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In developing an economic model for public donations, we applied the theory of consumer choice, and with the derived model, verified two propositions: 1) higher price elasticity of demand for a product may lead consumers to demand more for it but less for other products given the total budget; and 2) a tax return rate based on donations positively influences consumer well-being, while the sales tax rate negatively affects it. After looking at the policy implications of public school finance, we suggest that the government should increase the tax return rate based on public donations instead of increasing sales tax rate to collect more funding to finance public schools.

We propose a model of a closed economy based upon the System of National Accounts (United Nations [11]) and Stock Flow Consistent theory (Godley and Lavoie [2]) to model observed complex dynamics in real economies. We find that our model displays cyclic behavior while approaching an equilibrium, and simulates the effects of various shocks. We also find that a more egalitarian economy appears to be both yield a higher rate of return and be more stable (Marx [5]-Piketty[9] thesis).

Tradable green certificates market is an effective measure to solve the problems of high cost of renewable energy and large funding gap, single funding source and long time period of price subsidy. Economic model of tradable green certificates market is established based on system dynamics and simulation is carried out based on Vensim. Meanwhile, unit comprehensive cost of various energy under tradable green certificates market and sensitivity of key factors are analyzed deeply. The results indicate that tradable green certificates market will not only reduce subsidy funds and improve efficiency of subsidies, but also provide a new investment return mode for renewable energy, encourage investment development and effectively promote energy supply side structure optimization with reasonable renewable portfolio standard ratio and tradable green certificates validity period.

El artículo analiza los principales lineamientos que dieron vida a las políticas educacionales del sector terciario, amparadas en el modelo económico neoliberal promovido bajo la dictadura de Pinochet desde comienzos de la década de 1980. Se examina, además, la influencia ejercida por las agencias de financiamiento internacional (especialmente, el Banco Mundial) y los “Chicago Boys” en la implementación de dichas políticas en Chile. El estudio identifica las principales limitaciones de la teoría del capital humano y del análisis de las tasas de retorno utilizadas por el Banco Mundial. A modo de conclusión se plantea que las políticas neoliberales han tenido un impacto negativo en el desarrollo y proyección del sector universitario estatal dado que se ha restringido significativamente el gasto fiscal y se ha privilegiado el crecimiento del sector privado por la vía de los subsidios estatales. El modelo tradicional de universidad comprometido con el desarrollo social es reemplazado por el de una universidad con fines comerciales orientado a satisfacer demandas individuales.

This paper presents a financial economic model that analyzes the effects of integrating environmental concerns into investment portfolios in capital markets. The environmentally conscious investor's expected rate of return on equity is shown to incorporate an environmental risk premium. Both the investors' degree of concern for environmental externalities and the environmental risk profile of a company are crucial for understanding why companies whose equity values are positively correlated with stricter environmental regulations exhibit a lower cost of equity capital. A closed-form solution to the environmentally-concerned investor is derived, offering insights into how the optimal portfolio relates to both the degree of concern for environmental externalities and the environmental risk profile of an equity stock.

This paper investigates the dynamic effects of external debt on economic growth in Nigeria from 1970 through 2013. We begin by constructing an external debt sustainability index using principal component analysis to capture the overall effects of external debt indicators on economic growth. The empirical analysis is based on the ARDL bound test. The results show a long-run cointegration relationship between the variables. While external debt exerts an adverse effect of −0.069 per cent on growth in the long run, the external debt sustainability index shows a positive effect of 0.072 per cent and 0.024 per cent on growth in the long and short run. The findings suggest the government should reduce its expenditure and mobilize revenue through domestic sources to invest in projects with a high rate of return to enable debt repayment and stimulate growth. To maintain debt ratios within a manageable threshold so as to avoid being debt trapped, foreign loans should only be contracted on concessional terms.

This paper quantifies the experimentally evaluated life-cycle benefits of a widely implemented early childhood program targeting disadvantaged families. We join experimental data with non-experimental data using economic models to forecast its life-cycle benefits. Our baseline estimate of the internal rate of return (benefit/cost ratio) is 13.7% (7.3). We conduct extensive sensitivity analyses to account for model estimation error, forecasting error, and judgments made about the empirical magnitudes of non-market benefits. We examine the performance of widely used, ad hoc estimates of long-term benefit/cost ratios based on short-term measures of childhood test scores and find them wanting.

This monograph discuss about measuring project variables as well as parameters of various project especially in Green Growth through inclusive growth. We elucidate the link between financial modeling, economic modeling and poverty alleviation in Indonesia. We explicitly perform how the model is perform. We focus on measuring the project with Economic Rate of Return to measure the benefit of the project.

This paper estimates the long-term benefits from an influential early childhood program targeting disadvantaged families. The program was evaluated by random assignment and followed participants through their mid-30s. It has substantial beneficial impacts on health, children's future labor incomes, crime, education, and mothers' labor incomes, with greater monetized benefits for males. Lifetime returns are estimated by pooling multiple data sets using testable economic models. The overall rate of return is 13.7% per annum, and the benefit/cost ratio is 7.3. These estimates are robust to numerous sensitivity analyses.

This paper estimates the long-term benefits from an influential early childhood program targeting disadvantaged families. The program was evaluated by random assignment and followed participants through their mid-30s. It has substantial beneficial impacts on health, children's future labor incomes, crime, education, and mothers' labor incomes, with greater monetized benefits for males. Lifetime returns are estimated by pooling multiple data sets using testable economic models. The overall rate of return is 13.7% per annum, and the benefit/cost ratio is 7.3. These estimates are robust to numerous sensitivity analyses.

The paper presents an economic model that provides a systemic approach to the evaluation of growing biomass for energy purposes. We argue that to correctly evaluate the potential of energy biomass, it is necessary to look at it from three different, but interconnected perspectives: (1) minimum price for growing biomass for energy purposes, (2) opportunity costs with respect to other uses of the arable land, namely production of conventional crops, and (3) the aspects of substitution of fossil fuels (e.g., coal) for biomass—the analysis of the demand. Our economic model incorporates the three above points of view. Furthermore, on the case study of the Czech Republic, we show the practical implications of the model on assessment of energy biomass in real conditions. The main findings are that to give the farmers the same rate of return as conventional crops, the price of intentionally grown biomass for energy purposes in the Czech Republic would have to be up to almost three times higher than is the adequate minimum price. On the other hand, in order to be competitive as a substitute for coal for local space heating, the price of biomass would have to be close to zero. WIREs Energy Environ 2017, 6:e261. doi: 10.1002/wene.261 This article is categorized under: Bioenergy > Economics and Policy