nep-sea New Economics Papers
on South East Asia
Issue of 2018‒09‒17
34 papers chosen by
Kavita Iyengar
Asian Development Bank

  1. Assessing the Strata Housing Attributes for Elderly to Age in Place in Klang Valley By Amalina Azmi; Nur Hafizah Juhari; Nurhayati Md Khair; Puteri Ameera Men Khan; Sheelah Sivanatha
  2. Belt and Road Initiative in Southeast Asia?s energy sector: Impacts and implications for the region By Lixia Yao
  3. A New Perspective On The Relationship Between Calorie Intake And Income In China And Vietnam Using Semiparametric Modeling By Trinh, Thi Huong; Simioni, Michel; Thomas-Agnan, Christine
  4. Sustaining Rainforests and Smallholders by Eliminating Payment Delay in a Commodity Supply Chain--It Takes a Village By de Zegher, Joann F.; Iancu, Dan A.; Plambeck, Erica
  5. Bertrand Competition in Oligopsonistic Market Structures - the Case of the Indonesian Rubber Processing Sector By Kopp, Thomas
  6. Establishing the Link Between Poverty and Changes in Climatic Conditions in the Philippines By Agustin L. Arcenas
  7. Study on the Co-movement between Stock Markets in Asia, Europe and the North America By Hong Rim; Robert Setaputra
  8. Earning while Working from Home: A New Employment Opportunity in the Philippines By Randy Tudy
  9. Singapore; 2018 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Singapore By International Monetary Fund
  10. Federalism and Inclusion in Developing Economies By Raul V. Fabella; Sarah Lynne S. Daway-Ducanes
  11. The Relationship between Customer Loyalty and Marketing Mix Satisfaction of Music Streaming Service By Witchayaporn Pinyo; Thirarut Worapishet
  12. Management accountants? role in moving towards sustainability reporting system of Thai-listed companies By PHANTHIPA SRINAMMUANG; Neungruthai Petcharat; Neungruthai Petcharat
  13. A transaction cost analysis of Malaysian dairy farmers' marketing channel selection By Mohd Suhaimi, Nurul Aisyah; de Mey, Yann; Oude Lansink, Alfons
  14. Determining the Inflationary Effects of El Niño and La Niña in the Philippines By Agustin L. Arcenas
  17. Social Capital as Knowledge Absorptive Capacity and Firm Innovation By Ploychompoo Kittikunchotiwut
  18. Asian Segregation and Scholastic Achievement: Evidence from Primary Schools in New York City By D'Este, Rocco; Einiö, Elias
  19. Universal Basic Incomes vs. Targeted Transfers: Anti-Poverty Programs in Developing Countries By Rema Hanna; Benjamin A. Olken
  21. Choice of Invoice Currency and Exchange Rate Risk Management: 2017 Questionnaire Survey with Japanese headquarters (Japanese) By ITO Takatoshi; KOIBUCHI Satoshi; SATO Kiyotaka; SHIMIZU Junko
  22. Expanding Agriculture Productivity in the Emerging Markets: Southeast Asia & Sub-Saharan Africa By Elmore, Steve
  23. Promoting the Agricultural Transformation in Africa: How to Create Sufficient Political Will? By Anderson, J.; Birner, R.; Naseem, A.; Pray, C.
  24. Assessing Farmers’ Preferences To Participate In Agri-environment Policies In Thailand By Kanchanaroek, Yingluck; Aslam, Uzma
  25. Impact of AIFTA on Agriculture Trade Creation & Trade Diversion: Gravity Model Analysis By Jagdambe, S.
  26. The contribution of trans-governmental networks of regulators to international regulatory co-operation By Kenneth W. Abbott; Céline Kauffmann; Jeong-Rim Lee
  27. Land property rights, agricultural intensification, and deforestation in Indonesia By Kubitza, Christoph; Krishna, Vijesh; Urban, Kira; Qaim, Matin
  28. RURAL LIVELIHOODS IN MON STATE, MYANMAR: EVIDENCE FROM A REPRESENTATIVE HOUSEHOLD SURVEY By Hein, Aung; Htoo, Kyan; Kham, L. Seng; Win, Myat Thida; Thinzar, Aye Mya; Naing, Zaw Min; Thida, Mi Win; Lei, Ni; Min, Lu; Mwee, Naw Eh; Oo, Zaw; Filipski, Mateusz; Nischan, Ulrike; Van Asselt, Joanna; Holtemeyer, Brian; Schmidt, Emily; Kedir, Mekamu; Kennedy, Adam; Zhang, Xiaobo; Dorosh, Paul; Payongayong, Ellen; Belton, Ben; Boughton, Duncan
  30. On The Emerging Challenges in the Services Industry: Trade and Investment By Florian A. Alburo
  31. AUTO-SHIFT APPLICATION PILOT (ASaP) Control System: An Invention for a Trainee Friendly and Danger Free Driving Vehicle By Alex Niez; Wayne Manabat; Jonathan Lanterna
  32. Global silver: bullion or specie? Supply and demand in the making of the early modern global economy By Irigoin, Alejandra
  33. Portfolio diversification and model uncertainty: a robust dynamic mean-variance approach By Huyen Pham; Xiaoli Wei; Chao Zhou
  34. The strategic utility of non-violence in violent conflict: the IRA and Hezbollah By Kenneth Houston; Stephen Berry

  1. By: Amalina Azmi; Nur Hafizah Juhari; Nurhayati Md Khair; Puteri Ameera Men Khan; Sheelah Sivanatha
    Abstract: The world is ageing and so does Asia countries, which ageing even faster including Malaysia. Malaysia is predicted to become an aging nation by the year of 2030. Most of the elderly prefer to age in place. Besides, less elderly lives with their children thus placing them in an independent living. The death of the spouse could also put the elderly in the same situation. Housing is a basic human need. It is believed that human must have a home before they can think about anything else. Furthermore, housing can be a major indicator of well-being for persons of all ages from all backgrounds including the elderly. However, homes sometimes can be a death trap for the elderly. They tend to trip, slip and fall in their home as they are becoming frail and fragile as time goes by. Meantime, the elderly tends to feel isolated from the community and lead them to loneliness.In the context of increasing elderly populations, there is concern that issues relating to provide housing attributes that can assist the elderly to age in place. With respect to that, this research aims to identify the appropriate housing attributes for the elderly to age in place. Together in this research, researcher will be focusing on the apartments and condominiums. Through this research, Malaysian Standard MS1184:2004 and Sri Seronok Retirement Village are the benchmark to other 4 case studies within Klang Valley which are occupied by elderly who wish to age in place.
