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This paper analyzes the granularity hypothesis in a large emerging economy, Kazakhstan. We use a new longitudinal dataset at the firm level and at quarterly frequency between 2012 and 2018 to document the size distribution of firms and to provide evidence that it follows a power law. We find that the largest 30 firms explain nearly 80 percent of the growth in aggregate total factor productivity. This confirms earlier research for the U.S. and other developed countries. However, the granular nature of the Kazakh economy is even more outspoken than in other countries. Thus idiosyncratic shocks and the way they ripple through the production network matter to understand changes in aggregate productivity growth. Moreover, since these granular firms are concentrated in the oil industry it exposes the vulnerability of the economy more to unexpected shocks in one industry in particular. [ABSTRACT FROM AUTHOR]

A growing body of literature highlights the importance of export sophistication for economic development. Given the newness of the literature on export sophistication, its determinants are under‐exploited. As a pioneer study, this paper attempts to fill this gap in the literature by examining the effect of infrastructure development on export sophistication. Based on a panel of 45 African countries over the period 2003–2016, the results of the different estimations show that infrastructure, including transport, electricity, ICT and access to water and sanitation, improves export sophistication in Africa. Our results also show that the effect of infrastructure varies at different intervals of the export sophistication distribution. Therefore, improved infrastructure would allow African countries to not only improve their export structure but also achieve sustainable and durable growth. [ABSTRACT FROM AUTHOR]

This paper optimises the definition and measurement method of export stability and analyses the impact of export structure on export stability. The main results show that (1) an increase in the export share appears to reduce the export stability of goods, by changing the importer's elasticity of import demand; (2) exporters can reduce the impact of export structure on the export stability of goods by increasing the technical complexity of export products, improving the trade freedom level and signing free trade agreements (FTA) with importers; (3) export share has a negative impact on the export stability of services; and (4) the development of intra‐industry trade (IIT) in services and the digitisation of services can reduce the impact of export structure on the export stability of services. The results can provide a reference for the management of export instability against the background of export specialisation. [ABSTRACT FROM AUTHOR]

Economic historians have recently treated Islamic institutions as "growth retarding," "averse to change," "path dependent," "lacking creative destruction" and "extractive" rather than "inclusive" and blamed their failure to change for the underdevelopment of the Middle East. This paper argues for a different approach to Islamic institutions which implies that they boosted economic growth. The paper explores changes in economic structures, a transition in population levels from high to low and a transition to individual property rights and provides economic indicators of growth. Articulated via Islamic law, legally sanctioned birth control and women's property rights were instrumental in assuring low fertility rates and equitable and well‐distributed income in the population. The paper concludes theoretically and empirically that Islamic institutions were innovative, amenable to change and efficient. [ABSTRACT FROM AUTHOR]

Argentina is the only country in the world that was developed in 1900 and developing in 2000. Although there is widespread consensus on the occurrence and uniqueness of this decline, an intense debate remains on its timing and underlying causes. This paper provides a first systematic investigation of the timing of the Argentine debacle. It uses an array of econometric tests for structural breaks and a range of GDP growth series covering 1886–2003. The main conclusion is the dating of two key structural breaks (in 1918 and 1948), which we argue support explanations for the debacle that highlight the slowdown of domestic financial development and trade protectionism (after 1918) and of institutional development (after 1948). [ABSTRACT FROM AUTHOR]

This paper aims to examine the effect of cultural dimensions such as the power distance, individualism, masculinity, uncertainty avoidance, long‐term orientation, and indulgence on the Global Reporting Initiatives (GRI) commitment effect of corporate social responsibility reports by the Organisation for Economic Co‐operation and Development (OECD) banks. Adopting the stakeholder theory and the Hofstede's cultural dimension, we investigated the GRI commitment level and its determinants, using a sample of 819 firm‐year observations from 2012 to 2018 belonging to 27 countries. Thus, we collected data from BvD BankFocus database, selecting 180 OECD banks. Applying a statistical regression analysis, our findings show a significant influence of masculinity, uncertainty avoidance, long‐term orientation, and indulgence on the GRI commitment level in the context of corporate social responsibility. Additionally, our results highlight the effect of cultural dimensions of countries in the application of the GRI guidelines and investigate the reasons for this different commitment effect. Results of this paper are directed to academic community, practitioners, and policymakers as theoretical and practical advances. [ABSTRACT FROM AUTHOR]

