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1 – 10 of over 2000
Article
Publication date: 9 July 2020

Shurui Zhang, Shuo Wang, Lingran Yuan, Xiaoguang Liu and Binlei Gong

This article investigates the mechanism of the direct and indirect effects of epidemics on agricultural production and projects the impact of COVID-19 on agricultural output in…

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Abstract

Purpose

This article investigates the mechanism of the direct and indirect effects of epidemics on agricultural production and projects the impact of COVID-19 on agricultural output in China.

Design/methodology/approach

This article first adopts a dynamic panel model and spatial Durbin model to estimate the direct and indirect effects, followed by a growth accounting method to identify the channels by which epidemics affect agriculture; finally, it projects the overall impact of COVID-19 on agriculture.

Findings

The incidence rate of epidemics in a province has a negative impact on that province's own agricultural productivity, but the increase in the input factors (land, fertilizer and machinery) can make up for the loss and thus lead to insignificant direct effects. However, this “input-offset-productivity” mechanism fails to radiate to the surrounding provinces and therefore leads to significant indirect/spillover effects. It is projected that COVID-19 will lower China's agricultural growth rate by 0.4%–2.0% in 2020 under different scenarios.

Research limitations/implications

It is crucial to establish a timely disclosure and sharing system of epidemic information across provinces, improve the support and resilience of agricultural production in the short run and accelerate the process of agricultural modernization in the long run.

Originality/value

Considering the infectivity of epidemics, this article evaluates the mechanism of the direct and indirect effects by introducing a spatial dynamic model into the growth accounting framework. Moreover, besides the impact on input portfolio and productivity, this article also investigates whether epidemics reshape agricultural production processes due to panic effects and control measures.

Details

China Agricultural Economic Review, vol. 12 no. 3
Type: Research Article
ISSN: 1756-137X

Keywords

Book part
Publication date: 1 December 2016

Yuxue Sheng and James P. LeSage

We are interested in modeling the impact of spatial and interindustry dependence on firm-level innovation of Chinese firms The existence of network ties between cities imply that…

Abstract

We are interested in modeling the impact of spatial and interindustry dependence on firm-level innovation of Chinese firms The existence of network ties between cities imply that changes taking place in one city could influence innovation by firms in nearby cities (local spatial spillovers), or set in motion a series of spatial diffusion and feedback impacts across multiple cities (global spatial spillovers). We use the term local spatial spillovers to reflect a scenario where only immediately neighboring cities are impacted, whereas the term global spatial spillovers represent a situation where impacts fall on neighboring cities, as well as higher order neighbors (neighbors to the neighboring cities, neighbors to the neighbors of the neighbors, and so on). Global spatial spillovers also involve feedback impacts from neighboring cities, and imply the existence of a wider diffusion of impacts over space (higher order neighbors).

Similarly, the existence of national interindustry input-output ties implies that changes occurring in one industry could influence innovation by firms operating in directly related industries (local interindustry spillovers), or set in motion a series of in interindustry diffusion and feedback impacts across multiple industries (global interindustry spillovers).

Typical linear models of firm-level innovation based on knowledge production functions would rely on city- and industry-specific fixed effects to allow for differences in the level of innovation by firms located in different cities and operating in different industries. This approach however ignores the fact that, spatial dependence between cities and interindustry dependence arising from input-output relationships, may imply interaction, not simply heterogeneity across cities and industries.

We construct a Bayesian hierarchical model that allows for both city- and industry-level interaction (global spillovers) and subsumes other innovation scenarios such as: (1) heterogeneity that implies level differences (fixed effects) and (2) contextual effects that imply local spillovers as special cases.

Details

Spatial Econometrics: Qualitative and Limited Dependent Variables
Type: Book
ISBN: 978-1-78560-986-2

Keywords

Article
Publication date: 2 January 2023

Kangyin Dong, Jianda Wang and Xiaohang Ren

The purpose of this study is to examine the spatial fluctuation spillover effect of green total factor productivity (GTFP) under the influence of Internet development.

Abstract

Purpose

The purpose of this study is to examine the spatial fluctuation spillover effect of green total factor productivity (GTFP) under the influence of Internet development.

Design/methodology/approach

Using panel data from 283 cities in China for the period 2003–2016, this paper explores the spatial fluctuation spillover effect of internet development on GTFP by applying the spatial autoregressive with autoregressive conditional heteroscedasticity model (SARspARCH).

