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Foreign remittances have significantly impacted recipient countries' economic growth and financial development over the past few decades. However, eco‐friendly climate change mitigation techniques must be implemented immediately due to the environmental implications of foreign remittances. Recipient nations' industrial and agricultural sectors are bolstered by remittances, ultimately contributing to carbon dioxide emissions. This paper examines the effects of remittances on economic growth by incorporating CO2 emissions, financial development, industry, and agriculture‐added value. This study examines panel data spanning 32 years (1990–2021) for eight countries: China, the Philippines, Egypt, India, Mexico, Nigeria, Bangladesh, and Pakistan. The relationship among selected variables and their impact on CO2 emission is examined using the two‐stage least squares (2SLS) and Granger causality approach. The empirical results show that increased financial development and economic growth decrease environmental quality through toxic CO2 emissions. The remittances and agricultural sector help to mitigate CO2 emission by their negative contribution toward environmentally destructive activities in top remittances‐based countries. Except for agriculture, CO2 emission is bidirectionally related to all variables. Incorporating industrialization (as an instrumental variable) to improve the financial system leads to an upward trend in CO2 emissions reduction. As a result, the study makes important suggestions to economists and policymakers on reducing CO2 emissions in Asian countries. [ABSTRACT FROM AUTHOR]

This paper investigates the effect and transmission mechanism of air pollution on urbanization based on data from China's 107 cities during 2005-2018. In order to identify the impact of air pollution on China's urbanization, we utilized night light data to represent the level of urbanization and used temperature inversion as an instrumental variable to mitigate endogeneity within the two-stage least squares framework. The results suggest that air pollution significantly slowed China' s urbanization process with economic growth acting as the transmission mechanism. The heterogeneity analyses revealed that air pollution had a greater negative impact on urbanization in northern regions than that in southern regions, and a greater negative impact in resource-oriented cities than that in non-resource-based cities. We also find that air pollution was to the detriment of urbanization in larger cities, which have more than 3 million residents, while it did not have a significant impact on Type II large cities, which have fewer than 3 million residents. [ABSTRACT FROM AUTHOR]

This study explores the intricate interplay between female representation in national parliaments and government fiscal policies, with a specific focus on fossil fuel subsidies, environmental taxes, and expenditure, in the context of climate change mitigation. Using a sample of 160 countries over the period from 1997 to 2022, this empirical analysis demonstrates the positive relationship between the presence of female parliamentarians and environmentally friendly fiscal measures. While women in the parliaments reduce the amount of the subsidies granted to fossil fuels, they levy environmental taxes and increase environmental spending. The findings illustrate the pivotal role of female parliamentarians in advocating for environmental legislation and transcending political ideologies and national boundaries. Addressing potential concerns of endogeneity by employing additional control variables, omitted variables, and instrumental variable analyses, this study emphasises the robustness of the results. Notably, this study finds that a critical mass of at least 30% female representation in parliaments enhances the efficacy of environmental policy outcomes. This research highlights the multifaceted impact of gender diversity on fiscal policies related to environmental protection, offering valuable insights for policymakers and organisations committed to sustainability and gender equality. [ABSTRACT FROM AUTHOR]

The firm-sponsored online brand communities thrive on value-adding interactions. Existing studies, however, ignore the reasons for social interaction. A sufficient understanding of the factors driving social interactions and ultimately affecting community outcomes is still lacking. Our research examines how social interactions occur and influence consumer purchase behavior from a social network perspective, drawing on the theories of planned behavior and homophily. Our exponential random graph (ERG) models show that consumer-specific traits (e.g., deal proneness) and similarity on tenure, location, and deal proneness positively drive social interactions, while similarity on age, premium-product propensity does not. Our two-stage least square (2SLS) regressions find that social interactions among co-located consumers strongly influence purchase behavior. Our study contributes to the social interaction literature by emphasizing the types of social interactions and their antecedents and consequences with various consumer purposes. Our findings open a new research direction and novel business applications in firm-sponsored community management. [ABSTRACT FROM AUTHOR]

In this article, a Stein-type weighted limited information maximum likelihood (LIML) estimator is proposed. It is based on a weighted average of the ordinary least squares (OLS) and LIML estimators, with weights inversely proportional to the Hausman test statistic. The asymptotic distribution of the proposed estimator is derived by means of local-to-exogenous asymptotic theory. In addition, the asymptotic risk of the Stein-type LIML estimator is calculated, and it is shown that the risk is strictly smaller than the risk of the LIML under certain conditions. A Monte Carlo simulation and an empirical application of a green patent dataset from Nordic countries are used to demonstrate the superiority of the Stein-type LIML estimator to the OLS, two-stage least squares, LIML and combined estimators when the number of instruments is large. [ABSTRACT FROM AUTHOR]

