nep-cwa New Economics Papers
on Central and Western Asia
Issue of 2008‒09‒29
37 papers chosen by
Nurdilek Hacialioglu
Open University

  1. Economic Reforms, Human Capital, and Economic Growth in India and South Korea: A Cointegration Analysis By Svitlana Maksymenko; Mahbub Rabbani
  2. Indian Economic Growth: Lessons for the Emerging Economies By Chakraborty, Suparna
  3. R&D offshoring and the domestic science base in India and China By Suma Athreye; Martha Prevezer
  4. Global Growth and Distribution: Are China and India Reshaping the World? By Bussolo, Maurizio; De Hoyos, Rafael E.; Medvedev, Denis; van der Mensbrugghe, Dominique
  5. Identification of Regional Fundamental Economic Structure (FES) of India: An Input-Output and Field of Influence Creation-date: 2008 By Thakur, Sudhir K.
  6. The Impact of Higher Standards in Patent Protection for Pharmaceutical Industries under the TRIPS Agreement: A Creation-date: 2008 By Li, Xuan
  7. Innovation Capacity and Economic Development: China and India By Fan, Peilei
  8. Trade Expansion of China and India: Threat or Opportunity By Qureshi, M.S.; Wan, Guanghua
  9. Measuring Vulnerability and Poverty: Estimates for Rural India By Gaiha, Raghav; Imai, Katsushi
  10. Comparing Regional Development in China and India By Wu, Yanrui
  11. Gender and Informal Sector Analysis in India: Economy Wide Approaches By Sinha, Anushree; Khan, Haider
  12. Conferencia sobre las implicaciones del reciente crecimiento de India y China sobre otros países en desarrollo By Universidad Sergio Arboleda
  13. Export Productivity, Finance, and Economic Growth: Are the Southern Engines of Growth Different? By Guariglia, Alessandra; Santos-Paulino, Amelia U.
  14. Development Path of China and India and the Challenges for their Sustainable Growth By Li, Yuefen; Zhang, Bin
  15. State of Elementary Education in Public Schools of Gujarat: A Study of Schools Run by the Bharuch Municipality By Raj, Madhusudan
  16. Foreign Direct Investment from China, India and South Africa in Sub-Saharan Africa: A New or Old Phenomenon? By Henley, John; Kratzsch, Stefan; Kulur, Mithat; Tandogan, Tamer
  17. Export Productivity and Specialization in China, Brazil, India and South Africa By Santos-Paulino, Amelia U.
  18. Innovativeness of Small and Medium Size Enterprises in Regional Innovation System: Evidences from Turkey By Bahar C. Erbas; Ali Fýkýrkoca; Arcan Tuzcu
  19. Testing Gibrat’s law: empirical evidence from panel unit root tests of turkish firms By Aslan, Alper
  20. International Tourism Demand for Turkey: A Dynamic Panel Data Approach By Aslan, Alper; Kaplan, Muhittin; Kula, Ferit
  21. The Efficacy of Parochial Politics: Caste, Commitment, and Competence in Indian Local Governments By Kaivan Munshi; Mark Rosenzweig
  22. Promotion with and without learning : effects on student enrollment and dropout behavior By King, Elizabeth M.; Orazem, Peter F.; Paterno, Elizabeth M.
  23. The Internationalization of Venture Capital and Private Equity By Joshua Aizenman; Jake Kendall
  24. Financial stability challenges in candidate countries - managing the transition to deeper and more market-oriented financial systems. By Thierry Bracke; André Geis; Maurizio Habib; Csaba Móré; Éva Katalin Polgár; Adalbert Winkler; Emidio Cocozza; Peter Backé
  25. Livelihood Risk from HIV in Semi-Arid Tropics of Rural Andhra Pradesh By B, Valentine Joseph Gandhi; M, Cynthia Serquina Bantilan; D , Parthasarathy
  26. Group Differences in Educational Attainment Among the Children of Immigrants By Abada, Teresa; Hou, Feng; Ram, Bali
  27. Livelihood Risk from HIV in Semi-Arid Tropics of Rural Andhra Pradesh By Gandhi, B. Valentine Joseph; Bantilan, M. Cynthia Serquina; Parthasarathy, Devanathan
  28. An Exploratory Study of the Role of Educational Incentives in Primary Education in Gujarat By Banerjee Tathagata
  29. Türkiye İmalat Sanayinde Fiyat-Maliyet Marjları: Dönemler ve Sektörler İtibariyle Karsılastırmalı Bir Analiz By Aslan, Alper; Kula, Ferit
  30. Resources and the Political Economy of State Fragility in Conflict States: Iraq and Somalia By Dibeh, Ghassan
  31. Türkiye’de Suç Oranları Sürekliliğinin Analizi By Aslan, Alper
  32. Convergence Analysis of Per Capita Carbon Dioxide Emissions: 1950-2004 By Aslan, Alper
  33. Türkiye’de Ekonomik Büyüme ve Turizm İlişkisi Üzerine Ekonometrik Analiz By Aslan, Alper
  34. The impact of customs union on firm productivity convergence By Aslan, Alper; Kaplan, Muhittin
  35. Financial Development and Economic Growth: A Panel Cointegration Analysis of Middle East Countries By Aslan, Alper
  36. Software Piracy in Egypt: Analysis of the Institutional Environment and Efficiency of Enforcement Measures By Nora El-Bialy Ibrahim
  37. OECD ÜLKELERİNDE DOLAYSIZ YABANCI SERMAYE YATIRIMLARI VE EKONOMİK BÜYÜME İLİŞKİSİ: DİNAMİK PANEL VERİ YAKLAŞIMI By Aslan, Alper

  1. By: Svitlana Maksymenko; Mahbub Rabbani
    Abstract: . . .
