nep-sea New Economics Papers
on South East Asia
Issue of 2019‒11‒18
25 papers chosen by
Kavita Iyengar
Asian Development Bank

  2. Viet Nam: Transition as a Socialist Project in East Asia By Montes, Manuel F.
  3. Emergence of Unorthodox Ownership and Governance Structures in East Asia By Laixiang, Sun
  4. Site selection for new green mussel culture area expansion in Buguey estuary, Cagayan, Philippines By Rabajante, Jomar
  5. The Economics of Vivax Malaria Treatment By Devine, Angela
  6. Singapore as a sustainable city: Past, present and the future By Fujii, Tomoki; Ray, Rohan
  7. Coal in Asia: The Challenge for Policy and the Promise of Markets By KAPSARC, King Abdullah Petroleum Studies and Research Center
  8. Open Science in Africa – Challenges, Opportunities and Perspectives By Ahinon, Justin Sègbédji; Havemann, Johanna
  9. The Development of Coffee Shopping Tourism in Colo By Azalea, Fariha; Velasufah, Whasfi; Setiawan, Adib Rifqi
  10. The Banking System and Monetary Aggregates Following Financial Sector Reforms By Nasution, Anwar
  11. La inserción del ajo chino en el mercado mundial. Una primera aproximación, 1960-2014 By Francisco M. Parejo Moruno; Esteban Cruz Hidalgo; José F. Rangel Preciado
  12. Health Effects of Market-Based Reforms in Developing Countries By Mwabu, Germano
  13. Market Reforms and Women Workers in Vietnam A Case Study of Hanoi and Ho Chi Minh City By Moghadam, Valentine M.
  14. The Exports of Higher Education Services from OECD Countries to Asian Countries. A Gravity Approach By Beghin, John C; Park, Byungyul
  16. Housing Information Centers - The Spark to African Real Estate Market Dynamism By F. Komu
  17. Property Valuation in Emerging Economies: The hands-on experience in Ghana By Wilfred Anim-Odame
  18. Integrated Rural Housing Scheme: A Need for Paradigm Shift in Nigeria By A. A. Odebode; T. T. Oladokun; O. T. Ogunbayo
  19. Selective Polices for Export Promotion By Lall, Sanjaya
  20. Parametric Inference on the Mean of Functional Data Applied to Lifetime Income Curves By Jin Seo Cho; Peter C. B. Phillips; Ju Won Seo
  21. Continuous Implementation with Small Transfers By Chen, Yi-Chun; Kunimoto, Takashi; Sun, Yifei
  22. Parametric rationing with uncertain needs By Long, Yan; Xue, Jingyi
  23. Crypto assets: the role of ICO tokens within a well-diversified portfolio By Saman Adhami; Dominique Guégan
  24. Estimation and Inference of Fractional Continuous-Time Model with Discrete-Sampled Data By Wang, Xiaohu; Xiao, Weilin; Yu, Jun
  25. Lao People’s Democratic Republic; Technical Assistance Report-Risk-Based Banking Supervision By International Monetary Fund

    Abstract: Sejak diberlakukannya kebijakan Office Channelling pada industri Perbankan yang tertuang dalam peraturan Bank Indonesia(PBI) No. 8/3/PBI/2006 tentang perubahan kegiatan usaha Bank umum konvensional menjadi Bank umum yang melaksanakan kegiatan usaha berdasarkan prinsip syariah, pertumbuhan Bank Syariah menjadi semakin baik. Kebijakan ini dikeluarkan dalam rangka mendorong optimalisasi penghimpunan dana Bank Syariah yang jumlahnya masih relative kecil. Adapun yang dilakukan oleh Bank Indonesia adalah merevisi ketentuan dalam PBI No.9/7/PBI/2007 tentang perubahan atas PBI No.8/3/PBI/2006 untuk pelaksanaan perluasan jaringan dan perluasan fungsinya. Pembukaan suatu Kantor Cabang selalin memerlukan ijin yang relative lama juga membutuhkan biaya yang tidak sedikit. Dengan adanya regulasi Bank Indonesia tersebut, Bank Syariah yang masih masih bergabung dengan Induk dapat membuka layanan syariah di Bank Konvensional tanpa membuka kantor baru.