This study examines the major factors influencing UK companies listed on the Financial Times Stock Exchange (FTSE) 100 stock market's dividend policy (as determined by the dividend payout ratio) over 32 years, from 1990 to 2022. The dividend premium and free cash flow components make up the catering dividend. The outcomes of a wide range of panel data analysis regressions, such as Generalized Method of Moments (GMM) and Two-Stage Least Squares (2SLS) regressions, clearly show that the catering dividend significantly impacts UK firms' dividend policy. On the other hand, the dividend policy benefits from the dividend premium, which increases it by 12% to 17% on average. Free cash flow, on the other hand, has a negligible negative impact on the dividend policy by just 5%. It is crucial to mention that this outcome varies depending on the models and regression techniques used. Furthermore, this study emphasizes how important it is for a firm's size and profitability to play a key role in determining how it will implement its dividend policy. Financial leverage also becomes important since a company's dividend payment ratio decreases when it relies more heavily on debt in its capital structure. By using GMM and 2SLS regressions, this study carefully tackles the endogeneity issue, and the results hold up even when the endogeneity effect is reduced. Ultimately, this study emphasizes how important dividend catering components are in guiding UK companies' dividend policies, arguing that CEOs and legislators should pay more attention to this.

Transcriptome-wide association studies (TWAS) have been increasingly applied to identify (putative) causal genes for complex traits and diseases. TWAS can be regarded as a two-sample two-stage least squares method for instrumental variable (IV) regression for causal inference. The standard TWAS (called TWAS-L) only considers a linear relationship between a gene's expression and a trait in stage 2, which may lose statistical power when not true. Recently, an extension of TWAS (called TWAS-LQ) considers both the linear and quadratic effects of a gene on a trait, which however is not flexible enough due to its parametric nature and may be low powered for nonquadratic nonlinear effects. On the other hand, a deep learning (DL) approach, called DeepIV, has been proposed to nonparametrically model a nonlinear effect in IV regression. However, it is both slow and unstable due to the ill-posed inverse problem of solving an integral equation with Monte Carlo approximations. Furthermore, in the original DeepIV approach, statistical inference, that is, hypothesis testing, was not studied. Here, we propose a novel DL approach, called DeLIVR, to overcome the major drawbacks of DeepIV, by estimating a related but different target function and including a hypothesis testing framework. We show through simulations that DeLIVR was both faster and more stable than DeepIV. We applied both parametric and DL approaches to the GTEx and UK Biobank data, showcasing that DeLIVR detected additional 8 and 7 genes nonlinearly associated with high-density lipoprotein (HDL) cholesterol and low-density lipoprotein (LDL) cholesterol, respectively, all of which would be missed by TWAS-L, TWAS-LQ, and DeepIV; these genes include BUD13 associated with HDL, SLC44A2 and GMIP with LDL, all supported by previous studies. [ABSTRACT FROM AUTHOR]

Remittances are a crucial part of economic expansion, especially in Central Asia. Nevertheless, it is not possible to ignore its environmental damage. This paper is a pioneer in investigating the association among CO2 emissions, remittances, energy consumption and economic development in Central Asian countries (Uzbekistan, Kazakhstan, Kyrgyzstan and Tajikistan) spanning the period of 1995–2022. As a methodology, the FMOLS estimator is applied to check linear impact and long-run association as well. Panel threshold regression model and 2SLS method are applied to examine potential non-linear relations among the studied variables. Hausman–Taylor and Amacurdy estimators are employed to control the endogeneity issue among the variables of interest. The results suggest the existence of a long-run relationship among the studied variables. Precisely, applying the FMOLS method, remittances negatively impact CO2 emissions in the long run. The relationship between CO2 emissions and remittances is distorted when the endogeneity issue is considered with the Panel threshold regression model, 2SLS method, and Hausman–Taylor and Amacurdy estimators. This distortion validates the linear impact of remittances on CO2 emissions in CA. The Dumitrescu–Hurlin causality test shows that all independent variables have a causal effect on the dependent variable, validating the effect of the studied variables. Consequently, decision-makers should facilitate remittances towards more environmentally friendly and sustainable solutions to prevent the detrimental effects of remittance inflows on carbon emissions in Central Asia. [ABSTRACT FROM AUTHOR]

Does education make people more or less religious? The previous literature offers mixed findings on the relationship between education and religiosity. This may be due to endogeneity bias: education and religiosity can be caused by a third variable such as culture or upbringing. We instrument education by exposure to the 1997 education reform in Turkey which increased mandatory schooling from 5 to 8 years. The schooling reform increased the probability that young girls would complete 8 years of schooling and report lower religiosity later in life. The reform apparently did not influence such outcomes for boys. These effects are observed primarily in females growing up in strongly religious or poor areas. [ABSTRACT FROM AUTHOR]