    Keywords: Aging in Place; Elderly; Klang Valley; Strata Housing
    JEL: R3
    Date: 2018–01–01
  2. By: Lixia Yao (Energy Studies Institute, National University of Singapore)
    Abstract: The Belt and Road Initiative (BRI hereafter) is an enormous infrastructure initiative first announced by Chinese President Xi Jinping in 2013. It is the largest infrastructure initiative ever. Investment will be directed to roads, railways and ports, as well as energy infrastructure including coal plants, pipelines, transmission lines and renewable energy projects. This study focuses on energy infrastructure investment in Southeast Asia. First it briefly reviews (with data) the current energy security situation and concerns in Southeast Asia; second, it discusses new Chinese investment in energy infrastructure in Southeast Asia since BRI was initiated; third, it analyzes its impact on energy capacity increment and energy infrastructure connection in the region; lastly, the study looks at how the Chinese investment can help or hinder the energy market integration in Southeast Asia and the potential role of Singapore against the context of BRI in Southeast Asia?s energy sector.
    Keywords: The Belt and Road Initiative; Southeast Asia; Energy investment
    Date: 2018–07
  3. By: Trinh, Thi Huong; Simioni, Michel; Thomas-Agnan, Christine
    Abstract: This paper revisits the issue of estimating the relationship between calorie intake and income, and presents and compare estimates of this relationship for China and Vietnam. Semiparametric generalized additive models are estimated and their performances are compared to the performance of the classical double log model using the revealed performance test of Racine and Parmeter (2014). This methodology is implemented using successive waves of the Chinese Health and Nutrition Survey and of the Vietnam Household Living Standard Survey. The application delivers some new and interesting insights on nutritional transition in the two countries between 2004 and today.
    Keywords: Food Security and Poverty
    Date: 2017–08–29
  4. By: de Zegher, Joann F. (Stanford University); Iancu, Dan A. (Stanford University); Plambeck, Erica (Stanford University)
    Abstract: Millions of poor smallholder farmers produce global commodities, often through illegal deforestation. Multinational commodity buyers have committed to halt illegal deforestation and improve farmers' livelihoods in their supply chains. We propose a profitable way to do so, motivated by field research in Indonesia's palm oil industry. Currently, farmers suffer from delay in payment by processors, and buyers expensively attempt to avoid sourcing from illegally-deforested land by monitoring individual farmers. Instead, we propose that buyers reward all farmers in a village by eliminating payment delay if no production occurs on illegally-deforested land in the village. Using field data, dynamic programming and game theory, we show how eliminating payment delay improves productivity and profitability for farmers, processors and buyers, and how village-level incentives best halt illegal deforestation.
    Date: 2018–06
  5. By: Kopp, Thomas
    Abstract: Violations of the law of one price (LOP) appear to be more the rule than the exception in various markets.This paper models the interface between agricultural supply and processing to explain violations of the LOP due to a fixed cost component of changing buyers. The model is applied to the raw rubber market in the Jambi province in Indonesia and employs a unique dataset of spatially and temporally disaggregated data. Methods to test for and explain violations of the LOP are suggested. An emphasis is set on the implications of aggregation over time.