    Date: 2019–08–06
  2. By: Montes, Manuel F.
    Abstract: In analyzing Viet Nam's recent economic adjustments, this paper attempts to distinguish events and policies that are properly assigned to the transition effort (defined as the process of increasing the market determination of economic outcomes) and those more properly associated with economic development (the relatively permanent increase in the average productivity of the economy). This distinction and the specific characteristics of Viet Nam's path are used to understand (1) why and how perhaps a transformational recession can be avoided, (2) why privatization is not absolutely necessary for the emergence of markets, (3) the role of state (and in Viet Nam's case party control) in implementing a hard budget constraint, (4) the importance of a dominant state role in protecting state capacity and revenue generation, and (5) a specific and so far successful path of labor market creation and adjustment. The transition experience has also conditioned the future path of economic evolution and spawned a number of issues that need to be addressed in the future. The paper identifies the most critical of these as macroeconomic instability and the evolution of privatization and industrial policy. The paper also discusses the applicability of the East Asian public-private sector relationship to Viet Nam's subsequent development efforts.
    Keywords: International Development
  3. By: Laixiang, Sun
    Abstract: This paper examines the nature of the unorthodox ownership and governance structures that are emerging among firms and the way these structures are supporting the remarkable economic growth in the transition economies of East Asia, as represented in particular by China and Vietnam. These economies are embarked on a distinctive process of property rights reform that resists widespread privatization in favour of evolutionary transformation. From the perspective that organizational innovation is an adaptive recombination and ownership is a bundle of rights, this paper focuses on an evaluation of the extent and consistency of property rights reform in the state-owned enterprise sector of these economies. It reveals the features of the ownership and governance structures of Chinese township-village-enterprises and their consequences for liability and incentives and justifies the fact that private entrepreneurs are typically willing to include community authority as an ambiguous owner or shelter within the embrace of state-owned enterprises. The paper also explores the conditions which have motivated the reform, the impact of property rights structure and reform on enterprise performance, and the relationship between adaptability and accountability.
    Keywords: International Development
  4. By: Rabajante, Jomar
    Abstract: Currently, there is limited data on the suitability of estuaries in Cagayan province, Philippines for aquaculture. In this brief report, we discuss the overall assessment score of Buguey estuary in the municipality of Buguey, Cagayan as potential spot for the culture of green mussel (Perna viridis), locally known in the Philippines as “tahong”. The score is mainly based on salinity and water temperature. We also present the condition of dissolved oxygen and pH levels in the estuary but these factors do not have major effect on mussel growth compared to salinity and water temperature. The reference ideal values for a suitable culture site are 27 to 35 psu for salinity; 27 to 30 degC for water temperature; >5 mg/L for dissolved oxygen; and 7.7 to 8.4 for pH. Based on this reference values, areas in Buguey estuary have acceptable possibility of success for green mussel culture, which is qualitatively equivalent to having “good” suitability. This translates to a production estimate of 81% to 90% of cultured mussels will have a marketable size. However, these ratings may vary due to competition with existing oyster farming, water depth of the chosen site (since several areas in Buguey estuary are shallow), and other factors.
    Date: 2018–07–18
  5. By: Devine, Angela
    Abstract: The control and eventual elimination of malaria will require widescale adoption of strategies to ensure early diagnosis and highly effective treatment of infected individuals. In Plasmodium vivax, multiple relapse episodes can only be averted by treating the dormant liver stage of the parasite life cycle - a strategy known as radical cure. This thesis aims to investigate key factors determining treatment-seeking behaviour and costs associated with vivax malaria, how these influence healthcare decisions, the cost-effectiveness of screening tests and treatments for radical cure, and the cost-benefit implications of their global implementation. Treatment-seeking behaviour, assessed in Papua, Indonesia, demonstrated that household costs per person seeking treatment for vivax malaria were similar to those for falciparum malaria. Switching from ineffective to effective malaria treatment in the public sector improved the behaviour of patients and both public and private healthcare providers. Diagnostic strategies were investigated on the Thai-Myanmar border, where screening for glucose-6-phosphate-dehydrogenase (G6PD) deficiency prior to radical cure reduced the disease burden while being a cost-effective option for healthcare providers that do not use radical cure and a potentially cost-saving alternative where primaquine is prescribed without screening. The costs of implementing G6PD screening were collected in three countries, and highlighted that RDTs consistently reduced costs as compared to the widely-used fluorescent spot test. Across four countries, the indirect cost due to lost productivity was the largest cost component for households of patients with vivax malaria. After combining provider and patient costs with case estimates, the global economic burden of vivax malaria was estimated to be US\$330 million per year. Adopting a policy of screening for G6PD deficiency with delivery of highly effective radical cure was projected to save US\$45 million. P. vivax malaria causes a large economic burden that can be reduced substantially by delivering safe and effective radical cure.