Almost all regional economic resilience studies measure resilience by referring to national time patterns of recessions. This study of region-specific patterns of resilience of 81 Turkish regions in the period 2009–20 and their underlying economic/demographic determinants in regions in Turkey shows that ignoring the different timings of regional and national economy recessions leads to misleading/biased results. The study shows first that provincial employment cycles are asynchronous. Second, the geographical pattern of resistance to the last 2018 economic crisis changes considerably when using provincespecific rather than national turning points. Third, those provinces that are more open to trade, exportoriented, highly urbanised, and with a low level of human capital and entrepreneurial activities were more resistant to the recession. [ABSTRACT FROM AUTHOR]

This article examines the effect of information and communication technologies (ICT) and democracy on early child health using data from 51 African countries. We first specify and estimate a panel data model using ordinary least squares and two-stage least squares over the period 2001–2019. We apply the Hodrick–Prescott filter before analysis. Our results show that the extension of mobile phone use significantly contributes to the improvement of early child health in Africa. This effect is indifferent to the state or the level of democracy. Also, the internet diffusion plays a positive role in early child health when the democracy environment improves and becomes better. We suggest policies in favour of a large access to ICT tools and internet infrastructure as well as the promotion of democracy in Africa to better prevent infant mortality. [ABSTRACT FROM AUTHOR]

Around the world, people are becoming more and more worried about how globalization will affect their standard of living. According to the literature, globalization has resulted in the marginalization of the impoverished populations in developing economies and has exacerbated inequality, while the opposite may also be true. The objective of this study is to investigate the impact of globalization on income inequality. The study used two-stage least squares (2SLS) to study the influence of globalization on income inequality in 18 developing countries from 1991–2021. Utilizing the KOF index of globalization, it is determined that globalization, together with its three aspects, has a negative effect on income inequality among developing economies. Evidence demonstrates that the combination of trade openness and foreign direct investment (FDI) plays a significant role in reducing inequality among developing economies. We recommend developing economies actively support globalization in terms of trade and FDI in accordance with the findings. By expanding trade opportunities and opening up markets, globalization can benefit developing nations. This may result in a rise in FDI, the creation of jobs, and technological developments. Governments can contribute to raising the living standards of their inhabitants, lowering rates of poverty, and closing the income gap by promoting globalization. Although the study emphasizes the well-established link between globalization and income inequality, it focuses on the effects of various globalization dimensions, emphasizing the need to comprehend how different dimensions of globalization, namely economic, political, and social globalization affects inequality in developing economies. [ABSTRACT FROM AUTHOR]

Copyright of Equidad y Desarrollo is the property of Equidad y Desarrollo 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 study aims to investigate the impact of different facets of corruption on domestic investment (DI) in the Middle East and North Africa (MENA) economies. The main purpose of this empirical research to assess the influence of bribes, abuse of public office and nepotism on domestic investment in 14 MENA countries over the period 2005–2022. The results of 2SLS model indicate that corruption could affect negatively on domestic investments through two channels, namely: illegal payments (bribes) and the abuse of public office for private gain. In this case, the regulators and decision makers have to formulate new strategies that aimed particularly to fight these kinds of corruption to increase domestic investment. [ABSTRACT FROM AUTHOR]

Democracies are expected to implement expansionary fiscal policies to accelerate economic recovery in crisis times. However, as experienced in the 2008 global financial crisis, democratic countries sometimes tend to adopt austerity measures during crises. This paper examines the relationship between democracy and fiscal support during the COVID-19 pandemic. The empirical findings confirm the positive impact of democracy on fiscal support. As we unbundle the effects, democracy has a significant effect for the non-health sector, but the effect is insignificant for the health sector. [ABSTRACT FROM AUTHOR]