    Keywords: Industrial Organization, International Relations/Trade, Marketing
    Date: 2017–08–15
  6. By: Agustin L. Arcenas (School of Economics, University of the Philippines Diliman)
    Abstract: This paper investigates whether changes in climatic conditions significantly contribute to incidence of poverty in the Philippines. Due to the lack of sufficient regional estimates of poverty, this study utilized food cpi data to proxy for poverty level. The relationship between poverty level and food cpi were tested and found to be moving in parallel direction, and hence, could be substituted for each other for this study’s purposes. The relationship between poverty and food prices has also been verified in the literature, as higher food prices is the dominant variable that results in higher poverty levels. The results show that higher agricultural wages as well as extreme climate-influenced shocks such as El Niño and La Niña were significant determinants of poverty. Higher agricultural wage benefits agricultural workers, but the income effect may be small, and that overall, the net effect of is higher food prices that, in turn, exacerbates overall poverty. The negative impact of El Niño and La Niña on food prices (and therefore, poverty level) could be attributed to the consistent and appropriate government response to these weather shocks, which have stabilized supply of food. Government programs to stock up on rice during weather shocks, and the automatic assistance to farmers during calamities, have had the overall effect of neutralizing the potential poverty impacts of climate-related shocks. These are useful insights in carving out a climate-resilient economic development plan, and emphasize the importance of timely and appropriate government action and adaptation programs.
    Keywords: Poverty; El Niño; La Niña; climate change; food inflation
    JEL: Q11 Q15 Q18 Q20 Q21 Q54
    Date: 2018–03
  7. By: Hong Rim (John L Grove College of Business, Shippensburg University); Robert Setaputra (John L Grove College of Business, Shippensburg University)
    Abstract: This study examined impacts of two--the US and Greek--crises of differing causes and scales on stock markets. The US crisis (or the Great Recession) broke out in 2008 in a developed economy due to sub-prime mortgage loans in a private sector. The Greek crisis was triggered by mounting sovereign debts in the public sector (government) in a developing economy. This study used the Generalized Autoregressive Conditional Heteroskedasticity (GARCH) model to analyze volatility spillovers and co-movements among 11 stock markets in Asia, Europe, and the North America. Some of notable findings are: 1) Stock markets in these regions had not been fully integrated; 2) the US market became more integrated with stock markets in Europe but less with those markets in Asia and Greece after the two crises; 3) after the US crisis, the US market had been dominant in European markets but not in Asian markets; 4) decreasing intra-continental correlations support that stock markets in Asia and Europe had been less integrated; 5) decreasing inter-continental correlations support that the markets in Asia and Europe became less integrated in the post-crisis period; 6) increasing inter-continental correlations between the US and Asian markets and between the US and European markets support more integration; 7) after the US crisis, European markets adjusted faster to innovations (shocks) by the US crisis but Asian markets adjustment slowed; 8) the significance of ARCH terms supports strong financial contagion from the US market to other financial markets; 9) significant GARCH terms support strong volatility spillovers from the US and Greek markets to other markets; and 10) the (developed) US market had much more significant impacts on other markets than did the developing Greek market. In sum, the overall results suggest that stock markets in these regions had not been fully integrated, and there still exist potential diversification benefits to be exploited by investors.
    Keywords: Co-movement; adjustment speed; financial contagion; GARCH; and volatility spillover.
    JEL: G01 G15 G14
    Date: 2018–06
  8. By: Randy Tudy (Cor Jesu College)
    Abstract: Unemployment is global phenomenon even among advanced countries. The phenomenon of people working from home is gaining interest for many people, especially those still looking for jobs. The main purpose of this study was to explore on the work experiences of people working from home or the virtual professionals. This study employed a qualitative research design using phenomenological tradition. Twelve participants from different parts of the Philippines willingly responded to the Key Informant Interviews (KII). In terms of how the participants described their life, including the advantages, the findings revealed the following themes: Freedom, Flexibility, Family Time, Learning Experience, Convenience and Financial Advantage. As to the challenges they experienced, Internet Interruption, Distractions, and Less Social Life were the three major themes that came out. For their suggestions to those still looking for jobs, three themes emerged: Online Work, Confidence and Skills Development. The participants were happy with their work, giving the fact that they have more time with their family and enjoy other benefits. The findings of the study were sources of inspiration for those who are still jobless, for parents who want to be with their kids, but still earn a living, and even for people with disabilities (PWD). Indeed, without much government intervention and investment, the virtual professionals are finding jobs and are paving the way for combating unemployment. The implication of the study is for government and other agencies to understand this new phenomenon and to create mechanisms to support and promote it.
    Keywords: Economics, Work from home, Virtual Professionals, Employment, Phenomenology, Philippines
    JEL: A10 O15 E24
    Date: 2018–06
  9. By: International Monetary Fund
    Abstract: Singapore’s economy is on a strong cyclical upswing. Economic growth has recovered to a three-year high, led by externally-oriented sectors that benefitted from the synchronized global expansion. Economic momentum is becoming more broad-based, helping to reduce the labor market slack. Growth is expected at or above the potential rate in the near term, increasingly supported by domestic demand. Inflation is subdued but expected to rise modestly. The current account surplus, as a share of GDP, has remained large. Risks to the near-term outlook are broadly balanced and come mainly from external sources. Over the medium term, the structural transformation aimed to prepare Singapore for challenges from technological changes globally and population aging at home should help support higher productivity.
