Capital accumulation,income distribution and endogenous fertility in an overlapping generations general equilibrium model

A study is conducted in attempts to increase the understanding of the links between macroeconomic effects and causes of population growth in formulating policy. An overlapping generations general equilibrium model is employed aggregating household decisions about fertility, savings, and investment in the human capital of children with the objective of studying intertemporal relationships among population growth, income distribution, inter-generation social mobility, skill composition of the labor force, and household income. As a result of endogenous fertility, the equilibrium path attains steady state from the second generation. Income tax transfer, child taxation, and social security taxation policies are also examined in the paper. A structural explanation is given for the inverse household income-child quantity and negative child quality-quantity relationships seen in developing countries. In a Cobb-Douglas economy, these relationships hold in the short-run, potentially working over the long-run in other economies. Overall, the model shows that group interests may hinder emergence of perfect capital markets with private initiatives. Where developing countries are concerned, these results have strong implications for population policy. A policy mix of building good quality schools, or subsidizing rural education, introducing a formal social security program, and providing high-yield, risk-free investments, banking, and insurance services to the poor is recommended.     

Demographic links to savings in life cycle models: identification of issues for LDCs

The author considers the potential for a link between the recent pattern of demographic transition and intertemporal and inter-country variations in savings rates. Fertility, infant mortality, life expectancy, and levels of female and child labor force participation are among the various demographic factors which affect national savings rates through their effects upon age structure, age-specific individual savings behavior, and their general equilibrium effects upon interest rates, wage rates, and income distribution. The author establishes a simple discrete time life cycle model of savings, explains the issues related to age structure, and discusses the effect of age-specific savings functions, the general equilibrium effects of demographic factors, the effects of life expectancies and child mortalities, and the nature of social security coverages in less developed countries, as well as issues which are especially important for less developed countries. A new strategy for empirically evaluating demographic policies is proposed. That is, one can estimate the age profile of earnings, saving and fertility rates from household survey data. The life tables can then be used to compute the aggregate savings rate and population size. Any demographic policy which affects the fertility rate, life expectancy, and investment in the quality of children will change the aggregate saving and population growth rates. These two aggregate effects could be compared to evaluate demographic policies. The author stresses, however, that changes in different demographic factors will have different short-run and long-run effects upon the savings rate which will also depend upon whether such changes are transitory or permanent.     

Mapping historical and contemporary agrarian transformations and capitalist infiltration in a complex upland environment: A case from eastern Nepal

The relationship that mountain communities have with global capitalism are complex, being mediated by a diverse topography and ecology, both of which provide opportunities for capital accumulation, while also isolating older, “pre‐capitalist” modes of production. This paper takes a case study valley from Nepal's eastern hills, tracing over two centuries of agrarian change and evolving interactions between “adivasi” and “semi‐feudal” economic formations with capitalism. In recent years, the expansion of markets, rising demand for cash, and climate stress have solidified migrant labour as a core component of livelihoods, and the primary mechanism of surplus appropriation from the hill peasantry. Through a focus on three altitudinal zones, however, it is demonstrated how the trajectory of this transformation, including the interactions with persisting pre‐capitalist formations, is mediated by both political–economic processes and the local agro‐ecological context.     

Assessment of Consumer Behavior Towards Environmental Responsibility: A Structural Equations Modeling Approach

This paper analyses the factors impacting consumer environmental responsibility using a structural equation modeling approach. Consumer environmental responsibility is the intention of a person to act towards remediation of environmental problems not as an individual user with economic interests but as a responsible citizen having concerns about the social and environmental wellbeing of society. Therefore, awareness of environmental problems and knowledge of remedial alternatives will help individuals to pursue their chosen action and bolster a genuine desire to act and determine the measures for alleviation of environmental challenges. The four dimensions of an environmentally responsible consumer – opinion and beliefs, willingness, awareness, and an ability to act – are analysed. During the analysis, the dimension of ‘ability to move’ is found to be critical, because it has a direct influence on the capacity of the consumer to act. This research is intended to guide policy‐ and decision‐makers of regulatory bodies in understanding consumer behavior towards improving environmental performance index. It also helps organizational managers to make their supply chains green, and competitive, which in turn improves brand image and overall organizational performance. Copyright © 2017 John Wiley & Sons, Ltd and ERP Environment     

Evolution and future direction of intensified agriculture in the central mid-hills of Nepal

Nepalese mid-hill farmers have shifted from a subsistence-based farming system to an intensified farming system. This paper attempts to describe the evolution of the process of agricultural intensification in the mid-hill region by examining external drivers, trends in fertilizer use, landholding, cropping patterns, irrigation and labour use in the years 1989, 1999 and 2009. Data were obtained by means of structured interviews, focus group discussions, key informant interviews and field observations. The study revealed that modern technology and the involvement of NGOs have facilitated the agricultural intensification process in three ways: (i) by providing access to technology without any financial cost to the farmer, (ii) by increasing the variety and number of crops and encouraging farmers to discontinue crops that had pest problems and (iii) by maximizing the use of chemical fertilizers to increase production. Results showed a significant increase in the application of urea and diammonium phosphate (DAP) and a decrease in the application of farm yard manure (FYM) and muriate of potash from 1989 to 2009 (p < 0.001). The average landholding of 0.76ha in 1989 was reduced to 0.63ha by 2009. The number of crops (rice, maize or millet) cultivated per year increased to at least three crops with the introduction of potatoes and spring rice; however, some crops such as sugarcane and tobacco were not continued as a result of pest problems. Increased nitrogen input could lead to increased N₂O emissions; therefore, a better understanding of nitrogen fertilization and quantification of N₂O emissions from intensified agriculture is urgently needed to assess the possible environmental impact of input intensification.     