The main aim of this paper is to examine the threshold impact of financial development and trade liberalization on income inequality as a measure of sustainable development in a sample of developed and developing countries using panel threshold analysis. Two major dimensions of financial development are considered: liquid liabilities and stock market capitalization. The empirical results revealed that financial development reduces income inequality only in countries where their GDP per capita is above ~US$11,000. It has no significant impact in reducing inequality in developing countries. This implies that institutional reforms in less developed and developing countries are necessary in order to reap the gains from financial development. Trade liberalization is found to have a positive impact on income inequality for both country groups—that is, trade benefits have worsened the income distribution. [ABSTRACT FROM AUTHOR]

China holds the distinction of being the foremost global consumer of water resources and contends with a significant level of water scarcity. In light of this quandary, China has been assiduously endeavoring to foster water conservation practices with the ultimate objective of reaching a peak point in water use. In this paper, we construct a framework for forecasting China's total water use (TWU) peak path. In this framework, we select influencing factors in terms of both economy and technology to forecast the peak path of China's TWU under six different scenarios, and analyze the economic and technological circumstances at the peak. Our findings indicate that China's TWU will persist in its upward trend based on both the high growth and business as usual scenarios. The projected peak period is estimated to transpire in 2037, 2032, 2030, and 2028, respectively, with the corresponding peak levels amounting to 644.03, 633.93, 625.79, and 620.92 billion m3. However, in the low growth scenarios, China's TWU reached its peak in 2013. The extent of economic development plays a pivotal role in determining the timing and manner of water usage peaking. Early peaking of water usage could potentially result in a loss of gross domestic product (GDP). Furthermore, technological advancements hold the potential to facilitate a reduction in water use without requiring a significant trade‐off between resource conservation and economic development. The results of sensitivity analysis show that the average acreage of water used for irrigation on cropland, GDP, water use efficiency, and population contribute the most to TWU, while the increase in the proportion of industrial, service, and water‐saving irrigation area can reduce water use. Our analytical framework provides a commonly applicable solution for the water use forecast in areas seeking to reach the water use peak or to achieve sustainable development. [ABSTRACT FROM AUTHOR]

As the processes of market liberalization and globalization increase the confidence of international actors involved in national third sectors, there exists a cosmopolitan tension between ‘mobile elites’ and ‘locked in’ nationals. This paper explores the impact of these tensions on the social enterprise ecosystem in the Republic of Poland and the Socialist Republic of Vietnam. Focused on the internationalized mechanisms of support, the relationship between the social enterprise incubators and international stakeholders, and power distance inherent to the global versus local debate, the findings suggest that normative isomorphic pressures are causing a fundamental ecosystem shift. The monopolization of support and terms of reference have led to entrepreneurs detrimentally being treated as ‘organizational heroes’ risking burnout, the primacy of international voices within the local context, and the transference of nationals from being ‘locked in’ to national processes to being ‘locked out’ of national support. The research suggests the cosmopolitan‐led transformation of activists into entrepreneurs needs to be more carefully considered, to ensure that enforced alignment to international system does not alienate them from other sources and means of sustainability. [ABSTRACT FROM AUTHOR]

This paper discusses how the structure of the tax system affects its progressivity. It suggests a measure of progressive capacity of tax systems, based on the Kakwani index, but independent of pretax income distributions. Using this and other progressivity measures, the paper (i) documents a decline in progressivity over the last decades and (ii) examines the relationship between progressivity and economic growth. On this relationship, regressions do not reveal a significant impact, suggesting that efficiency costs may be small – at least for degrees of progressivity observed in the sample. Finally, the paper finds that increasing tax progressivity reduces pretax inequality. [ABSTRACT FROM AUTHOR]

From a comparative political perspective, island jurisdictions stand out as having exceptionally democratic regimes in comparison with mainland or continental polities. Irrespective of their geographical location, levels of economic development or constitutional status (sovereign or nonsovereign), with only a few exceptions, island jurisdictions around the world have democratic political institutions. While some scholars have explained this relationship on the basis of colonial history, international political dynamics or the geographical isolation and remoteness that stem from being an island, others have argued that the smallness of islands explains the correlation, meaning that size is actually the causal factor that explains the prevalence of democratic governance. In this paper, an original account of the relationship between islandness and democracy is provided, foregrounding the informal political dynamics that can be observed in island territories around the world. To do this, the specific nature, dynamics and varieties of democratic governance in island jurisdictions are examined. Most island nations have adopted the political‐institutional framework of former colonial powers or metropolitan states, and these have only rarely been modified to suit the (small) island context. Yet due to the greater social intimacy and interconnectedness of island societies, these formal institutional frameworks are likely to be complemented or overshadowed by a set of powerful informal political dynamics, which means that a large part of the political process is conducted outside of the official political channels. These informal politics have mixed effects on the quality of democratic governance, as face‐to‐face relations offer both opportunities and drawbacks for democratic transparency and accountability. The last analytical section of the paper examines the interaction between formal institutional structures and the prevalent informal political dynamics in island territories, and argues that this interplay perhaps provides the best explanation for the survival of democratic institutions in island territories. [ABSTRACT FROM AUTHOR]

