|
on Central and Western Asia |
| By: | Filiztekin, Alpay |
| Abstract: | This paper estimates social returns to education in Turkey. Most evidence on spillovers from human capital comes mostly from developed countries, and estimates vary from country to country. The paper finds that social returns to education are around 3-4%, whereas private returns per year of education amount to 5% in Turkey. Moreover, the findings indicate that workers with lower skills, or working in sectors with lower average wages benefit most from externalities. The results are robust to a series of checks, using a number of individual and regional controls, as well as instrumental variable estimation. |
| Keywords: | human capital externalities; returns to education; wages |
| JEL: | J31 A20 R23 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:35124&r=cwa |
| By: | Sirin Elci |
| Abstract: | This policy review of vocational education and training in the Ostim Organised Industrial Zone, Turkey was prepared within the framework of the OECD LEED project, "Leveraging Training and Skills Development in SMEs". The findings and recommendations of the report brings new perspectives to SME-training related policies in Turkey. |
| Date: | 2011–12–01 |
| URL: | http://d.repec.org/n?u=RePEc:oec:cfeaaa:2011/16-en&r=cwa |
| By: | Filiztekin, Alpay |
| Abstract: | There is a consensus that one of the most important ingredients for high and sustainable growth is human capital accumulation. Yet, a different strand of literature argues that there are some frictions in the labor markets of most countries that result in possible education-occupation mismatches, and consequently inefficiencies. Despite a significant amount of research using data from advanced economies there are very few studies on developing economies. Considering that human capital is scarce in these countries, whether it is efficiently allocated is arguably relatively more important. This paper using data from two different years examines the incidence of overeducation in Turkey. The findings show that there is a significant amount of over- and undereducated workers, and they are paid significantly less than those with the same level of education but working in jobs that require education levels that match their own. The magnitude of the incidence and the impact of mismatches on wages are, however, not too different than in most developed economies. |
| Keywords: | human capital; overeducation; returns to schooling; Turkey |
| JEL: | A20 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:35123&r=cwa |
| By: | Tözer, Ayhan; Göktaylar, Yavuz |
| Abstract: | The aim of this paper is to evaluate sectoral innovation system of Turkish internet service market by looking into some case studies and making interviews with related actors. In this attempt, firstly, a sectoral innovation systems approach has been described briefly from theoretical point of view. Then, third section introduces sectoral innovation systems of internet services. At fourth section, two case studies are mentioned. At the following chapter, we focus on regulatory developments that affect market and sectoral innovation systems regarding broadband internet access in Turkey. Fourthly, we describe the results of interviews done with executive officers of several large Internet Service Providers and a general secretary of a sector association in this country. Finally, we discuss the policy implications for Turkish policy makers in order to improve the functioning of sectoral innovation systems of internet services. At the conclusion section, we summarize the main findings and policy suggestions. -- |
| Keywords: | competition,innovation,internet service market,sectoral innovation system,telecommunications,regulation. |
| JEL: | L51 L96 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:itse11:52179&r=cwa |
| By: | Aldashev, Alisher; Dietz, Barbara |
| Abstract: | In this paper we analyze the determinants of interregional migration in Kazakhstan using quarterly panel data on region to region migration in 2008–2010. To the best of our knowledge this is the first study on interregional population flows in Central Asia. We find that migration is determined by economic factors, first of all income: People are more likely to leave regions where incomes are low and more likely to move to regions with a higher income level. Furthermore, mobility is larger between more populated regions. Distance has a strong negative impact on migration, indicating high migration related costs and risks. Assuming that high migration costs are caused by poor infrastructure, investments in public and social infrastructure should facilitate regional income convergence in Kazakhstan and improve living standards in depressed regions. |
| Keywords: | Interregional migration; Kazakhstan; Gravity model |
| JEL: | P36 J61 R23 |
| Date: | 2011–10 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:34922&r=cwa |
| By: | Prak, Maarten |
| Abstract: | ‘Good’ institutions are now often portrayed as a precondition for economic development and growth. This paper revisits an old thesis, first articulated by Max Weber, that citizenship explains why Europe managed to modernise and Asian societies did not. Like Weber, the paper focuses on urban citizenship, but uses a broader definition than he did. The paper finds that although Asian towns did not have legal citizenship, they displayed many more characteristics of citizenship-as-practice than Weber and his followers allowed for. It also finds that European towns often were less autonomous than Weber assumed. Economic development and growth in the pre-modern era were not so much determined by citizenship per se, but by the way towns and urban interests could be articulated at state level. |
