nep-ara New Economics Papers
on MENA - Middle East and North Africa
Issue of 2024‒01‒29
seven papers chosen by
Paul Makdissi, Université d’Ottawa


  1. Perception of Unique Professional Contribution (UPC) in Morocco: An Empirical Study By Imad Ben Yachrak; Nissrine Al Maghribi
  2. The Causal Impact of Education on Mental Health and Explanatory Mechanisms By Aygun, Aysun Hiziroglu; Tirgil, Abdullah
  3. Trade, slavery, and state coercion of labor: Egypt during the first globalization era By Saleh, Mohamed
  4. Challenging global changes in a post-revolutionary context: the case of irrigated olive growing in central Tunisia By Emilie Lavie; Pepita Ould Ahmed; Philippe Cadène; Ismail Chiab; Vassili Kypreos
  5. With or without him? Experimental evidence on cash grants and gender-sensitive trainings in Tunisia By Jules Gazeaud; Nausheen Khan; Eric Mvukiyehe; Olivier Sterck
  6. Building a Financial Constraint Index for Türkiye By Hatice Gökce Karasoy Can; Evren Erdogan Cosar
  7. Do Subsidized Export Credits Affect Firms’ Behavior in the FX Market? Micro Evidence from Türkiye By Unal Seven; Ertan Tok

  1. By: Imad Ben Yachrak (UM5 - Université Mohammed V de Rabat [Agdal]); Nissrine Al Maghribi (UM5 - Université Mohammed V de Rabat [Agdal])
    Abstract: This study aims to evaluate the perception of the Unique Professional Contribution (CPU) among professionals subject to it in Morocco and to identify the factors that influence this perception. Individual characteristics, such as age, gender, level of education, affiliation with a mutual fund, and professional seniority, are examined to determine their impact on how professionals perceive the CPU. To achieve this objective, a quantitative approach was adopted. Data were collected from a sample of professionals working in the Rabat region using a structured questionnaire. The data were analyzed using statistical techniques, including correlation using the Pearson test, the Student's t-test, and multiple regression, to assess the relationships between these variables and the perception of the CPU. The results reveal several significant findings. Younger professionals have a more favorable perception of the CPU, while women, individuals with a higher level of education, those affiliated with a mutual fund, and professionals with greater seniority also have a more positive perception of the CPU. These results highlight the impact of personal characteristics on how professionals perceive the CPU. The implications of this research are significant. Understanding how these factors influence the perception of the CPU can guide fiscal policies and respond more accurately to the needs of Moroccan professionals. The results of this study suggest that measures can be taken to improve professionals' perception of the CPU. Targeted awareness campaigns, specific tax reforms, simplification of declaration and payment procedures, and financial education programs could contribute to a better perception of the CPU.
    Abstract: Cette étude vise à évaluer la perception de la Contribution Professionnelle Unique (CPU) par les professionnels, soumis à l'impôt sur le revenu selon le régime forfaitaire, et à identifier les facteurs qui influencent cette perception. Les caractéristiques individuelles, telles que l'âge, le sexe, le niveau d'éducation, l'affiliation à une mutuelle et l'ancienneté professionnelle, sont examinées pour déterminer leur impact sur la manière dont les professionnels perçoivent la CPU. Pour atteindre cet objectif, une approche quantitative a été adoptée. Des données ont été collectées à partir d'un échantillon de professionnels exerçant dans la région de Rabat, à l'aide d'un questionnaire structuré. Les données ont été analysées à l'aide des techniques statistiques, notamment la corrélation par le test de Pearson, le test t de Student et la régression multiple, pour évaluer les relations entre ces variables et le degré de la perception de la CPU. Les résultats révèlent plusieurs constatations significatives. Les professionnels plus jeunes qui sont soumis à ce nouveau régime ont une perception plus favorable de la CPU, tandis que les femmes, les individus avec un niveau d'éducation plus élevé, les affiliés à une mutuelle et les professionnels avec une plus grande ancienneté ont également une perception plus positive de la CPU. Ces résultats mettent en évidence l'impact des caractéristiques personnelles sur la manière dont les professionnels perçoivent la CPU. Les implications de cette recherche sont significatives. Comprendre comment ces facteurs influencent la perception de la CPU peut orienter les politiques fiscales et répondre de manière plus précise aux besoins des professionnels marocains soumis à ce régime d'imposition. Les résultats de cette étude suggèrent que des mesures peuvent être prises pour améliorer la perception de la CPU chez les professionnels. Des campagnes de sensibilisation ciblées, des réformes fiscales spécifiques, la simplification des procédures de déclaration et de paiement et des programmes d'éducation financière pourraient contribuer à une meilleure perception de la CPU.