This paper examines the effectiveness of state economic development incentive programs in stimulating new business activity. It reviews literature that identifies factors that potentially influence the effectiveness of incentives. Empirical work draws on a 2018 survey of approximately 150 firms that received at least one award for startup, expansion, or relocation purposes during the period SFY2010–SFY2016 from a state economic development incentive program (i.e., grant, tax credit, loan, equity investment) offered by the Commonwealth of Virginia. The paper evaluates the role of program design features (e.g., discretionary vs. automatic, relative size of incentive), firm characteristics (e.g., size of firm, industry), and locational variables (e.g., state boundary location, rurality) on firm assessments of the role of incentives in business growth decisions. It finds that firms that receive up‐front or discretionary program awards and undertake multistate site searches are less likely to report that the incentive was not needed for their project to succeed. These results suggest that automatic, back‐loaded award programs, and programs that fund noncompetitive projects are less likely to affect firm location and expansion decisions. [ABSTRACT FROM AUTHOR]

Copyright of Antipode is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This paper questions the routes to knowledge of metropolitan governance elsewhere in the world and then explains how and why these are rendered more difficult in Australia. The paper begins with the policy literature on the exchange of knowledge relevant to metropolitan governance. The paper next explains the constitutional and fiscal backdrop to metropolitan governance in Australia; the 'unique' role of state governments in the funding, planning, and management of cities, and the powers adopted by the federal government that are made possible by vertical fiscal imbalance and funding conditionality. The paper then explores horizontal knowledge exchange of metropolitan governance in the form of transnational municipal networks, corporations, international organisations, and consultants. The final section of the paper considers the thesis that were Australia's cities to function independently, as metropolitan governments, the potential for knowledge exchange would be optimised. Knowledge of smart city technologies is used for case study purposes. Australia's metropolitan areas suffer from a knowledge deficit that compromises their competitiveness, ability to address climate change and to adopt smart city technologies. The knowledge deficit arises from the role of the Commonwealth and state governments in determining metropolitan outcomes, whereas globally knowledge exchange primarily occurring at a metropolitan level. [ABSTRACT FROM AUTHOR]

Abstract: Corruption has fierce impacts on economic and societal development and is subject to a vast range of institutional, jurisdictional, societal, and economic conditions. It is this paper's aim to provide a reassessment and a comprehensive state‐of‐the‐art survey of existing literature on corruption and its causes and effects. A particularly strong focus is put on presenting and discussing insights resulting from empirical research and contrasting recent with older findings. [ABSTRACT FROM AUTHOR]

The article analyzes the benefit of using a gross domestic product (GDP)-linked sovereign paper or sukuk in stabilizing economic growth of developing Islamic countries through risk sharing macro instruments from Islamic finance. Topics discussed are impact of debt servicing on real GDP per capita for lower income countries, and the Sharpe ratio for all the countries based on investor analysis of returns in a risk-adjusted framework.

Abstract: The paper deals with the structural roots of political instability in the Middle East that has been manifested by the Arab Spring throughout the region since early 2011. The roots of the instability are seen in cumulative effects of highly uneven long‐term social change in its three main dimensions since 1960s: (1) rapid social and demographic changes, (2) slower and fluctuating economic development, and (3) rigid political subsystem. The Middle Eastern uneven social change is also under way in a specific (4) cultural and (5) international context. The political instability is thus seen as a consequence of multiple and complex interactions among various dimensions of uneven modernisation process, Islamic political imagination and the international context. The paper deals with the interactions on the macro‐level and with its politically destabilizing consequences on micro‐level using selected examples of causal mechanisms. The Middle Eastern uneven modernisation pattern is systematically documented by empirical macro‐indicators and is compared with the modernisation process in other post‐colonial world macro‐regions. [ABSTRACT FROM AUTHOR]