| Date: | 2011–11 |
| URL: | http://d.repec.org/n?u=RePEc:ner:lselon:http://eprints.lse.ac.uk/39751/&r=cwa |
| By: | Rasul, Azmat; McDowell, Stephen D. |
| Abstract: | -- |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:itsp11:52339&r=cwa |
| By: | Mike Hobday |
| Abstract: | Many international organizations, governments and academics concerned with economic development look to Asia’s success, recommending that other poor countries follow similar models and paths of development. This study argues that such Asian ‘lesson-making’ is a grave mistake in policy-thinking—and in the historical understanding of the nature and process of development. In identifying what we can and cannot learn from the Asian experience, this study examines the various paths of successful growth in East and South East Asia and asks: what can other developing countries learn from Asia’s success, if anything? The study also examines the arguments of some of the great development thinkers of the past to ascertain what can be learned. Because technological and market circumstances facing today’s developing nations have changed it is a mistake to base any strategy on the achievements of past … |
| Keywords: | Asia, innovation, lessons, economic development |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:unu:wpaper:wp2011-42&r=cwa |
| By: | Edwin M. Truman (Peterson Institute for International Economics) |
| Abstract: | This paper addresses two central questions for Asia and the world: (1) What is the purpose of Asian regional policy coordination going forward? (2) Will Asian regional policy coordination substitute or complement global policy coordination? The paper examines the potential coverage and content of such policy coordination, what is meant by Asia in this context, and how Asia fits in with global policy coordination processes. I address three related aspects of Asian regional policy coordination: macroeconomic policies, reserve management, and crisis management. I conclude that while the countries in the Asian region have not completely exploited the scope for regional policy coordination, more ambitious efforts focused on close integration are not likely to bear fruit, in particular, if they are conceived and promoted under the banner of Asian exceptionalism. These conclusions are based on two main considerations: First, Asian economies differ, and will continue to differ, sufficiently in size and stage of development such that it is difficult to conceive of a successful voluntary blending of their interests. Second, the central lesson of the global financial crisis and its current European coda is that global economic and financial integration has advanced sufficiently that countries can run but they cannot hide individually or in sub-global groups of countries. |
| Keywords: | Asia, Emerging Asia, Regional Arrangements, International Monetary Fund, Group of Twenty (G-20), Global Financial Safety Net, Special Drawing Rights, Chiang Mai Initiative, Chiang Mai Initiative Multilateralized, Current Account Adjustment, Exchange Rates |
| JEL: | F02 F15 F32 F33 F36 F42 F53 F55 |
| Date: | 2011–12 |
| URL: | http://d.repec.org/n?u=RePEc:iie:wpaper:wp11-21&r=cwa |
| By: | Straub, Stéphane; Terada-Hagiwara, Akiko |
| Date: | 2011–02 |
| URL: | http://d.repec.org/n?u=RePEc:ner:toulou:http://neeo.univ-tlse1.fr/2906/&r=cwa |
| By: | Göktaylar, Yavuz |
| Abstract: | Turkey has experienced important institutional transformation during the last decades. In particular, it has started with liberal policies of early 1980s. Turkey has abandoned the import substitution policies after a serious balance of payment crisis. Foreign trade regime has been liberalized and export oriented development strategy has been adopted. The main goal has been to create a market based economy integrated with world markets. However, this first wave of institutional change is far from adequate. On the contrary, inadequate regulatory framework at financial sector and widespread corruption as well as bad macroeconomic management has led to crises between 1990 and 2001. Thus, the institutional change towards regulatory state is triggered with those economic crises. In response to these economic crises and the external pressure of global institutions like the IMF, significant legal changes such as liberalization in utilities sectors and restructuring of banking sector have been realized and some independent regulatory authorities have been set up. The Competition Authority was established in 1994 as part of the Custom Union agreement with the European Union (EU). The Banking Regulation and Supervision Agency was established in 1999 to improve the effectiveness of regulation and supervision and to establish an independent decision-making mechanism for the banking sector. The legal infrastructure for the Central Bank's independence was established by amending some articles of the Banking Law in 2001. Telecommunications Authority and Energy Market Regulatory Authority were set up in 2001 prior to liberalization of communications and electricity generation and distribution markets. The implicit logic of all this so-called structural reforms is to create and enhance the market based economy and the associated rationalization of public management in line with it. The Central