The frequent failures of government-funded broiler enterprises raise concerns about the viability and wisdom of government funding for smallholders. This study therefore investigates the scope for the profitability of the small-scale broiler production and the range of socio-demographic and production issues that are implicated. The study area was the Northern KwaZulu-Natal (KZN) Province of South Africa, where smallholder broiler production is popular. A total of 75 randomly selected, small-scale broiler producers from three districts in Northern KZN, namely, King Cetshwayo, uMkhanyakude, and Zululand, participated in the survey out of the 134 small-scale broiler producers supported by the government. The analyses employed diverse descriptive analysis and included the calculation of the gross margin to proxy broiler chicken profitability. Three models were fitted for the empirical analysis, namely, the OLS, the Two-Stage Least Squares, and the Stochastic Frontier models, to determine the factors influencing profitability, correcting for endogeneity, and computing the technical efficiency and inefficiency of the small-scale broiler production system. The results show that the primary production and marketing challenges were the lack of infrastructure (abattoirs and refrigeration) and the lack of formal markets, including the lack of market information and high transport costs. On average, the sampled government-funded small-scale broiler enterprises achieved a positive gross profit margin of 31 percent, which is relatively low when compared to the small-scale farmers that work for a large-scale enterprise—the Commercial Chicken Farm, near Pietermaritzburg. It was revealed that the profits are significantly influenced by gender, farmgate price, access to market information, and access to extension services. The production system was also shown to be operating at a reasonably high technical efficiency, which is strongly influenced by flock size, feeds, and labour input, while age, gender, and educational level contributed to technical inefficiency. The recent crisis that was experienced by the poultry industry in South Africa linked to the outbreak of the Avian Flu and its devastating consequences point up the urgency for more investment in infrastructure to enhance bird safety at affordable costs. Although the government-funded small-scale broiler enterprises in Northern KZN were found to be viable, it is evident that they can be better, possibly through more capacity building and collective action to take full advantage of the economies of scale. [ABSTRACT FROM AUTHOR]

The aims of this article to analyze and evaluate soybean self-sufficiency and import policies in Indonesia through policy simulations for the development of soybean self-sufficiency and imports in Indonesia. The data used in this study are annual secondary data in the form of a time series from 1995 to 2020. This research uses descriptive analysis methods, simultaneous equation models (2SLS) and alternative policy simulations. The results shows that The GDP per capita in Indonesia and the considerable 5% increase in the price of soya beans are just two of the favorable factors influencing imports. However, it also demonstrates that there are no external variables influencing Indonesia's export of soy beans. The yield of soy beans is also positively and significantly impacted by the area of the land. On the other hand, Indonesia's soya bean net export is negative and significant. There are several alternative scenarios for Indonesia's soybean policy, including the escalation of land-size (20%), GDP per capita (30%), and official exchange rate (10%). The result of the policy simulation shows that the land-size is important factor to encouraging Indonesian soybean self-sufficiency due to essential input factors.

Purpose – This paper investigates the relationship between remittances, institutional quality and investment in Sub-Saharan African (SSA) countries using data from 2004 to 2018. Design/methodology/approach – The two-stage least squares (2SLS) estimator is the main methodology used, while the system generalized method of moments (Sys-GMM) technique is employed to test the robustness of the results. Findings – The results show a positive and significant impact of remittances on investment in SSA. The findings further reveal a substitutional linkage between remittances and institutions in promoting investment. In essence, remittances serve as investment capital in countries with poor institutions. The results also show that the marginal significance of remittances as a source of funds for investment decreases in countries with well-developed institutions. Research limitations/implications – The sample excludes some of the SSA countries due to the unavailability of data. Practical implications – In the face of current institutional weaknesses, there is a need for SSA countries to prioritize policies that encourage the effective use of remittances for business activities. Furthermore, SSA countries must improve their economic freedom and democratic practices by reducing government size, protecting property rights, and promoting respect for political and civil rights. Originality/value – This is the first study to analyze the relationship between remittances, institutional quality and investment in SSA. It also provides a novel framework for future research on the remittance–investment nexus.

We examine the institutional quality (IQ) and foreign direct investment (FDI) nexus across 10 Middle Eastern and North African (MENA) countries from 1990 to 2018 based on disaggregated FDI data in the primary (extractive), secondary (manufacturing) and tertiary (service) sectors. There is prima facie evidence that IQ plays an important role in determining FDI at the aggregate level in the MENA region. Once we use sectoral FDI flows data, IQ is irrelevant to FDI inflows into the primary sector. Four aspects of IQ: rule of law index, accountability index, property rights and the aggregate IQ index, however, significantly impact secondary and tertiary FDI inflows into the MENA region, while corruption only plays a significant part in reducing FDI in the tertiary sector. Improving IQ is thus key to attracting more manufacturing and service sector FDI. [ABSTRACT FROM AUTHOR]

Evidence has been presented that banks typically maintain risk‐exacerbating derivatives positions. Within the context of African economies, this paper focuses on the impact of derivatives activities on the risk‐taking impulse of banks. It also examines the risk‐taking impulse resulting from banks' business lending efficiency. Estimation was carried out using standard ROA—and ROE—based idiosyncratic risk metrics and two‐stage least squares regression. Results indicate unsustainable levels of banking stability and increased risk‐taking. The banks exhibit hazardous behaviour in the current climate of the rapid transformation of the banking systems, calling for regulatory vigilance to limit imprudent actions. [Correction added on 17 March 2023, after first online publication: This version has been updated with a truncated abstract as supplied by the author.] [ABSTRACT FROM AUTHOR]