    Date: 2018–08–22
  6. By: Fujii, Tomoki (School of Economics, Singapore Management University); Ray, Rohan (School of Economics, Singapore Management University)
    Abstract: This paper outlines Singapore’s major sustainability challenges and its policy response in the areas of land use, transportation, waste management, water, and energy. We review the current and past Concept Plans from the perspective of sustainable land use and provide an overview of transportation policy in Singapore. We also examine Singapore’s policies to manage increasing wastes and review the four tap water management plan. Finally, we look at various initiatives by the government for sustainable use of energy. While Singapore has been successful in many ways in transforming itself into one of the most prosperous and sustainable cities in the world, there remain challenges to make the city even cleaner and greener for a better future. We discuss the opportunities that new technologies will bring about and the role that Singapore can play in building a sustainable city.
    Date: 2019–09–26
  7. By: KAPSARC, King Abdullah Petroleum Studies and Research Center (King Abdullah Petroleum Studies and Research Center)
    Abstract: When balancing the objectives of affordability, reliability and environmental sustainability of energy supply, the answer in developing Asian economies has historically been unequivocal: Coal is king. This is because these nations placed greater emphasis on the first two objectives at the expense of the third. However, coal markets in Asia now face increasing community pressures for better local air quality and, to a lesser extent, concerns about global climate change. Consequently, policymakers are struggling to find a new optimal energy mix, which preserves the economic benefits of cheap coal but also helps them adhere to increasingly stringent emission norms and climate accords.
    Keywords: Air Pollution, Climate Change, Coal, Energy Mix, Policy Development, Policy framework, Renewable Energy, Solar Energy, Workshop Brief
    Date: 2017–11–30
  8. By: Ahinon, Justin Sègbédji; Havemann, Johanna
    Abstract: Open Science is becoming increasingly popular globally and provides unprecedented opportunities for scientists in Africa, South East Asia, and Latin America. African scientists face several difficulties when attempting to get their work published in peer reviewed journals -there is a small number of publication platforms, a lack of knowledge and access difficulties related to existing journals, whose visibility on the web is not very good (Piron et al., 2017). There are also obstacles related to the functioning of the journals themselves (notably the duration of the revision process and the cost of publications) and the result is that science and scholarly publishing are often perceived as a prerogative of the Northern countries. The methods and techniques (including the peer review process) that are being developed for its dissemination are not necessarily adapted to the contexts of other regions of the world, including Africa. Indeed, many African-based peer-reviewed scholarly journals are unable to host their content online due to resource limitations and the digital divide (Agaba et al., 2004). In this article, we provide an overview of the most important initiatives and actors in the Open Science movement in Africa. We further identify three major challenges for Open Science on the African continent and offer perspectives for African researchers to actively contribute to the global scientific community and share knowledge to meet the challenges we all face. Résumé Le mouvement de la Science Ouverte est de plus en plus populaire dans le monde et offre des opportunités sans précédent aux scientifiques en Afrique, en Asie du Sud-Est et en Amérique latine. Les scientifiques africains font face à plusieurs difficultés lorsqu'ils tentent de faire publier leurs travaux dans des revues évaluées par des pairs - il existe en effet un petit nombre de plateformes de publication, un manque de connaissances et des difficultés d'accès liées aux revues existantes, dont la visibilité sur le Web n'est pas très bonne (Piron et al., 2017). Il y a aussi des obstacles liés au fonctionnement des revues elles-mêmes (notamment la durée du processus de révision et le coût des publications) ; il en résulte donc que la science et la publication scientifique sont souvent perçues comme une prérogative des pays du Nord. Les méthodes et techniques (y compris le processus d'examen par les pairs) qui sont mises au point pour sa diffusion ne sont pas nécessairement adaptées au contexte d'autres régions du monde, dont l'Afrique. En effet, de nombreuses revues savantes