Economic impact of ocean fish populations in the global fishery

Our goal in this paper is to estimate the total output in an economy that is currently dependent (at least partially) on current fisheries output. We therefore applied the Leontief technological coefficients at current production and then estimate total output supported throughout the economy at the current level of production. Estimates of gross revenue from capture fisheries suggest that the direct value of output for this sector is US $80–85 billion annually (Sumaila et al., Journal of Bioeconomics 9(1):39–51, 2007; Willmann et al., The Sunken Billions, World Bank, FAO, Washington DC, Rome, 2009). However, as a primary or a potential economic base industry, there are a vast number of secondary economic activities—from boat building to international transport—that are supported by world fisheries, yet these related activities are rarely considered when evaluating the economic impact of fisheries. This study applies an input–output methodology to estimate the total direct, indirect, and induced impact of marine capture fisheries on the world economy. While results suggest that there is a great deal of variation in fishing output multipliers between regions and countries, when we apply the output multipliers to the capture fisheries sector at the global level, we find that significant indirect and induced effects place the impact of this sector to world output nearly three times larger than the value of landings at first sale, at between US $80–85 billion annually (Sumaila et al., Journal of Bioeconomics 9(1):39–51, 2007; Willmann et al., The Sunken Billions, World Bank, FAO, Washington DC, Rome, 2009). However, as a primary or a potential economic base industry, there are a vast number of secondary economic activities—from boat building to international transport—that are supported by world fisheries, yet these related activities are rarely considered when evaluating the economic impact of fisheries. This study applies an input–output methodology to estimate the total direct, indirect, and induced impact of marine capture fisheries on the world economy. While results suggest that there is a great deal of variation in fishing output multipliers between regions and countries, when we apply the output multipliers to the capture fisheries sector at the global level, we find that significant indirect and induced effects place the impact of this sector to world output nearly three times larger than the value of landings at first sale, at between US 225 and 240 billion per year.     

Consumer-based brand equity (CBBE) and the role of social media communications: Qualitative findings from the Malaysian automotive industry

Previous studies on consumer-based brand equity (CBBE) have maintained that CBBE is a multidimensional construct which reflects both consumers’ perceptions and attitudes. However, only few of the extant CBBE models emanate from the context of automotive brands. As such, this present study employs a qualitative approach using a semi-structured face-to-face interview among 11 informants, to explore the concept of CBBE in the context of automotive brands. Also, this study explores the role of social media communications in developing CBBE for automotive brands. The findings of this research demonstrate that CBBE is a valid concept which reflects consumers’ perception and mindset towards their knowledge, which are reflected through brand awareness, hedonic brand image, functional brand image, and brand sustainability of automotive brands. Additionally, the marketing activities and communication contents on social media play an important role in improving the perception of automotive brands in consumers’ minds, hence the development of automotive CBBE. The theoretical implications of these research findings are that this study provides an insight into the feasibility of developing a specific CBBE model for automotive brands. Practically, this study presents insights for brand manager on the importance of developing CBBE through social media communications.     

Sustainability Practices and Corporate Financial Performance: A Study Based on the Top Global Corporations

Sustainability is concerned with the impact of present actions on the ecosystems, societies, and environments of the future. Such concerns should be reflected in the strategic planning of sustainable corporations. Strategic intentions of this nature are operationalized through the adoption of a long-term focus and a more inclusive set of responsibilities focusing on ethical practices, employees, environment, and customers. A central hypothesis, that we test in this paper is that companies which attend to this set of responsibilities under the term superior sustainable practices, have higher financial performance compared to those that do not engage in such practices. The target population of this study consists of the top 100 sustainable global companies in 2008 which have been selected from a universe of 3,000 firms from the developed countries and emerging markets. We find significant higher mean sales growth, return on assets, profit before taxation, and cash flows from operations in some activity sectors of the sample companies compared to the control companies over the period of 2006–2010. Furthermore, our findings show that the higher financial performance of sustainable companies has increased and been sustained over the sample. Notwithstanding sample limitation, causal evidence reported in this paper suggests that, there is bi-directional relationship between corporate social responsibilities practices and corporate financial performance.     

Corporate governance and corporate social responsibility (CSR) reporting: an empirical evidence from commercial banks (CB) of Pakistan

The aim of this paper is to explore Pakistani listed commercial banks corporate social responsibility (CSR) reporting information along with the probable effects of different corporate governance (CG) elements on CSR disclosures. Furthermore, the relevance of different theories in explaining the results of this study is also provided. For analyzing the banks’ CSR reporting practice, which was done using content analysis, the annual reports for the years 2005–2010, of all the commercial banks were examined. Non-executive directors and foreign directors which are elements of CG were considered and multiple regression analyses were carried out to check the impact of CG elements on banks’ CSR reporting initiatives. The results of the study reveal that even though reporting of CSR is voluntary in Pakistan, the participation of Pakistani commercial banks in different CSR activities is not low. Furthermore, the level of CSR activities performed by the banks is impressive. The results displayed that non-executive directors have a positive impact on the CSR reporting supporting stewardship theory in CB of Pakistan. The major limitation of this study is that the data is only based on annual reports of commercial banks of Pakistan. It is therefore, not easier to generalize the findings of this research to other corporate sectors. Secondly the annual reports of commercial banks for the years 2005–2010, a time period of just 6 years were analyzed as access to data before and after the specified years was not readily available. This paper relates CSR disclosure with possible impact of CG in the particular perspective of a transitional economy’s banks such as Pakistan. By providing empirical facts of the effect of CG structure on the CSR activities practices in developing countries’ banking sector setting, this paper provides novel contribution to the current CSR literature.     