Transcriptome-Wide Association Studies (TWAS) have recently emerged as a popular tool to discover (putative) causal genes by integrating an outcome GWAS dataset with another gene expression/transcriptome GWAS (called eQTL) dataset. In our motivating and target application, we'd like to identify causal genes for Low-Density Lipoprotein cholesterol (LDL), which is crucial for developing new treatments for hyperlipidemia and cardiovascular diseases. The statistical principle underlying TWAS is (two-sample) two-stage least squares (2SLS) using multiple correlated SNPs as instrumental variables (IVs); it is closely related to typical (two-sample) Mendelian randomization (MR) using independent SNPs as IVs, which is expected to be impractical and lower-powered for TWAS (and some other) applications. However, often some of the SNPs used may not be valid IVs, for example, due to the widespread pleiotropy of their direct effects on the outcome not mediated through the gene of interest, leading to false conclusions by TWAS (or MR). Building on recent advances in sparse regression, we propose a robust and efficient inferential method to account for both hidden confounding and some invalid IVs via two-stage constrained maximum likelihood (2ScML), an extension of 2SLS. We first develop the proposed method with individual-level data, then extend it both theoretically and computationally to GWAS summary data for the most popular two-sample TWAS design, to which almost all existing robust IV regression methods are however not applicable. We show that the proposed method achieves asymptotically valid statistical inference on causal effects, demonstrating its wider applicability and superior finite-sample performance over the standard 2SLS/TWAS (and MR). We apply the methods to identify putative causal genes for LDL by integrating large-scale lipid GWAS summary data with eQTL data. for this article are available online. [ABSTRACT FROM AUTHOR]

BackgroundThe rapid population aging in China, characterized by a higher prevalence of illnesses, earlier onset of diseases, and longer durations of living with ailments, substantially engenders challenges within the domain of older adults’ healthcare. Community home-based elderly care services (CHECS) are a feasible solution to solve the problem of older adults’ care and protect older adults’ health. The aim of this study is to investigate the relationship, heterogeneity effects and influential mechanisms between older adults’ use of CHECS and their self- reported health.MethodsThe study employs the Instrumental Variable technique and empirically investigates the relationship, heterogeneity effects and influential mechanisms between older adults using CHECS and their self-reported health using data from the China Longitudinal Aging Social Survey from 2018.ResultsThe findings indicate, firstly, that using CHECS considerably improves older adults’ self-reported health. Secondly, the heterogeneity test reveals that the effect is more pronounced for older adults who are under the age of 80, have functional disabilities, are free of chronic diseases, have never attended school, reside in lower-income households, are single, rarely interact with their children, and live in central urban or city/county regions. Thirdly, the mechanism test reveals that the “social network effect” and “family care effect” are the key influence channels of using CHECS.ConclusionAn empirical foundation for the policy reform of community home-based care for seniors is provided by this study with the limitations to discuss the other socioeconomic aspects such as government health expenditure and discuss the specific services aspects such as health care. The findings carry substantial implications for improving the health of older individuals and provide suggestions for establishing a socialized aged care system in China.

Fiscal decentralization, widely believed to be one essential tool to boost economic growth, is typically presented as something that works for developed countries. However, this needs to be investigated, which is what this paper aims to do. This paper investigates the relationship between fiscal decentralization and economic growth, specifically focusing on its applicability in both developed and developing countries. Using cross-sectional data from 23 African and 23 OECD countries, we employ two-stage estimation methods, including two-stage least squares (2SLS), Generalized Method of Moments (GMM), and Limited Information Maximum Likelihood (LIML), to address concerns related to endogeneity. The inclusion of instruments representing country size, ethnoreligious diversity, and administrative structure enhances the analysis. The dependent variable is based on average values for the five-year period between 2015 and 2019, while the explanatory variables are derived from data in 2017, representing the midpoint of the 2013–2021 period. The results highlight the effectiveness of the 2SLS method in estimating the relationship between fiscal decentralization, control variables, instrument variables, and per capita GDP. Empirical findings indicate significant positive impacts of both expenditure decentralization and revenue decentralization on per capita GDP, holding true for both developed and developing countries, with a slightly stronger effect observed in the latter. These results underscore the potential benefits of fiscal decentralization across diverse economies and offer valuable insights for policymakers.The study uses cross-sectional data from 23 African and 23 OECD countries and applies two-stage estimation methods to effectively address the endogeneity issue in the modeling. A variety of such methods in two-stage least squares (2SLS), Generalized Method of Moments (GMM), and Limited Information Maximum Likelihood (LIML) are applied and compared against the ordinary least squares (OLS) method. Variables that represent the size, the ethnoreligious diversity and the type of administrative structure of the countries are employed as instruments. The 2SLS method proved to excellently estimate the relationship between the fiscal decentralization terms as well as other control and instrument variables and the per capita GDP. The findings from the empirical analysis showed that both expenditure decentralization and revenue decentralization have significant positive impacts on per capita GDP of a country. This relationship holds not only for developed countries but also for developing ones, even to a slightly better degree in the latter.