Abstract: This paper empirically examines the growth effects of stabilisation funds and fiscal rules in oil‐rich African countries, using Nigeria as a case study. The analysis captures the ‘international standard’ of the two fiscal instruments by empirically comparing the effects of Nigerian instruments with those of non‐African oil‐exporting countries (i.e. Norway and Mexico). The results show that the fiscal instruments are effective in Nigeria and that the effectiveness is comparable to that of non‐African economies, implying that the Nigerian instruments meet ‘international standard’. The paper also discusses the development policy implications of the results, one of which is that the fiscal instruments can be used to control risky behaviours of economic agents in oil‐rich African economies. For example, since the instruments are effective in increasing growth (i.e. real GDP growth) and limiting its volatility, they can be employed to control increases in demand for and supply of risky sex caused by increases in real per capita income during oil booms. [ABSTRACT FROM AUTHOR]

Modern primary industry makes obsolete the conventional analysis of private and social performance. This is due to the dominance of chain failure as opposed to the more familiar market failure. This paper makes the case that value addition dominates aspirations for primary industries, and vertical coordination and shifts in commercial power balances feature in the sharing of benefits within value chains. Moreover, complexity in chain relationships and some particular features of primary industry bring challenges to forward planning and concerted effort. Value addition in New Zealand's forestry and wood products' industry presents several such challenges, and these are examined with a qualitative system dynamics model. Potential policy responses that eliminate chain failure are discussed in association with the Australian beef industry research model. The paper advocates joint industry-university-government action in terms of research and skills development. Copyright © 2016 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]

This paper develops a two-period Overlapping Generations (OLG) model of endogenous growth in which a two-way relationship between social capital and human capital is studied. In order to illustrate the impact of public policies, the model is calibrated using the data for a low-income country, India and a sensitivity analysis is reported under different parameter values. Based on the numerical analysis, this paper focuses on possible trade-offs in the allocation of government spending between two productive components, that is, social capital-related activities and education. The results of this paper show that an increase in the share of public spending on social capital-related activities through a cut in spending on education or vice versa entails trade-offs. However, the trade-off fades away and the net impact on long-run growth turns out to be positive for different parameter values in the case where a higher share of spending on education is financed by a cut in spending on social capital-related activities but a policy in improving social capital accumulation at the expense of education is always detrimental to long-run growth. [ABSTRACT FROM AUTHOR]

This paper investigates whether the geographic characteristics of a country can explain cross-country variations in income levels through their ability to explain cross-country variations in cultural traits that enhance economic development. In other words, this paper attempts to determine whether the geographic endowment can serve as an instrument in examining the effect of culture on economic development. The paper conducts two-stage least-squares regressions. The second stage is a regression of the logarithm of real gross domestic product per capita on each of the cultural attributes that are considered in this study. In the first stage, the geographic factors that statistically explain a cultural aspect are used as instrumental variables. The results of the empirical estimation show that the cultural variables, instrumented by the geographic variables, explain cross-country variations in economic development. [ABSTRACT FROM AUTHOR]

This paper seeks to provide new empirical evidence that demonstrates the importance of digital technologies in promoting economic growth, drawing on the literature on advances in growth and leveraging a broader and more robust country-level panel dataset. In particular, this paper estimates the long-run economic impact of digital technologies using mobile phone penetration and internet usage as broad indicators. The empirical results suggest that, between 2004 and 2014, the diffusion of digital technologies significantly improved economic output in Australia and abroad, contributing to steady-state gross domestic product per capita growth of approximately 5.8 per cent on average. These findings could serve as the starting-point for predictions about the likely impact of future technologies, providing a better understanding for policy-makers in prioritising initiatives that will continue to lift living standards in the coming years. [ABSTRACT FROM AUTHOR]

The purpose of this paper is to propose a model where trade has a direct and positive impact on growth rate of two trading nations beyond the level effect. We use the idea of virtual trade in intermediates induced by non-overlapping time zones and show how trade can increase the equilibrium optimal rate of growth. In this structure the trade impact goes beyond the level effect and directly causes growth. Typically standard models of trade cannot generate an automatic growth impact. Virtual trade may allow production to continue uninterrupted in separated time zones such as between the USA and India, and that can lead to higher growth for both countries. Later we extend the model to incorporate the accumulation of skills which becomes necessary for sustaining steady state growth. [ABSTRACT FROM AUTHOR]