    Keywords: Perception Contribution Professionnelle Unique (CPU) Régime forfaitaire Assurance Maladie Obligatoire (AMO) Impôt sur le Revenu. Classification JEL: H2 H21 H25 H3 H39 Type de l'article : Recherche empirique Perception Unique Professional Contribution Lump-sum taxation regime compulsory health insurance (AMO) Income Tax. JEL Classification: H2 H21 H25 H3 H39 Paper type: Empirical research, Perception, Contribution Professionnelle Unique (CPU), Régime forfaitaire, Assurance Maladie Obligatoire (AMO), Impôt sur le Revenu. Classification JEL: H2, Unique Professional Contribution, Lump-sum taxation regime, compulsory health insurance (AMO), Income Tax. JEL Classification: H2
    Date: 2023
    URL: http://d.repec.org/n?u=RePEc:hal:journl:hal-04348643&r=ara
  2. By: Aygun, Aysun Hiziroglu; Tirgil, Abdullah
    Abstract: This paper investigates the causal relationship between education and mental health in Turkey. We rely on the quasi-experimental setting created by the 1997 compulsory education reform that raised the compulsory years of schooling from five to eight years. Using regression discontinuity design, we use the birth year to indicate reform exposure and identify the causal effects of longer years of schooling on mental health. Our results demonstrate a sizable negative impact of education on the mental health scale. We present evidence that the reform had a more adverse effect on men's mental health. There is also heterogeneity by the place of residence, as the longer school years led people who live in urban areas to experience worse mental health outcomes. By investigating possible mechanisms, we show that those with at least a middle school education did not invest more in their health than those without a middle school diploma. We explain the evidence for the adverse effects of education on mental health, especially experienced by those who face higher competition in the labor market, by the lack of an increase in household income despite the longer years in school.
    Keywords: mental health, MHI-5, regression discontinuity design, compulsory schooling law, education policy, Turkey
    JEL: I12 I26 I28
    Date: 2024
    URL: http://d.repec.org/n?u=RePEc:zbw:esprep:280901&r=ara
  3. By: Saleh, Mohamed
    Abstract: I investigate the effects of trade on labor coercion under the dual-coercive institutions of slavery and state coercion. Employing novel data from Egypt, I document that the cotton boom in 1861–1865 increased both imported slaveholdings of the rural middle class, and state coercion of local workers by the elite. As state coercion reduced wage employment, it reinforced the demand for slaves among the rural middle class. While the abolition of slavery in 1877 increased wages, it did not affect state coercion or wage employment. I discuss the political effects of the abolition as a potential explanation for these findings.