The study assesses the impact of Information and Communication Technologies (ICT) on the control of corruption in Africa from 2002 to 2020. The fixed‐ and the random‐effects models are employed as strategies of estimation. Due to the weaknesses of the fixed‐ and the random‐effects models, the two‐stage least square (2SLS) is adopted as a strategy that addresses the problem of potential endogeneity. For robustness checks, we adopt Lewbel's technique as an alternative instrumental technique to address the concern of endogeneity. The findings reveal that mobile phones penetration, internet penetration and the composite indicator of ICT contribute positively to the enhancement of corruption control in Africa. Though, other ICT indicators such as fixed telephone and fixed broadband negatively affect control of corruption. The composite indicator that encompasses four proxies of ICT shows a significant positive effect on the control of corruption. From the findings of the study, growth in technology infrastructures can help to build a surveillance system that can help to monitor and control corruption. We recommend that African economies accelerate e‐government to ensure transparency in public sectors. [ABSTRACT FROM AUTHOR]

The conditions facing the Brazilian ethanol market have created a need to improve the industry's understanding of price formation, and to analyze the effects of mandatory policies and the interaction between Brazil's ethanol, agricultural, and fuel markets. In this context, this study sought to analyze the behavior of ethanol production and consumption at the national and regional levels in Brazil from 2012 to 2016; hence, the supply and demand functions are estimated at national and at regional levels using the two‐stage least squares method. Our findings indicated that gasoline and anhydrous ethanol blended gasoline were substitutes for hydrous ethanol on the demand side in Brazil. At the national level, the estimates also showed that the income elasticity of hydrous ethanol characterizes it as a normal good. At the regional level, the regions with the highest production and consumption (southeastern and central‐western Brazil) responded to price variations less elastically than the other regions (southern, northeastern, and northern Brazil). [ABSTRACT FROM AUTHOR]

The prior empirical outcomes on the FDI-growth relationship are vastly conflicting. The key possible reason for these conflicting findings is the use of aggregate FDI, while FDI impacts largely depend on the receiving sectors of the host country. This study empirically estimated the influence of sectoral FDI on the economic growth and the role of business regulations in influencing the FDI-growth connection of 85 developing countries, for the time 1996–2019 and applied 2SLS method. The outcomes indicate the significant contribution of sectoral FDI inflows to economic growth. In contrast, the interaction of regulations with sectoral FDI negatively impacted host countries' economic growth. Furthermore, in low income countries, only agriculture and industry FDI have growth promoting effect, while manufacturing and services FDI are insignificant. Similarly, FDI inflows to all sectors positively affect middle income countries' economic growth except services FDI. However, FDI inflows to all sectors enhance high income countries economic growth. The regulations' interaction with all types of FDI adversely affects the economic growth across all income groups, except agriculture and services FDI in the case of low and high income countries, which are found insignificant. The outcomes are consistent by employing diverse econometric techniques and model specifications. [ABSTRACT FROM AUTHOR]

This paper investigates the travel spending behaviour of international tourists inside happier destinations. The empirical model is tested for 58 developed and developing countries. Applying various estimation methods and two different measures of nations' happiness, the results show that tourists spend more on travelling inside a destination where local people are happier. In addition, we find that foreign tourists' expenditures on travelling are higher in countries with a higher quality of travel infrastructure and larger numbers of World Heritage sites. Our results provide some implications for tourism planners and authorities. [ABSTRACT FROM AUTHOR]

The objective of this research was to analyze the effects of remittances on food security in sub‐Saharan Africa (SSA), while assessing the role of governance. The analyses covered a panel of 26 SSA countries over the period from 2002 to 2017. Based on the double least squares method, two main results were obtained. On the one hand, remittances have a positive effect on overall food security and on each of its dimensions in SSA. On the other hand, this positive effect of remittances on food security and its dimensions is increasingly important when the quality of governance improves. [ABSTRACT FROM AUTHOR]

