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1 – 10 of 142Mohd Arshad Ansari, Mohammad Rais Ahmad, Pushp Kumar, Arvind Kumar Yadav and Rajveer Kaur Ritu
This study aims to examine the impact of oil consumption on carbon dioxide (CO2) emissions and total factor productivity (TFP) in highly oil-consuming countries of the world from…
Abstract
Purpose
This study aims to examine the impact of oil consumption on carbon dioxide (CO2) emissions and total factor productivity (TFP) in highly oil-consuming countries of the world from 1995 to 2019.
Design/methodology/approach
For this purpose, fully modified ordinary least squares (FMOLS) and dynamic ordinary least squares (DOLS) are applied.
Findings
FMOLS and DOLS models reveal that oil consumption, human capital, population, trade openness and nonrenewable energy have a significant positive effect on CO2 emissions. While information and communication technology (ICT), as proxied by mobile and natural resources, has a significant negative effect on CO2 emissions. In the case of TFP, oil consumption, ICT and natural resources have a significant positive effect on the TFP. On the other hand, trade openness, population, human capital and nonrenewable energy have a significant negative effect on TFP. The results of this study can help to provide policy recommendations to reduce CO2 emissions in studied highly oil-consuming countries of the world.
Originality/value
Due to the threat to sustainable development, climate change has become a major topic for debate around the world. The influence of oil consumption on CO2 emission and TFP is less known in the available literature. Another significance of this study is that many researchers considered aggregate energy consumption to study this relationship, but the authors have studied the effect of energy consumption, particularly from oil in the top oil-consuming countries, which is a significant shortcoming of the present research.
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Luis Orea, Inmaculada Álvarez-Ayuso and Luis Servén
This chapter provides an empirical assessment of the effects of infrastructure provision on structural change and aggregate productivity using industrylevel data for a set of…
Abstract
This chapter provides an empirical assessment of the effects of infrastructure provision on structural change and aggregate productivity using industrylevel data for a set of developed and developing countries over 1995–2010. A distinctive feature of the empirical strategy followed is that it allows the measurement of the resource reallocation directly attributable to infrastructure provision. To achieve this, a two-level top-down decomposition of aggregate productivity that combines and extends several strands of the literature is proposed. The empirical application reveals significant production losses attributable to misallocation of inputs across firms, especially among African countries. Also, the results show that infrastructure provision has stimulated aggregate total factor productivity growth through both within and between industry productivity gains.
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Yan Han, Yanqi Sun, Kevin Huang and Cheng Xu
This study aims to examine the complex effects of foreign direct investment (FDI) on China’s agricultural total factor productivity (TFP) from 2005 to 2020. It also explores the…
Abstract
Purpose
This study aims to examine the complex effects of foreign direct investment (FDI) on China’s agricultural total factor productivity (TFP) from 2005 to 2020. It also explores the role of absorptive capacity as a moderating factor during this period.
Design/methodology/approach
Employing provincial panel data from China, this research measures agricultural TFP using the Stochastic Frontier Approach (SFA)-Malmquist method. The impact of FDI on agricultural productivity is further analyzed using a nondynamic panel threshold model.
Findings
The results highlight technological progress as the main driver of agricultural TFP growth in China. Agricultural FDI (AFDI) seems to impede TFP development, whereas nonagricultural FDI (NAFDI) shows a distinct positive spillover effect. The study reveals a threshold in absorptive capacity that affects both the direct and spillover impacts of FDI. Provinces with higher absorptive capacity are less negatively impacted by AFDI and more likely to benefit from FDI spillovers (FDISs).
Originality/value
This study provides new insights into the intricate relationship between FDI, absorptive capacity and agricultural productivity. It underscores the importance of optimizing technological progress and research and development (R&D) to enhance agricultural productivity in China.
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Ni Xiong and Longzheng Du
This study examines whether Confucian culture can promote enterprise total factor productivity (TFP), and it also studies how transmission mechanism works on enterprise TFP.
Abstract
Purpose
This study examines whether Confucian culture can promote enterprise total factor productivity (TFP), and it also studies how transmission mechanism works on enterprise TFP.
Design/methodology/approach
Based on the data of A-share listed companies on Shanghai and Shenzhen stock markets from 2008 to 2019, this study measures the influence of Confucian culture on enterprise TFP by the number of Confucian academies and Confucian temples within three radius ranges of a company's registered address.
Findings
The empirical results show that Confucian culture has a positive effect on the enterprise TFP. The transmission mechanism test shows that Confucian culture can promote the TFP of Chinese enterprises through reducing agency cost, improving agency efficiency and enhancing innovation.
Practical implications
The findings in this study provide implications for policymakers, scholars and enterprises. The results show that Confucian culture can enhance the TFP of Chinese enterprises. Especially in emerging markets including China, the Confucian culture, as an informal institution, can effectively complement formal institutions, promoting enterprise TFP.
Originality/value
This study expands the literature on Confucian culture in two aspects: the influence of Confucian culture on TFP and its transmission mechanism. To the authors' knowledge, this is the first study to identify a link between Confucian culture and enterprise TFP.
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Hasan Bağcı and Seyhan Çil Koçyiğit
Decree Law No. 663 introduced a decentralized organizational structure and administration pertaining to Turkish public hospitals in November 2011. This study aims to explore the…
Abstract
Purpose
Decree Law No. 663 introduced a decentralized organizational structure and administration pertaining to Turkish public hospitals in November 2011. This study aims to explore the effects of the public hospital unions (PHUs), which were a result of Decree Law No. 663, on the efficiency and productivity of public hospitals.
