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1 – 10 of 16Kamal Upadhyaya and Bruno Barreto de Góes
This paper aims to study the impact of economic freedom and some key macroeconomic variables on the foreign direct investment (FDI) inflow in Brazil.
Abstract
Purpose
This paper aims to study the impact of economic freedom and some key macroeconomic variables on the foreign direct investment (FDI) inflow in Brazil.
Design/methodology/approach
An econometric model is developed that includes FDI inflow as the dependent variable and macroeconomic variables such as the output, current account balance, the real exchange rate, openness and economic freedom as explanatory variables. Annual time series data from 1995 to 2022 is used. Before carrying out the estimation, the time series properties of the data are diagnosed using unit root tests and cointegration tests. Since the data series were found to be stationary in the first difference form and the variables in the model were cointegrated, an error correction model is developed and estimated.
Findings
The findings demonstrate that the size of the market (gross domestic product), current account balance and the economic freedom index significantly influence FDI inflow to Brazil. Although the signs of openness and the real exchange rate align with theoretical expectations, they do not attain statistical significance.
Originality/value
To the best of the authors’ knowledge, this is the first formal study on the impact of economic freedom on the FDI inflow in Brazil. The finding of this study adds value to the understanding of FDI dynamics in Brazil, highlighting the critical role of economic freedom and market size in attracting foreign investment.
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Ola Al Sayed, Noha Sami Omar and Abdelmoneam Khaled
This paper aims to discuss the main characteristics of the Middle East North Africa (MENA) region's capital inflows volatility. It also examines the effect of institutional…
Abstract
Purpose
This paper aims to discuss the main characteristics of the Middle East North Africa (MENA) region's capital inflows volatility. It also examines the effect of institutional quality and information availability on capital inflows volatility in selected MENA countries (Bahrain, Egypt, Israel, Jordan, Kuwait, Libya, Morocco, Oman, Saudi Arabia and Tunisia) in the period 1996–2017.
Design/methodology/approach
The study's assessments are based on the International Country Risk Guide (ICRG) and globalization indices. It also employs an updated data set of balance of payments indicators released by the International Monetary Fund. Moreover, the study uses econometric panel modeling of random effect model, with Driscoll-Kraay robust standard error, to analyze the relationship between capital inflows volatility, institutional quality and information availability.
Findings
The paper finds that both institutional quality and information availability are in an inverse relationship with the total capital inflows volatility in the MENA region. However, the findings vary across the different components of total capital inflows. For example, the volatility of foreign direct investment (FDI) declines, like total capital flows, as the two factors improve. However, the volatility of foreign portfolio investment (FPI) is negatively related to institutional quality but does not have any significant relationship with information availability. While the volatility of foreign other investments (FOI) decreases with the availability of information, but does not have any significant relationship with institutional quality.
Originality/value
This paper expands the limited literature regarding the determinants of capital inflows volatility. Furthermore, it is the first study that investigates the effect of institutional quality and information availability on capital inflows volatility in the MENA region.
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Shahid Bashir and Tabina Ayoub
This paper is an attempt to re-examine the validity of the Twin Deficit Hypothesis in the Indian economy, which is characterised by mounting inequality and liquidity constraints…
Abstract
Purpose
This paper is an attempt to re-examine the validity of the Twin Deficit Hypothesis in the Indian economy, which is characterised by mounting inequality and liquidity constraints. The authors augment the econometric analysis with two important mediating variables, exchange rate and trade openness, to analyse their impact on current account deficit.
Design/methodology/approach
The authors have used a ground-breaking asymmetric cointegration technique proposed by Shin et al. (2014) to investigate the short-run and long-run asymmetric nexus between gross fiscal deficit and current account deficit. In addition, the study has used asymmetric dynamic multipliers to see the dynamics of nonlinear adjustment from disequilibrium in the short run to equilibrium in the long run. The study has also used generalised impulse response functions to check the robustness of our cointegration results.
Findings
Using annual time series data from 1970 to 2018, the empirical exercise validates the presence of asymmetries in the Twin Deficit Hypothesis for the Indian economy. This study's robust findings demonstrate that the two deficits are asymmetrically related in the long run. The authors also found that exchange rate asymmetrically affects current account deficit thus validating the asymmetric J-curve phenomenon. From the causality analysis, the authors infer that there is a weak unidirectional causality running from fiscal deficit to current account deficit.
