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This study offers a political risk prediction model that replicates a known political risk index on the basis of economic and political variables. The results show that the political risk is affected by the level of the United Nations human development index, the gross domestic savings as a percentage of gross domestic product, the labor force as a percentage of total population, the total expenditures on health and education as a percentage of gross domestic product and the level of the terms of trade.

This paper aims to provide empirical evidence on technology convergence within economies of the European Union which is usable for determining the economic growth policy aimed at sustainable long‐run economic growth and the convergence of the development between EU‐member states.

Two different empirical procedures are applied by estimating the technology convergence within the European Union on Eurostat data set. The first is framework developed by Dowrick and Nguyen. The second one is the authors' original contribution to the methodology which is based on the frontier production functions.

Significant technology convergence is recognized between 15 old EU‐member states and eight new‐member states. However, the technology convergence has obviously not accelerated the convergence of gross domestic product per labor unit between exposed groups of economies. Technical inefficiency is recognized as the main source that impedes a spill‐over effect of technology convergence. Following this it is established that in the future more effort should be directed into elimination of technical inefficiency.

Presented findings can be used to arrange the economic policy measures aimed at accelerating technology development in case of European Union.

This study analyzes the impacts of income inequality after direct taxation on the gross domestic product as a fiscal policy tool in the development process.

The model of the study is based on Munielo-Gallo and Roca-Sagales (2013), which examined the fiscal policy, income inequality and economic growth simultaneously. The study uses two models to analyze the relationship between income inequality and gross domestic production under direct taxation by employing autoregressive distributed lag (ARDL) model for selected emerging market economies.

Empirical results reveal a negative long-run relationship between variables in some countries in line with the literature, despite a positive relationship in others. Moreover, the results exhibit the negative impact of income inequality after direct taxation on the gross domestic product decreases.

Results of the study highlight the importance of direct taxation on income inequality concerning the reflects on economic growth. It suggests that when the income distribution is fairer, it may positively affect the gross domestic product. The study provides a new perspective to the related literature by investigating the role of income inequality under direct taxation for gross domestic product.

The issue of export instability exerts an enduring fascination for economists with an interest in the area of economic development. Over several decades a voluminous literature has emerged embracing debates on the domestic consequences and on the causes of export instability. The purpose here is to examine these debates and an attempt is made to set out different theoretical stances, to classify and examine empirical findings, and to indicate the directions in which the debates have moved. Such a statement of a review article's purpose is, of course, incomplete without more specific delineation of the boundaries within which the general objectives are pursued. Here that delineation has three facets.

On the basis of the time series of the land area economy and marine economy data during 1996-2015, the authors study the relationship between land area economy and marine economy, and divides the relational schema of the land-sea economy by doing causality test of land-sea economy, grey correlation degree analysis and relational schema analysis of the land-sea economy in coastal provinces and cities. The paper aims to discuss these issues.

The paper uses methods such as Granger causality test and grey correlation degree analysis to preliminarily demonstrate the relationship of land-sea economy.

With Granger causality test, we can draw that there is a causal relationship between the land area economy and marine economy. Further with the relational schema analysis, we can draw that the relationship between marine economy and land economy in 11 coastal provinces and cities can be summed up into four kinds of patterns such as land-sea weak type, land-sea strong type, sea strong land weak type and land strong sea weak type.

For the government and related disaster management departments, when policies are made and relevant measures are taken in the process of planning economic layout of land-sea economy, similar policies or measures may be taken for the same type of provinces, in order to improve administrative efficiency.

The development and utilization between land economy and marine economy has a certain contradiction, which must be balanced to realize the balanced development of land economy and marine economy. Therefore, it is necessary to comprehensively assess the grey relational analysis of land-sea economy, in order to provide the basis for reasonable policies.

The purpose of this paper is to examine corporate governance mechanisms' influence on governance and enterprise restructuring in Southeast Europe (Western Balkans) transition economies: Albania, Bosnia and Herzegovina, Croatia, Macedonia, Montenegro and Serbia. Hence, the basic hypothesis to test governance and enterprise restructuring is that it is influenced by gross domestic product and foreign direct investments dynamics.

The econometric model used in this study is a regression model. Further, the estimation is based on data provided by the databases of the European Bank for Reconstruction and Development (EBRD) Transition report series, the World Bank Database and the National Banks' databases of the countries in Southeast Europe. The hypothesis is that the variable governance and enterprise restructuring is encouraged by movements in gross domestic product and especially foreign direct investments dynamics.

It is apparent that governance and enterprise restructuring advance through time due to imposed policies, as well as overall progress of the economies' gross domestic product and especially the influx of foreign direct investments.

This paper is a contribution to the research developing the business aspects of the Southeast Europe economy, as there is constant lack of scientific papers that deal with the specific issues of corporate governance and enterprise restructuring.

This paper aims to analyze the pattern of public debt in Brazil, Russian Federation, India, China and South Africa (BRICS) in a comparative perspective. Besides, an attempt is made to verify the existence of debt overhang as suggested by Krugman (1988) among BRICS nations.