Copyright of Revista de Economía is the property of Universidade Federal do Parana 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 study examines the link between a firm's energy efficiency and their participation in global value chains (GVCs). Both countries' GVCs participation and positioning indices are designed to define the features of countries' participation in global value chains. We begin with a theoretical approach of how GVC participation influences energy efficiency. The sample size of 54 nations from 2000 to 2019 is then investigated for empirical analysis using FE and 2SLS methods. The results show that the impact of countries' participation in GVCs is unknown and the development of global value chains positioning increases the energy efficiency in selected countries. Further, it is found that the expansion of GVCs positioning index increases energy efficiency and the effect of forward GVCs positioning on energy efficiency is larger than the effect of backward GVCs positioning. Furthermore, increasing GVC participation in wealthy nations reduces the energy efficiency of the manufacturing industries, but increasing GVC participation in developing countries raises the energy efficiency of manufacturing industries, somewhat opposing the pollution haven approach. A key policy recommendation is that countries actively participate in GVCs to encourage energy efficiency at the macro-level. [ABSTRACT FROM AUTHOR]

This paper studies social interaction models with both in-group and out-group effects. The in-group effect follows the standard setup in the literature, while the out-group effect is introduced by assuming the economic outcome also depends on its out-group average value. We present a network game with limited information of outside groups that rationalizes the econometric model. We show that both effects are identified under a set of mild regularity conditions. We propose to estimate the model using the two-stage least squares (2SLS) method and establish the asymptotic normality of the estimators. The finite sample performance of the estimators is investigated through Monte Carlo simulations. [ABSTRACT FROM AUTHOR]

In developed economies the opportunities of the stock market are widely used to solve practical issues of financial security of the economy. The advantage of financial provision of the economy at the expense of the possibilities of the stock market in comparison with the so-called bank financing is obvious. This topic takes a special urgency for rather young market economy of Russia. Household savings occupy a special place in the implementation of investment activities. In the most developed countries, the population is traditionally regarded as the leading provider of financial resources for the national economy. What indicators and factors are need to be managed to achieve sustainable development of the domestic stock market in the era of digitalization? How are consumption and the stock market related? This paper will build an econometric model to help answer these two questions.

Around the world, people are becoming more and more worried about how globalization will affect their standard of living. According to the literature, globalization has resulted in the marginalization of the impoverished populations in developing economies and has exacerbated inequality, while the opposite may also be true. The objective of this study is to investigate the impact of globalization on income inequality. The study used two-stage least squares (2SLS) to study the influence of globalization on income inequality in 18 developing countries from 1991–2021. Utilizing the KOF index of globalization, it is determined that globalization, together with its three aspects, has a negative effect on income inequality among developing economies. Evidence demonstrates that the combination of trade openness and foreign direct investment (FDI) plays a significant role in reducing inequality among developing economies. We recommend developing economies actively support globalization in terms of trade and FDI in accordance with the findings. By expanding trade opportunities and opening up markets, globalization can benefit developing nations. This may result in a rise in FDI, the creation of jobs, and technological developments. Governments can contribute to raising the living standards of their inhabitants, lowering rates of poverty, and closing the income gap by promoting globalization. Although the study emphasizes the well-established link between globalization and income inequality, it focuses on the effects of various globalization dimensions, emphasizing the need to comprehend how different dimensions of globalization, namely economic, political, and social globalization affects inequality in developing economies.

The frequent failures of government-funded broiler enterprises raise concerns about the viability and wisdom of government funding for smallholders. This study therefore investigates the scope for the profitability of the small-scale broiler production and the range of socio-demographic and production issues that are implicated. The study area was the Northern KwaZulu-Natal (KZN) Province of South Africa, where smallholder broiler production is popular. A total of 75 randomly selected, small-scale broiler producers from three districts in Northern KZN, namely, King Cetshwayo, uMkhanyakude, and Zululand, participated in the survey out of the 134 small-scale broiler producers supported by the government. The analyses employed diverse descriptive analysis and included the calculation of the gross margin to proxy broiler chicken profitability. Three models were fitted for the empirical analysis, namely, the OLS, the Two-Stage Least Squares, and the Stochastic Frontier models, to determine the factors influencing profitability, correcting for endogeneity, and computing the technical efficiency and inefficiency of the small-scale broiler production system. The results show that the primary production and marketing challenges were the lack of infrastructure (abattoirs and refrigeration) and the lack of formal markets, including the lack of market information and high transport costs. On average, the sampled government-funded small-scale broiler enterprises achieved a positive gross profit margin of 31 percent, which is relatively low when compared to the small-scale farmers that work for a large-scale enterprise—the Commercial Chicken Farm, near Pietermaritzburg. It was revealed that the profits are significantly influenced by gender, farmgate price, access to market information, and access to extension services. The production system was also shown to be operating at a reasonably high technical efficiency, which is strongly influenced by flock size, feeds, and labour input, while age, gender, and educational level contributed to technical inefficiency. The recent crisis that was experienced by the poultry industry in South Africa linked to the outbreak of the Avian Flu and its devastating consequences point up the urgency for more investment in infrastructure to enhance bird safety at affordable costs. Although the government-funded small-scale broiler enterprises in Northern KZN were found to be viable, it is evident that they can be better, possibly through more capacity building and collective action to take full advantage of the economies of scale.