    Keywords: Asia and Pacific;Singapore;
    Date: 2018–07–27
  10. By: Raul V. Fabella (School of Economics, University of the Philippines Diliman; National Academy of Science and Technology); Sarah Lynne S. Daway-Ducanes (School of Economics, University of the Philippines Diliman)
    Abstract: Using two-step system-GMM on a panel data of 105 economies over the period 1987-2016, we present formal statistical evidence that Federalism is a strong predictor of greater income inequality in developing economies. It is also a strong predictor of higher poverty incidence and poverty severity on average for all countries. Federalism does not predict lower poverty incidence and severity in developing countries. Thus for a developing economy such as the Philippines, Federalism appears to be a leap from the frying pan into the fire of even greater income inequality and poverty incidence.
    Keywords: federalism, poverty, inequality
    JEL: D3 I3 O1
    Date: 2018–09
  11. By: Witchayaporn Pinyo (Kasetsart University); Thirarut Worapishet (Kasetsart University)
    Abstract: PurposeWith the remarkable market share of fifty-six percent, Joox music streaming service from Tencent Holdings is the most popular for its kind in Thailand. To retain customers with the provider, increasing loyalty level is important. What are marketing factors that satisfy customers until they have loyalty to Joox? This paper aims to explore those factors. Design/methodology/approachApproximately four hundreds respondents are surveyed with online self-administered questionnaires. Respondents are requested to identify satisfaction level toward Joox?s marketing mix and their loyalty level toward Joox service. Multiple regression analysis is used to find the relationship between these two variables to pinpoint regression function predicting service loyalty from satisfaction. FindingsHow satisfaction helps increase loyalty is found through regression function. Satisfaction toward marketing mix factors include product, price, place, promotion, people, process, and physical evidence. Loyalty includes repurchasing, spreading word of mouth, and performing low price sensitivity. Originality/valueMarketing implementation for planning strategic program to retain loyalty customers are advised. Providers of music streaming service are able to prioritize marketing activities wisely according to companies? resources and strengths.LimitationsMusic streaming service in Thailand is studied. The finding may be used for this service in this country by several providers. Generalization to other industries and countries may not be appropriated.
    Keywords: Music streaming service, Thailand, Loyalty, Satisfaction, Multiple regression analysis
    JEL: M31
    Date: 2018–06
  12. By: PHANTHIPA SRINAMMUANG (Faculty of Business Administration, KASETSART UNIVERSITY); Neungruthai Petcharat (Gulf College of Oman); Neungruthai Petcharat (Gulf College of Oman)
    Abstract: This study examines (1) management accountants? roles in driving sustainable success to create a corporate sustainability, (2) environmental information in annual reports based on the indicators of the Global Reporting Initiatives (GRI), and (3) environmental information in the reports and the information identified by the environmental management accounting (EMA) practices. Management accountants drive as a collaborator with a company to provide environmental information incorporating in the reports for investment decisions. A set of survey is created to conduct environmental performance indicators in annual reports of 2011 and 2012 of two-hundred listed companies in Thailand. Regression analysis is considered appropriate for this study to analyse the relationship among variables. The results reveal that environmental information incorporated in annual reports is positively relevant to the indicators of the GRI guidelines. Environmental information in the reports is also significantly related to the data identified based on the EMA practices. Although management accountants are not fully involved in capturing data, they are intending to play an important role in creating sustainable value towards a corporate sustainability. Thus, management accountant?s roles in driving as a collaborator with a company are related to creating a corporate sustainability from promoting environmental sustainability significantly.
    Keywords: Management accountants? role, corporate sustainability, Environmental Management Accounting (EMA) practices, Environment Performance Indicators, Thailand
    JEL: M41
    Date: 2018–06
  13. By: Mohd Suhaimi, Nurul Aisyah; de Mey, Yann; Oude Lansink, Alfons
    Abstract: In order to meet increasing demand and boost self-sufficiency, Malaysia wants to strengthen the production and marketing of domestic dairy products. This study aims at explaining Malaysian dairy farmers’ marketing channel selection based on transaction cost theory. A multivariate probit analysis is used to explain 200 farmers’ selection between three non-mutually exclusive marketing channels: through (i) the government, (ii) direct selling or (iii) intermediaries. Our results highlight the dependency among the market channel choices and identify the following influential factors: price expectation, delay of payment, trust in buyer, price fluctuation, price expectation and provision of farm services.
    Keywords: Agricultural and Food Policy, Marketing
    Date: 2017–08–28
  14. By: Agustin L. Arcenas (School of Economics, University of the Philippines Diliman)
    Abstract: This paper investigates whether climate "shocks" (or short-term but sharp changes in climatic conditions), El Niño and La Niña, have significant impacts on inflation in the country. Using regional panel data and information from PAGASA, this study finds that both of these weather shocks have significant effects on the general price level in the Philippines, along with interest rate, foreign exchange, and unemployment rate. Further, the results also indicate that long-term changes in climatic conditions, specifically average temperature and rainfall, do not have any significant impacts on prices. These findings are consistent with the literature that point to the fact that successful adaptation to long-term changes in climatic conditions negates any potential negative impacts to the economy. The study concludes that adaptation must be expanded not only to respond to long-term changes in climatic conditions, but also to short-term but intense changes in temperature and rainfall.