Bank's independence from the political authorities that is perceived as a vital guarantee for prevention of irresponsible monetary policies, liberalization of electricity, gas, telecommunications and aviation sectors, privatization of large state monopolies at those utilities sector including Turk Telekom, building independent regulatory authorities, …etc are among some of the important changes of this new institutional era. In this paper, I try to discuss the questions why these significant institutional changes have occurred and what the promises realized and shortfalls of these authorities during the last decade in Turkey by conducting a literature survey. I think that after the introduction of second wave of institutional change, macroeconomic stability has substantially improved by creating a new institutional environment based on market mechanism and state as a regulator. Institutional change has been seemed to be successful for avoiding crisis in spite of the global financial crisis. The robustness of banking sector due to the restructuring is crucial for avoiding crises. On the other hand, new institutional environment is far from perfect. There are some serious risks and deficits. First, legal ambiguities between regulatory agencies may create power struggles and inefficiency. Secondly, having independent regularity authorities and new laws alone does not mean a guarantee for expected effective results. Finally, political class in Turkey is a myopic behaviour and their understanding has very serious short comings. Especially, I argue that the political commitment to support those independent administrative authorities by political elites is limited. I believe that the role of independent administrative authorities and the reorganization of Turkish traditional state structure towards regulatory state will continue to be debated in near future. -- |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:itse11:52154&r=cwa |
| By: | Alexandru Cojocaru (University of Maryland) |
| Abstract: | This paper examines the link between inequality and individual well-being using household survey data from 27 Transition Economies, where income inequality increased considerably since 1989. A test of inequality aversion in individual preferences that draws on the Fehr and Schmidt (QJE, 1999) specification of inequality aversion is proposed, and the difficulties of implementing it in a non-experimental setting are discussed. Estimates based on this model confirm aversion to inequality both in the overall sample and in the regional sub-samples. The Gini index, on the other hand, is unable to capture this negative effect of inequality on well-being. Notably, inequality aversion is not intrinsic. Rather, it appears to be tied to a concern with the fairness of the institutions underlying the distribution of fortunes in society. The evidence is suggestive of inequality of opportunity driving attitudes toward overall inequality. Perceiving inequality to be unfair is also associated with calls for strong government involvement in redistributive policies. |
| Keywords: | inequality aversion, relative deprivation, subjective well-being, transition economies. |
| JEL: | D63 I32 P20 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:inq:inqwps:ecineq2011-238&r=cwa |
| By: | Freund, Natascha; Ruhle, Ernst-Olav |
| Abstract: | The telecommunications markets in the European Union have gone through a period of rapid technological as well as economic change. After the market opening in the late 1990s, the approach to regulate these markets has likewise changed over time. Whereas a sectorspecific framework dominated the phase from 1998-2002, a more prominent role of competition law regulating telecommunications markets has become visible within the last years. The two reviews of the regulatory framework (2002 and 2010) have seen sector-specific measures being scaled back and competition law measures gaining a more prominent role. This paper tries to analyse the development from sector-specific regulation towards competition law in its application to telecommunications markets in the EU. It draws conclusions from the changes in the different reviews and demonstrates how these modifications of the framework have taken place. Additionally, the practical implementations are analysed with respect to two countries. Despite the fact, that EU member states are following a joint approach (EU framework), there are still differences on the national level as regards the application of regulatory instruments and the regulation of specific markets. This can be demonstrated by looking at how national regulatory authorities conduct the process of for example market definition, market analysis, SMP designation and levying of remedies. In the paper Germany and Austria are analysed, two neighbouring countries, with similar principles in the transposition of EU frameworks into national legislation, but with strongly different outcomes as regards specific regulatory measures in terms of e.g. market analysis, price regulation, organisation of the regulatory authorities etc. Thereby we demonstrate that although the EU framework tends to achieve harmonisation, there are still a number of differences between member states in practical implementation. The paper is organised as follows: after the introduction in section 1, section 2 draws the picture of the development of the most important elements of the EU regulatory framework over time. Thereby. we specifically look at the issues of market