    JEL: O10 O15 O47 O53
    Date: 2008–08
    URL: http://d.repec.org/n?u=RePEc:pit:wpaper:361&r=cwa
  2. By: Chakraborty, Suparna
    Abstract: Can we use neoclassical growth model to single out the important transmission channels through which external factors or ?primitives? affected the Indian economy and caused the remarkable growth of the period 1982?2002? In this paper, we answer the question by applying the new technique of business cycle accounting to the Indian economy. Our results show us that the primary conduit of policies that brought about significant growth in India was productivity that registered an unprecedented increase particularly in the 1990s. Our results further indicate that changes in labour market frictions and investment market frictions did not play a significant role, though increased government consumption aided growth by propping up demand. In addition, we examine the effective tax rates in India and find that while investment taxes barely fluctuated, income tax rates were increasing throughout. We suspect other positive developments in the Indian economy overwhelmed the negative effect of increasing labour income taxes on growth. Our result suggests that any emerging country that aims to replicate the Indian experience would do well to formulate policies that target productivity, a lesson that seems consistent with the Japanese experience since the Second World War.
    Keywords: business cycle accounting, India, growth, wedges, neoclassical growth, taxes
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-67&r=cwa
  3. By: Suma Athreye; Martha Prevezer
    Abstract: This paper uses patent and publication data to assess the nature of technological advantages that are attracting R&D offshoring and outsourcing activities to India and China and the possible consequences of such R&D offshoring in increasing domestic innovative capability and building domestic research infrastructure. We find evidence that domestic patenting is concentrated in sectors that are different from sectors of R&D offshoring. Furthermore, whilst the domestic science base (as measured by publications data) in India and China shows strong complementarities in its specialisation profile to that in the US, our data also suggest that the location of international R&D activity in these economies from 1995 may not have strengthened the science base of these economies. Foreign patenting activities in India and China are also marked by a low attachment to the science base.
    Keywords: R&D offshoring/internationalisation, Science base, Emerging economies, India and China
    Date: 2008–09
    URL: http://d.repec.org/n?u=RePEc:cgs:wpaper:26&r=cwa
  4. By: Bussolo, Maurizio; De Hoyos, Rafael E.; Medvedev, Denis; van der Mensbrugghe, Dominique
    Abstract: Over the past 20 years, aggregate measures of global inequality have changed little even if significant structural changes have been observed. High growth rates of China and India lifted millions out of poverty, while the stagnation in many African countries caused them to fall behind. Using the World Bank?s LINKAGE global general equilibrium model and the newly developed Global Income Distribution Dynamics (GIDD) tool, this paper assesses the distribution and poverty effects of a scenario where these trends continue in the future. Even by anticipating a deceleration, growth in China and India is a key force behind the expected convergence of per capita incomes at the global level. Millions of Chinese and Indian consumers will enter into a rapidly emerging global middle class?a group of people who can afford, and demand access to, the standards of living previously reserved mainly for the residents of developed countries. Notwithstanding these positive developments, fast growth is often characterized by high urbanization and growing demand for skills, both of which result in a widening of income distribution within countries. These opposing distributional effects highlight the importance of analysing global disparities by taking into account?as the GIDD does?income dynamics between and within countries.
    Keywords: China, India, global income distribution, middle class
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-29&r=cwa
  5. By: Thakur, Sudhir K.
    Abstract: This study provides an understanding of the Indian regional economy utilizing the fundamental economic structure (FES) approach. The FES construct implies that selected characteristics of an economy will vary predictably with region size, as measured by net state domestic product, population, and total gross output. The big question addressed in this study is if identifiable patterns of relations between various macro aggregates and economic transactions can be revealed via regional input-output tables. Jensen et al. (1988) discuss the tiered, partitioned, and temporal approaches to the identification of FES using input-output tables. This research addresses the following four questions: (1) Does a regional FES exist for the Indian economy during the period 1965? (2) What proportions of the cells are predictable? (3) Can the 1965 regional FES predict 1983-84 table for Punjab economy? (4) Does regional FES manifest an enhanced understanding of the Indian regional structure? Regression analyses are used to identify the FES and non-FES cells for the Indian regional economy. The regional input-output tables for 21 States and Union Territories provide data for the analysis. Analysis reveals regional FES includes primary and secondary sectors as components of FES. This research has extended the notion of FES to include: weak, moderate and strong FES cells.
