Comments on the present state and the prospects of the hungarian economic reform

The reform of the Hungarian economic mechanism during 1979 and 1982 is discussed. The new administrative constraints on prices are criticized; the first steps towards disintegration of trusts and large enterprises and towards formation of small enterprises and cooperatives are regarded as promising, as are the measures that give more scope to entrepreneurship and legalization of activities in the “second economy.” The relation between growth policy and the economic mechanism as well as the “investment hunger” and the changes of the intensity of shortage are then examined. The future of the reform process is discussed briefly.     

Fostering Corporate Social Responsibility Through Public Initiative: From the EU to the Spanish Case

Should CSR be approached only on a voluntary basis or should it be complemented with a compulsory regulatory framework? What type of government intervention is more effective in fostering CSR among companies? This paper is an attempt to answer these questions, reviewing the debate between proponents of the voluntary case and the obligatory case for CSR, and critically analysing current international government-led initiatives to foster CSR among companies, and national government-led initiatives in the EU area. Finally, the paper focuses on the Spanish case, as an example of the failure of an exclusively voluntary approach. Despite the rapid uprise of CSR, Spain is still far behind late in CSR promotion strategies. Most action has been undertaken by companies themselves with no common guidelines, governmental support, or independent verification. The lack of a regulatory framework for CSR or ethical investment issues and the virtual absence of other indirect incentives, explains the misbalance between private, public and Third Sector initiatives. Based on the Spanish context which is quite similar to other non-OECD countries, the authors call for a more proactive government position in CSR related issues. The conclusions of the paper detail the features of this regulatory framework and other policies to promote CSR in Spain as well as in other OECD countries.     

Energy and machines. Energy capital ratios in Europe and Latin America. 1875–1970

The relationship between energy and capital is one of the most important aspects of modern economic growth. Machines need energy to produce all the goods we enjoy; energy would be far less useful for humankind in absence of machines. However, the great majority of the economic models do not take into account the elasticities of substitution (or complementaries) between these two main variables. Actually, energy is absent in many growth models and discussions on diverging economic development paths. We approach this relevant issue from a new perspective: energy and capital relations during 100 years. We use the latest estimations of capital stock (machinery and equipment) and energy consumption for Latin America and compare them with those of Western Europe. The energy–capital ratio (how much energy is used per unit of capital) could be a predictor of economic growth, thus providing stylised facts about the timing and causes of the different modernisation patterns of these regions and showing us some answers on the long-run relationship between energy consumption and capital accumulation.     

Is There an Image Crisis in the Spanish Vegetables?

Abstract

The Spanish horticultural sector has been adversely affected by recurring crises in the last years, showing a significant economic impact upon demand. These crises have different sources (internal and external) and origins (food safety, social, and environmental issues). However, research devoted to analyzing the nature and scope of these events and their influence on consumers’ perception is scarce. For this purpose, this research provides a conceptual framework that defines and classifies the main image crises that have affected the sector. Consequently, an exploratory study is conducted to analyze to what extent European consumers know the sector and to determine how consumer knowledge influences the Spanish product-country image. Data were analyzed using a Logit Model. Results suggest that crises have seriously affected the demand of Spanish vegetables and consumers’ perceived image. Factors affecting the sector’s image through consumer knowledge are different depending on consumers’ country-of-origin (national vs. foreign countries).     

Low skill wages and mismeasured inflation

The current literature presents evidence that the real wage of male workers at the 10th percentile of the wage distribution has fallen since 1970. Yet, contributions within this literature deflate nominal wages using a mismeasured deflator. Another strand of literature documents that the mismeasurement of the deflator is sizable, with recent estimates exceeding0.6 percentage points per year. In this paper, I adjust the deflator and reestimate the implied evolution of male low skill wages. This simple exercise implies that male low skill wages were about 15 log-points higher in 2013 than in 1970.     

Austerity Policies in the Eurozone: What Can We Learn After the Crisis?

International Advances in Economic Research -     

Electoral fraud, the rise of Peron and demise of checks and balances in Argentina

The future looked bright for Argentina in the early twentieth century. It had already achieved high levels of income per capita and was moving away from authoritarian government towards a more open democracy. Unfortunately, Argentina never finished the transition. The turning point occurred in the 1930s when to stay in power, the Conservatives in the Pampas resorted to electoral fraud, which neither the legislative, executive, or judicial branches checked. The decade of unchecked electoral fraud led to the support for Juan Peron and subsequently to political and economic instability.