africaines évaluées par des pairs ne sont pas en mesure d'héberger leur contenu en ligne en raison des ressources limitées dont elles disposent et de la fracture numérique (Agaba et al., 2004). Dans cet article, nous fournissons un aperçu des initiatives et des acteurs les plus importants du mouvement de la Science Ouverte en Afrique. Nous identifions en outre trois défis majeurs pour la Science Ouverte sur le continent africain et présentons des perspectives pour les chercheurs africains pour contribuer activement à la communauté scientifique mondiale et partager les connaissances afin relever les défis auxquels nous sommes tous confrontés. Lakotan Imọ Imọ ti wa ni agbaye ti o gbajumo julọ ni agbaye ati pese awọn anfani ti ko dara fun awọn onimo ijinlẹ sayensi ni Afirika, Ila-oorun Iwọ-oorun ati Latin America. Awọn onimo ijinle sayensi Afirika doju ọpọlọpọ awọn iṣoro nigba ti igbiyanju lati gba iṣẹ wọn jade ni awọn iwe-akọọlẹ ti a pejọ - eyiti o jẹ nọmba kekere ti awọn ipilẹ iwe, ailopin ìmọ ati awọn iṣoro wiwọle ti o nii ṣe pẹlu awọn iwe iroyin ti o wa tẹlẹ, ti hihan lori aaye ayelujara ko dara (Piron et al., 2017). Awọn idiwọ tunmọ si iṣẹ-ṣiṣe ti awọn iwe irohin ara wọn (paapaa iye akoko atunyẹwo ati iye owo awọn iwe) ati idajade ni pe awọn iwe-ẹkọ imọ-sayensi ati awọn iwe-ẹkọ ni a maa n ri bi idibajẹ ti awọn orilẹ-ede Ariwa. Awọn ọna ati awọn imọran (pẹlu ilana atunyẹwo ẹlẹgbẹ) ti a ti ni idagbasoke fun ifitonileti rẹ ko ni dandan ni ibamu si awọn apejuwe awọn agbegbe miiran ti aye, pẹlu Africa. Nitootọ, ọpọlọpọ awọn iwe-iwe iwe-ẹkọ ti o ṣe ayẹwo ti awọn oniye-ede Afirika ko le ṣe alabojuto awọn akoonu lori ayelujara nitori awọn idiwọn awọn ohun elo ati pinpin oni-nọmba (Agaba et al., 2004). Ninu àpilẹkọ yii, a pese akopọ ti awọn eto pataki ati awọn olukopa ti o wa ni Open Science Movement ni Afirika. A tun ṣe idaniloju awọn italaya pataki mẹta fun Imọ Imọ lori ile Afirika ati ki o funni ni awọn ifọkansi fun awọn oluwadi ile Afirika lati ṣe alabapin si awujọ ijinlẹ agbaye ni agbaye ati pinpin imọ lati ba awọn ipenija ti gbogbo wa pade.
    Date: 2018–11–20
  9. By: Azalea, Fariha; Velasufah, Whasfi; Setiawan, Adib Rifqi
    Abstract: Shopping currently recognize as a tourism attraction. Colo, as a village in Kudus regency, is one of coffee tourism destinations in Indonesia, it seen from tourist go to here for bought coffee souvenirs. This work is aimed to find out the development of coffee souvenirs in Colo. The work uses a qualitative method results that the development of coffee shopping tourism has gone quickly within these past four years, starting from 2015 to 2019. This development is not only seen by the number of coffee souvenirs businesses labelled by ‘Kopi Muria’, but also the variety of coffee souvenirs that are available in the market, i.e. ‘Kopi Muria Parfume’ produced by ‘YouSoeka’ that available in ‘Omah Kopi’ as one of cafe here.
    Date: 2019–09–27
  10. By: Nasution, Anwar
    Abstract: This paper discusses the process, problems and impacts of the financial sector reform in Indonesia, particularly since the late 1980s. The reform has encouraged a surge in private sector capital inflows to supplement the already high domestic savings for financial investment and consumption expenditures and spur economic growth in the 1990s. The surging capital inflows, however, have complicated macroeconomic management as they put pressures for the real exchange rate appreciation and overheating the economy. To restore and maintain internal and external stability of the economy this paper suggests the curbing of expansion in domestic aggregate demand. The surest way to restrain domestic demand is to have a surplus in the public budget. This requires a revision of the long standing fiscal policy which is based on the 'balanced budget principle': capping the budget deficit to the level that can be financed by concessionary development aid package. Moreover, the width of exchange rate intervention, under the present managed floating system, needs to be widened to allow greater use of monetary policy for maintaining internal stability. On micro level, the capability of the banking system to extend credit and create money supply has to be restrained by better implementation of the prudential rules and regulations which govern the system. However, the fragile banks need to be restructured in order to improve their financial and other capabilities to compete in the riskier market environment. Business conglomeration which allows cross-ownership between financial and non-financial firms in the private sector needs to be rationalized to prevent moral hazard or internal transactions where loans are given to sister companies without proper risk evaluation.
