A Dynamic Leontief Model with Non-renewable Resources

In this paper we study a generalization of the dynamic Leontief input–output model. We extend the standard dynamic Leontief model with the balance equation of non-renewable resources. Obviously, the non-renewable stocks will decrease, exploiting primary resources. In this study we examine the controllability of this extended model by taking the consumption as the control parameter. Assuming balanced growth for both consumption and production, we investigate how long these scarce resources will cover the input needs of production and how the lifetime of the system depends on the balanced growth rate and on the consumption. In doing so, we apply classic results from control theory and on eigenvalue problems in linear algebra.     

Globalization and Outward Foreign Direct Investment

While recent research into foreign direct investment (FDI) has focused on examining the importance of institutions, corruption, money laundering, and tax havens, the role of globalization on FDI has not yet been explored. This research investigates the impacts of globalization on outward FDI. We find that both overall globalization and its economic and social dimensions significantly positively influence outward FDI flows. We also demonstrate that beyond the level of globalization, corruption, money laundering, and the status of a country as a tax haven, cross-country similarity also plays an important role. Accordingly, policies specifically designed to increase the transparency of outward FDI flows should be required to address money laundering and the existence of tax havens.     

Agro-food trade competitiveness of Central European and Balkan countries

This paper investigates the level, composition, and differences in agro-food relative trade advantages/disadvantages for eight Central European and Balkan countries on the European Union (EU) markets and their implications for food policy. Higher and more stable relative trade advantages are found for bulk primary raw agricultural commodities and less for consumer-ready foods, implying competitiveness shortcomings in food processing and in international food marketing. Duration analysis shows that the EU enlargement has a negative impact on agro-food relative trade advantages for all eight analyzed countries. Estimations imply that the duration of agro-food relative trade advantages are the highest for Hungary and Poland, and for Bulgaria in differentiated products, indicating their agro-food trade potentials in the EU-15 markets.     

Marketing and Pricing Dynamics in the Presence of Structural Breaks: The Hungarian Pork Market

The study of marketing margins and price transmission on various commodity markets has been a popular research topic of the past decades (see Meyer & Von Cramon-Taubadel, 2004 Meyer , J. , & Von Cramon-Taubadel , S. ( 2004 ). Asymmetric price transmission: A survey . Journal of Agricultural Economics , 55 ( 3 ), 581 – 611 .[Crossref], [Web of Science ®] , [Google Scholar], for a recent survey). However, with a few exception these studies focused on developed economies. This article examines this phenomena on the Hungarian pork market. The Johansen (maximum likelihood, 1988 Johansen , S. ( 1988 ). Statistical analysis of cointegrating vectors . Journal of Economic Dynamics and Control , 12 , 231 – 254 .[Crossref], [Web of Science ®] , [Google Scholar]) or Engle and Granger (2-step, 1987 Engle , R. F. , & Granger , C. W. J. ( 1987 ). Cointegration and error correction: Representation, estimation and testing . Econometrica , 55 , 251 – 276 .[Crossref], [Web of Science ®] , [Google Scholar]) cointegration tests do not reject the no-cointegration null hypothesis between the Hungarian pork producer and retail price series. Therefore, we applied the Gregory and Hansen (1996 Gregory , A. W. , & Hansen , B. E. ( 1996 ). Residual-based tests for cointegration in models with regime shifts . Journal of Econometrics , 70 , 99 – 126 .[Crossref], [Web of Science ®] , [Google Scholar]) procedure with recursively estimated break points and Augmented Dickey Fuller (ADF) statistics and found that the prices are cointegrated with a structural break occurring in April 1996 Gregory , A. W. , & Hansen , B. E. ( 1996 ). Residual-based tests for cointegration in models with regime shifts . Journal of Econometrics , 70 , 99 – 126 .[Crossref], [Web of Science ®] , [Google Scholar]. Exogeneity tests reveal the causality running from producer to retail prices both in the long and short run. Homogeneity tests are rejected, suggesting a markup pricing strategy. Price transmission modeling suggests that price transmission on the Hungarian pork meat market is symmetric in the long run but asymmetric in the short run; that is, processors, wholesalers, or retailers might take temporary advantage should price changes occur.     

Environmental Pressures and Technical Efficiency of Pig Farms in Hungary

Pig farming is one of the strongest polluters of water due to its intensive production and slurry rejection. Several European countries have introduced environmental regulations aiming at reducing the pollution caused by nitrates from agriculture, but not yet Hungary. We investigate how Hungarian pig farms' output and technical efficiency would be affected if such regulations are to be fully implemented in this country. Results indicate that the pollution could be reduced with no impact on the output level, and that pig farmers have incentives to reduce nitrogen pollution in order to increase their efficiency even in the absence of regulation. Copyright © 2013 John Wiley & Sons, Ltd.     

The Effect of Investment,LFA and Agri-environmental Subsidies on the Components of Total Factor Productivity: The Case of Slovenian Farms

The effect of subsidies on the performance of farms has received a great deal of attention in the literature, although results are inconclusive. Furthermore, much of the related literature examines the effect of subsidies only on technical efficiency (TE). We examine the effect of different types of subsidies on the different components of total factor productivity (TFP) in Slovenian agriculture over the period 2006–2013. We first estimate a Random Parameter Stochastic production frontier model. Then, based on the estimates of this model, we calculate and decompose the TFP index into TE, scale efficiency and technological change. Third, we apply combined difference-in-difference and a matching estimator to examine the effect of investment, less favoured area (LFA) and agri-environmental (AE) subsidies on the different components of TFP. In our case, these subsidies are found to have no significant effect on either TFP or on its components.     

Project Ranking in Petroleum Exploration

Abstract

Project ranking based on project value is an essential management task for organizations that face resource bottlenecks. Project value focuses on the hard elements of projects that can be expressed in monetary terms. In the petroleum exploration business, however, there is also soft information, like effects on corporate liquidity, advantages of compliance with the strategic goals, or learning potential and organizational development, which may change the ranking hierarchy. The aim of this research is to provide a solution for incorporating industry-based selected soft data in the project ranking process. The process is illustrated with a case study. We took the structured system of criteria identified from the petroleum industry.