinese building industry, aiming at assisting the government to better understand and improve accident situations of the entire industry. Based on China conditions, six indicators related to accident situations are firstly selected to establish an indicator system; then structure entropy weight method is proposed to determine indicator weighs, with dynamic classification method to explore the characteristics of accident situations. The results demonstrate that the provinces with poor accident situations account for 53% of all provinces, and they are mainly distributed in the central and western regions of China where there exist the underdeveloped economy. Meanwhile, some provinces experience poor accident situations that could be out-of-control, especially for Hebei. Provinces in the southeastern and northeastern regions of China perform relatively well, but they still have much improvement room for accident situations. The findings validate the rationality of the developed model and can provide valuable insights of safety regulation strategies for the government from the macro-level perspective.

Finance and development: Rethinking the role of financial transparency

Abstract Over the last decade many developing countries strengthened their transparency standards with the objective of improving asset market allocations and macroeconomic outcomes. This paper develops a general equilibrium model and argues that in a financially underdeveloped economy - with uninsurable consumption risk and stochastic-investment - enforcing financial transparency might be counterproductive. The framework builds upon a standard property that illiquid asset markets cause under-investment in assets that pay in the long-run, because individually rational agents hoard cash to exploit sales of underpriced long-term assets. First, I show that in this environment private revelation of news about investment-returns could give a chance to sell low-quality assets and then characterize the conditions under which the lack of financial transparency reduces under-investment and improves macroeconomic development. An empirical analysis reveals that the theoretical predictions of the model is in line with cross-country data.

Effects of crude ethanolic extract of <i>Gloriosa superba</i> L. tuber, on root growth and root tip mitosis, of <i>Allium sativum</i> L.

Colchicine is an alkaloid produced by some members of the Liliaceae family which include Gloriosa superba L. Apart from its other medicinal uses, it is used for both cytological and plant breeding studies. Absence of pure colchicine in Nigeria has retarded research progress in the above-mentioned areas of research. In this study, the genotoxic and cytotoxic effect of ethanolic crude extract of G. superba tubers, obtained by freeze-drying method, on Allium sativum meristematic roots were examined; to explore the possibility of using it, in research, in the absence of pure colchicine. The mitotic index of the roots treated with aqueous crude extract concentrations of 500mg/L, 1000mg/L and 2000mg/L for 3, 6, 12 and 24 hours, showed that there was significant reduction in the number of dividing cells with time. There were evidences of disturbed mitotic phases, C-metaphase, precocious chromosome movement and anaphase bridges, which increased as concentration and duration of treatment increased. Distilled water and 8-hydroxyquinoline were used as negative and positive controls. A. sativum roots exposed to the crude extract concentrations for 3, 6, 12, 24, 48 and 72 hours showed significant inhibition of root growth which increased with concentration and duration of treatment. The results obtained from this study indicate that the crude colchicine contained in G. superba , is an effective tubulin binder, which can arrest cells at the metaphase stage and is therefore recommended for cytological studies in Nigeria and other underdeveloped economies, in the absence of pure colchicine. Keywords: Root growth, root tip, mitosis, Gloriosa superba , Allium sativum , colchicine

"No one may starve in the British Empire": Kwashiorkor, Protein and the Politics of Nutrition Between Britain and Africa.

SummaryThroughout the twentieth century it was widely assumed that African diets were grossly deficient in protein, that childhood protein deficiency was a natural result of this generalised diet and that a relative lack of meat and milk went some way to explaining African economic underdevelopment. This article explores why these conclusions took hold; the European deification of animal protein in previous centuries; structural changes to African diets and food economies under colonial government; and the political value of such a consensus. Unlike elsewhere in the world, where deficiency was removed from the exceptionalism of tropical medicine, protein malnutrition was constructed as a particularly African concern. Focusing this discussion on the history of the severe childhood deficiency, kwashiorkor, this article explores how the politically informed othering of African nutrition came to direct, or misdirect, the medicine of malnutrition in twentieth-century Africa.