    Keywords: International Development
  11. By: Francisco M. Parejo Moruno; Esteban Cruz Hidalgo; José F. Rangel Preciado
    Abstract: This work analyzes the world production and trade of garlic between 1960 and 2014 with the intention of describing the changes that have occurred in the international business of this commodity in recent decades. This analysis, although it is approached from the perspective of the business in Spain, and with a clearly long-term focus, places the world's supply in the Asian continent, concentrated around China, whose commercial opening since the end of the 20th century has caused growth exponential of international trade. The demand, although also located mostly in the Asian continent, has evolved towards greater geographical dispersion, in line with the greater presence in the import trade of Europe and some Asian and American economies. In this context, Spain has managed to maintain its share in the global garlic market, showing its competitive leadership in the business that currently positions it as the second export market in the world, only behind China.
    Keywords: garlic, agrifood trade, international trade, garlic industry, China
    JEL: Q1 F1
    Date: 2019–11
  12. By: Mwabu, Germano
    Abstract: Radical and simultaneous economic reforms were implemented in many developing countries, especially in Africa, Asia and Latin America in the 1980s and early 1990s. Many of these reforms - structural adjustment programmes - were implemented with advice and support from Bretton Woods' institutions. The reforms were intended to strengthen weak economies, and have spawned a large and sharply divided literature as to their distributional and efficiency effects. The paper uses cross-country regression analysis to assess health effects of structural adjustment reforms in developing countries over the period 1980-93, controlling for effectiveness in their implementation. The main finding is that countries which effectively implemented market-based reforms had better health outcomes at the end of the adjustment period than poor adjusters or countries not affected by these reforms. The paper contends that differences in institutional and administrative capacities across countries account for success or failure in reform implementation. Since in general, the nature and magnitude of the effect of any reform depend on how well it is implemented by policy-makers, I argue for strengthening of public service institutions in poor countries before the undertaking of development reforms.
    Keywords: International Development
  13. By: Moghadam, Valentine M.
    Abstract: Ongoing research on market reforms and their implications for labour reveal that the labour-shedding aspect of industrial restructuring or of privatization of state-owned enterprises (SOEs) affects women workers more seriously than male workers. There are two reasons for this outcome. One is linked to cultural constructions of gender, whereby almost universally, women are still associated with family responsibilities first and the labour force only secondarily. The second reason is linked to economic calculations, typically made during periods of recession or restructuring, which affect women workers who require extra costs such as maternity leave, sick leave, childcare allowances, transportation, and so on. Thus the higher unemployment rates of women in nearly all transition economies and in other countries where privatization or structural adjustment leads to labour-force reductions. (See, for example, Fong and Paull 1993; Moghadam 1994; Standing 1994). The literature has also found a decline in labour standards during and after economic restructuring, which seems to result from efforts to cut labour and production costs, increase profitability, and attract foreign and domestic private investment. Indeed, throughout the world, the contraction of the state sector, the promotion of the private sector, growth of the informal sector, increases in unemployment, and a decline in the social power of unions provide the context in which labour standards are under attack while various forms of "precarious employment" are increasing: selfemployment, employment through sub-contracting arrangements, part-time work, temporary work, household production, child labour, and so on, including the growing use of relatively cheap female labour in the private sector. Standing (1989) has aptly termed this trend "global feminization through flexible labour". Many studies by women-indevelopment specialists have drawn attention to the gender-specific effects of various forms of economic restructuring, such as shifts in women's productive activities, their increased responsibility for domestic responsibilities when social services decline, and changes in their household status. (See, e.g., Davin 1991; Elson 1992; Beneria 1992; Moghadam 1993.)
    Keywords: International Development
  14. By: Beghin, John C; Park, Byungyul
    Abstract: We analyze bilateral exports of higher education services between OECD countries and Asia, using a gravity equation approach, panel data from 1998 to 2016, and PPML regression. The approach treats higher education consumption by Asian countries as a consumable durable good reflecting investment in human capital. Asian Students come to OECD countries to obtain degrees from their universities. Structurally, the flow of students from Asian country j to OECD country i depends on the higher-education capacity of i, the perceived quality of universities in i, expected earnings in i, a series of bilateral transaction costs between i and j, the income per capita in j, school-age demographics in j, and the usual multilateral trade resistance terms. We find that bilateral flows of students are strongly influenced by wage levels in the host country, bilateral distance, importers’ income, demographics, common language, the visa regime prevailing in bilateral country pairs, and the network of migrants from j in i. These results hold through a variation of specifications, proxies, and estimation methods. We find mixed evidence on the role of tertiary education capacity in OECD countries and no evidence of a country’s universities reputations explaining the flow of students. The evolution over time of education capacity, earnings, visa regimes, migrant networks, strong income growth and changes in demographics in nearby export markets explain the emergence of Australia, Canada, Korea, and New Zealand and the loss of market share by the US, which still strongly dominates international trade in higher education services. The decline in Chinese students coming to the US is also predicted for the most recent years driven by reduced by its college-age population.
