Wagner's hypothesis: evidence from Kuwait using cointegration tests

This paper investigates the relationship between public expenditure and a number of socioeconomic variables, including the level of income, in Kuwait. A general form of the public expenditure function is formulated and recent developments in time series econometrics, including unit roots and cointegration tests, and an error-correction model are used. Given the characteristics of the economy, alternative measures for each variables are used. The analysis in the paper is based on time-series data covering the period from 1969/70 to 1994/95. In general, the findings lend little support to the existence of long-run equilibrium relationship between public expenditure and the socioeconomic variables, and the evidence does not lend support to the validity of Wagner's law in Kuwait.     

The true shadow price of foreign exchange

For the last half century, trade theorists, development economists, and development practitioners have been calculating what was claimed to be the shadow price of scarce foreign exchange. In fact, what they have been calculating is the social value of the receipt of a unit of a numeraire good from abroad, typically obtained from real models. In our paper, we explicitly deal with a model of a monetized economy, and we develop formulas for the social value of a unit of foreign currency, which, in general, differ from the traditional formulas.     

Will export taxes replace VERs?

Some economists use an export tax, which alters the domestic relative price of exports, to model a voluntary export restraint, which is a restriction on the quantity of exports with restriction-induced rents accruing to the exporting country. Implicit in this approach is the presumption that the two policies are equivalent. In a very general model that allows for a finite number of goods and factors and intermediated goods and joint production, we demonstrate that, in general, this is, in fact, not the case. Specifically, from the exporting country’s perspective, the real income effects of the two policies are nonequivalent.     

Is Pakistan's Growth Rate Balance-of-Payments Constrained? Policies and Implications for Development and Growth

This paper examines the extent to which Pakistan's growth has been, or is likely to be, constrained by its balance of payments. Evidence presented suggests that Pakistan's maximum growth rate consistent with equilibrium on the basic balance is approximately 5% per annum. This is below the long-term target GDP growth rate of 7–8% per annum. This balance-of-payments constrained growth approach provides some important implications for Pakistan's development policy. Real exchange rate depreciations will not lead to an improvement in the current account. Pakistan must lift the constraints that impede higher growth in exports. In particular, it must shift its export structure towards more sophisticated products with a higher income elasticity of demand.     

Board gender diversity and dividend policy in Australian listed firms: the effect of ownership concentration

Asia Pacific Journal of Management - We examine the association between board gender diversity and corporate dividend payout. Our results suggest that although board gender diversity impacts...     

Countering Service Information Challenges in the Internet of Services

Business Webs apply the idea of value networks to the WWW. The underlying delivery platform is commonly referred to as the Internet of Services and will certainly have to deal with a great variety and amount of information about services along several service information dimensions. As soon as brokerage, discovery, or community feedback parts are decentralized, there emerge a number of service information challenges (modeling the information in a holistic way, documentation, interlinkage, tool interoperability, distributed querying, inconsistent information, and cooperation of different stakeholders). In this paper, we propose to counter such service information challenges by two artifacts. First, we contribute a Service Ontology based on a sound and rigid foundational ontology. The Service Ontology provides a holistic and consistent way of capturing service information. We apply the recommendations of the W3C Semantic Web Activity whose recent standardization has already opened new possibilities for tool interoperability, interlinkage of information, and distributed querying on the web. However, building and prescribing an ontology in standardized languages is not enough to address all service information challenges. Therefore, as a second contribution, we provide a method around the ontology including a governance framework, guidelines for applying the W3C Semantic Web recommendations, a lifecycle-spanning tool chain, and different levels of applicability. We label our method Semantic Business Web approach, since we build on W3C Semantic Web standards, use and extend them in the Business Web setting. Both artifacts are constructed in an interdisciplinary way by experts participating in the German lighthouse project THESEUS/TEXO. The project’s scenario also serves as a proof of concept evaluation of the artifacts.     

Estimation of household preferences for long distance telecommunications carrier

The competitive environment in long-distance telecommunications markets changed considerably with the divestiture of AT&T in 1982. A variety of providers appeared, offering myriad services. In this environment, customer selection of preferred long-distance carrier became more complicated and more important.In this paper, we analyze and quantify the determinants of this choice. To our knowledge, this focus is distinct. By contrast, the literature to date has analyzed the behavioral determinants of calling volume (local and long-distance) and the selection of local service options.In our analysis, we allow the alternative carriers to differ in terms of tariffs, reputation, quality, access, and specialized customer services. We quantify the interactive effects of these carrier attributes and customer demographics upon the selection of carrier. Price and income elasticities are estimated. A distinguishing feature of our analysis is that it examines behavioral differences among households in equal-access and unequal-access areas. We find that households assured of the convenience of 1 + dialling for their chosen carrier in equal-access areas display more rational and sophisticated decision making. On the other hand, households in unequal-access areas display greater status quo effects in their decision making.