Research limitations/implications
Fiscal deficit may cause current account deficit via changes in other macroeconomic variables that were not taken care of in this study. Therefore, the estimation techniques used in the present study might suffer from the issue of omitted-variable bias. Further research should include other macroeconomic variables where the twin deficit nexus is also influenced by other relevant variables. This will help in disentangling the indirect transmissions by which fiscal deficit translates into current account deficit.
Practical implications
The results from our econometric exercise strongly suggest that the twin deficits are asymmetrically related. From a policy perspective, the asymmetric twin deficit nexus offers strong policy implications for the development of policies that are flexible enough to respond to shifts in internal and external sector dynamics. While framing the mechanism of fiscal prudence, policymakers in emerging countries like India must take into account the regime-changing behaviour of twin deficits.
Originality/value
The present paper is a significant contribution to the existing body of literature by being the first study in India which has analysed the Twin Deficits phenomenon in a nonlinear framework with the incorporation of asymmetric exchange rate dynamics in the model.
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Gouda Abdel Khalek and Amany Rizk
This paper aims to obtain a recent estimate of the cost of precautionary foreign reserve accumulation that emerging market and developing economies (EMDEs) had to endure to…
Abstract
Purpose
This paper aims to obtain a recent estimate of the cost of precautionary foreign reserve accumulation that emerging market and developing economies (EMDEs) had to endure to protect themselves against the risks of financial globalization. In addition, the study estimates the cost of excess reserves in emerging market economies (EMEs) using various reserve adequacy indicators that reflect potential sources of foreign exchange drains and vulnerability in EMEs' balance of payments.
Design/methodology/approach
This paper begins by explaining the accumulation of foreign reserves in EMDEs as a self-protection strategy against the risks of financial globalization. Next, it sheds light on the different types of economic costs of foreign reserve accumulation. Finally, it estimates the cost of foreign reserve accumulation in EMEs during the period (1990–2018) and in EMDEs during the period (1990–2015) due to data availability.
Findings
Results indicate that the cost of accumulating foreign reserves as a self-protection strategy in EMDEs and EMEs' was huge compared to their development financing needs. Applying various reserve adequacy measures demonstrates that many of the EMEs were holding inadequate precautionary reserves in 2018. Actually, this reflects the significant increase in external short term debt that many of the EMEs have witnessed since the eruption of the global financial crisis (2008). Thus increasing reserves in EMEs with weak reserve buffers and higher external debt is critical as they are more vulnerable to external shocks and capital flow reversals. Also given the estimated huge costs of accumulating foreign reserves, EMDEs should accompany it by other complementary self-protection policies and liquidity management policies to free up resources for productive investment.
Originality/value
The study contributes to the literature by estimating the cost of precautionary foreign reserve accumulation imposed on EMDEs during an extended period of time that covers a decade after the onset of the global financial crisis. Also to the authors' knowledge, this is the first study that estimates the cost of excess reserves in EMEs using various reserve adequacy indicators including the International Monetary Fund (IMF) assessing reserve adequacy (ARA) approach.
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Christiana Ada Adah, Douglas Omoregie Aghimien and Olalekan Oshodi
The nature of construction works has a negative impact on physical, mental and emotional well-being and makes it difficult for the construction industry to attack and retain its…
Abstract
Purpose
The nature of construction works has a negative impact on physical, mental and emotional well-being and makes it difficult for the construction industry to attack and retain its workforce. The current study seeks to integrate the current knowledge focused on work–life balance (WLB) in the industry into an understandable whole.
Design/methodology/approach
An interpretivist philosophical approach was adopted using a bibliometric review and a narrative review of existing studies from both Scopus and Google databases. The Visualisation of Similarities viewer (VOSviewer) was used to prepare co-occurrence maps from the bibliographic data garnered.
Findings
The study reveals that the prominent factors influencing the WLB of the construction workforce are organizational culture, salary earned, heavy workload, long working hours and inflexible working time. The recent WLB discourse is on organisational commitment, job satisfaction and workplace dynamics. While WLB areas for further exploration are job stress, safety performance, employee attrition and an ageing workforce. Meanwhile, Africa and South America are still lagging in WLB research.