    Keywords: International Relations/Trade
    Date: 2019–11–11
  15. By: Ngo-Hoang, Dai-Long
    Abstract: Variables of production value, material, interest, labor, output affecting economic efficiency in rice land in the Mekong Delta region (big impact in the first major component), need to be considered These factors in the assessment of alluvial soil with yellow red patchy layer (Pf) - 3 large value crops in the first major component, need to be concerned about the continuation of 3 crops on the type this land. The final report in the subject "regional development policy" by students of the Department of Geography will clarify this through the method of analyzing the main components of economic efficiency using rice land, the Mekong Delta case.
    Date: 2019–05–09
  16. By: F. Komu
    Abstract: This paper is an attempt to examine the extent to which availability and quality of real estate information is influencing the working of real estate markets in Africa. It delves in the discourse of blockchains as applies to real estate market and makes case for the need to steer streamlined development of housing information systems in real estate markets. It is based on a contracted research project commissioned by the Bank of Tanzania in 2017 to design an information Centre for housing in Tanzania. Through direct interviews and questionnaires, the research reached 316 respondents in nine major cities of Tanzania and total of 15 institutions in three selected countries of Kenya, South Africa and Singapore.The study revealed a host of problems. These included low levels of awareness of the processes and procedures in real estate transactions by majority of the respondents (65%), disjointed information process flows in government land administration sectors, information retrieval problems, slow and delayed decision-making process in land and housing ownership transfer documentation, over-reliance of manual filing system, unreliable housing prices and rents in the press, social media and online platforms, unregulated estate agency and limited role of local government units in recording and storing real estate information. Information on options towards housing finance was also limited and only 20% of those interviewed perceived housing as an asset that could be used to create wealth.The paper recommends need for comprehensive and integrated real estate information system that takes advantage of the growing information technologies, changing business and investment environments.
    Keywords: blockchain; housing information asymmetry; Real Estate Markets
    JEL: R3
    Date: 2018–09–01
  17. By: Wilfred Anim-Odame
    Abstract: Purpose: This paper identifies and discusses a number of pertinent property valuation issues as the fundamentals in promoting valuation in emerging economies using Ghana as a case study. Businesses, individuals, financial institutions and governments globally require property valuation for several purposes. Property value as a proxy for price is essentially premised on demand and supply, and therefore determined on market value basis. The purposes for which property valuation may be required typically include sale, purchase, mortgage, insurance, accounting, compensation, rating and stamp duty whilst rental value is determined for a tenancy arrangement or the associated tax payment.Design/methodology/approach: This paper is a case study approach motivated by the view that property plays an important role in the development agenda of all nations. For instance, the expansion of property stock and rise in its market value form part of the accumulation of wealth with successful economic development. As a potential source of tax revenue for central and local governments, especial in emerging economies where cash-based informal sectors hamper the collection of other forms of taxation, property markets will continue to play an important role in national development. And as exemplified by the Asian crisis in the late 1990s, incorrectly valued and unstable property markets are major risk components for the banking and financial systems (Mera and Renaud, 2000).Findings: The credibility, reliability and accuracy of property value are imperative and more germane in emerging economies. In examining the practice of property valuation in Ghana the paper establishes that four underlying requirements – Property Valuation Guidelines and Standards, electronic database, automated property valuation and, research and development – are the driving force for the development of the valuation profession in emerging economies.Practical implications: Countries in Africa as well as other emerging economies may adopt these four requirements as the corner pillars in establishing the framework to promote property market development and valuation. Thus, this study tends to present a practical approach to establishing credible digital property systems.Originality: The paper is a novelty on the property market, which identifies and addresses fundamental property valuation issues in Ghana.