    Keywords: Inflation; El Niño; La Niña; climate change
    JEL: Q10 Q11 Q54 E00
    Date: 2018–04
  15. By: Belton, Ben; Filipski, Mateusz; Hu, Chaoran
    Abstract: Fish farming (aquaculture) has grown rapidly in Myanmar over the last two decades and plays an increasingly important role in national fish supply, but its technical and economic characteristics have been poorly studied. This report addresses this knowledge gap by presenting data from the first statistically representative survey of fish farms conducted in Myanmar - the Myanmar Aquaculture-Agriculture Survey (MAAS).
    Keywords: Agricultural and Food Policy, Food Security and Poverty, International Development, Productivity Analysis
    Date: 2017–04–04
  16. By: van Asselt, Joanna; Htoo, Kyan; Dorosh, Paul
    Abstract: After nearly three decades of isolation from the world economy, Myanmar is moving forward with political and economic reforms. As a result of this political and economic transformation Myanmar has tremendous opportunities for growth. Although agriculture accounts for the largest share of employment in Myanmar, its contribution to GDP is small. Myanmar’s agriculture value chains are underdeveloped; smallholder capacity is low and investment in the agriculture sector has been limited. At the same time, Myanmar’s geographic position and climate make agriculture a potential driver for growth and development. In particular, Myanmar is well positioned to become a large exporter of rubber. Large parts of the high rainfall areas in eastern and southeastern Myanmar are well-suited for rubber cultivation. Following a gradual liberalization of the agriculture sector in the 1990s and a surge in rubber prices in international markets in the2000s, there was a surge in smallholder investment. Although yields remain low, they have risen substantially over the past two decades.
    Keywords: Agricultural and Food Policy, Food Security and Poverty, International Development
    Date: 2016–11–11
  17. By: Ploychompoo Kittikunchotiwut (Mahasarakham Business School)
    Abstract: The objective of the study is to investigate relationships amongst social capital, potential absorptive capacity, realized absorptive capacity, and firm innovation. The data were collected by using a questionnaire from 89 leather product exporting firms from leather products businesses in Thailand. The hypothesized relationships among variables are examined by using ordinary least square (OLS) regression analysis. The results indicate that social capital have are significant positive impact on potential absorptive capacity and realized absorptive capacity. Potential absorptive capacity and realized absorptive capacity have are significant positive impact on firm innovation. This study might be useful to scholars and those who share an interest in the subject. Moreover, theoretical and managerial contributions, conclusion, and suggestions for future research are also interesting to be discussed.
    Keywords: Social Capital, Potential Absorptive Capacity, Realized Absorptive Capacity, Firm Innovation
    JEL: L20 M19
    Date: 2018–07
  18. By: D'Este, Rocco (University of Sussex); Einiö, Elias (CEP, London School of Economics)
    Abstract: This paper examines the effects of Asian segregation on students' academic performance in New York City primary schools. We use exogenous variation in the share of Asian students across cohorts and schools stemming from a fertility shock among Asian population in the Chinese year of the Dragon. A one-percentage-point increase in Asian student share reduces non-Asian math and ELA scores by 0.03 and 0.05 standard deviations. The effects are largest among black and Hispanic students. We find little evidence of effects among white students. The findings suggest that desegregation policies may generate net benefits in terms of student achievement.
    Keywords: primary education, Chinese Dragon year, ethnicity, student achievement, public schools, student composition, test score, Asian students, race, segregation
    JEL: I20 I29 J15
    Date: 2018–07
  19. By: Rema Hanna; Benjamin A. Olken
    Abstract: Developing country governments are increasingly implementing cash assistance programs to combat poverty and inequality. This paper examines the potential tradeoffs between targeting these transfers towards low income households versus providing universal cash transfers, also known as a Universal Basic Income. We start by discussing how the fact that most households in poor countries do not pay income taxes changes how we conceptually think about Universal Basic Incomes. We then analyze data from two countries, Indonesia and Peru, to document the tradeoffs involved. The results suggest that, despite the imperfections in targeting using proxy-means tests, targeted transfers may result in substantially higher welfare gains than universal programs, because for a given total budget they deliver much higher transfers to the poor. On the other hand, targeted transfers do lead to more horizontal equity violations, and do create an implied tax on consumption in the region where benefits are phased out. We discuss how alternative targeting approaches, such as community-targeting and self-targeting, can be used to further improve targeting in some situations.
    JEL: H53 O12
    Date: 2018–08
  20. By: Cho, Ame; Belton, Ben; Boughton, Duncan
    Abstract: Agriculture is central to Myanmar’s rural economy, and Ayeyarwady and Yangon regions are considered to be the country’s ‘rice bowl’. Yet few detailed data are available on the characteristics of agriculture in this important area. The Myanmar Aquaculture-Agriculture Survey (MAAS) addressed this knowledge gap through a statistically representative survey of 329 agricultural households in Maubin, Nyaungdon, Twantay and Kayan townships in Ayeyarwady and Yangon regions, as part of a larger survey of 1,102 rural households.