    Keywords: slavery; state corecion; trade; abolition; cotton
    JEL: F16 N35
    Date: 2023–12–26
    URL: http://d.repec.org/n?u=RePEc:ehl:lserod:121130&r=ara
  4. By: Emilie Lavie (PRODIG (UMR_8586 / UMR_D_215 / UM_115) - Pôle de recherche pour l'organisation et la diffusion de l'information géographique - UP1 - Université Paris 1 Panthéon-Sorbonne - IRD - Institut de Recherche pour le Développement - AgroParisTech - SU - Sorbonne Université - CNRS - Centre National de la Recherche Scientifique - UPCité - Université Paris Cité, LAM - Les Afriques dans le monde - IEP Bordeaux - Sciences Po Bordeaux - Institut d'études politiques de Bordeaux - IRD - Institut de Recherche pour le Développement - Institut d'Études Politiques [IEP] - Bordeaux - UBM - Université Bordeaux Montaigne - CNRS - Centre National de la Recherche Scientifique); Pepita Ould Ahmed (CESSMA UMRD 245 - Centre d'études en sciences sociales sur les mondes africains, américains et asiatiques - IRD - Institut de Recherche pour le Développement - Inalco - Institut National des Langues et Civilisations Orientales - UPCité - Université Paris Cité); Philippe Cadène (CESSMA UMRD 245 - Centre d'études en sciences sociales sur les mondes africains, américains et asiatiques - IRD - Institut de Recherche pour le Développement - Inalco - Institut National des Langues et Civilisations Orientales - UPCité - Université Paris Cité); Ismail Chiab (PRODIG (UMR_8586 / UMR_D_215 / UM_115) - Pôle de recherche pour l'organisation et la diffusion de l'information géographique - UP1 - Université Paris 1 Panthéon-Sorbonne - IRD - Institut de Recherche pour le Développement - AgroParisTech - SU - Sorbonne Université - CNRS - Centre National de la Recherche Scientifique - UPCité - Université Paris Cité, Université de Sfax - University of Sfax); Vassili Kypreos (UMR ART-Dev - Acteurs, Ressources et Territoires dans le Développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - UPVM - Université Paul-Valéry - Montpellier 3 - UPVD - Université de Perpignan Via Domitia - CNRS - Centre National de la Recherche Scientifique - UM - Université de Montpellier, PRODIG (UMR_8586 / UMR_D_215 / UM_115) - Pôle de recherche pour l'organisation et la diffusion de l'information géographique - UP1 - Université Paris 1 Panthéon-Sorbonne - IRD - Institut de Recherche pour le Développement - AgroParisTech - SU - Sorbonne Université - CNRS - Centre National de la Recherche Scientifique - UPCité - Université Paris Cité)
    Abstract: Research on agricultural development models shows that local applications of global models are adapted both to the globalisation of agricultural markets and to climate change. The circulation of such models is also linked to local political and historical contexts. However, few studies have focused on abrupt changes in economic policies, such as those following the Arab Spring. We propose to study the evolution of olive-growing development policies in post-revolutionary Tunisia. In order to mitigate both market- and climate-induced vulnerabilities and to make the sector more competitive with major olive producers, Food and Agriculture Organization (FAO) guidelines recommend intensification of Tunisian olive farming through irrigation. Our research makes two main claims: (1) the change in the production model towards irrigation aims to respond to globalisation, climate change and national policies. (2) Some exporters are involved at several levels of the value chain. This research conducted by geographers and economists analyses the mutations of the olive sector towards irrigation, using a double theoretical framework on the circulation of agricultural development models, with a political-ecology approach. This paper contributes to a growing body of research on the relationship between commodity production networks and water studies.
    Keywords: Global Change, Agriculture, Olive oil, Tunisia
    Date: 2023
    URL: http://d.repec.org/n?u=RePEc:hal:journl:hal-04222673&r=ara
  5. By: Jules Gazeaud (CERDI - Centre d'Études et de Recherches sur le Développement International - IRD - Institut de Recherche pour le Développement - CNRS - Centre National de la Recherche Scientifique - UCA - Université Clermont Auvergne); Nausheen Khan (World Bank Group); Eric Mvukiyehe (Duke University); Olivier Sterck (UA - University of Antwerp, University of Oxford)
    Abstract: Is it possible to stimulate women's income-generating activities by relaxing their financial and human capital constraints? Does involving husbands help or hinder the effort? We examine these questions using a three-arm randomized-controlled trial with 2000 women in Tunisia. Women in the two treatment arms were offered a large cash grant (worth USD768 in PPP terms) and a gender-sensitive financial training. In one of the treatment arms, women were additionally encouraged to bring their male partner to the training. Two years after the program, we show that the treatments stimulated women's income-generating activities, but only when partners were not involved, and with no downstream effects on women's agency. Independently of partners' participation, impacts on household living standards were overwhelmingly positive, suggesting that the program was highly costeffective. Overall, our results highlight the difficulty of stimulating women's agency in traditional societies, and suggest that involving men in women's empowerment programs can backfire.