    Keywords: automated property database; emerging economies; Ghana; Property Valuation
    JEL: R3
    Date: 2018–09–01
  18. By: A. A. Odebode; T. T. Oladokun; O. T. Ogunbayo
    Abstract: The concept of Integrated Housing Scheme (IHS) has received considerable attention in India, Indonesia and an African country Kenya. The reason for this paradigm shift is due to neglect of rural infrastructure and housing in Nigeria and the impact the scheme made in countries where it was implemented. The Integrated Housing Scheme (IHS) had led to urban slum upgrading in India and Kenya. It also recorded notable success in the provision of common facilities in rural areas of India. In view of the neglect of rural areas by both private and public sectors, and the need to improve the housing condition of the rural dwellers, this paper focuses on the benefits of IHS to improving rural housing condition in Nigeria. A multi stage sampling was used to select 344 participants from 28 active communities out of the 36 communities’ coverage by Rural Development Programme (RUDEP) of Justice Development and Peace Makers’s Centre (JDPMC). Qualitative and quantitative data obtained from the respondents was analysed through descriptive statistics, frequency distribution, correlation and regression analysis. The findings revealed that the integrated scheme impacted rural housing condition positively. The paper suggested adoption of IHS as viable policy for improving condition of rural housing in Nigeria.
    Keywords: housing scheme; integrated; Paradigm shift
    JEL: R3
    Date: 2018–09–01
  19. By: Lall, Sanjaya
    Abstract: This paper considers the rationale for and limitations to selective export promotion policies in developing countries, with a focus on manufactured exports. It draws upon the experience of the most successful exporters in the developing world - the 'Asian Tigers' and 'new Tigers' - to illustrate the policy needs of upgrading and 'dynamizing' comparative advantage. It describes the different export structure and performance of these countries, and considers the role of domestic technological effort in developing their competitive advantages. It considers the role of 'permissive' and 'positive' policies in promoting exports: the former consist of a conducive macroeconomic and business environment, the latter of more direct interventions in product and factor markets (including those in export promotion, human capital development, technological activity, credit allocation, trade and foreign direct investment). The wide differences between the Asian countries in their policy interventions is highlighted as the explanation for their differing export performances. The paper goes on to consider the theoretical rationale for policy interventions, especially those of a selective nature. It closes with some of the practical difficulties in designing and implementing selective policies.
    Keywords: International Development
  20. By: Jin Seo Cho (Yonsei Univ); Peter C. B. Phillips (Yale Univ); Ju Won Seo (National Univ of Singapore)
    Abstract: We propose a framework for estimation of the conditional mean function in a parametric model with function space covariates. The approach employs a functional mean squared error objective criterion and allows for possible model misspecification. Under regulatory conditions, consistency and asymptotic normality are established. The analysis extends to situations where the asymptotic properties are influenced by estimation errors arising from the presence of nuisance parameters. Wald, Lagrange multiplier, and quasi-likelihood ratio statistics are studied and asymptotic theory is provided. These procedures enable inference about curve shapes in the observed functional data. Several model specifications where our results are useful are analyzed, including random coefficient models, distributional mixtures, and copula mixture models. Simulations exploring the finite sample properties of our methods are provided. An empirical application conducts lifetime income path comparisons across different demographic groups according to years of work experience. Gender and education levels produce differences in mean income paths corroborating earlier research. However, the mean income paths are found to be proportional so that, upon rescaling, the paths match over gender and across education levels.
    Keywords: Functional data; Mean function; Wald test statistic; Lagrange multiplier test statistic; Quasi-likelihood ratio test statistic.
    JEL: C11 C12 C80
    Date: 2019–11
  21. By: Chen, Yi-Chun (Department of Economics and Risk Management Institute, National University of Singapore); Kunimoto, Takashi (School of Economics, Singapore Management University); Sun, Yifei (School of International Trade and Economics, University of International Business and Economics)
    Abstract: The robust mechanism design literature investigates the global robustness of op-timal mechanisms to large changes in the environment. Acknowledging the global robustness as an overly demanding requirement, we propose continuous implementa-tion as a local robustness of optimal mechanisms to small changes in the environment. We say that a social choice function is continuously implementable “with small trans-fers” if there exists a mechanism which yields the outcome close to the desired one for all types close to the designer’s initial model. We show that when a generic cor-relation condition is imposed on the class of interdependent values environments, any incentive compatible social choice function is continuously implementable with small transfers. This exhibits a stark contrast with Bergemann and Morris (2005) who show that their global robustness amounts to ex post incentive compatibility as well as Oury and Tercieux (2012) who show that continuous implementation generates a substantial restriction, tightly connected to full implementation in rationalizable strategies.