A high‐quality green transition is essential to achieving sustainable and coordinated global development. In this paper, a new method of two‐step geometric average is proposed to measure green transition, and a comprehensive framework on the relationship between sustainability and coordination via the propelling force of green transition is constructed at both the national and provincial levels. In addition, the mediating effect model and the threshold model are employed to empirically verify the mechanisms and influences. According to the results, green transition can contribute to regional economic growth at national level and to the coordinated development of regional economies at provincial level in China. Meanwhile, the non‐linear 'U‐shaped' relationships between green transition and regional economy are demonstrated in Asia and the eastern region of China, and spillover effect of technological innovation can indirectly promote regional development. In addition, the heterogeneity effect of green transition fully releases the dividend of economic quality and environmental governance capacity, promoting the coordinated development of regional economies. In the meantime, the driving force of green transition on regional economy is dependent on the external environment, particularly before and after the outbreak of COVID‐19, when its impact has altered substantially. Therefore, it is necessary to promote green transition via greater technological innovation efficiency, and then to restore the vitality of regional economic development; which could provide policy makers and professionals in the regional economy with information for enhancing sustainable and coordinated development. [ABSTRACT FROM AUTHOR]

Increasing research on spinouts highlights the key role that employees play in new business creation, knowledge diffusion, and economic development. However, this research conflicts on many points, including on definitions of key concepts. In this paper, we review the theoretical and empirical literatures on private sector employee spinouts and integrate insights spanning multiple academic disciplines. We address definitional ambiguity and propose a cross‐disciplinary conceptual framework that adequately captures the extant literature on this phenomenon. Doing so allows us to organize the selected academic articles on employee spinouts into six themes: antecedents at the individual, organizational (parent firm), and external environmental levels, and consequences of spinouts for spinout founder(s), parent firms, and external environments. For each theme, we summarize the key research questions, theories, and evidence to date, and refer to potential integration points that could help to expand our knowledge. We conclude our review of each major theme with targeted suggestions for future research. [ABSTRACT FROM AUTHOR]

The Ricardian comparative advantage model suggests doing what you are best at. Meanwhile, many development experiences resulted in producing the impossible. Do the two prescriptions lead to an antagonism that the industrial policy must side by one? Or can industrial policy consider the current comparative advantage while aiming for significant changes in the export basket? This paper answers yes by suggesting a path to transformation through the tracks of current comparative advantage. I use the Product Space network to define the two attributes of a product: New products closer to the existing comparative advantage are easier to include in the export basket. On the other hand, central products in the core of the product space might be far from the export basket, but once added, they contribute more to the transformation and further diversification. Hence, a trade‐off exists between the proximity of a new product to the current export basket and its contribution to further diversification and transformation. I offer industrial policymakers to use a combination of product nearness and centrality. A policymaker seeking a gradual and secure transformation can prioritize nearness, while centrality can be given greater weight for rapid transformations. [ABSTRACT FROM AUTHOR]

Estimating the contribution of enslaved workers to output and growth in the United States during the first half of the nineteenth century is a crucial building block to better understand the contours of nineteenth‐century US economic history, and more generally, the connection between slavery and capitalism. Existing estimates only present a partial picture and are potentially problematic. In this paper, we use data on enslaved person valuations to calculate the contribution made by enslaved workers to regional and national gross national product (GNP) in 1839 and 1859 and to the growth in per capita output in the 20 years before the Civil War. We find that in the United States, enslaved workers were responsible for somewhere between 12.49 per cent and 18.0 per cent of the increase in output per capita between 1839 and 1859. [ABSTRACT FROM AUTHOR]

This paper studies the relationship between public investment and private investment in a sample of 21 Organization for Economic Cooperation and Development (OECD) countries between 2000 and 2019. Using panel data nonlinear threshold regression models, the empirical results show that there exist threshold levels for the share of public investment in private investment, the real Gross Domestic Product (GDP) growth rate and the real interest rate that affect the relationship between public and private investment. All estimates support a crowding‐in effect of public investment on private investment. In terms of policy prescriptions, by increasing public investment, OECD governments can expect positive spillovers to private investment. [ABSTRACT FROM AUTHOR]