    Keywords: Agricultural and Food Policy, Food Security and Poverty, International Development
    Date: 2017–08–08
  21. By: ITO Takatoshi; KOIBUCHI Satoshi; SATO Kiyotaka; SHIMIZU Junko
    Abstract: This study presents the summary results of the 2017 RIETI Questionnaire Survey where 1,006 Japanese listed firms were surveyed. The foreign exchange risk management and invoice currency choice of Japanese exporting firms are investigated and compared with the results of the 2009 and 2013 RIETI Questionnaire Surveys. Our findings are two-fold. First, the share of yen-invoiced exports has declined and become much smaller than the corresponding share of the U.S. dollar in Japanese exports to the world, while the share of U.S. dollar-invoiced exports accounts for about 60% of Japanese exports if taking into account firms' export amounts. Thus, Japanese exporting firms are more exposed to exchange rate fluctuations. Second, the use of Asian currencies has increased steadily. 44% of the sample firms use the renminbi (RMB) for their transactions, and the larger the company size, the stronger is the tendency to use RMB transactions. The corresponding share of the Thai baht and Korean won also increased. The marked increase in the use of Asian currencies suggests that it has become more important for Japanese firms to manage exchange risk more efficiently against Asian currencies.
    Date: 2018–09
  22. By: Elmore, Steve
    Keywords: Productivity Analysis
  23. By: Anderson, J.; Birner, R.; Naseem, A.; Pray, C.
    Abstract: The recent literature on economic development in Africa emphasizes that the agricultural transformation still needs to play a key role for poverty reduction and food security. As compared to the situation of the Green Revolution in Asia, there are new opportunities for the agricultural transformation in Africa, but also new challenges. Against this background, the paper shows that is essential that countries develop sufficient political will to achieve an agricultural transformation. The paper presents a concept of political will and applies this concept empirically, using a range of indicators of political will, such as government expenditure on agriculture. The paper proposes various demand-side and supply-side strategies to strengthen the political will to promote the agricultural transformation in Africa.
    Keywords: Agricultural and Food Policy, International Development
    Date: 2018–07
  24. By: Kanchanaroek, Yingluck; Aslam, Uzma
    Abstract: Incentive based policies can play an important role in improve agricultural sustainability. This paper applies a Choice Experiment approach to elicit small scale farmers’ preferences for a potential policy scheme. Latent class models were used to analyse the farmers’ responses to investigate their preferences, heterogeneity in preferences and the willingness to accept compensations. The results revealed that farmers are willing to participate however; overall they show an aversion to drastic changes in their farming activities. The analysis suggested that majority of the farmers preferred schemes with shorter contract lengths and moderate reduction in chemical use. Furthermore, the study also informs policy makers by identifying the farm and farmer characteristics that influence farmers’ behaviour.
    Keywords: Community/Rural/Urban Development
    Date: 2017–08–29
  25. By: Jagdambe, S.
    Abstract: The prime objective of the paper is to estimate the trade creation and trade diversion effect of ASEAN-India Free Trade Agreement (AIFTA) on member’s agricultural trade. The model includes 50 countries with five major FTAs and estimated with panel data regression over the period 2005-2014. We used OLS (Ordinary Least Square) and PPML (Poisson Pseudo-Maximum Likelihood) estimation method to accomplish the above-said objective. The PPML method deals with hetroskedasticity bias encountered as usual OLS method. Further, the paper has included two dummy variables Time and Country-specific effect which control the endogeneity bias in explanatory variables. The paper found that PPML results are more promising than the conventional method (OLS). Further, estimate reveals purely trade creation effect for AIFTA, MERCOSURE, and EU_15 under time fixed effect model. Under the time and country fixed effect model; AIFTA, SAPTA, and NAFTA found trade creation. In contrast, the paper also noticed purely trade diversion effect for SAPTA and EU_15 and MERCOSURE under time fixed and time and country fixed effect model respectively. The study noted that FTAs are not hampering but positively associated with the free multilateral trade.
    Keywords: Agricultural and Food Policy, International Relations/Trade
    Date: 2018–07
  26. By: Kenneth W. Abbott (Arizona State University); Céline Kauffmann (OECD); Jeong-Rim Lee (Asian Harmonization Working Party)
    Abstract: This study takes stock of the membership, governance structure, operational mode and regulatory power of trans-governmental networks of regulators (TGNs). It contributes to a greater OECD project aimed at building greater understanding of the benefits and pitfalls of various approaches to international regulatory co-operation (IRC) as identified in OECD (2013), International Regulatory Co-operation: Addressing Global Challenges.In order to fill the knowledge gap, this study provides a working definition of TGNs, maps existing cases, and analyses their key features. It relies on information gathered for this study on 144 TGNs. It analyses the substantive fields in which TGNs operate as well as differences in membership and other structural features. It discusses the range of regulatory activities in which TGNs engage and analyses the advantages and the disadvantages of TGNs as mechanisms for IRC, based on a review of the large and growing scholarly literature. It provides a new database on the topic, as well short case studies of three significant but structurally dissimilar TGNs: the Asian Harmonization Working Party (AHWP) on medical devices, the International Association of Insurance Supervisors (IAIS), and the International Council for Harmonisation of Technical Requirements for Pharmaceuticals for Human Use (ICH).