    Keywords: regions, economic structure, input-output, India
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-59&r=cwa
  6. By: Li, Xuan
    Abstract: A comparative study is undertaken that explores Chinese and Indian pharmaceutical industries under different patent regimes. It is found that relative to India, which had implemented process patent until 2005, China with a product patent regime since 1993 suffers from both lower drug accessibility and availability (the latter is a missing parameter in the literature). Also, China lags behind in both lower R&D investment and patents filed by Chinese nationals. Based on these findings and associated legal interpretation, we conclude that higher patent protection in China generates negative impacts on the pharmaceutical industries. Thus, governments should utilize TRIPS flexibilities and other regimes like price control to offset the anticompetitive effect in designing patent policies.
    Keywords: product patent, process patent, TRIPS, pharmaceutical industries, China, India
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-36&r=cwa
  7. By: Fan, Peilei
    Abstract: Both China and India, the emerging giants in Asia, have achieved significant economic development in recent years. China has enjoyed a high annual GDP growth rate of 10 per cent and India has achieved an annual GDP growth rate of 6 per cent since 1981. Decomposing China and India?s GDP growth from 1981 to 2004 into the three factors? contribution reveals that technology has contributed significantly to both countries? GDP growth, especially in the 1990s. R&D outputs (high-tech exports, service exports, and certified patents from USPTO) and inputs (R&D expenditure and human resources) further indicate that both countries have been very committed to R&D and their output is quite efficient. Both governments have played an essential role in transforming their national innovation systems so that they can be more adaptable to economic development. The main focus of their reforms has been to link the science sector with the business sector and to provide incentives for innovation activities. Balancing import of technology and indigenous R&D effort is another major theme. Innovation capability development has become more and more critical to the success of biofirms in India and China. Institutional factors have great influence on choice of innovation at the firm level, i.e., the decision at firm level in terms of indigenous R&D or import of technology. Nevertheless, limited financial resources and insufficiently qualified human resources remain two major challenges for domestic companies in both countries.
    Keywords: China, India, innovation capability, domestic companies, ICT, biotech
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-31&r=cwa
  8. By: Qureshi, M.S.; Wan, Guanghua
    Abstract: By exploring the export performances and specialization patterns of China and India, we assess their trade competitiveness and complementarity vis-.-vis each other as well as with the rest of the world. Our analysis indicates that (i) India faces tough competition from China in the third markets especially in clothing, textile and leather products; (ii) there is a moderate potential for expanding trade between the two countries; (iii) China poses a challenge for the East Asian economies, the US, and most of the European countries especially in medium technology industries; (iv) India appears to be a competitor mainly for its neighbouring South Asian countries; and (v) complementarity exists between the imports of China and India, and the exports of the US, some European states and East Asian countries, especially Japan, Korea, Malaysia, Singapore and Thailand, implying opportunities for trade expansion; and finally (vi) the export structure of China is changing with the exports of skill intensive and high technology products increasing and those of labour-intensive products decreasing gradually. This suggests that challenges created by China in traditional labour-intensive products might reduce in the long run
    Keywords: international trade, export competition, China, India
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-08&r=cwa
  9. By: Gaiha, Raghav; Imai, Katsushi
    Abstract: This paper measures the vulnerability of households in rural India, based upon the ICRISAT panel survey. We employ both ex ante and ex post measures of vulnerability. The latter are decomposed into aggregate and idiosyncratic risks and poverty components. Our decomposition shows that idiosyncratic risks account for the largest share, followed by poverty and aggregate risks. Despite some degree of risk-sharing, the landless or small farmers are vulnerable to idiosyncratic risks, forcing them to reduce consumption. Income augmenting policies therefore must be combined with those that not only reduce aggregate and idiosyncratic risks but also build resilience against them.
    Keywords: aggregate risks, idiosyncratic risks, poverty, vulnerability, semi-arid conditions
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-40&r=cwa
  10. By: Wu, Yanrui
    Abstract: Economic growth in China and India has attracted many headlines recently. As a result, the literature comparing the two Asian giants has expanded substantially. This paper adds to the literature by comparing regional growth, disparity and convergence in the two economies. This is the first of its kind. The paper presents a detailed examination of economic growth in the regions of China and India over the past twenty years. It also provides an assessment of regional disparity in the two countries and investigates whether there is any evidence of regional convergence during the period of rapid economic growth. It attempts to identify the sources of regional disparity and hence draw policy implications for economic development in the two countries in the near future.
    Keywords: regional development, China, India, disparity, convergence
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-13&r=cwa
  11. By: Sinha, Anushree; Khan, Haider
    Abstract: The main purpose of this paper is to look at the incorporation of gender and the informal sector within a general equilibrium framework for India. Moreover, we clarify some important links between a gender aware informal sector based social accounting matrix (SAM) and general equilibrium models such as the computable general equilibrium (CGE) models including as a special case the fixed price multiplier (FPM) models. In particular, economy wide modelling of gender and the informal sector is facilitated by the use of national level data and constructing the base data set as an SAM. Another important strategy is to conceptualize the economy within gender structures, entailing the recognition of gender relations as an intervening variable in all economic activities.
    Keywords: general equilibrium, informal sector, gender
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-65&r=cwa
  12. By: Universidad Sergio Arboleda
    Abstract: La Universidad Sergio Arboleda invita a los usuarios de Dotec-Colombia a la Conferencia “Las implicaciones del reciente crecimiento de China e India para otros países en desarrollo” "The implications of recent growth in China and India for other developing countries" Invitada Especial Dra. Jayati Ghosh Para mayor información comunicarse con la Escuela de Economía al 3257500 Ext. 2201 Lugar: Auditorio Principal Universidad Sergio Arboleda Calle 74 no. 14-14 Fecha: Viernes 26 de Septiembre de 2008 Hora: 9:00 a.m. a 11:a.m.