Studies have shown that external capital account liberalisation can boost capital inflows and augment economic development. Nevertheless, in the case of developing and emerging economies (DEE), adverse currency fluctuations could hamper external competitiveness due to relative price differences creating currency overvaluation, which might not be mitigated via financial openness alone. Therefore, this paper uses annual panel data for 35 DEEs over 40 years to explore whether financial openness of countries can help preserve their external price competitiveness, in the presence of greater trade openness and better institutional quality. Our findings suggest that financial openness alone does not aid export competitiveness, unless it is supported by greater trade openness. In addition, both cross country and regional analyses show that financial openness can benefit economies in maintaining their export competitiveness if they have stronger quality of institutions. Our results remain robust when we estimate the role of financial openness and institutional quality jointly on external competitiveness across regions, and during the pre‐ and post‐crisis periods. We conclude that financial openness alone is not sufficient to improve external competitiveness of an emerging economy, but it does help in the presence of greater trade openness or better institutions, enabling reduction in trade costs and thereby making these countries more price‐competitive. [ABSTRACT FROM AUTHOR]

This paper surveys developments in the literature on trade and inequality over the past decade. I first discuss the impact of trade on nominal income inequality, with a focus on firm heterogeneity and the role of mobility frictions. Then, I provide an overview of the literature on the redistributional role of government in an open economy. Finally, I assess the current state of studies on how trade affects real income inequality through the expenditure channel. [ABSTRACT FROM AUTHOR]

Efficient allocation of resources and transition towards cleaner sources of energy are among the key factors in minimizing the negative externalities arising from the growing dependency on fossil fuels. Moreover, environmentally benign trade policies are crucial due to the rapid expansion in global trade and comparative advantage. To explore the relationship between global trade and Consumption‐Based Carbon Emissions (CBCE) in China in the context of renewable energy consumption and energy efficiency from 1990 Q1 to 2020 Q4, this paper employs the dynamic Autoregressive Distributed Lags (Dynamic ARDL) model to evaluate the connection between international trade, renewable energy usage, energy efficiency, and CBCE, with the Kernel‐Based Regularized Least Squares analysis being used to determine the causal association. The findings reveal that GDP and imports are directly linked with CBCE in the long run, while exports, energy efficiency, and renewable energy consumption have a negative significant long‐run and short‐run influence on CBCE. In addition, exports help in the reduction of CBCE by sharing and adapting environmentally friendly technologies adopted in, for example, renewable energy and ecological advancements. Renewable energy promotes the quality of the environment, which is attributable to the performance of renewable energy and environmentally friendly technologies that directly stimulate the reduction of CBCE emissions. By cutting CBCE, energy efficiency tends to boost environmental quality. The research findings have noteworthy policy implications; trade enhances the quality of environment by introducing lower energy intensive production methods and technology that support sustainable development. As a result, this study advocated quite stringent policies in terms of aligning international trade orientation with environmental quality policy in China. Furthermore, energy efficiency policies are required to lower CBCE by focusing on high‐energy‐using industries and providing alternative clean energy sources. [ABSTRACT FROM AUTHOR]

Trade in services has become the most dynamic segment of international trade. This paper examines the competitiveness of services exports in sub‐Saharan Africa (SSA) for the period 2005–2019 using revealed comparative advantage approach. The analysis shows that although SSA has a comparative advantage in traditional services, that is travel and transport, it has remained less competitive compared to other regions globally, and its share of world services exports is negligible. Moreover, SSA has not developed competitiveness in modern commercial services and, hence, continue to perform poorly. The results suggest only Nigeria and Kenya have so far developed comparative advantage in financial services. SSA's dismal performance of services exports can be attributed to various factors such as technological and infrastructure constraints, protectionist and regulatory barriers. There is need to rethink strategies of revamping and diversifying services esports to spur Africa's trade and economic transformation. These include leveraging the opportunities availed by the African Continental Free Trade Area (AfCFTA). Unexploited opportunities include Africa's rich cultural diversity, recreation, business and conferencing services. [ABSTRACT FROM AUTHOR]

Given the scanty and inadequate studies on Serbia's growth performance before the First World War, this paper presents production‐side GDP estimates for Serbia for six years between 1867 and 1910. It probes into the growth dynamics, assessing convergence with the more developed countries of north‐western Europe, as well as progress towards achieving modern economic growth. Although the economy showed some dynamism in terms of overall GDP, per capita GDP in pre‐First World War Serbia grew by only 0.28 per cent per annum, as much of the overall GDP growth was eroded by rapid population growth. Far from converging with north‐western Europe, Serbia continued to fall behind. Sluggish structural transformation and slow income per capita growth suggest that Serbia's transition to modern economic growth was in its infancy. Growth in the dominant agricultural sector was extensive, driven by expanding arable land and population growth. Land was affordable and easy to obtain; hence, peasants invested little in new technologies. Meanwhile, the modern industrial and service sectors were below a threshold that could sustain rapid growth. Nevertheless, this study also highlights the rapid expansion of a small modern sector and export diversification that reflected emergent 'green shoots' in 1905–10. [ABSTRACT FROM AUTHOR]