Annual panel data for BRICS for the period 1980-2016 has been used for the analysis. Percentage ratio method has been used to analyze the pattern of debt. Panel covariate augmented Dickey–Fuller (pCADF) test has been used to verify the time series properties of the variable, while panel cointegration test of Pedroni (1999) is used to check the existence of any co-integrating vector among the variables. Panel Granger causality test is used to check the causality between the variables.

Co-integration result suggests that there exists a strong long-run equilibrium relationship between debt service, domestic savings, capital formation and economic growth of BRICS nations. From Granger causality test, it is observed that domestic savings and capital formation are Granger caused by debt servicing. The coefficients from fully modified ordinary least squares measure a negative impact of debt service on gross capital formation and gross domestic saving. This suggests that the payment for debt service affects capital formation and gross domestic savings adversely. Thus, it gives primary signals for debt overhang effect in BRICS nations.

Allowing debt service to negatively affect the investment and potential investment will result in slowdown or stagnation in economic growth in the long run, so strategies need to be taken in BRICS nations to check the adverse effects of rising level of debt-service-payment-to-gross national income ratio on domestic savings and capital formation. BRICS nations need to reduce their debt service payment by undertaking appropriate strategy of debt overhaul and fiscal management so that domestic savings and capital formation in the country will not be adversely affected. Besides, BRICS nations need to take measures to augment its domestic savings and capital formations.

To the best of the authors’ knowledge, no published works have analyzed the pattern of public debt for BRICS (major developing nations). Debt servicing is also not checked for BRICS in recent papers, considering overhang approach.

The “resource curse phenomenon” has received a lot of attention from researchers; however, there has not been any sound explanation to back this phenomenon since the main reason why natural resource should restrain economic growth instead of boosting economic growth remains unanswered. This paper contributes to literature on “resource curse hypothesis” by examining the role of government effectiveness in influencing the impact of gas resource rent on economic growth.

The study adopted the Cobb-Douglass production and incorporated gas resource rent, institutional quality (government effectiveness), inflation and exchange rate as additional variables that influences total output (gross domestic product). The author estimated the empirical form of the Cobb-Douglass production using autoregressive distributed lag model (ARDL) and Toda and Yamamoto (1995) as the main estimation strategies while other time series approaches were used as a robustness check.

The estimates from the ARDL short-run and the long-run dynamics suggest that the direct impact of gas resource rent on economic growth was positive but not statistically significant. At the same time, the interacting of gas resource rent and government effectiveness showed a positive and statistically significant effect of nearly 0.4123 and 0.8724 on economic growth in the long run and short run, respectively. The results from the Toda and Yamamoto (1995) also indicated that economic growth has a strong influence on gas resource rent while government effectiveness drives economic growth and not vice versa.

The findings from this study imply that government effectiveness plays a crucial role in averting the “resource curse phenomenon”. Hence, improving government effectiveness and efficiency through minimizing corruption among state institutions would be imperative in curbing the “resource curse phenomenon” in developing countries.

The influential role of government effectiveness on the relationship between gas resource rent on economic growth is examined.

The purpose of this paper is to investigate the effect of macroeconomic factors in income growth, as defined by IS‐LM, and the relation between these factors and economic cycles. More precisely, the paper aims to investigate how the demand and supply factors affect income growth, while the relation between these factors and economic cycles is also examined.

The sample under examination is the annual US data for 1928‐2007, using the official data as released in the US Bureau of Economic Analysis, while for the crises the used data have been provided by the National Bureau of Economic Research, Graduate Center of the City University of New York. The Business Cycles were examined, using the methodology developed by the National Bureau of Economic Research, Graduate Center of the City University of New York.

The research findings imply that government consumption expenditure growth is the most important factor that affects Gross Domestic Product growth positively. A change of 10 percent in Government consumption leads to 1.65 percent Gross Domestic Product growth. Also, the duration of crises is affected by lowering interest rates, while being also affected by government and personal consumption. Overall, the empirical findings of the study indicate that the role of private investments for Gross Domestic Product growth may be overrated among policy makers, given the low contribution of this factor to Gross Domestic Product growth.

The model used has some limitations. First, it does not examine the effect of a policy over Gross Domestic Product growth in longer time‐spans. Second, it does not investigate factor inter‐reactions. It could also be argued that other factors that would stimulate growth or affect crisis are not accounted for, such as wars, tax policies, international trade and population growth. Finally, the model investigates only the US economy; therefore, it could be argued that the findings may not coincide with findings from other economies.

The paper contributes to the economics literature by adding a further insight into the possible mix of policy that could be followed by regulatory authorities and governments for both the boost of economy and the finalization of economic crises.

Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some legal aspects concerning MNEs, cyberspace and e‐commerce as the means of expression of the digital economy. The whole effort of the author is focused on the examination of various aspects of MNEs and their impact upon globalisation and vice versa and how and if we are moving towards a global digital economy.