A systematic literature review to integrate lean,agile, resilient,green and sustainable paradigms in the supply chain management

The main focus of this study is to conduct a systematic literature review to integrate lean, agile, resilient, green and sustainable (LARGS) paradigms in the supply chain (SC) domain. To achieve this aim, several research questions were designed: First, how to locate LARGS research in context of SC domain? For this, it is important to understand which types of research articles should be selected for the study? Further, where such studies were conducted (geographical location)? Second, what is the focus of research in LARGS paradigm in SCs? For this, it is important to study, which types of industries or sectors have been targeted in literature? In addition, which tools and techniques have been used mostly? Third, what are the current trends in the relationships of LARGS paradigms, among themselves, and with SC performance measures? Fourth, what are the emerging issues, unexplored areas in this field, based on these what could be future research avenues in this subject domain have been proposed? A total of 160 relevant articles published during 1999–2019 were used for analysis. Based on analysis, findings are summarised, and main research issues and possible future research directions in LARGS paradigms in SCs are highlighted.     

Effect of social security on fertility and savings: an overlapping generations model

Old-age pension schemes do not exist in most developing countries, so adults bear children as security investments for the future. This phenomenon leads to unduly high rates of population growth. It has been hypothesized that introducing social security programs in such countries would increase savings rates and reduce the number of children born over the long term. The author studies the general equilibrium effects of some social security programs on rates of population growth and capital accumulation within an overlapping generations framework with endogenous fertility and savings. Specifically, Raul's overlapping generations growth model is extended to study the general equilibrium effects of payroll-tax-financed and child-tax-financed social security programs. It is shown that if the rate of intergenerational income transfers from young to old or child care cost is low, competitive equilibrium leads toward overpopulation and capital accumulation in a modified Pareto optimal sense; a social security program in such a case is therefore Pareto improving. A fully-funded system is not neutral when financed by child taxes. Finally, it is also shown that unlike in the case of exogenous fertility where competitive equilibrium attains steady state only asymptotically, fertility, when endogenous, may attain a unique globally steady state in finite time.     

Costs of hospital visits among patients with deep vein thrombosis treated with rivaroxaban and LMWH/warfarin

Background:

For many years, the standard of care for patients diagnosed with deep vein thrombosis (DVT) has been low-molecular-weight heparin (LMWH) bridging to an oral Vitamin-K antagonist (VKA). The availability of new non-VKA oral anticoagulants (NOAC) agents as monotherapy may reduce the likelihood of hospitalization for DVT patients.

Objective:

To compare hospital visit costs of DVT patients treated with rivaroxaban and LMWH/warfarin.

Methods:

A retrospective claim analysis was conducted using the MarketScan Hospital Drug Database for care provided between January 2011 and December 2013. Adult patients using rivaroxaban or LMWH/warfarin with a primary diagnosis of DVT during the first day of a hospital visit were identified (i.e., index hospital visit). Based on propensity-score methods, historical LMWH/warfarin patients (i.e., patients who received LMWH/warfarin before the approval of rivaroxaban) were matched 4:1 to rivaroxaban patients. The hospital-visit cost difference between these groups was evaluated for the index hospital visit, as well as for total hospital-visit costs (i.e., including index and subsequent hospital visit costs).

Results:

All rivaroxaban users (n?=?134) in the database were well-matched with four LMWH/warfarin users (n?=?536). The mean hospital-visit costs were $5257 for the rivaroxaban cohort and $6764 in the matched-cohort of patients using LMWH/warfarin. The $1508 cost difference was statistically significant between cohorts (95% CI?=?[?$2296; ?$580]; p-value?=?0.002). Total hospital-visit costs were lower for rivaroxaban compared to LMWH/warfarin users within 1, 2, 3, and 6 months after index visit (significantly lower within 1 and 3 months, p-values <0.05)

Limitations:

Limitations were inherent to administrative-claims data, completeness of baseline characteristics, adjustments restricted to observational factors, and lastly the sample size of the rivaroxaban cohort.

Conclusion:

The availability of rivaroxaban significantly reduced the costs of hospital visits in patients with DVT treated with rivaroxaban compared to LMWH/warfarin.     

Dynamics of endogenous growth

Summary We present an overlapping generations model of endogenous fertility and growth. The cost of child rearing and the effect of population size on total factor productivity determine the dynamics of competitive equilibrium path of our model. The non-linear dynamics of the model generates a plethora of outcomes (depending on the functional forms, parameters and initial conditions) that include not only the neo-classical steady state with exponential growth of population with constant per capita income and consumption, but also growth paths which do not converge to a steady state and are even chaotic. Exponential, and even super exponential, growth of per capita output are possible in some cases.We would like to thank Mukul Majumdar, Kazuo Nishimura and an anonymous referee for many comments.     

Determinants of Consumption and Savings Behavior in Developing Countries

The determinants of savings generally and the specific effectsof government policies on savings and consumption are pivotalforces in investment and economic growth. The Hall hypothesisstates that consumption is a function of lifetime ("permanent")income, rather than income in each period independently. Changesin interest and tax rates, money supply, or government expenditurewill affect permanent income and hence consumption and savingsonly if they are unexpected and thus not already incorporatedin the estimation of permanent income. We are unable to rejectthe Hall hypothesis in tests for developing countries when weallow for varying interest rates. We do find evidence of a negativeeffect of inflation on consumption, and a positive relationshipbetween the real interest rate and consumption. The evidencefor the Hall hypothesis also suggests that Ricardian equivalencemay be valid—this is Barro's hypothesis that the effecton savings is the same whether government deficits are financedthrough taxation or debt. Our preliminary testing, however,does not support Ricardian equivalence.