    Date: 2008–09–17
    URL: http://d.repec.org/n?u=RePEc:col:000183:005008&r=cwa
  13. By: Guariglia, Alessandra; Santos-Paulino, Amelia U.
    Abstract: Using a panel of 139 countries over the period 1992-2003, we analyse the links between export productivity, economic growth and financial development indicators. We then investigate whether the links observed in China, India and Brazil systematically differ from those observed in other countries in the sample. We find that both GDP per capita and investment generally exert a positive and significant effect on export productivity. Except for Brazil, financial development is not an important determinant of export productivity. Moreover, except for Brazil, export productivity plays a positive effect on growth, and so does financial development for both China and Brazil, but not for India. Finally, in both India and Brazil, FDI is negatively associated with growth
    Keywords: export productivity, financial development, FDI, growth
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-27&r=cwa
  14. By: Li, Yuefen; Zhang, Bin
    Abstract: The segmentation of global manufacturing and services provided China and subsequently India with a golden opportunity to make full use of their absolute advantage?low cost yet educated labour?to integrate into the world economy within a comparatively shorter period of time than some earlier industrialisers. Though international trade functioned as a vent of surplus in view of the narrowness of their domestic markets at the beginning of their economic catch-up, the label of export-led model may not reflect the real picture as imports underwent dramatic increases during their respective growth periods, in particular for China. Foreign direct investment has played a pivotal role in their economic growth and has major presence in international trade and investment in leading sectors of both countries, giving rise to certain special features and weak links for their economic expansion and sustainability of fast economic growth. To maintain more broad-based, fast and balanced growth, it seems that both countries have to redress sectoral imbalances, encourage technology upgrading and cope with future changes in demographic profiles which constituted a trigger to fast economic growth at the time of their respective economic reform.
    Keywords: China, India, development
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-37&r=cwa
  15. By: Raj, Madhusudan
    Abstract: In India the 73rd and 74th constitutional amendments have given powers and responsibility of achieving the goal of Universal Elementary Education (UEE) to the local body governments. The present study has examined the situation of elementary schools run by Bharuch municipality. The evidence show that the situation of elementary education is unsatisfactory and in bad shape. The number of schools has declined rapidly, the learning levels of students are miserable, community participation is almost non-existent, private cost of so called free municipality education is high; and the state of the mid-day meal scheme looks very grim. Municipality schools are loosing ground in Bharuch city.
    Keywords: Bharuch municipality; Elementary education; Education; UEE; Local body government
    JEL: H75 H41 I21 H52
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10581&r=cwa
  16. By: Henley, John; Kratzsch, Stefan; Kulur, Mithat; Tandogan, Tamer
    Abstract: The burgeoning literature on outward foreign direct investment from emerging markets has largely focused on analysing the motives of investors as reported by parent companies. This paper, instead, focuses on firm-level investments originating from China, India or South Africa in fifteen host countries in sub-Saharan Africa (SSA). The analysis is based on a sub-set of firms drawn from the overall sample of 1,216 foreign-owned firms participating in the UNIDO Africa Foreign Investor Survey, carried out in 2005. The sample of investments originating from China, India and South Africa is analysed in terms of firm characteristics, past and forecast performance in SSA over three years and management?s perception of ongoing business conditions. Comparisons are made with foreign investors from the North. The paper concludes that while investors in SSA from the three countries are primarily using their investment to target specific markets, they are largely operating in different sub-sectors. While there appear to be specific features that firms from a given country of origin share, there are no obvious operating-level features they all share apart from market seeking.
    Keywords: South-South FDI, market-seeking, sub-Saharan Africa, China, India, South Africa
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-24&r=cwa
  17. By: Santos-Paulino, Amelia U.
    Abstract: This paper analyses the patterns of export productivity and trade specialization profiles in the China, Brazil, India and South Africa, and in other regional groupings. In doing so, the investigation calculates a time varying export productivity measure using highly disaggregated product categories. The findings indicate that export productivity is mainly determined by real income and human capital endowments. Importantly, the study reveals significant differences in the export productivity and specialization patterns of countries with comparable per capita income levels. For instance, China?s export productivity and implied export sophistication is in line with that of countries with higher per capita incomes, including some OECD industrial economies.
    Keywords: export productivity, trade specialization, comparative advantage
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-28&r=cwa
  18. By: Bahar C. Erbas; Ali Fýkýrkoca; Arcan Tuzcu
    Date: 2008–09
    URL: http://d.repec.org/n?u=RePEc:tob:wpaper:0812&r=cwa
  19. By: Aslan, Alper
    Abstract: The purpose of this paper is to use panel unit root tests to see if Gibrat’s law holds in Turkey. Gibrat's Law establishes that firm growth is a random walk, it means that the probability of a given proportional change in size during a specified period is the same for all firms in a given industry. In this paper, it is examined Gibrat law in Turkey empirically by using Chen & Lu (2003) methodology and use the panel unit root method to investigate the relation between firm size and firm growth. Since it has been observed that many panel unit root tests are invalid when cross-section correlation problem and also finds that conclusion is not the same.