definition, analysis and dominance designation but also issues of access and interconnection are analyzed. This encompasses conclusions regarding the overall trends of development in the design of the EU regulatory framework. Section 3 analyses the corresponding developments in the Austrian and the German telecommunications act, especially with respect to the balance between the role of sector-specific regulation and competition law in national legislation. This is done be looking at some specific topics such as, market definition and analysis, organization of the regulatory authority, potential conflicts between regulatory authority and competition authority regarding competences and responsibilities, possibilities of enforcement, and the treatment of margin squeeze. Section 4 contains our conclusions with respect to the practical implementation in member states against the overall goal of harmonisation and demonstrates differences in the way EU legislation has been transposed to national legislation in a comparison between Germany and Austria. -- |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:itse11:52208&r=cwa |
| By: | Banga, Rashmi; Das, Abhijit |
| Abstract: | Abstract: Indian manufacturing sector witnessed an unprecedented growth in the decade of 2000. Not only did the average annual growth touch 8%, there was a stupendous rise in growth of real exports and real imports of manufactures in this decade. This is also the decade when the average annual growth of real per capita income was the highest (5.6%). In this scenario, the paper examines three issues: firstly, the role played by trade polices and reforms in the growth of the manufacturing sector. Secondly, whether this growth was an export-led growth? And thirdly, what are the successful stories at the industry level. Structural breaks are identified in growth rate of manufacturing sector and growth rates of real exports and real imports using Additive Outliers (AO) and Innovative Outliers (IO) tests. The results show that the reforms of 1991 played a more crucial role than the reforms of 1980s in causing structural break in overall manufacturing growth. Changes in export and import policies which were brought about in 2001 and 2002 led to structural breaks in real exports and real imports of the sector. Time series analysis is undertaken and Vector Error Correction model is estimated using two different specifications to test whether manufacturing growth is an export-led growth or not. Granger causality tests are undertaken to check the causality. The results show that growth of Indian manufacturing sector is not an export-led growth but has been induced by domestic demand and import growth. Motor vehicles and food and food products industries are identified as successful stories with respect to growth in value added and growth in trade while electrical machinery and, chemicals and chemical products with some others are identified as industries which need to be closely monitored as they may have the danger of possible hollowing out. |
| Keywords: | Indian manufacturing sector; Indian manufacturing growth; reforms of 1991; structural break; IO and AO; VECM for Indian manufacturing; Export Led Growth; Hollowing out |
| JEL: | F13 O25 O24 L6 F14 |
| Date: | 2011–11 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:35198&r=cwa |
| By: | M. Utku Ozmen; Orhun Sevinc |
| Abstract: | In this study we investigate the duration of consumer price spells and the price change patterns for Turkey. The study employs the most comprehensive unofficial micro price data so far for Turkey covering around 6000 items over four years which comprises a major part of the Consumer Price Index (CPI). In detail, we analyze how long a typical price spell lasts, the average size of price changes, the relationship between price change size and spell duration, distribution of price changes and synchronization of prices. Compared to advanced economies, we estimate a high frequency of consumer price changes in Turkey. Findings suggest substantial heterogeneity among sub-groups and underline the time-varying nature of frequency and synchronization indicators. The study confirms that the empirical regularity of mixed evidence of both state and time-dependent pricing generally cited for developed economies also holds for an emerging market economy, Turkey. |
| Keywords: | Consumer prices, price spell duration, price rigidity, distribution of price changes, state and time dependent pricing |
| JEL: | E31 C41 D40 E50 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:tcb:wpaper:1125&r=cwa |
| By: | Victor Gorshkov (PhD student, Graduate School of Economics, Kyoto University) |
| Abstract: | The present paper analyses motivation, entry modes and strategies of foreign banks entering into the Russian market. The share of foreign assets in the banking sector is gradually increasing, proving the fact that more and more foreign banks show their interest in the Russian banking sector. What lies behind this growth? The article shows that motivation for entry is similar to some other developing and transition economies (both PUSH and PULL reasons exist) and presents some peculiar features concerning the modes of entry and strategies. It is shown that recently organic strategy growth is gradually replaced by M&A. |
| Keywords: | foreign banks, motivation, entry modes, strategies, M&A |
| Date: | 2011–12 |
| URL: | http://d.repec.org/n?u=RePEc:kyo:wpaper:801&r=cwa |
| By: | Melhem Sadek; Diallo Abdul Salam; Terraza Michel |
