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This paper investigates the impact of heat waves on the productivity of the Italian food industry. Using daily weather and firm‐level data for the 2004–2019 period, we show that a heat wave causes, on average, a reduction in Total Factor Productivity (TFP) of about 3.2%. Smaller firms are more severely affected, with a reduction of approximately 7%, revealing unequal impacts within the same country and sector. The reduction in TFP can be partially attributed to lower workers' productivity, with labour input increased in order to compensate for productivity loss. The estimated effect is heterogeneous across subsectors, with some well‐known Italian products (e.g., wine production) more severely affected by heat waves. These findings have significant policy implications due to the expected increase in the frequency of heat waves caused by climate change, and are particularly important in the case of the Italian food industry, which is mainly composed of small firms. The paper highlights the need to investigate further the impacts of heat stress on the entire food system, as most of the literature has predominantly focused on the agricultural sector. [ABSTRACT FROM AUTHOR]

This study explored the impact of transportation systems in urban areas on economic activity. We examined the effect of traditional Chinese railway construction fencing on urban spatial development using nighttime luminance and railway data from prefecture‐level cities. The study found that the fencing effect exacerbated uneven development on either side of the railway, especially in economically underdeveloped areas. These results were supported by different measures of development and a placebo test. The fencing effect was also found to affect the location of newly registered firms and the total factor productivity of industrial firms, leading to unbalanced growth on either side of the railway. [ABSTRACT FROM AUTHOR]

This study constructs an economic growth model that includes natural resource endowments to theoretically explore the paradox of “resource gospel” and “resource curse.” Based on the theoretical analysis, the influence of natural resources on green total factor productivity is analyzed empirically through an econometric model using Chinese urban panel data from 2010 to 2019. The theoretical analysis shows that the impact of natural resource endowment on green total factor productivity is indecisive. The empirical results show that natural resource endowments significantly lessen urban green total factor efficiency, and the results remain robust after addressing for endogeneity issues and robustness tests. However, this effect is significantly heterogeneous depending on the city level and science and education level; for example, the “resource curse” effect is more pronounced in non‐central cities and cities with average education and science level. Simultaneously, the mechanism analysis shows that natural resource endowment reduces urban total factor productivity by inhibiting innovation and introducing choices in the technological progress approach. Therefore, the research findings bring empirical evidence to promote reforms in natural resource allocation and provide theoretical support for encouraging green total factor productivity in resource‐based cities. [ABSTRACT FROM AUTHOR]

We study how internal trade costs affect the Chinese economy. Combining regional and industry data with a multiregional multisector general equilibrium model, we quantify the magnitude of total trade costs and institutional trade costs, and the impact of their changes on aggregate, regional, and sectoral total factor productivity, gross domestic product, and welfare. Using unique data, we estimate the sectoral trade elasticity of internal trade in 16 tradable sectors. We use our calibrated model to perform a variety of counterfactual exercises. We find that the welfare gains are negative for a 5% reduction in total trade costs and for the elimination of institutional trade costs, which can be attributed to inherent inefficiencies in the economy. However, as total trade costs decrease further, the positive welfare effect significantly exceeds the impact of inefficiency. The regional and sectoral effects of changes in trade costs show that the spatial structure of the economy, input‐output linkages, and local factors together determine the heterogeneity of sectoral and regional consequences. Finally, we infer the relative changes in China's internal trade costs from 2012 to 2017, and calculate their economic effects. [ABSTRACT FROM AUTHOR]

The comprehension of the textbook and augmented Solow growth model has been studied to picture the consequences of workforce growth and capital. In the age of digitalization, Information and Communications Technology (ICT) is also the first necessity identified factors affecting labor productivity. This paper revisits the augmented Solow growth equation by integrating ICT as an explanator that improves labor productivity in Southeast Asian emerging economies. We used a Two‐Way Random‐Effects Model to regress the impact of workforce growth rate, physical capital, and human capital on labor productivity. The results show that using human capital is essential to improve output in emerging market countries rather than only using physical capital. According to our adjusted ICT factors, our analysis reveals that using the Internet and mobile cellular significantly boosts labor productivity. Moreover, the analysis of total factor productivity shows that most Southeast Asian economies highly depend on implementing ICT, especially the contribution of Internet usage and mobile cellular. Therefore, this study contributes to further studies and policy recommendations in improving the introduction of Internet usage and installation, especially for the emerging Southeast Asian. [ABSTRACT FROM AUTHOR]

The European Green Deal aims to mitigate the environmental impact of food production while improving the income of primary producers and strengthening the EU's competitiveness. We examine how the degree of ecologisation affects farms' total factor productivity (TFP). Our analysis combines a random‐parameter stochastic production frontier model with a composite indicator and a dose–response function approach. Results show a monotonically decreasing relationship between ecologisation and expected TFP level. On average, a one‐step increase in the degree of ecologisation results in a 12% decrease in TFP. However, the results indicate a non‐linear relationship. Three regions of the dose–response function can be distinguished; associated with high, medium and low degrees of ecologisation. In a region with a low degree of ecologisation, farms can increase the degree of ecologisation without reducing TFP. Both efficiency and technological differences contribute to these differences, but the main reason is technological. With increasing ecologisation, farm technology becomes more 'land using'. Therefore, farms can increase their TFP and degree of ecologisation simultaneously by using land‐saving technologies or through sustainable intensification. [ABSTRACT FROM AUTHOR]