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1 – 10 of over 3000Binh Tran-Nam, Cuong Le-Van, Van Pham-Hoang and Thai-Ha Le
This paper is a dedication to Professor Ngo Van Long who introduced the idea of Kant–Nash equilibrium. The author extends this analysis to the study of adult and child labor…
Abstract
Purpose
This paper is a dedication to Professor Ngo Van Long who introduced the idea of Kant–Nash equilibrium. The author extends this analysis to the study of adult and child labor markets.
Design/methodology/approach
This is a game theoretic analysis of the market for adult and child workers when some firms behave in the neoclassical Nashian way and some firms follow a Kantian social norm.
Findings
The presence of Kantian firms in the output market in addition to Nashian lowers industry output and labor demand. This raises the possibility that Kantian behavior in the output market could lower wages sufficiently and increase the incidence of child labor. If firms engage in Kantian behavior in the labor market by not hiring child workers, adult wage rises but could lower child wage as children if they work can only work for Nashian firms. When labor demand is sufficiently high, more Kantians could raise adult wage above subsistence and eliminate child labor supply.
Originality/value
This is the first paper to apply Kant–Nash equilibrium to the labor market. The result that Kantian behavior could have an unintended negative spillover effect in other markets is new. The paper keeps alive the ideas of Professor Long, which hopefully will stimulate further work and build on his ideas.
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Binh Tran-Nam, Ngo Van Long and Makoto Tawada
This edited volume has its genesis in a conference entitled New Paradigms in Economics of Welfare and Trade under Globalisation and Regionalisation. Held at the Coogee campus of…
Abstract
This edited volume has its genesis in a conference entitled New Paradigms in Economics of Welfare and Trade under Globalisation and Regionalisation. Held at the Coogee campus of the Australian School of Taxation (Atax), University of New South Wales (Sydney, Australia) from 8th to 10th August 2006, this conference brought together economic theorists from around the globe to celebrate Murray Kemp's 80th birthday. Conference participants and presenters included a former teacher, colleagues, co-authors, senior academics and many former students of Murray. After a two-year gestation period, the volume has finally been published. Half of the chapters in this book are derived from papers presented at the conference. The remaining half of the book consists of invited papers completed after the conference. All chapters in this volume were subjected to a formal reviewing and revision process.
Purpose – In this chapter we study the welfare effects of relaxing government restrictions on bidding by foreign firms for government procurement contracts.Methodology – We use a…
Abstract
Purpose – In this chapter we study the welfare effects of relaxing government restrictions on bidding by foreign firms for government procurement contracts.
Methodology – We use a modified version of the Tullock model of rent contests. Firms spend resources to influence decisions of awarding contracts. We consider the case where firms are heterogeneous in terms of lobbying effectiveness.
Findings – The opening of the bidding opportunities to foreign firms can, under certain conditions, improve social welfare of the liberalizing country. The gain partly comes from reduced aggregate domestic lobbying efforts, which implies lower social waste, and partly from tax revenue on the profits of winning foreign firms.
Practical implications – Our analysis indicates that when negotiating on opening up trade in services, governments should take into account the effects of foreign entry on domestic lobbying costs.
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Purpose − The principal aim of this chapter is to present a comprehensive and critical review of Murray Kemp's contributions to the discipline of international trade and welfare…
Abstract
Purpose − The principal aim of this chapter is to present a comprehensive and critical review of Murray Kemp's contributions to the discipline of international trade and welfare economics.
Methodology/Approach − This chapter employs the critical literature review approach, including archival analysis and face-to-face interviews.
Findings − It is shown that Kemp has been a key player in the modernization of trade theory. In particular, he has extended the theorems of gains from trade in many different directions and under the most general conditions.
Practical implications − In surveying Kemp's research contributions this chapter provides a useful overview of the development of the normative theory of trade. It also examines a number of methodological issues that may prove to be useful to economic theorists.
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Cuong Le-Van, Ngoc-Anh Nguyen, Ngoc-Minh Nguyen and Phu Nguyen-Van
The authors estimated the hidden overhead (capital diversion or wasteful use of capital) of Vietnam state-owned enterprises (SOEs).
Abstract
Purpose
The authors estimated the hidden overhead (capital diversion or wasteful use of capital) of Vietnam state-owned enterprises (SOEs).
Design/methodology/approach
The authors used a panel data set of 10,200 Vietnam SOEs observed over the period 2010–2018. The authors modeled and estimated the hidden overhead by using a stochastic production frontier. The hidden overhead parameter is modelled as the technical inefficiency in the production function.
Findings
Vietnam SOEs are very capital intensive. The hidden overhead (or the wasteful use of capital) is very high with an average rate of 69%.
Research limitations/implications
Alternative estimation methods should be used to account for endogeneity in production inputs. Lack of comparison with the Vietnam private firms.
Originality/value
The paper proposes an original way to quantify hidden overhead (or capital diversion) in the Vietnam SOEs. The finding (a capital diversion rate of 69% on average) is astonishing. It calls for an urgent and profound reform of the Vietnam SOEs.
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