| Abstract: | The decline in the value of US dollar and the emergence of other currencies has opened the debate within OPEC, of whether it is possible to resort to the pricing of crude oil in alternative currencies. The debate was limited because of the inadequate liquidity of most other currencies. In this paper, we focus on the implications of the shift in the pricing of Iran’s crude oil to other currencies than the US dollar. The results demonstrated that the pricing for Iranian oil in US dollar had high reaction potential and responded moderately to the change in the exchange rate, when compared to the pricing in Euro and in Yen. Consequently, it appeared that stability on the financial market led to partial stability in the oil market. |
| Keywords: | Crude Oil Pricing, Currency Basket, OPEC, Exchange Rate of Dollar, Euros, Yen. |
| Date: | 2011–06 |
| URL: | http://d.repec.org/n?u=RePEc:lam:wpaper:11-13&r=cwa |
| By: | Eskandar Elmarzougui; Bruno Larue |
| Abstract: | The relationship between corn and oil prices is not a stable one. We identified three breaks in the relationship between corn and oil prices. The first break coincides with the second oil crisis. The second break marks the end of the agricultural export subsidy war between the EU and the US in the mid 1980s while the third one occurred at the beginning of the ethanol boom at the very end of the 1990s. The relationship between corn and oil prices tends to be stronger when oil prices are highly volatile and when agricultural policies create less distortion. The ethanol boom strengthened the relation between corn and oil prices which are (were not) cointegrated in the fourth regime (first three) regime(s). Impulse response functions confirm that corn prices systematically respond to oil price shocks, but the converse is not observed. |
| Keywords: | Oil corn, structural changes, cointegration, ethanol, protectionism |
| JEL: | C32 Q11 Q17 Q40 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:lvl:creacr:2011-3&r=cwa |
| By: | Sule Alan (Koc University CASE) |
| Abstract: | It has been argued that rare economic disasters can explain most asset pricing puzzles. If this is the case, perceived risk associated with a disaster in stock markets should be revealed in household portfolios. That is, the framework that solves these pricing puzzles should also generate quantities that are consistent with the observed ones. This paper estimates the perceived risk of disasters (both probability and expected size) that is consistent with observed portfolios and consumption growth between 1983 and 2004 in the United States. I find that the portfolio choice of households that have less than a college degree can be partially explained by expectations of stock markets disasters only if one allows for a large probability of labor income loss at the same time. Such disaster expectations however, are not revealed in the portfolios of educated and wealthier households; simple per-period participation costs to stock market coupled with preference heterogeneity explain their participation and investment patterns. |
| Date: | 2011–10 |
| URL: | http://d.repec.org/n?u=RePEc:koc:wpaper:1127&r=cwa |
| By: | Muhammad, Shahbaz; Muhammad, Nasir Malik; Muhammad, Shahbaz Shabbir |
| Abstract: | This paper analyzes the relationship between terrorism and economic growth for Pakistan by incorporating capital and trade openness. We used the data from 1971-2010 and have applied ARDL bounds testing approach to cointegration to examine the long run relationship between the variables. The VECM Granger causality approach is used to detect the direction of causality between terrorism and economic growth. Our empirical results confirm the existence of long run relationship between economic growth and terrorism. The Granger causality analysis indicates bidirectional causality between terrorism and capital, trade openness and capital, and terrorism and trade openness. However, unidirectional causality is found running from economic growth to terrorism. |
| Keywords: | Terrorism; Economic Growth; Cointegration and Causality |
| JEL: | B22 |
| Date: | 2011–11–20 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:35101&r=cwa |
| By: | Utkin, Andrei (INOV - INESC); Lavrov, Alexander (INOV - INESC); Vilar, Rui (INOV - INESC); Babichenko, Sergey (LDI); Shchemelyov, Sergey (LDI); Sobolev, Innokenty (LDI); Bastos, Luisa (CIIMAR, University of Porto); Deurloo, Richard (University of Porto); Palenzuela, Jesús Torres (University of Vigo); Yarovenko, Nina (University of Vigo); Cruz, Isabel (Hydrographic Institute) |
| Abstract: | An innovative optical method for remote monitoring of water pollution was developed and tested in AMPERA ERA-NET Programme, project DEOSOM. The method is based on remote detection of laser-induced fluorescent radiation (LIF LIDAR). In the project, compact and light LIF LIDAR systems were developed, which can be operated by relatively unskilled personnel and used for early air- or shipborne pollution detection and evaluation, specifically for oil spill detection. The systems are provided with direct georeferencing, for exact localization of the oil spills, and artificial intelligence, for their automatic characterization. The paper presents the principles of the method and the results of tests carried out in the field and laboratory conditions |
| Keywords: | Laser Induced Fluorescence; Remote Detection; Pollution; Oil Spill |
| JEL: | Q53 |
| Date: | 2011–11–30 |
| URL: | http://d.repec.org/n?u=RePEc:ris:cieodp:2011_017&r=cwa |