Purpose – This study estimates impact of remittances from internal migration on households' use of bank services in Vietnam. Design/methodology/approach – This study uses data from the Vietnam Household Living Standards Survey and the two-stage least squares method (2SLS). Findings – The results show that receiving internal remittance increases households' probability of having bank accounts and using card services. However, these impacts are different between rural and urban areas. Research limitations/implications – The results of this study reveal the useful role of internal remittance in increasing the probability of households using bank services, thereby enhancing financial inclusion in Vietnam. Originality/value – Different from the previous studies, the purpose of this paper is to analyse the impact of internal remittance on the use of bank services in Vietnam at the household level. This paper targets internal migration because it is the main type of migration in Vietnam. Besides, to the best of the authors’ knowledge, this research is the first one that compares the role of internal remittance on households' use of bank services in rural and urban areas in Vietnam.

Plain Language summary Maternal health care (MHC) utilization is one of the Millennium Development Goals (SDG) of pursuit. Globally, most low-income countries like Uganda contribute greatly to pregnancy-related mortalities that are largely preventable through adequate utilization of essential maternal health care services. Though Uganda over time has registered some increase in maternal utilization, this has been attributed to a number of factors. This study intended to demonstrate whether the introduction of free primary education in Uganda led to increase in the utilization of maternal health services. To address this, we used Ordinary Least Squares (OLS), Two Stage Least Squares (2SLS), Probit and Regression Discontinuity Design (RDD) models using Demographic Health Survey (DHS) data 2006 and 2011. The study found out that indeed the introduction of free primary education increased the utilization of MHC.

Confronted with rapidly deteriorating climate change resulting from the use of fossil fuels, the transition to renewable energy has now become imminent. But this shift to renewable energy requires massive financial support from banks, affecting their default risk. Responding to the growing environmental concerns and reluctance among banks to increase their exposure in the renewable energy sector, this study presents unique and novel insights on the relationship between the share of renewable energy in the total energy supply of a country and banking risk. To this end, we obtained data for a sample of 80 international banks from 20 countries in the 2006–2017 period. On this data, we implemented a two-stage least squares (2SLS) regression analysis model. Our findings reveal that increasing the share of renewable energy in the total energy supply of a country significantly reduces banks' default risk. To check the robustness of the results, we performed several tests which also endorsed the validity of our results. [ABSTRACT FROM AUTHOR]

Little is known about the trade-off mechanism underlying raising bank capital and enhancing bank liquidity creation, as empirical evidence is sparse. Pursuing Basel II target capital seems challenging and costly because it could generate unintended consequences, such as reducing liquidity creation. Thus, the aim of this study is to point out that the pursuit of raising capital to meet Basel II standards in recent years has limited the liquidity creation function of banks. This finding is reliable and consistent across different research methods, i.e. least absolute shrinkage and selection operator (LASSO regression) and the simultaneous equations model (SEM). We chose Vietnam's banking system for this study because applying Basel II in Vietnam has been topical in recent years and also more challenging than in the rest of the world. Our finding strengthens academically the financial fragilitycrowding out hypothesis developed by Diamond & Rajan (2000). [ABSTRACT FROM AUTHOR]

• HSR has both induced-demand and substitution effects on other transport modes. • HSR accessibility increases road CO 2 emissions and reduces aviation CO 2 emissions. • Integrated HSR and subway systems reduce emission-intensifying effects. High-speed rail is often viewed as a green transportation mode, substituting for carbon-intensive vehicular and aviation trips. However, its potential to induce additional travel demand and transport-sector carbon emissions has been largely overlooked. Here, we empirically examine the impacts of high-speed rail accessibility, the ease with which one city can reach other cities via the high-speed rail network, on transport-sector carbon emissions across 315 Chinese cities between 2010 and 2020, using a two-stage least squares model. Contrary to the anticipated emission-reduction effect, our analysis suggests a net positive impact of high-speed rail on transport-sector carbon emissions. Specifically, a 1% increase in high-speed rail accessibility leads to a 0.18% increase in transport-sector carbon emissions in the long run, as carbon emissions generated from induced travel demand have outweighed the carbon savings from substitution for carbon-intensive inter-city trips. This high-speed rail-induced increase in carbon emissions is observed in the road transport subsector, while the aviation subsector exhibits a compensatory reduction. Moreover, we find that integrating the high-speed rail network into local subway systems can curb the emission-intensifying effect, highlighting the importance of joint public transit planning. This study reveals an unexpected environmental impact of high-speed rail, conveying valuable insights into transport-sector decarbonization. [ABSTRACT FROM AUTHOR]