    Keywords: Continuous implementation; full implementation; incentive compatibility; robustness; transfers
    JEL: C72 D78 D82
    Date: 2019–10–09
  22. By: Long, Yan (Huazhong University of Science and Technology); Xue, Jingyi (School of Economics, Singapore Management University)
    Abstract: We study resource allocation in the face of uncertain needs. We extend Young (1987)’s parametric rules to the uncertain context. We re-establish the axiomatic char-acterization of parametric rules and show the optimality of the rules.
    Date: 2019–10–06
  23. By: Saman Adhami (Vienna Graduate School of Finance;; Dominique Guégan (Université Paris1 Panthéon-Sorbonne, Centre d'Economie de la Sorbonne, - Ca' Foscari University of Venezia, University of Economics Ho Chi Minh City, Vietnam)
    Abstract: This paper re-examines the discussion on blockchain technology, crypto assets and ICOs providing also evidence that in crypto markets there are currently two classes of assets, namely standalone cryptocurrencies (or 'coins') and tokens which result from an ICO and are intrisically linked to the performance of the issuing company or venture. While the former have been arguments of various empirical studies regarding their price dynamics and their effect on the variance of a well-diversified portfolio, no such study has been done to analyze listed tokens, which in our sample are over 700 and with a backing of about §17.3Bn from their respective ICOs. Therefore, investors interested in optimizing their portfolios should first assess the diversifier, hedge or safe haven role of tokens vis-à-vis traditional assets, on top of 'coins' in order to sensibly use this new asset class. After constructing various indices to represent both the token asset class as a whole and its sub-classes, we model dynamic conditional correlations among all the assets in our sample to obtain time-varying correlations for each token-asset pair. We find that tokens are effective diversifiers but not a hedge or a safe haven asset. We evidence that tokens retain important systematic differences with the two other asset classes to which they are most generally compared to, namely 'coins' and equities
    Keywords: Cryptocurrency; DCC-MGARCH; Hedge; Initial Coin Offering; Safe Haven
    JEL: G11 G15
    Date: 2019–09
  24. By: Wang, Xiaohu (The Chinese University of Hong Kong); Xiao, Weilin (Zhejiang University); Yu, Jun (School of Economics, Singapore Management University)
    Abstract: This paper proposes a two-stage method for estimating parameters in a para-metric fractional continuous-time model based on discrete-sampled observations. In the first stage, the Hurst parameter is estimated based on the ratio of two second-order differences of observations from different time scales. In the second stage, the other parameters are estimated by the method of moments. All estimators have closed-form expressions and are easy to obtain. A large sample theory of the pro-posed estimators is derived under either the in-fill asymptotic scheme or the double asymptotic scheme. Extensive simulations show that the proposed theory performs well in finite samples. Two empirical studies are carried out. The first, based on the daily realized volatility of equities from 2011 to 2017, shows that the Hurst parameter is much lower than 0.5, which suggests that the realized volatility is too rough for continuous-time models driven by standard Brownian motion or fractional Brownian motion with Hurst parameter larger than 0.5. The second empirical study is of the daily realized volatility of exchange rates from 1986 to 1999. The estimate of the Hurst parameter is again much lower than 0.5. Moreover, the proposed frac-tional continuous-time model performs better than the autoregressive fractionally integrated moving average (ARFIMA) model out-of-sample.
    Keywords: Rough Volatility; Hurst Parameter; Second-order Difference; Different Time Scales; Method of Moments; ARFIMA
    JEL: C15 C22 C32
    Date: 2019–09–16
  25. By: International Monetary Fund
    Abstract: At the request of the Bank of Lao, and in continuation of the FIRST TA project, this TA report provides advice towards implementing risk-based supervision (RBS). The BoL is in the process of implementing its risk-based approach to supervision to make the banking system more stable and sounder. This mission looked at the full cycle of onsite and offsite supervision process and provided advice related to applying the RBS manual, drafting and utilizing Institution Profile (IP) and Risk Assessment Summary (RAS), writing an effective examination report, the use of a risk-based approach to internal systemic reporting, and developing a supervisory response framework. The bulk of the mission time was spent on formal hands-on training sessions. During the mission, training was provided to BSD staff in small group discussions, and a more formal seminar was organized for all offsite and onsite BSD staff, which focused on reviewing the underlying RBS concepts and the elements of RBS manuals.
    Date: 2019–10–30

This nep-sea issue is ©2019 by Kavita Iyengar. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.