Practical implications
The findings reported here will assist stakeholders in identifying appropriate WLB initiatives that can be used to improve the well-being of the construction workforce. Also, the gaps in knowledge for further research were highlighted.
Originality/value
The findings reveal current trends and a road map for future studies on WLB in construction. It also reveals prominent factors influencing the WLB of workers in the construction industry.
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Marcos Dieste, Guido Orzes, Giovanna Culot, Marco Sartor and Guido Nassimbeni
A positive outlook on the impact of Industry 4.0 (I4.0) on sustainability prevails in the literature. However, some studies have highlighted potential areas of concern that have…
Abstract
Purpose
A positive outlook on the impact of Industry 4.0 (I4.0) on sustainability prevails in the literature. However, some studies have highlighted potential areas of concern that have not yet been systematically addressed. The goal of this study is to challenge the assumption of a sustainable Fourth Industrial Revolution by (1) identifying the possible unintended negative impacts of I4.0 technologies on sustainability; (2) highlighting the underlying motivations and potential actions to mitigate such impacts; and (3) developing and evaluating alternative assumptions on the impacts of I4.0 technologies on sustainability.
Design/methodology/approach
Building on a problematization approach, a systematic literature review was conducted to develop potential alternative assumptions about the negative impacts of I4.0 on sustainability. Then, a Delphi study was carried out with 43 experts from academia and practice to evaluate the alternative assumptions. Two rounds of data collection were performed until reaching the convergence or stability of the responses.
Findings
The results highlight various unintended negative effects on environmental and social aspects that challenge the literature. The reasons behind the high/low probability of occurrence, the severity of each impact in the next five years and corrective actions are also identified. Unintended negative environmental effects are less controversial than social effects and are therefore more likely to generate widely accepted theoretical propositions. Finally, the alternative hypothesis ground is partially accepted by the panel, indicating that the problematization process has effectively opened up new perspectives for analysis.
Originality/value
This study is one of the few to systematically problematize the assumptions of the I4.0 and sustainability literature, generating research propositions that reveal several avenues for future research.
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This study aims to develop a cross-level research model to explore the relationship between team-level contextual ambidexterity and employees' enterprise system (ES) ambidextrous…
Abstract
Purpose
This study aims to develop a cross-level research model to explore the relationship between team-level contextual ambidexterity and employees' enterprise system (ES) ambidextrous use, and the mediating role of user empowerment in and moderating effect of leader–member exchange (LMX) on the relationship.
Design/methodology/approach
This study conducted a sequential mixed-methods approach, which included a quantitative survey and a qualitative case study. The survey, administered to 244 employees in 59 groups from a financial institution, analyzed the relationships between contextual ambidexterity and ES ambidextrous use. Furthermore, the cross-level mediation and moderation effects were explored. The case study, involving nine members in three groups from a manufacturing firm, served to reinforce the validity of the survey results.
Findings
Team-level contextual ambidexterity can affect ES ambidextrous use directly or through the partial mediator of user empowerment. Furthermore, this study highlights the moderating role of LMX in the relationship between contextual ambidexterity and user empowerment, thereby improving ES ambidextrous use.
Originality/value
This study contributes to the literature by uncovering the cross-level effect of contextual ambidexterity on ES ambidextrous use through user empowerment, thereby extending the ambidexterity perspective and self-determination theory to the ES context. Additionally, this study provides nuanced insights into how to enhance ES ambidextrous use by revealing the moderating role and moderated mediation effect of LMX anchoring on social exchange theory.
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Md. Ikramul Hoque and Muzamir Hasan
Quality is a sensitive and high-priority issue in the global construction including in Bangladesh. This research is intended to provide necessary information to stakeholders and…
Abstract
Purpose
Quality is a sensitive and high-priority issue in the global construction including in Bangladesh. This research is intended to provide necessary information to stakeholders and authorities for better management of the construction quality in Bangladesh. Therefore, this study seeks to find and prioritize the factors affecting the construction quality in Bangladesh.
Design/methodology/approach
In total 65 factors were extracted and categorized from the literature and expert panel discussion. Subsequently, these factors were designed in a questionnaire under 13 major groups for a survey where 176 construction professionals participated and returned their completed survey form. Collected data were tested by the Cronbach Alpha to check the reliability before proceeding to the Relative Importance Index (RII) analysis for determining the relative ranks of identified factors.