Development and Management of Guizhou Convention and Exhibition Industry Based on Brand Vision

The Convention and Exhibition industry has become an important tool to improve regional economic growth, and plays an increasingly significant role in enhancing the city's visibility and competitiveness. However, Guizhou convention and exhibition industry started late due to many reasons including the unique unfavorable geographic positions, underdeveloped economy and deficiency of the professional talented persons. This paper focuses on the development and the management of industry, discusses the history and branding Stage of Guizhou convention and exhibition industry, analyzes the local advantages of cool climate, good ecological environment and big data in the province, which are attractive for the convention and exhibition industry, and make some suggestion for the development and management of Guizhou convention and exhibition industry.

Does Islam impede development? A critical analysis

PurposeThis paper aims to investigate the relationship between Islam and economic underdevelopment that characterizes many Muslim societies. It examines the Weberian thesis regarding Islam and development, assessing the role of Islamic law, in addition to the concepts of rationality and fatalism.Design/methodology/approachThe paper reviews the major theses regarding the link between Islam and development and makes an attempt at explaining economic underdevelopment by engaging the most prominent arguments in this regard.FindingsLack of development in most Muslim societies is a multidimensional problem, and it would not help to rely on explanations that are culturally deterministic or sociologically reductionist.Practical implicationsDevelopment requires improvements at various regulatory, economic, educational, and social levels. It also requires a significant transformation in people’s value systems that guide their actions. This requires a process of self-examination, not only looking at exogenous factors to explain failures, but also to focus on one’s own responsibility to alleviate crisis situations.Originality/valueThis paper challenges many of the for-granted theses regarding the purported link between Islam and development. While not dispelling the need for internal reflection for Muslim societies, it puts some of the popular arguments regarding this link in proper perspective.

The Progress and Achievement of Top Five Services Sectors through the Foreign Direct Investments in India

Foreign Direct Investment (FDI) plays a very important role in the development of the nation. It is very much vital in the case of underdeveloped and developing countries. A typical characteristic of these developing and underdeveloped economies is the fact that these economies do not have the needed level of savings and income in order to meet the required level of investment needed to sustain the growth of the economy. In such cases, foreign direct investment plays an important role in bridging the gap between the available resources or funds and the required resources or funds. It plays an important role in the long-term development of a country not only as a source of capital, but also for enhancing competitiveness of the domestic economy through transfer of technology, strengthening infrastructure, raising productivity and generating new employment opportunities. In India, FDI is considered as a developmental tool, which helps in achieving self-reliance in various sectors and in the overall development of the economy. India after liberalizing and globalizing the economy to the outside world in 1991, there was a massive increase in the flow of foreign direct investment. The present paper attempts to analyze the significance of the FDI Inflows in Indian service sector since 1991 and relating the growth of service sector FDI in the generation of employment in terms of skilled and unskilled. The services sector is not only the dominant sector in India’s GDP, but has also attracted significant foreign investment flows, contributed significantly to exports as well as provided large-scale employment. India’s services sector covers a wide variety of activities such as trade, hotel and restaurants, transport, storage and communication, financing, insurance, real estate, business services, community, social and personal services, and services associated with construction.

Why Do So Many Underdeveloped Economies Seem Not to Develop? The Impact of Public Social Governance

Why Do So Many Underdeveloped Economies Seem Not to Develop? The Impact of Public Social Governance

An analysis of foreign direct investment attractiveness of the Russian Far East by Porter’s Diamond model

This paper is dedicated to measuring the Foreign direct investment (FDI) attractiveness of the Russian Far East. In 2012, the Russian Federationofficially addressed the Turn to the East Policy through «Measures to Implement the Russian Federation Foreign Policy” to resolve the chronically underdeveloped economy of the Far Eastern district. The Far Eastern development entails an enormous budget from abroad considering the enormous magnitude of investments projects. However, despite the continuous increasing investment propensity in the Russian Far East, the result is not yet impressive. Thereby, the thorough analysis of the FDI attractiveness of the Far Eastshould more to be conducted. To do that, in this study, we analyzed the FDI attractiveness of the Far East based on the Porter’s Diamond model, comprised of the four endogenous factors – Production Factor, Demand Factor, Related and Supporting Industries, and Firm Strategy Structure and Rivalry-, and the two exogenous factors-chance, and government. Based on the analysis, we diagnosed that weak factor and demand conditions and ambiguous political will majorly hinder from accelerating the Turn to the East Policy. Thereby, we concluded that to achieve momentum of the policy by generating high efficiency of the policy mechanisms to induce FDI, the strong political will should be accompanied with investmentfavorable factor and demand conditions.