    Keywords: Gibrat’s Law; Firm Growth; MADF Test
    JEL: L11 L20
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10594&r=cwa
  20. By: Aslan, Alper; Kaplan, Muhittin; Kula, Ferit
    Abstract: Empirical studies on tourism field for Turkey have illustrated little attention in modelling properly the demand function for tourism and identifying the main basis of tourism flows. The majority of studies take into consideration the demand side determinants of tourism, usually proxies by income and price measurements, and little attention has been given to the supply factors, which might influence substantially the tourism performance. Factors such as infrastructures in networks and accommodation capacity in the hosting country have been ignored in such studies. Taking into accounts these facts, in this paper, a dynamic model is used to estimate the demand function of tourism in Turkey with respect to its nine major clients, Germany, Russia, United Kingdom, Holland, France, Austria, Iran, Bulgaria and Ukraine, for a period of 10 years (1995-2004) by using the GMM-DIFF estimator proposed by Arellano and Bond (1991). One of the main conclusions of the study is the significant value of the lagged dependent variable (0.28), which may be interpreted as a minor word-of-mouth effect on the consumer decision in favour of the destination.
    Keywords: Tourism Demand; GMM-DIFF; Turkey
    JEL: L83
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10601&r=cwa
  21. By: Kaivan Munshi (Brown University); Mark Rosenzweig (Yale University)
    Abstract: Parochial politics is typically associated with poor leadership and low levels of public good provision. This paper explores the possibility that community involvement in politics need not necessarily worsen governance and, indeed, can be efficiency enhancing when the context is appropriate. Complementing the new literature on the role of community networks in solving market problems, we test the hypothesis that strong traditional social institutions can discipline the leaders they put forward, successfully substituting for secular political institutions when they are ineffective. Using new data on Indian local governments at the ward level over multiple terms, and exploiting the randomized election reservation system, we find that the presence of a numerically dominant sub caste (caste equilibrium) is associated with the selection of leaders with superior observed characteristics and with greater public good provision. This improvement in leadership competence occurs without apparently diminishing leaders' responsiveness to their constituency.
    Keywords: politics, commitment, governance
    JEL: H11 H44 O12
    Date: 2008–09
    URL: http://d.repec.org/n?u=RePEc:egc:wpaper:964&r=cwa
  22. By: King, Elizabeth M.; Orazem, Peter F.; Paterno, Elizabeth M.
    Abstract: Many educators and policymakers have argued for lenient grade promotion policy - even automatic promotion - in developing country settings where grade retention rates are high. The argument assumes that grade retention discourages persistence or continuation in school and that the promotion of children with lower achievement does not hamper their ability or their peers'ability to perform at the next level. Alternatively, promoting students into grades for which they are not prepared may lead to early dropout behavior. This study shows that in a sample of schools from the Northwest Frontier Province of Pakistan, students are promoted primarily on the basis of merit. An econometric decomposition of promotion decisions into a component that is based on merit indicators (attendance and achievement in mathematics and language) and another that is uncorrelated with those indicators allows a test of whether parental decisions to keep their child in school is influenced by merit-based or non-merit-based promotions. Results suggest that the enrollment decision is significantly influenced by whether learning has taken place, and that grade promotion that is uncorrelated with merit has a negligible impact on school continuation.
    Keywords: Tertiary Education,Education For All,Secondary Education,Primary Education,Teaching and Learning
    Date: 2008–09–01
    URL: http://d.repec.org/n?u=RePEc:wbk:wbrwps:4722&r=cwa
  23. By: Joshua Aizenman; Jake Kendall
    Abstract: This paper investigates the internationalization of venture capital (VC) and private equity (PE) investments. We derive flows between countries of VC and PE investments worldwide, relying on comprehensive firm-level data sources, covering three decades and about 100 countries. A gravity analysis indicates that distance, common language, and colonial ties are significant factors in directing these flows. Additionally, the presence of high-end human capital, a better business environment, high levels of military expenditure, and deeper financial markets are important local factors that attract international venture capital. There is also evidence of path dependency and persistence in VC and PE flows, indicating network effects and fixed costs of entry may be at work. Further analysis suggests the internalization of VC and PE is an ongoing story. Prior to the 1990s, VC was primarily a US-only phenomenon. The globalization of IT activities induced the US venture capital industry to mature, and to start exporting its unique skills as VC managers. The US is now a dominant net exporter of deals, though most crossborder deals are still either to or from the US. China has emerged as the dominant net importer, followed by Sweden, Canada, the UK, France and India. For deals outside the US, cross-border participation has been the norm, while US-located deals have been almost exclusively domestic, involving a higher percent of international participation only after 2001. In the past few years, domestic VC capacity has begun to emerge in many countries where it did not exist previously.