    JEL: F5 F53 F55 F59 H7 K2 K33
    Date: 2018–09–14
  27. By: Kubitza, Christoph; Krishna, Vijesh; Urban, Kira; Qaim, Matin
    Abstract: The expansion of agricultural land remains one of the main drivers of deforestation in tropical regions, with severe negative environmental consequences. Stronger land property rights could possibly enable farmers to increase input intensity and productivity on the already cultivated land, thus reducing incentives to expand their farms by deforesting additional land. This hypothesis is tested with data from a panel survey of farm households in Sumatra, Indonesia, one of the hotspots of recent rainforest loss due to agricultural area expansion. The survey data are combined with satellite imageries to account for spatial patterns, such as historical forest locations. Results show that plots for which farmers hold formal land titles are cultivated more intensively than untitled plots, even after controlling for other relevant factors. Land titles also contribute to higher crop yields, hence confirming expectations. However, due to land policy restrictions, farmers located at the historic forest margins often do not hold formal titles for the land they cultivate. Without land titles, these farmers are less able to intensify and more likely to expand into the surrounding forest land to increase agricultural output. Indeed, forest closeness and past deforestation activities by households are found to be positively associated with current farm size. The findings suggest that the observed land policy restrictions are not conducive for forest conservation. In addition to improving farmer’s access to land titles for non-forest land, better recognition of customary land rights and moreeffective protection of forest land without recognized claims could be useful policy responses.
    Keywords: Land Economics/Use
    Date: 2017–08–28
  28. By: Hein, Aung; Htoo, Kyan; Kham, L. Seng; Win, Myat Thida; Thinzar, Aye Mya; Naing, Zaw Min; Thida, Mi Win; Lei, Ni; Min, Lu; Mwee, Naw Eh; Oo, Zaw; Filipski, Mateusz; Nischan, Ulrike; Van Asselt, Joanna; Holtemeyer, Brian; Schmidt, Emily; Kedir, Mekamu; Kennedy, Adam; Zhang, Xiaobo; Dorosh, Paul; Payongayong, Ellen; Belton, Ben; Boughton, Duncan
    Abstract: The purpose of this report is to provide information and analysis to government, civil society, and donors interested in improving the well-being of the rural population of Mon State. Specifically, the report analyzes the different sources of income for rural households, as well as their socioeconomic characteristics, with a view to identifying potential pathways to improving incomes, especially for poor households, and stimulating inclusive rural growth. The overall picture that emerges is one of an economy heavily dependent on services for local employment and on international migration for income. Like a two-legged stool, such an economy is potentially unstable in the face of external shocks. Diversification of the Mon State economy, including diversification and increased productivity within the agricultural sector, will lessen the relative dependence on external migration remittances and result in more resilient growth in the future.
    Keywords: Agricultural and Food Policy, Food Security and Poverty, International Development
    Date: 2016–09–09
  29. By: Belton, Ben; Filipski,Mateusz; Hu, Chaoran; Oo, Aung Tun; Htun, Aung
    Abstract: The Rural Economy and Agriculture Dry Zone Survey (READZ) community survey was conducted in mid-2017 in 300 villages in 14 townships across Mandalay, Sagaing, and Magway. These regions are located in Myanmar’s Central Dry Zone - one of the country’s most important agricultural zones. The survey was designed to facilitate analysis of recent changes in the rural economy of the Dry Zone. Data was collected through group interviews conducted with knowledgeable long term residents in each of the communities surveyed. The survey collected data on recent changes in physical and social infrastructure, transport and mobility, irrigation access, cropping patterns, agricultural mechanization and labor costs, numbers of off-farm enterprises, and access to credit. Key findings are summarized below.
    Keywords: Agricultural and Food Policy, Food Security and Poverty, International Development
    Date: 2017–07–07
  30. By: Florian A. Alburo (School of Economics, University of the Philippines Diliman)
    Abstract: The paper examines recent technology enablers as these affect the services sector and are seen to be analogous to developments taking place as Industry 4.0. After briefly summarizing these, we argue that there are important implications to services, particularly their international trade, in terms of challenges to investment, regulation, policy, regional cooperation, and regional agreements, among others. Some of the possible adjustments arising out of these developments are outlined - in the manufacturing sector and in the services (and their trade).
    Keywords: trade and investment
    Date: 2018–08
  31. By: Alex Niez (Cor Jesu College); Wayne Manabat (Cor Jesu College); Jonathan Lanterna (Cor Jesu College)
    Abstract: The facilitation of effective driving lesson is the preoccupation of every Technical Vocational Education (TVE) institution offering driving competency program. It is observed that with one steering wheel unit the driving lessons are delayed since both trainee and trainer will take turns positioning in the same steering wheel during demonstration and application of driving competencies. Likewise, the safety of both trainer and trainee is at stake since the trainer?s control of the trainee?s manipulation of the steering wheel and pedals is done only through verbal instruction. This development study aimed to invent Auto-Shift Application Pilot (ASaP) control system to be used in innovating a trainee friendly and a danger-free school driving vehicle. ASaP controls the functioning of the two sets of the steering wheel and two sets of pedal respectively for the trainer and the trainee to facilitate teaching-learning of car driving competencies. Using descriptive design, test and evaluation of the functionality and aesthetic design of ASaP control system were conducted by 5 school driving trainers and 15 driving trainees as respondent. Results showed that ASaP control system is highly functional with the mean score of 4.6 and competitive in its aesthetic design with the mean score of 4.2. It is recommended that this ASaP control system is installed in a school driving vehicle for a trainee friendly and trainee danger free driving lessons.