Poverty and Sustainable Development under Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) with reference to Present Scenario of India: A Case Study of Karbi Anglong District

Poverty is a world-wide and multi-dimensional phenomenon and it exists both in developed and underdeveloped economy. In Rio-Declaration, the commission has given prominence on bio-diversity, climate change, forest management and conservation along with a priority to the poorest sections of the community. The central government of India, under UPA Government, enacted a National Employment Guarantee Act. This would provide a legal guarantee for at least 100 days of employment to begin with an asset-creating public works programmes every year at minimum wages to at least one able bodied person in a family. The act was notified on 7th September, 2005. The significance of the programmes makes the government legally acceptable for providing employment to those who ask for it. It was considered as growth engine for sustainable development of an agricultural economy through the process of providing employment on works that address causes of chronic poverty such as drought, deforestation and soil erosion. The Act seeks to strengthen the natural resource base of rural livelihood and create durable asset in rural areas. The present study has been conducted on the rural population under MGNREGA, who are able to cross their subsistence level of surviving. The incidence of poverty is very high in the different rural areas than estimated by Planning Commission of India (based on Suresh Tendulkar Committee).

Structural Transformation around the World: Patterns and Drivers

The conventional view of structural transformation is informed by three stylized facts of economic development: (i) all economies exhibit declining employment in agriculture, (ii) all economies exhibit a hump-shaped share of employment in industry, and (iii) all economies exhibit an increasing share of employment in services. In this paper, I show that this presumed path of structural transformation may no longer be the route to economic development in low-income economies. Classifying economies as either structurally developed, structurally developing, or structurally underdeveloped, I observe a different path of structural transformation in structurally underdeveloped economies in which workers are moving directly from agriculture to nonbusiness services, which as a sector does not have the same productivity gains as manufacturing. I also show that the mainstream approach is unable to explain the patterns of structural transformation observed in low-income developing economies. This suggests the need to rethink the theoretical premises behind much of the mainstream approach to structural transformation and to identify alternate causal mechanisms to explain the different types of structural transformation underway in the developing world.

Why is informal employment more common in some countries? An exploratory analysis of 112 countries

PurposeThe purpose of this paper is to evaluate competing explanations for the greater prevalence of informal employment in some countries rather than others. These variously explain informal employment to be a result of either economic under-development and the lack of modernisation of governance (“modernisation” theory), higher taxes and too much state intervention (“neo-liberal” theory) or inadequate government intervention to protect workers from poverty (“political economy” theory).Design/methodology/approachTo do this, an International Labour Organisation data base produced in 2018 on the prevalence of informal employment in 112 countries (comprising 90 per cent of the global workforce) is analysed, and macro-level economic and social conditions reflecting each of these theories tested using bivariate regressions.FindingsThe prevalence of informal employment ranges from 94.6 per cent of total employment in Burkina Faso to 1.2 per cent in Luxembourg. Evaluating the validity of the competing theories, neo-liberal theory is refuted, and a call made to synthesise the modernisation and political economy perspectives in a new “neo-modernisation” theory that tentatively associates the greater prevalence of informal employment with lower economic under-development, greater levels of public sector corruption, smaller government and lower levels of state intervention to protect workers from poverty.Practical implicationsThis paper tentatively reveals the structural economic and social conditions that need to be addressed globally to reduce informal employment.Originality/valueThis is the first paper to report the results of a harmonised data set based on common criteria to measure the varying prevalence of informal employment globally (across 112 countries representing 90 per cent of global employment) in order to determine the structural economic and social conditions associated with higher levels of informal employment.

Adolescent Venereal Diseases

The Madridge Journal of Immunology is an open-access peer-review journal focusing on a qualitative approach to review and publishing papers in all fields of immunology. Readers from underdeveloped economies can even easily access the content without involving monetary issues thus stimulating the research in less privileged regions as well.