    JEL: F15 F21
    Date: 2008–09
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:14344&r=cwa
  24. By: Thierry Bracke (European Central Bank, Kaiserstrasse 29, 60311 Frankfurt am Main, Germany.); André Geis (European Central Bank, Kaiserstrasse 29, 60311 Frankfurt am Main, Germany.); Maurizio Habib (European Central Bank, Kaiserstrasse 29, 60311 Frankfurt am Main, Germany.); Csaba Móré (European Central Bank, Kaiserstrasse 29, 60311 Frankfurt am Main, Germany.); Éva Katalin Polgár (European Central Bank, Kaiserstrasse 29, 60311 Frankfurt am Main, Germany.); Adalbert Winkler (European Central Bank, Kaiserstrasse 29, 60311 Frankfurt am Main, Germany.); Emidio Cocozza (Banca d'Italia, Via Nazionale 91,I-00184 Rome, Italy.); Peter Backé (Oesterreichische Nationalbank (OeNB),  Otto-Wagner-Platz 3, PO Box 61, A-1011 Vienna, Austria.)
    Abstract: This paper reviews financial stability challenges in the EU candidate countries Croatia, Turkey and the former Yugoslav Republic of Macedonia. It examines the fi nancial sectors in these three economies, which, while at very different stages of development and embedded in quite diverse economic settings, are all in a process of rapid financial deepening. This manifests itself most clearly in the rapid pace of growth in credit to the private sector. This process of financial deepening is largely a natural and welcome catching-up phenomenon, but it has also increased the credit risks borne by the banking sectors in the three economies. These credit risks are compounded by the widespread use of foreign currency-denominated or -indexed loans, leaving unhedged bank customers exposed to potential swings in exchange rates or foreign interest rates. Moreover, these financial risks form part of a broader nexus of vulnerabilities in the economies concerned, in particular the external vulnerabilities arising from increasing private sector external indebtedness. That said, the paper also fi nds that the authorities in the three countries have taken several policy actions to reduce these fi nancial and external vulnerabilities and to strengthen the resilience of the financial sectors. JEL Classification: F32, F41, G21, G28.
    Keywords: Europe, banking sector, vulnerability indicators, capital inflows, emerging markets.
    Date: 2008–09
    URL: http://d.repec.org/n?u=RePEc:ecb:ecbops:20080095&r=cwa
  25. By: B, Valentine Joseph Gandhi; M, Cynthia Serquina Bantilan; D , Parthasarathy
    Abstract: This paper discusses the livelihood dynamics in the fragile landscape of the semi-arid tropics (SAT) of Andhra Pradesh. SAT is home to the poorest of the poor who live in conditions of persistent drought, subsistence agriculture and poor access to markets. This paper is a case study focusing particularly on labour migration, its role in influencing the health risk behaviour of migrants and in the spread of the HIV epidemic among SAT rural households. The most vulnerable population in these drought prone regions are the migrant labourers, and their vulnerability is influenced by three major factors—the vulnerability and unstable productivity in the degraded and marginal landscape, the caste system that has traditionally kept them backward and vulnerable, and experiences in the external environment to which they migrate. This study is based on a theoretical framework, whereby livelihood risks lead to health risks, particularly HIV infection—outlines the process that causes a further deterioration of the household and the occurrence of cyclical health risk. The paper calls for a multisectoral approach to tackle the issue of migrant vulnerability, and for interventions with a more migrant-need sensitive approach.
    JEL: Q19 I19 O15
    Date: 2008–04
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:8685&r=cwa
  26. By: Abada, Teresa; Hou, Feng; Ram, Bali
    Abstract: Using the 2002 Ethnic Diversity Survey, this article examines the group differences by national origin in university educational attainment among the children of immigrants in Canada. We found that children of immigrant parents in most source region groups achieve higher university completion rates than children of Canadian-born parents, partly due to higher education levels of their parents. Children of Chinese and Indian immigrants particularly attain higher academic achievements than children of Canadian-born parents. Parental education was also important in explaining the relatively low university completion rates among the second-generation Portuguese.
    Keywords: Education, training and learning, Ethnic diversity and immigration, Educational attainment, Education, training and skills, Ethnic groups and generations in Canada, Outcomes of education
    Date: 2008–09–22
    URL: http://d.repec.org/n?u=RePEc:stc:stcp3e:2008308e&r=cwa
  27. By: Gandhi, B. Valentine Joseph; Bantilan, M. Cynthia Serquina; Parthasarathy, Devanathan
    Abstract: This paper discusses the livelihood dynamics in the fragile landscape of the semi arid tropics (SAT) of Andhra Pradesh. SAT is home to the poorest of the poor who live in conditions of persistent drought, subsistence agriculture and poor access to markets. This paper is a case study focusing particularly on labour migration, its role in influencing the health risk behaviour of migrants and in the spread of the HIV epidemic among SAT rural households. The most vulnerable population in these drought prone regions are the migrant labourers, and their vulnerability is influenced by three major factors?the vulnerability and unstable productivity in the degraded and marginal landscape, the caste system that has traditionally kept them backward and vulnerable, and experiences in the external environment to which they migrate. This study?based on a theoretical framework, whereby livelihood risks lead to health risks, particularly HIV infection?outlines the process that causes a further deterioration of the household and the occurrence of cyclical health risk. The paper calls for a multisectoral approach to tackle the issue of migrant vulnerability, and for interventions with a more migrant-need sensitive
    Keywords: labour migration, HIV risk behaviour, agriculture, health, semi-arid tropics
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-49&r=cwa
  28. By: Banerjee Tathagata
    Abstract: This study explores the role of incentives—monetary or non-monetary compensation offered to children so that an educational need is fulfilled or perceived cost is brought down—in attaining certain expected educational enrolment and retention outcomes. It draws on a survey conducted in six villages in Gujarat. Incentives themselves may not be that critical in improving access and retention performance; other socio-economic and school-related factors may be more significant in ensuring access and retention. However, incentives may have help in keeping the poorer performers in school.