Findings

The results of Moran's I test of the residual term and the Bayesian information criterion (BIC) value indicate that the GTFP has a spatial fluctuation spillover effect, and the estimated results of the SARspARCH model are more accurate than the spatial autoregressive (SAR) model and the spatial autoregressive conditional heteroscedasticity (spARCH) model. Specifically, the internet development had a positive spatial fluctuation spillover effect on GTFP in 2003, 2011, 2012 and 2014, and the volatility spillover effect weakens the positive spillover effect of internet development on GTFP. Moreover, Internet development has a significant positive spatial fluctuation spillover effect on GTFP averagely in eastern China and internet-based cities.

Research limitations/implications

The results of this study provide digital solutions for policymakers in improving the level of GTFP in China, with more emphasis on regional synergistic governance to ensure growth.

Originality/value

This paper expands the research ideas for spatial econometric models and provides a more valuable reference for China to achieve green development.

Details

Management of Environmental Quality: An International Journal, vol. 34 no. 3
Type: Research Article
ISSN: 1477-7835

Keywords

Article
Publication date: 4 April 2022

Olumide Olusegun Olaoye

The paper investigates the prevalence of extreme poverty in a panel of 39 sub-Saharan African (SSA) countries over the period 2000–2018 while accounting for spillover effects.

Abstract

Purpose

The paper investigates the prevalence of extreme poverty in a panel of 39 sub-Saharan African (SSA) countries over the period 2000–2018 while accounting for spillover effects.

Design/methodology/approach

The study adopts the recently developed spatial dependence-consistent, bias-corrected quasi-maximum likelihood (QML) estimators and the linear dynamic panel regression to control for the potential endogeneity in poverty and corruption spillovers.

Findings

The spatial model shows. consistently across all the specifications, that there is a substantial spillover effect of corruption and poverty across the region. Additionally, the study also found that investment in health and education is a significant determinant of poverty in the region. However, the effectiveness of these policy variables to reduce poverty declines in the face of corruption spillovers. More importantly, the empirical analysis shows that poverty does not only exhibit spatial spillovers but also has a persistent effect over time. The results, therefore, suggest that to reduce poverty in the region, sub-Saharan African governments must adopt spatially differentiated policies and programmes by working together to reduce unemployment and corruption in the region, and not the widely adopted spatially mute designs currently in place. The research and policy implications are discussed.

Originality/value

The study accounts for spatial dependency and spillover effects in the analysis of poverty and corruption in SSA

Details

Journal of Economic Studies, vol. 50 no. 3
Type: Research Article
ISSN: 0144-3585

Keywords

Book part
Publication date: 18 January 2022

Weilin Liu, Robin C. Sickles and Yao Zhao

This chapter estimates heterogeneous productivity growth and spatial spillovers through industrial linkages in the United States and China from 1981 to 2010. The authors employ a…

Abstract

This chapter estimates heterogeneous productivity growth and spatial spillovers through industrial linkages in the United States and China from 1981 to 2010. The authors employ a spatial Durbin stochastic frontier model and estimates with a spatial weight matrix based on inter-country input–output linkages to describe the spatial interdependencies in technology. The authors estimate productivity growth and spillovers at the industry level using the World KLEMS database. The spillovers of factor inputs and productivity growth are decomposed into domestic and international effects. Most of the spillover effects are found to be significant and the spillovers of productivity growth offered and received provide detailed information reflecting interdependence of the industries in the global value chain (GVC). The authors use this model to evaluate the impact of a US–Sino decoupling of trade links based on simulations of four scenarios of the reductions in bilateral intermediate trade. Their estimation results and their simulations are as mentioned based on date that ends in 2010, as this is the only KLEMS data available for these countries at this level of industrial disaggregation. As the GVC linkages between the United States and China have expanded since the end of their sample period their results can be viewed as informative in their own right for this period as well as possible lower bounds on the extent of the spillovers generated by an expanding GVC.