    Keywords: Driving Control System, Driving Lesson, Invention-Innovation, Technical Vocational, Philippines
    JEL: L62 I29
    Date: 2018–06
  32. By: Irigoin, Alejandra
    Abstract: In the early modern period the world economy gravitated around the expansion of long distance commerce. Together with navigation improvements silver was the prime commodity which moved the sails of such trade. The disparate availability of, and the particular demand for silver across the globe determined the participation of producers, consumers and intermediaries in a growing global economy. American endowments of silver are a known feature of this process; however, the fact that the supply of silver was in the form of specie is a less known aspect of the integration of the global economy. This chapter surveys the production and export of silver specie out of Spanish America, its intermediation by Europeans and the re-export to Asia. It describes how the sheer volume produced and the quality and consistency of the coin provided familiarity with, and reliability to the Spanish American peso which made it current in most world markets. By the 18th century it has become a currency standard for the international economy which grew together with the production and coinage of silver. Implications varied according to the institutional settings to deal with specie and foreign exchange in each intervening economy. Generalized warfare in late 18th century Europe brought down governance in Spanish America and coinage fragmented along with the political fragmentation of the empire. The emergence of new sovereign republics and the end of minting as known meant the cessation of the silver standard that had contributed to the early modern globalization.
    Keywords: silver specie; international currency; international trade; monetary capacity; currency trade; global Smithian growth; early modern global economy
    JEL: E42 E44 E5 N10 N20 P5
    Date: 2018–09–01
  33. By: Huyen Pham (LPSM UMR 8001 - Laboratoire de Probabilités, Statistique et Modélisation - UPD7 - Université Paris Diderot - Paris 7 - Sorbonne Université - CNRS - Centre National de la Recherche Scientifique, ENSAE - Ecole Nationale de la Statistique et de l'Analyse Economique - Ecole Nationale de la Statistique et de l'Analyse Economique); Xiaoli Wei (LPSM UMR 8001 - Laboratoire de Probabilités, Statistique et Modélisation - UPD7 - Université Paris Diderot - Paris 7 - Sorbonne Université - CNRS - Centre National de la Recherche Scientifique); Chao Zhou (NUS - National University of Singapore)
    Abstract: This paper is concerned with a multi-asset mean-variance portfolio selection problem under model uncertainty. We develop a continuous time framework for taking into account ambiguity aversion about both expected return rates and correlation matrix of the assets, and for studying the effects on portfolio diversification. We prove a separation principle for the associated robust control problem, which allows to reduce the determination of the optimal dynamic strategy to the parametric computation of the minimal risk premium function. Our results provide a justification for under-diversification, as documented in empirical studies. We explicitly quantify the degree of under-diversification in terms of correlation and Sharpe ratio ambiguity. In particular, we show that an investor with a poor confidence in the expected return estimation does not hold any risky asset, and on the other hand, trades only one risky asset when the level of ambiguity on correlation matrix is large. This extends to the continuous-time setting the results obtained by Garlappi, Uppal and Wang [13], and Liu and Zeng [24] in a one-period model. JEL Classification: G11, C61 MSC Classification: 91G10, 91G80, 60H30
    Keywords: Continuous-time Markowitz problem,model uncertainty,ambiguous drift and correlation,separation principle,portfolio diversification
    Date: 2018–09–04
  34. By: Kenneth Houston (Webster University Thailand); Stephen Berry (Webster University Thailand)
    Abstract: With undoubtedly the best of intentions in mind, both scholarly analysis and activist advocacy of non-violence emphasizes the potential for non-violent civil disobedience to effect normative political change. This includes the role of non-violence in reducing or even eliminating violent conflict. Non-violence is not without its critics, some more constructive than others. This paper considers the relationship between non-violence and its antithesis, violence itself and seeks to orientate analysis towards a framework that examines how non-violent strategies become vulnerable to manipulation by those actors who have not eliminated physical force from their strategic repertoire. The analysis draws on two empirical examples to draw out the conditions whereby ostensible non-violence tactics has augmented existing violent campaigns. The paper concludes that the discursive framework and moral imperative underpinning non-violence ultimately remains subordinate to coercive power, and the relationship between violent and non-violent resistance is an inextricable rather than a dichotomous one. The study argues that a clearer distinction be made between non-violence as an end in and of itself, and non-violence as a means to an end. The success or failure of non-violent strategies is contingent on variables that influence the political and security calculus of state actors. These include such factors such as established conflict regulation potential, legitimized public values and mechanisms, popular and international exposure and the broader spatio-temporal context. The analysis offers a realistic appraisal of the role of non-violence in violent contexts.
    Keywords: Conflict, Non-violence, Strategy
    JEL: D74
    Date: 2018–06

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