    Date: 2008–09–16
    URL: http://d.repec.org/n?u=RePEc:iim:iimawp:2008-09-01&r=cwa
  29. By: Aslan, Alper; Kula, Ferit
    Abstract: Oligopolistik yapıdaki yerel endüstriler, uluslar arası rekabetle karsılastığında daha rekabetçi davranmaya zorlanır. Bu süreç ise fiyat-maliyet marjlarının düsmesine ve çıktı seviyesinin artmasına neden olarak, yerel firmaların piyasa gücünü azaltacaktır. Bu makalede, iki haneli Türkiye imalat sanayi verileri ile panel veri ekonometrik teknikleri kullanılarak disipline edici ithalat hipotezi kamu ve özel sektör ayrımı ile test edilmis ve ithalat penetrasyonunun Türkiye imalat sanayi iki haneli kamu alt sektörlerinde 1966-2001 döneminde, piyasayı disipline etmede önemli bir rolü olduğu sonucuna varılırken, özel sektörde bu etki reddedilirken, özel sektörde ithalatın piyasası disipline etme hipotezi kabul edilmemistir
    Keywords: Fiyat-maliyet marjları; Đthalatın piyasayı disipline etme hipotezi
    JEL: L11
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10606&r=cwa
  30. By: Dibeh, Ghassan
    Abstract: This paper studies state failure and governance in two conflict-states in the Middle East: Iraq and Somalia. Iraq is currently undergoing a social experiment under which a new form of government is being constructed after the passage of autocratic rule. The government envisaged is a consociational democratic state designed a priori as a political mechanism for the redistribution of resources, mainly oil. Somalia represents a stateless society or anarchy. The paper argues that in resource-rich countries such as Iraq, the consociational project leads to an Olson-type rent-seeking confessional behaviour that hampers economic growth and development. The rent-seeking behaviour in Iraq is fuelling the insurgency that perceives the consociational system as a grabbing attempt of the country?s resources by other ethnic groups. However, state construction is possible since there is a positive economic effect of combining government and resources. In Somalia, on the other hand, the developments and the evolution of anarchy since state collapse in 1991 exemplify the result of prolonged conflict in a resource-poor state. The lack of resources, direct access of producers to resources and low productivity and weak redistributional potential of combining resources and government offer no material incentives to the various groups for resurrecting central authority.
    Keywords: fragile states, political economy, resources
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:unu:wpaper:rp2008-35&r=cwa
  31. By: Aslan, Alper
    Abstract: Suç, tüm dünya hükümetlerine meydan okuyan büyük sosyal bir problemdir. Tarihsel olarak, sosyal bilimciler ve kriminoloji uzmanları suç arastırma vakalarına ana katkıyı gerçeklestiren kimselerdir. Bu genis arastırma alanının güzel bir örneği suç davranısı ve issizlik arasında iliskiyi üstlenen modeldir. Aslında, bu ana sorun kriminoloji ve emek ekonomisinin kesisim alanıdır. Bu iliskinin genis literatürle incelenmesine rağmen, yeni önemli bir soru gündeme gelmektedir. “Suç oranlarında yakınsama gerçeklesmekte midir?” Bu çalısmada Türkiye’deki 81 ilde gerçeklesen suç oranları (1998-2006) yakınsaması Lima ve Resende (2007) süreklilik metodolojisi uygulanarak incelenmistir. IPS (Im Peseran Shin) testlerinde yaralama, dolandırıcılık, kaçakçılık, icra iflas kanununa karsı gelme, uyusturucu madde kullanımı ve imali ile rüsvet suçları için birim kökün yokluğu hipotezi reddedilememistir. Sonuçta, Türkiye’de 81 il için yaralama, dolandırıcılık, kaçakçılık, icra iflas kanununa karsı gelme, uyusturucu madde kullanımı ve imali ile rüsvet suçları güçlü bir sekilde süreklilik sergilemektedir.
    Keywords: Suçun Sürekliliği; Suç Ekonomisi
    JEL: A1
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10610&r=cwa
  32. By: Aslan, Alper
    Abstract: Son zamanlarda, küresel ısınma ve küresel ısınmanın iklim değişikliği üzerindeki potansiyel etkisi üzerine kamunun ilgisi açık bir şekilde artmaktadır. Buna bir tepki olarak, hükümetler küresel ısınmayı hafifletme için uluslararası iklim değişikliği stratejileri planlamaya girişmektedirler. Ampirik çalışmalar sera sıcaklığının ana nedeni olarak karbon dioksit (CO2) emisyonu olduğunu göstermektedir. CO2 emisyonunun kalıcılığının ve stokastik dinamiklerinin incelenmesi ve analiz edilmesi, politika yapıcıları için karbon dioksit emisyonunun çevreye olan etkilerinin hesaplanmasında çok önem arz etmektedir. Bu çalışmada, Afrika, Merkezi ve Güney Amerika, Merkezi Asya, Merkezi Avrupa, Uzak Doğu, Orta Doğu, Kuzey Amerika, Okyanusya ve Batı Avrupa ülkeleri arasında kişi başına karbon dioksit emisyon kalıcılığı ve yakınsaması 1950-2004 dönemi için Lima ve Resende (2007) kalıcılık yöntemi uygulanarak incelenmiştir. IPS (Im, Peseran ve Shin) test sonuçları karbon dioksit emisyonu için birim kökün yokluk hipotezi reddedilememiştir. Bu nedenle sonuçlar ele alınan ülke grupları itibariyle CO2 emisyonu güçlü bir şekilde kalıcılık sergilediğini göstermektedir.