Details

Essays in Honor of M. Hashem Pesaran: Prediction and Macro Modeling
Type: Book
ISBN: 978-1-80262-062-7

Keywords

Book part
Publication date: 1 December 2016

Jaepil Han, Deockhyun Ryu and Robin Sickles

This paper aims to investigate spillover effects of public capital stock in a production function model that accounts for spatial dependencies. In many settings, ignoring spatial…

Abstract

This paper aims to investigate spillover effects of public capital stock in a production function model that accounts for spatial dependencies. In many settings, ignoring spatial dependency yields inefficient, biased and inconsistent estimates in cross country panels. Although there are a number of studies aiming to estimate the output elasticity of public capital stock, many of those fail to reach a consensus on refining the elasticity estimates. We argue that accounting for spillover effects of the public capital stock on the production efficiency and incorporating spatial dependences are crucial. For this purpose, we employ a spatial autoregressive stochastic frontier model based on a number of specifications of the spatial dependency structure. Using the data of 21 OECD countries from 1960 to 2001, we estimate a spatial autoregressive stochastic frontier model and derive the mean indirect marginal effects of public capital stock, which are interpreted as spillover effects. We found that spillover effects can be an important factor explaining variations in technical inefficiency across countries as well as in explaining the discrepancies among various levels of output elasticity of public capital stock in traditional production function approaches.

Details

Spatial Econometrics: Qualitative and Limited Dependent Variables
Type: Book
ISBN: 978-1-78560-986-2

Keywords

Article
Publication date: 23 May 2022

Peipei Liu and Wei-Qiang Huang

This study is the first that aims to investigate international transmission channels of sovereign risk among G20 and explore its influential factors by applying the…

Abstract

Purpose

This study is the first that aims to investigate international transmission channels of sovereign risk among G20 and explore its influential factors by applying the multidimensional SAR model.

Design/methodology/approach

Multiple spatial weight matrices can capture the contiguity of spatial units from various dimensions, which could be exploited to improve the precision of inference as well as prediction accuracy. To the best of the authors’ knowledge, this is the first study to investigate international transmission channels of sovereign risk among G20 and explore its influential factors by applying the multidimensional SAR model.

Findings

With network structure analysis, this study finds that they contain different information content from the perspective of graphical display, node strength and correlation. Developed and emerging countries all play major roles in trade connection, while only developed countries play major roles in financial linkage. Second, by applying the multidimensional SAR model, only the spatial autocorrelation coefficients for trade and financial linkages are significant during the full sample period, which is in sharp contrast to published studies using the SAR model with a single matrix. Third, the spillover channels that play major roles in various periods are different. Only trade channel plays a role during crisis periods and it is the most important. Fourth, the spatial correlation among countries greatly amplifies the shock’s impacts on one market. And spatial effect for developed countries is larger than those for emerging countries, while the mean spatial effect of a unit shock in the USA on emerging countries is slightly greater than that on developed countries.

Originality/value

Multiple spatial weight matrices can capture the contiguity of spatial units from various dimensions, which could be exploited to improve the precision of inference as well as prediction accuracy. To the best of the authors’ knowledge, this is the first study to investigate international transmission channels of sovereign risk among G20 and explore its influential factors by applying the multidimensional SAR model.

Details

International Journal of Emerging Markets, vol. 18 no. 12
Type: Research Article
ISSN: 1746-8809

Keywords

Open Access
Article
Publication date: 25 October 2022

Andrea Valenzuela-Ortiz, Jorge Chica-Olmo and José-Alberto Castañeda

This research investigates the effect of accessibility to points of tourist interest (buffer) and direct and indirect spatial spillover effects of agglomeration economies on…

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Abstract

Purpose

This research investigates the effect of accessibility to points of tourist interest (buffer) and direct and indirect spatial spillover effects of agglomeration economies on tourism industry revenues in Spain.

Design/methodology/approach

Data were collected from the Bureau van Dijk's (BvD) Orbis global database. The data were analysed using a spatial econometric model and the Cobb–Douglas production function.

Findings

This study reveals that hotels located inside the buffer zone of points of tourist interest achieve better economic outcomes than hotels located outside the buffer. Furthermore, the results show that there is a direct and indirect spatial spillover effect in the hotel industry.

Practical implications

The results provide valuable information for identifying areas where the agglomeration of hotels will produce a spillover effect on hotel revenue and the area of influence of location characteristics. This information is relevant for hotels already established in a destination or when seeking a location for a new hotel.

