nep-ara New Economics Papers
on MENA - Middle East and North Africa
Issue of 2017‒09‒24
six papers chosen by
Paul Makdissi
Université d’Ottawa

  1. Working and Women’s Empowerment in the Egyptian Household: The Type of Work and Location Matter By Clémentine Sadania
  2. Causes and Impacts of Remittances: Household Survey Evidence from Egypt By Mohammad Reza Farzanegan; Sherif Maher Hassan; Ribal Abi Raad
  3. Addressing multicollinearity in regression models: a ridge regression application By Bager, Ali; Roman, Monica; Algedih, Meshal; Mohammed, Bahr
  4. Pourrions-nous utiliser l'Euribor comme taux de rendement sans risque dans la région Arabe ? By BENDOB, Ali; Benahmed-Daho, Rachida
  5. Y’a-t-il vraiment un besoin pour changer de referentiel comptable au Maroc? la prétendue value relevance des normes comptables IFRS By Ahsina, Khalifa; Taouab, Omar
  6. De l’intention entrepreneuriale à la création effective d’une entreprise : Une explication par les réseaux sociaux. By Ahsina, Khalifa; Slaoui, Oumaima

  1. By: Clémentine Sadania (Aix-Marseille Univ. (Aix-Marseille School of Economics), CNRS, EHESS and Centrale Marseille)
    Abstract: This paper explores the impact of women’s work on empowerment in Egypt. Existing evidence suffers from several limitations, which I attempt to address. First, I develop an instrumental variable strategy to account for the endogeneity of work. Second, I allow for a heterogeneous impact of work, distinguishing between working in the public sector, outside work in the private sector and home-based work. Third, women’s empowerment is directly measured as their participation in household decisions. Outside work has the greatest impact. Interestingly, home-based work enhances joint decision-making. Distinguishing between urban and rural residence reveals distinct patterns of impact on decision-making.
    Keywords: women’s empowerment, employment, household decision-making
    JEL: D13 J16 J21
    Date: 2016–12
  2. By: Mohammad Reza Farzanegan (Philipps-Universität Marburg); Sherif Maher Hassan (Philipps-Universität Marburg); Ribal Abi Raad (Concordia university, Montreal)
    Abstract: This research provides a qualitative and empirical investigation of the microeconomic causes and impacts of remittances in Egypt. We use data from a field study, involving interviews of 304 remittance-receiving families across 16 Egyptian governorates during May 2015–May 2016. Our Ordinary Least Square (OLS) and Tobit regressions show that the duration of migration, migrant’s age, household income, and household head’s job are the most important predictors of the level of remittances. The first three variables induce the value of received remittances, while the final variable, household head’s job, acts to the contrary and reduces remittances. In terms of remittances allocation, everyday expenses and real estate investments absorb the vast majority of channeled remittances. Most of the respondents (85%) do not invest remittances, and those who invest remittances mainly reside in Upper and Lower Egypt due to the low living costs in these regions.
    Keywords: remittances; Egypt; altruistic; self-interest; Tobit
    JEL: D14 J6 O15
    Date: 2017
  3. By: Bager, Ali; Roman, Monica; Algedih, Meshal; Mohammed, Bahr
    Abstract: The aim of this paper is to determine the most important macroeconomic factors which affect the unemployment rate in Iraq, using the ridge regression method as one of the most widely used methods for solving the multicollinearity problem. The results are compared with those obtained with the OLS method, in order to produce the best possible model that expresses the studied phenomenon. After applying indicators such as the condition number (CN) and the variance inflation factor (VIF) in order to detect the multicollinearity problem and after using R packages for simulations and computations, we have proven that in Iraq, as an Arabic developing economy, unemployment seems to be significantly affected by investments, working population size and inflation.
    Keywords: multicollinearity, ridge regression method, unemployment rate.
    JEL: C12 C51 J64
    Date: 2017–06
  4. By: BENDOB, Ali; Benahmed-Daho, Rachida
    Abstract: The analysts and evaluators in the financial market needs to risk free rate return (RFRR) to take the financing and investment decisions. This paper aims to study and analyze the causal relationship between Euribor rate and stock prices in the Arab stock exchanges, at level of nine Arab stock markets namely: Abu Dhabi, Bahrein, Morocco, Dubai, Egypt, Kuwait,Muscat, Qatar and Saudia during 2007 -2013. The results showed a strong inverse relationship between the Euribor rate and stock prices in the Arab stock exchanges, and that the Euribor rate can be used as an indicator for the pricing in Arab Stock markets.
    Keywords: EURIBOR, risk free rate return, Arab Stock market , interest rate .
    JEL: C32 G12 G21
    Date: 2017–03
  5. By: Ahsina, Khalifa; Taouab, Omar
    Abstract: The adoption of IFRS aims to improve the quality of accounting, thus increasing its value to stakeholders. But often the adoption of these standards did not originate from an internal need of the emergent’s countries but are usually offered by international financial institutions that require "IFRS label" to align with the best practices of developed countries. The question that arises in this research is to know, beyond the motivations African companies to adopt IFRS; Ahsina (2012) and Sy and Tinker (2013), is that IFRS are of top quality local standards? A review of abundant literature was conducted in developed countries, but did not decide categorically on the superiority of IFRS by local standards. By cons, There are few studies on emerging markets as the Moroccan financial market, hence the usefulness of this work. This article is based on a model of price and yields developed by Amir et al (1993), Barth and Clinch (1996) and Harris and Muller (1999). This is to achieve association studies between market values and financial information from the national database by incorporating the differential amount resulting from the application of IFRS. The findings emerged from the study suggest that the informational relevance of IFRS is low for both models; the R2 is less than 30% for the first model and 10% for the second model. Thus, the obligation to adopt IFRS standards imposed by the AMF and the central bank of Morocco on the recommendations by international financial institutions, is not timely, since it did not leads to the production of more relevant financial information and of good quality.
    Keywords: IFRS, Value relevance, Local Accounting Standards (LAS), Emerging countries.
    JEL: M41
    Date: 2017–05–03
  6. By: Ahsina, Khalifa; Slaoui, Oumaima
    Abstract: According to an international study carried out in 2015. in Morocco, it has been found that the transition from intention to start-up is very mixed. Indeed, out of 35.8% of the Moroccan active population intending to undertake, only 1.31% of people actually created their businesses.Indeed, the process of business creation is a complex process and it is usually generated in the environment where strong and weak bonds are present in the creation of businesses.This is why several authors, Colemen (2004) and Granovetter (2004) mobilized the theory of social networks to explain this passage. Indeed, the social networks of the entrepreneur play an important role in the acquisition of the social and financial capital needed to start up the company.From this we ask the following research question: "What is the impact of the social networks of the entrepreneur on the actual creation of a business project? According to the methodology used by Grossetti and Barthe, (2008), life stories were used in a mixed way.This original method in the field of entrepreneurship allows to identify the characteristics of the joint evolution of the activity and the social network and then to conduct a comprehensive analysis of the processes underlying these dynamics.We opt for reasoned sampling (Thietard et al, 2007). So we will interview entrepreneurs who have created a business in the twelve regions of Morocco.The results expected from analysis of the field data will allow us to corroborate our theoretical model and thus prescribe the best ways to create effective networks for entrepreneurs and creative organizations.
    Keywords: Entrepreneurial Intent, Life Stories, Social Networks,
    JEL: M13
    Date: 2017–03–24

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