    Keywords: Cash Transfers, Financial Training, Gender Roles, Employment
    Date: 2023–10
    URL: http://d.repec.org/n?u=RePEc:hal:journl:hal-04364356&r=ara
  6. By: Hatice Gökce Karasoy Can; Evren Erdogan Cosar
    Abstract: The aim of this paper is to construct an index of financial constraints for firms in Türkiye. Traditional indices such as the KZ index, the WW index and the HP index have been constructed for advanced economies such as the United States or European countries. In this study, we take advantage of the Investment Tendency Survey sent to firms by the Central Bank of the Republic of Türkiye to extract a real indicator of financial constraints based on managers' own evaluations of their firms. The survey question on the factors that stimulate investment decisions is evaluated as a true indicator of financial constraints, and then this response is predicted with various balance sheet indicators. In this way, we construct an index of financial constraints that is specific to firms operating in the Turkish economy. We find that financial constraints can be determined with seven fundamental variables: age of the firm, size, change in size, profitability, leverage, tangibles (tangible assets to total assets) and export share. We prove the validity of the index by showing that financially constrained firms identified by this index have real difficulties in accessing bank credit in the form of lower volumes, higher interest rates and shorter loan maturities. We then show that financial constraints have a dampening effect on the firm's net worth and investment both through its own effect and through the long-term borrowing channel. Moreover, the transmission of a macro-financial shock is persistently affected by the financial constraint status. Finally, the validity of the index applies to a larger sample of companies.
    Keywords: Index of financial constraints, KZ index, Investment tendency, Turkish firms, Turkish economy
    JEL: E44 E60 G30
    Date: 2023
    URL: http://d.repec.org/n?u=RePEc:tcb:wpaper:2306&r=ara
  7. By: Unal Seven; Ertan Tok
    Abstract: Exports have direct and indirect contributions to growth and welfare; therefore, countries have been implementing various policies to boost exports. Among these policies, export credit remains an important policy instrument. Through its export-led growth strategy, Türkiye intends to increase its exports by subsidizing exporters via a rediscount credit scheme, a form of subsidized export credit, that is mostly financed by the Central Bank of the Republic of Türkiye (CBRT). In this paper, we aim to answer whether benefiting from such cost-effective financial support causes unintended consequences. We focus on the foreign exchange (FX) purchases of treated firms and estimate whether they purchase more FX than their non-treated pairs during the treatment period. Using firm-level data, we employ a propensity score matching (PSM) difference-in-differences (DD) estimator. Focusing only on firms that used rediscount credit for the first time after June 2020, we find evidence of positive and significant impact of using rediscount credits on the treated firms’ net FX purchases. However, this impact significantly diminishes after the CBRT regulations on the conditions for allocation and repayment of rediscount credits came into effect. We also find that being net importer increases the sensitivity of net FX purchase to using rediscount credit. We show that the effect of using rediscount credits on net FX purchase is higher in SMEs than in large firms. Our results suggest that directing rediscount credits from net importers to net exporters and preventing unintended uses through efficient regulations may increase the positive contribution of rediscount credit programs to financial stability.
    Keywords: Rediscount credits, Propensity score matching, Difference-in-differences, Türkiye
    JEL: F13 F31 O24 E58
    Date: 2023
    URL: http://d.repec.org/n?u=RePEc:tcb:wpaper:2307&r=ara

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