Social implications

The results of this study can help city planners in influencing the distribution of hotels to fit desired patterns and improve an area's spatial beauty.

Originality/value

The paper provides insights into how investment, structural characteristics, reputation and location affect hotel revenue.

Details

European Journal of Management and Business Economics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2444-8451

Keywords

Article
Publication date: 27 December 2021

Stefano Amato, Valentina Pieroni, Nicola Lattanzi and Giampaolo Vitali

A burgeoning body of evidence points out the importance of spatial proximity in influencing firm efficiency besides internal characteristics. Nevertheless, the family status of…

Abstract

Purpose

A burgeoning body of evidence points out the importance of spatial proximity in influencing firm efficiency besides internal characteristics. Nevertheless, the family status of the firm has been traditionally overlooked in that debate. Therefore, this study aims to investigate productivity spillovers stemming from the geographical closeness to innovators and family firms.

Design/methodology/approach

Using secondary data on Italian technology-intensive manufacturing firms, the paper exploits spatial econometric models to estimate productivity spillovers across firms.

Findings

As regards the presence of spatial dependence, this study reveals that a firm's level of efficiency and productivity is influenced by that of nearby firms. Specifically, three main results emerge. First, spatial proximity to innovators is beneficial for the productivity of neighbouring firms. Second, closeness to family firms is a source of negative externalities for spatially proximate firms. However, and this is the third result, the adverse effect vanishes when the nearby family firms are also innovators.

Research limitations/implications

As the study relies on cross-sectional data, future research should explore productivity spillovers in a longitudinal setting. Additionally, the channels through which productivity spillovers occur should be measured.

Practical implications

The study highlights the importance of co-location for public policy initiatives to strengthen the competitiveness of firms and, indirectly, that of localities and regions. Moreover, the findings show the crucial role of innovation in mitigating the productivity gap between family and non-family firms.

Social implications

Notwithstanding the advent of the digital era, spatial proximity and localized social relationships are still a relevant factor affecting firms' performance.

Originality/value

By exploring the role of family firms in influencing the advantages of geographical proximity, this study contributes to the growing efforts to explore family enterprises across spatial settings.

Details

Journal of Small Business and Enterprise Development, vol. 29 no. 4
Type: Research Article
ISSN: 1462-6004

Keywords

Article
Publication date: 14 December 2021

Lijun Zhou and Zongqing Zhang

China's increasing income inequality might cause a series of problems, such as the slowdown of economic growth, social and economic tension, the decline of the ecological…

Abstract

Purpose

China's increasing income inequality might cause a series of problems, such as the slowdown of economic growth, social and economic tension, the decline of the ecological environment quality and the threat to citizens' health. Consequently, income inequality will inevitably affect the ecological well-being performance (EWP) level of China's provinces through the above aspects. Analyzing the impact of income inequality on EWP and its spatial spillover effects are conducive to improving the level of EWP in China. Therefore, the research purpose of this paper is to use China's provincial data from 2001 to 2017 to analyze the impact of income inequality on EWP and the spatial spillover effect based on the evaluation of the EWP value of each province.

Design/methodology/approach

At first, this study utilizes the super efficiency slacks-based measure model (Super-SBM model) to calculate the EWP values of 30 provinces in China, which can evaluate and rank the effective decision units in the SBM model and make up for the defect that the effective decision units cannot be distinguished. Then this study applies the spatial Durbin model and Tobit regression model (SDM-Tobit model) to explore the impact of income inequality and other influencing factors on EWP and the spatial spillover effects in adjacent areas.

Findings

Firstly, the average EWP in China fluctuated slightly and showed a downward trend from 2001 to 2017. In addition, the EWP values of the provinces in the western region are usually weaker than those in the eastern and central regions. Moreover, income inequality is negatively correlated with EWP, and the EWP has a spatial spillover effect, which means the EWP level in a region is affected by EWP values in the adjacent regions. Furthermore, the industrial structure and urbanization level are both negatively related to EWP, while technology level, investment openness, trade openness and education level are positively related to EWP.

Originality/value

Compared with the existing research, the possible contribution of this research is that it takes income inequality as one of the important influencing factors of EWP and adopts the SDM-Tobit model to analyze the impact mechanism of income inequality on EWP from the perspective of time and space, providing new ideas for improving the EWP of various provinces in China.

1 – 10 of over 2000