    Keywords: CO2 emisyonu; Yakınsama; Kalıcılık; Birim Kök.
    JEL: Q50 C23 Q53
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10591&r=cwa
  33. By: Aslan, Alper
    Abstract: Bu çalışmada Türkiye’nin uzun dönem ekonomik gelişiminde turizmin rolü 1992:1-2007:2 dönemi için incelenmiştir. Çalışmada turizmin ekonomik büyümeyi teşvik etmesi hipotezi Johansen eş bütünleşim ve Granger nedensellik testleri ile doğrulanmıştır. Sonuçlar turizmin yaklaşık son 15 yıllık dönemi boyunca Türkiye’nin ekonomik büyümesini desteklediğini göstermiştir.
    Keywords: Ekonomik Büyüme; Hata Düzeltme-Geliştirilmiş Granger Nedensellik; Johansen Eş-Bütünleşme; Turizm.
    JEL: D90
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10611&r=cwa
  34. By: Aslan, Alper; Kaplan, Muhittin
    Abstract: Economic integration theory suggests that each member benefits from establishing a customs union; because the country that has relatively lower income will grow faster than the others, income and growth rates of all member countries will be equalised in the long-run. However, endogenous growth models show that this result depends on whether the level of technology transfer among member countries gets faster or not following the completion of integration. If the rate of technology transfer from an advanced member country (leader) in terms of the level of technology and income to the less advanced member (follower) increases following integration, the rate of growth and productivity of the follower increase, resulting in an equalisation of incomes and productivity convergence among member countries. In such a case that no technology transfer occurs among member countries, each member of the union reaches to their own steady states conducive to their technological and structural characteristics and therefore integration would not lead to convergence. For this reason, in order to determine whether integration will lead to productivity convergence, it is vitally important to uncover the determinants of productivity convergence for preparing economic policy packages which help to exploit the highest gains from integration.
    Keywords: Gümrük Birliği; Verimlilik Yakınsaması.
    JEL: F15 F11
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10597&r=cwa
  35. By: Aslan, Alper
    Abstract: In this paper the relationship between financial development and economic growth in Middle East countries as a group is examined via panel co-integration for a dynamic heterogeneous panel over the period 1990-2003. The results supported a positive and statistically significant equilibrium relation between financial development and economic growth for Middle East countries. In addition, control variables such as human capital, gross fixed capital, international trade and government spending on growth are found to be positive and statistically significant.
    Keywords: Financial Development; Growth; Panel Co-Integration
    JEL: O16
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10593&r=cwa
  36. By: Nora El-Bialy Ibrahim (Faculty of Management Technology, The German University in Cairo)
    Abstract: This paper develops the first applied econometric model to examine the efficiency of existing enforcement measures and legal framework on prevailing software piracy rates in Egypt. Hence, it can be used as a tool when discussing new policies concerning the welfare of the interest groups and the pricing of protected software products (i.e., original software products). The model will focus on the available time-series data during 1992-2002 in Egypt. This time period was chosen due to the paucity of quantitative data concerning the model. The institutional environment is examined according to the New Institutional Economics (NIE) to illustrate the legal framework, the informal constraints and the enforcement authorities to support the empirical model. Analytical results show that efficient enforcement of property rights does not only imply increasing legal enforcement through imposing more severe punishments and prosecutions, as decreasing the prices of software plays a much bigger role. Thus relying on legal enforcement authorities alone is not always economically optimal, as it will not be able to deter IPR infringement on its own.
    Keywords: Intellectual Property Rights (IPR), Legal Enforcement, New Institutional Economics (NIE), Software Piracy, Egypt
    JEL: F19 K39 K42 L86
    Date: 2008–09
    URL: http://d.repec.org/n?u=RePEc:guc:wpaper:13&r=cwa
  37. By: Aslan, Alper
    Abstract: This study employs recent growth theories and econometric techniques to empirically test for the association between foreign direct investment and economic growth in the 22 OECD countries. Theoretically, recent endogenous growth models identify FDI as one of the determinants of growth through its role in technological diffusion. However, the endogeneity of FDI makes it possible that economic growth affects the flow of FDI. Results obtained from a heterogeneous panel analysis indicate meaningful relationships between not only FDI and economic growth but also economic growth and FDI. This result supports the endogenous growth hypothesis, at least for this group of OECD countries.
    Keywords: Foreign Direct Investment; GMM; Panel Co-Integration
    JEL: C33 F43
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:10590&r=cwa

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