Foreign direct investment,economic freedom and economic growth: International evidence

In this paper, we investigate the systemic link between economic freedom, foreign direct investment (FDI) and economic growth in a panel of 85 countries. Our empirical results, based on the generalized method-of-moment system estimator, reveal that FDI by itself has no direct (positive) effect on output growth. Instead, the effect of FDI is contingent on the level of economic freedom in the host countries. This means the countries promote greater freedom of economic activities gain significantly from the presence of multinational corporations (MNCs).     

Heterogeneous capital, economic growth, and economic development

This paper asks how much does physical capital contribute to economic growth. It postulates that capital is heterogeneous because of embodied progress, and it structures the inquiry to account for differences in economic development. Embedded in data that cover 120 nations over 41 years are 35 derived capital stock series, whose characteristics include average ages stratified by development state. Growth accountancy proceeds by regression analysis cast in a production function context and repeated for each capital type. Those results help to establish the growth contributions of labor quantity and quality and capital quantity and quality. They also bear on neoclassical convergence.     

Niches and economic competition: implications for economic efficiency,growth and diversity

This article examines the relationship between market niches and economic competition and explores the consequences of niches for economic efficiency, growth and diversity of commodities. Concepts of a niche in everyday use, ecology, economics and business management are compared. Factors giving rise to market niches, some of which are institutional, are identified, and their links with barriers to entry and mobility are discussed. Common negative views about their consequences for competition and economic efficiency are outlined. However, the availability of niches can potentially have a very positive impact on economic growth and development as well as on the diversity of commodities. New measures of global diversity of commodities are introduced. Economic globalisation involves institutional change that reduces the availability of niches and threatens long-term economic growth and diversity of commodities. Niches also provide frictions in economic systems and may have stabilising properties.     

Schutz,Machlup and rational economic man: some problems for economic imperialism?

Starting from a question posed by Schutz's ‘postulate of adequacy’, and its enndorsement by Machlup, the author asks what constraints there should be in the representation of human action in our models, given that it is our action that is being represented. He argues that metholdological individualism has, historically, been interpreted in two different ways: as leading to subjectivism or to mamimization approaches which exhibit little interest in the specific content of people's motivation. The author suggests that the latter should be seen as a special case of the former, which there is a rationale for adopting only in distinctive circumstances. ‘Economic imperialism’, however, typically extends the latter approach without regard to the presence of the factors which legitimate its use within economics. The paper also contains some more general argument concerning how subjectivism may be combined with realism, and a comparison of the author's conclusions with those of Machlup.     

Peter T. Leeson,WTF?!: An economic tour of the weird

The Review of Austrian Economics -     

Maximization,replication, and the economic rationality of positive economic science

This paper argues that gross, short-term capital mobility is excessive, but that long-term net capital mobility remains low. This combination of extremely high gross, but low net capital mobility can create great difficulties in achieving full employment. However, these difficulties fundamentally depend on the political structure and the choices made in individual nations; they do not result from technological advances, such as innovations in computers and communication. Faced with short-term capital mobility, groups and classes within nations have made political choices that hinder the ability of the nation to reach full employment. But other choices can be made.Nations can adopt political structures and rules of the game that reduce the constraints to achieving full employment.     

Empowering knowledge: Political leaders,education, and economic liberalization

Recent literature reports significant effects of political leaders in driving economic policies but does not provide an exhaustive answer as to why. This paper argues that educational background plays an important role in shaping leaders' ideas and beliefs, which in turn matter for policy making in the long run. Using a cross-country data covering 137 countries and regions over 1960–2005, the paper documents a robustly positive relationship between leaders educational attainment and faster liberal reforms, regardless of regime type. The effects are more salient for leaders who majored in economics, social science, and natural science. Moreover, the effects of education seem to be orthogonal to alternative channels such as partisan politics, geopolitical factors, and public opinions.     

Markets for knowledge: problems,scope, and economic implications

This article aims at developing an analytical framework in order to highlight the significance of the markets for knowledge. The empirical evidence provides the basis for analysing diverse governance mechanisms in high tech sectors. Increasing specialisation of knowledge production is pointed out from biotechnology and semiconductor industry. Next, the running of the markets for knowledge leads to appreciate the role of KIBSF in traditional services and new-technology based services. Finally, the behaviours of knowledge producers is linked to various tradeoffs they encounter.     

中国经济改革:背景、机制与挑战

经过三十余年的经济改革,中国的经济取得了巨大的进步,中国这条巨龙也正在逐渐回归到她在世界经济中应有的位置。这种经济改革是如何成功的?本文认为,承接于特定的历史经济背景,中国经济中三类主要的行为主体(中央、地方、民众)根据自身的条件进行了事实上的互动式的协调分工,各自对既有的约束条件进行突破,并在互动演进的发展过程中逐步建立了新的规则,这些规则所确立的激励与约束极大地调动了各参与主体的积极性,实现了从事必躬亲到各司其职的职能转换。正是在这些过程中,中国经济逐渐得到发展并获得前所未有的成就。但我们同时强调,在经济改革的过程中,也必须认清体制的不足,积极应对新的挑战。