Findings
Statistical analysis of survey data represents that the most significant factors are: lack of management commitment, lack of technical skill and experience of the consultant, delays in progress investigation, political interference and contractor's desire for unrealistic profit. The most crucial major groups of factors influencing the construction quality are management, material, consultant, cost and time and contract-related major groups.
Originality/value
It will contribute to the body of knowledge, as it points out the impact of factors affecting quality in Bangladeshi construction. Authorities and stakeholders can be helped by the overview of the high and low ranks factors, understanding the diverse characteristics of factors and making more aware the industry about the quality issues which need to be a top concern to solve. Other developing countries that share the same socio-economic context as Bangladesh can be benefit from the results of this study to control quality issues in construction.
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Poonam Sahoo, Pavan Kumar Saraf and Rashmi Uchil
Significant developments in the service sector have been brought about by Industry 4.0. Automated digital technologies make it possible to upgrade existing services and develop…
Abstract
Purpose
Significant developments in the service sector have been brought about by Industry 4.0. Automated digital technologies make it possible to upgrade existing services and develop modern industrial services. This study prioritizes critical factors for adopting Industry 4.0 in the Indian service industries.
Design/methodology/approach
The author identified four criteria and fifteen significant factors from the relevant literature that have been corroborated by industry experts. Models are then developed by the analytical hierarchy process (AHP) and analytical network process (ANP) approach to ascertain the significant factors for adopting Industry 4.0 in service industries. Further, sensitivity analysis has been conducted to determine the sensitivities of the rank of criteria and sub-factors to corroborate the results.
Findings
The outcome reveals the top significant criteria as organizational criteria (0.5019) and innovation criteria (0.3081). This study prioritizes six significant factors information technology (IT) specialization, digital decentralization of all departments, organizational size, smart services through customer data, top management support and Industry 4.0 infrastructure in the transition toward Industry 4.0 in the service industries.
Practical implications
The potential factors identified in this study will assist managers in determining strategies to effectively manage the Industry 4.0 transition by concentrating on top priorities when leveraging Industry 4.0. The significance of organizational and innovation criteria given more weight will lay the groundwork for future Industry 4.0 implementation guidelines in service industries.
Originality/value
Our research is novel since, to our knowledge, no previous study has investigated the potential critical factors from organizational, environmental, innovation and cost dimensions. Thus, the potential critical factors identified are the contributions of this study.
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Carlos Alejandro Diaz Schery, Rodrigo Goyannes Gusmão Caiado, Soraida Aguilar Vargas and Yiselis Rodriguez Vignon
The purpose of this paper is twofold: first, to present a rigorous bibliometric analysis and a systematic literature review of the critical success factors (CSFs) for Building…
Abstract
Purpose
The purpose of this paper is twofold: first, to present a rigorous bibliometric analysis and a systematic literature review of the critical success factors (CSFs) for Building information modelling (BIM)-based digital transformation; second, to identify the relationship between the dimensions in favour of BIM implementation.
Design/methodology/approach
This study adopts a two-step approach to combine bibliometric and systematic literature review to explore the research topic of BIM and CSFs. Bibliometric tools such as Biblioshiny in R language and Ucinet software were applied to this study.
Findings
Besides identifying the two most influential authors (e.g. Bryde and Antwi-Afari), the key journal for disseminating articles, and the most influential countries in this discourse (e.g. Hong Kong and Australia), the study also identifies four pivotal research themes derived from the co-occurrence analysis of keywords: the fusion of sustainability and technology with BIM; practical application and its integration within construction management; innovation and engineering paradigms; and the advent of emerging technologies (e.g. Blockchain) within developing nations. Additionally, the paper introduces a comprehensive framework for selecting CSFs pertinent to BIM-centred digital transformation as viewed through the lens of dynamic capabilities.
Originality/value
This paper establishes a link between dynamic capabilities theory, CSFs, and BIM dimensions, presenting a multifaceted framework guiding future paths and offering practical insights for managerial and political decision-makers engaged in digital transformation endeavours. The study positions dynamic capabilities as pivotal, aligning digital technologies with continuous business performance, and advocates for a strategic focus on digital transformation.
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