Digital finance is expected to improve the financial development of economic backward regions through its inclusive nature. Therefore, this paper selects the financial data of 30 provinces in China from 2011 to 2017 to evaluate regional finance disparities with the inclusion of digital finance, using the meta‐frontier slack‐based measure dynamic DEA model. The results are as follows. (1) The overall financial efficiency, input efficiency, output efficiency, and TGR in the eastern region are better than those in the non‐eastern region. (2) With the inclusion of digital finance, the finance efficiency gaps in the eastern and non‐eastern regions have expanded. [ABSTRACT FROM AUTHOR]

The emergence of a mass market for electric vehicles (EVs) offers development opportunities for countries that have abundant resources of cobalt, nickel, lithium, copper, aluminium and manganese. Not surprisingly, developing countries have proposed ambitious plans to expand production of these raw materials. However, an observation from the resource curse literature is that strong institutions are required if they are to mitigate the risk of poorly directed, often excessively procyclical, investment, not least because of the complexity, opacity and price volatility of many raw materials utilised by global EV value chains. This paper examines the outlook for EV demand and associated raw material usage paying attention to the drivers and sensitivities required to assess and track future market transformations. These end use shifts are then placed in the context of the broader supply chain adjustments and trends shaping the demand. For resource exporters, adapting to structural change will require fiscal, regulatory, environmental and institution reforms designed to capture shifting patterns of resource wealth in a way which takes appropriate account of comparative advantages in specific value chains and mitigates adverse environmental and social consequences from their extraction and processing. [ABSTRACT FROM AUTHOR]

Migration is key to economic development, with varying implications and uneven impacts on origin and destination regions. This paper examines the variation in the major drivers of migration within and across continental blocs and the OECD in a gravity framework. The empirical model uses bilateral migration flow data for 182 countries over a 25 year period (1990–2015) while controlling for push and pull drivers of migration. The novelty of the study rests in the added dimension of the variation in the impact of migration drivers that is based on the direction of migration flow. The results suggest that migration drivers vary significantly across several economic blocs based in different regions and OECD countries. We find that the weight and significance of the impact of migration drivers vary significantly based on the direction of flow across continental blocs and the OECD, although some similarities exist in some regions regardless of the direction of migration flow. The results specifically show that economic and socio‐cultural drivers of migration are strongest when migration originates in continents dominated by developing countries and terminates in other continents, compared to migration that originates and terminates within the continents. This raises some anomalies and several issues of potential policy intervention. [ABSTRACT FROM AUTHOR]

Copyright of Regional Science Policy & Practice is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This special issue tackles two "trendy" topics much discussed at present by the community of scholars (and practitioners too) interested in regional economic development: systems and ecosystems. These metaphors have proved popular, and enduring, currently experiencing something of a buzz or moment in the sunshine. This special issue pushes them out of their comfort zone to explore contexts, elements, and approaches that have not yet been well explored in the literature to date. Contributions in this special issue cover a wide range of international cases and explore systemic perspectives on economic development placing institutional context and evolutionary dynamics at the core. [ABSTRACT FROM AUTHOR]

This paper looks at corporate income taxes in developing countries from both an empirical and a theoretical perspective. Many economic principles about corporate income taxes apply equally in advanced and developing economies, but some characteristics of developing economies lead to different trade-offs. These include fewer locational rents and generally lower administrative capacity. Empirically, corporate income tax developments broadly resemble those in advanced economies, but there are important differences too, such as a greater reliance on tax incentives, reflected in a gradual narrowing - rather than broadening - of tax bases in combination with tax cuts. Detailed analysis using effective tax rates reveals various distortions including a preference for certain assets, and strong tax advantages of debt finance over equity finance, particularly in high-inflation environments. An empirical analysis of correlations between country-specific features and the likelihood of using tax incentives shows that countries offering low tax rates also tend to offer tax incentives, but that they cut their standard rates by substantially less than other countries between 1996 and 2007. [ABSTRACT FROM AUTHOR]