Economy-wide benefits from water-intensive industries in South Africa: Quasi-input-output analysis of the contribution of irrigation agriculture and cultivated plantations in the Crocodile River catchment

A quasi-input-output framework was employed to measure and compare economy-wide benefits from irrigated crops and cultivated plantations in the Crocodile River catchment. The results of the analysis showed that it makes a huge difference to consider not only direct economic benefits from water-using activities, but also their economy-wide benefits and multisector linkages for evaluating water allocation regimes and policies. A completely opposite ranking of the compared activities was obtained when economy-wide effects (including indirect multipliers) were taken into account, compared with considering only direct benefits.     

Comparative accuracy of forecasts of inflation: a Canadian study

An inaccurate forecast of inflation is costlier to economic agents when the inflation rate is high and volatile. In this situation, the use of more sophisticated and information-oriented forecasting models become economically efficient. We test this hypothesis by analysing the forecasting accuracy of vector auto-regressive (VAR), auto-regressive integrated moving average (ARIMA) and static expectation models. We use Canadian data and divide the post-sample forecasting period into four sub-periods, based on high/low and volatile/stable inflation. Prediction errors are compared for both short-term and long-term forecasts. Finally, the paper proposes a portfolio approach for obtaining a more accurate forecast of inflation.     

Does a “Blue Revolution” help the poor? Evidence from Bangladesh

The rapid growth in aquaculture production, globally and in Bangladesh is well documented. Over 2000–2010, per capita production of aquaculture grew 76%, while the consumer price of fish declined 45%. Previous studies have suggested pro‐poor effects of aquaculture based on fish production and consumption patterns. This study attempts to quantify the contribution of aquaculture to income growth and poverty reduction in Bangladesh, using household survey data and a microsimulation approach based on an expanded version of Deaton's concept of net benefit ratio. We estimate that aquaculture's contribution to income growth between 2000 and 2010 was 2.1%, including both price and quantity effects. This income growth was translated into poverty reduction of 1.7 percentage points. Although these estimates seem small, they represent almost 10% of the overall poverty reduction in Bangladesh during the first decade of the 21st century. Put differently, of the 18 million Bengalis who escaped poverty during 2000–2010, about 1.8 million of them managed to do so because of the rapid growth in aquaculture, which contributed to rural income while making fish more accessible to consumers.     

The impact of farm credit in Pakistan

Both informal and formal loans matter in agriculture. However, formal lenders provide many more production loans than informal lenders, often at a cost (mostly loan default cost) higher than what they can recover. For example, the Agricultural Development Bank of Pakistan (ADBP), providing about 90% of formal loans in rural areas, incurs high loan default costs. Yet, like other governments, the Government of Pakistan supports the formal scheme on the grounds that lending to agriculture is a high risk activity because of covariate risk. Hence, such policies are often based on a market failure argument. As farm credit schemes are subsidised, policy makers must know if these schemes are worth supporting. Using a recent large household survey data from rural Pakistan (Rural Financial Market Studies or RFMS), we have attempted to estimate the effectiveness of the ADBP as a credit delivery institution. A two‐stage method that takes the endogeneity of borrowing into account is used to estimate credit impact. Results reveal that ADBP contributes to household welfare and that its impact is higher for smallholders than for large holders. Nevertheless, large holders receive the bulk of ADBP finance. The ADBP is, thus, not a cost‐effective institution in delivering rural finance. Its cost‐effectiveness can be improved by reducing its loan default cost and partially by targeting smallholders in agriculture where credit yields better results.     

Risk Sharing Mechanism in Japan's Auto Industry: The keiretsu Versus Independent Parts Suppliers

This study investigates (1) whether risk sharing behavior of subcontractors has changed over the two decades (1973–94); (2) whether there are any differences between keiretsu firms and independent firms in sharing risk; (3) how ownership of its parts-suppliers through minority shareholdings by automakers or sending directors to parts-suppliers affects the suppliers' risk sharing behavior. Empirical results support the risk-sharing hypothesis in general. The keiretsu firms are more risk averse than independent firms in the first period (1973–85). In the second period (1985–94) independent firms become more risk averse than keiretsu firms. This may suggest that the keiretsu system would work as a shock absorber in an unfavorable business environment.