This paper analyses the relationship between nitrous oxide (N2O) emissions, economic growth, agricultural land used and exports in Germany. We use time-series data between 1970 and 2012 and the Autoregressive Distributed Lag (ARDL) methodology to test for cointegration in the long run. Results show that there is a quadratic long run relationship between N2O emissions and economic growth, confirming the existence of an Environmental Kuznets Curve (EKC) for Germany. Agricultural land area affects N2O emissions positively, whereas exports affect emissions negatively. The turning point is $27,880, which is within the sample and implies that Germany is in the decreasing part of the curve of environmental degradation. The paper shows that, contrary to testing the EKC in less developed countries, mitigation of N2O emissions does not negatively affect growth in Germany. As such, it is feasible to undertake any conservative policy in order to reduce emissions without major consequences on economic sectors. [ABSTRACT FROM AUTHOR]

Copyright of Papers in Regional Science is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This article addresses the debate on services-led growth in which services are variously portrayed as a substitute for or as a leading or lagging complement to manufacturing. Following a survey of related empirical studies, it applies growth decomposition methods to data for 18 countries in Asia and Latin America for 1980-2005, focusing on manufacturing and services that make intensive use of information and communication technology. By grouping the countries into four categories according to aggregate labour productivity and employment growth, the authors seek to identify common structural characteristics of better and worse performing countries. They also consider the viability of the services-led growth path in India in particular. [ABSTRACT FROM AUTHOR]

This paper studies how catch‐up industrial policies in China affect economic development in a two‐sector neoclassical growth model. To fulfil their aspirations of catching up with the output of the capital‐intensive sector of developed countries, Chinese political leaders adopted industrial policies that subsidise this target sector at the expense of other sectors from 1952 until the economic reform in 1978. The static effect of this industrial policy distorts the allocation of resources across sectors and lowers the aggregate TFP. The dynamic effect discourages the accumulation of capital. We show that although the output of the capital‐intensive sector boosts initially, it will be lower than its first‐best counterpart in the long run if catch‐up aspirations are too strong. Our theoretical predictions are consistent with the experience of the Chinese economy from 1952 to 1978. [ABSTRACT FROM AUTHOR]

China's extensive economic growth has been accompanied with high levels of pollution, and excessive energy consumption has brought serious pollution problems. The use of financial resources to regulate green production modes and encourage high‐quality economic development has become a major focus in academia. At the same time, growth enterprise market (GEM) enterprises, which mainly operate in technology‐intensive industries, are assumed to have a simulating effect on regional innovation. Therefore, this paper utilizes the capital return differences of 4437 listed companies and 920 GEM companies based in 30 provinces of China from 2008 to 2018 to quantitatively analyze the levels of financial misallocation. With two‐stage regression method, the direct effect of financial misallocation on regional green total factor energy efficiency (GTFEE) and the indirect impact observed when taking regional innovation as an intermediary variable are discussed. Furthermore, dynamic threshold panel regression and heterogeneity analysis are used to verify the above nonlinear relationship. The empirical findings indicate that financial misallocation enhances innovation capability and further restrains GTFEE. With an improved degree of marketization and environmental regulation, the inhibitory effect of financial misallocation on GTFEE is more significant. [ABSTRACT FROM AUTHOR]

Copyright of Regional Science Policy & Practice is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Copyright of Regional Science Policy & Practice is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The role of financial inclusion along with environment related technological innovation has been ignored by previous studies, especially, in terms of tradeadjusted carbon emissions. Unlike previous studies, this study aims to test the role of financial inclusion and eco-innovation on trade-adjusted carbon emissions or consumption-based carbon emissions for a group of seven economies over the period 2004-2019. Further, this study also tests the role of exports, imports and gross domestic product. We develop an index using principal component analysis to measure financial inclusion. The study utilizes the novel method of moment quantile regression to obtain the results. The results indicate that eco-innovation reduces consumption-based carbon emissions at 25th, 50th, 75th, and 90th quantiles, respectively. Moreover, financial inclusion and exports also reduce emissions at 25th, 50th, 75th, and 90th quantiles. In contrast, gross domestic product and imports cause trade-adjusted emissions to increase. Moreover, a bidirectional link is established between all variables except for financial inclusion. Finally, this study provides relevant policy implications for trade, eco-innovation, and financial inclusion in the group of seven economies for sustainable trade development. This paper further provide relevant environmental policy implications. [ABSTRACT FROM AUTHOR]

Copyright of Review of Policy Research is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)