Design/methodology/approach
Data envelopment analysis (DEA) and DEA-based Malmquist total factor productivity (TFP) index were used from 2011 to 2016. Raw materials and supply expenses, salaries and fringe benefits, other service costs, general administrative expenses, total number of beds, number of specialists, number of residents, number of general practitioners, number of nurses and midwives and other medical officials were used as input variables. Working capital turnover, number of inpatients, number of outpatients and number of surgical operations for Groups A, B and C were used as output variables.
Findings
According to the DEA scores, the percentage of efficient hospitals showed a declining trend from 2011 to 2016. The TFP results also showed a decreasing trend from 2011 to 2016.
Practical implications
Providing administrative and financial autonomy to public hospital managers may cause efficiency and productivity losses, which is contrary to expectations.
Originality/value
This study is the first to reveal the impact of decentralization of public healthcare providers on their performance levels in Turkey.
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Simplice Asongu, Christelle Meniago and Raufhon Salahodjaev
This study investigates (1) the effect of foreign direct investment (FDI) on total factor productivity (TFP) and economic growth dynamics and (2) the relevance of value added from…
Abstract
Purpose
This study investigates (1) the effect of foreign direct investment (FDI) on total factor productivity (TFP) and economic growth dynamics and (2) the relevance of value added from three economic sectors in modulating the established effect of FDI on TFP and economic growth dynamics.
Design/methodology/approach
The geographical and temporal scopes are respectively 25 Sub-Saharan African countries and the period 1980–2014. The empirical evidence is based on non-interactive and interactive generalised method of moments.
Findings
The following main findings are established. First, FDI has a positive effect on gross domestic product (GDP) growth, GDP per capita and welfare real TFP. Second, the effect of FDI is negative on real GDP and TFP while the impact is insignificant on real TFP growth and welfare TFP. Third, values added to the three economic sectors largely modulate FDI to produce negative net effects on TFP and growth dynamics.
Practical implications
Policy implications are discussed with particular emphasis on the need to complement added value across various economic sectors in order to leverage on the benefits of FDI in TFP and economic growth.
Originality/value
To the best of the authors’ knowledge, this is the first study to assess how value added from various economic sectors affect the relevance of FDI on macroeconomic outcomes.
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Francesco Aiello, Paola Cardamone, Lidia Mannarino and Valeria Pupo
The purpose of this study is to investigate whether and how inter-firm cooperation and firm age moderate the relationship between family ownership and productivity.
Abstract
Purpose
The purpose of this study is to investigate whether and how inter-firm cooperation and firm age moderate the relationship between family ownership and productivity.
Design/methodology/approach
We first estimate the total factor productivity (TFP) of a large sample of Italian firms observed over the period 2010–2018 and then apply a Poisson random effects model.
Findings
TFP is, on average, higher for non-family firms (non-FFs) than for FF. Furthermore, inter-organizational cooperation and firm age mitigate the negative effect of family ownership. In detail, it is found that belonging to a network acts as a moderator in different ways according to firm age. Indeed, young FFs underperform non-FF peers, although the TFP gap decreases with age. In contrast, the benefits of a formal network are high for older FFs, suggesting that an age-related learning process is at work.
Practical implications
The study provides evidence that FFs can outperform non-FFs when they move away from Socio-Emotional Wealth-centered reference points and exploit knowledge flows arising from high levels of social capital. In the case of mature FFs, networking is a driver of TFP, allowing them to acquire external resources. Since FFs often do not have sufficient in-house knowledge and resources, they must be aware of the value of business cooperation. While preserving the familiar identity of small companies, networks grant FFs the competitive and scale advantages of being large.
Originality/value
Despite the wide but ambiguous body of research on the performance gap between FFs and non-FFs, little is known about the role of FFs’ heterogeneity. This study has proven successful in detecting age as a factor in heterogeneity, specifically to explain the network effect on the link between ownership and TFP. Based on a representative sample, the study provides a solid framework for FFs, policymakers and academic research on family-owned companies.
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Vipin Valiyattoor and Anup Kumar Bhandari
A brief review of earlier studies on the productivity scenario of Indian industry shows that most of the studies analysed are confined to either parametric approach or growth…
Abstract
Purpose
A brief review of earlier studies on the productivity scenario of Indian industry shows that most of the studies analysed are confined to either parametric approach or growth accounting approach of measuring productivity. At the same time, the few studies based on the non-parametric [namely, Malmquist productivity index (MPI)] overlook the returns to scale conditions as well as the bias involved in the estimation of distance functions. Given this backdrop, this study aims to provide a robust measure of productivity, which considers the returns to scale assumptions and correct for the bias involved in the estimation of productivity.
Design/methodology/approach
This study empirically tests for the returns to scale that exists in the chemical and chemical products industry in India. The test result suggests that Ray and Desli (1997) approach of MPI is the appropriate one for the present context. Initially, the conventional Ray and Desli (1997) estimation and decomposition of MPI for the period 2001 to 2017 is being used. Subsequently, to correct for the bias in the estimation of efficiency scores used for the estimation of MPI, the bootstrapping algorithm of Simar and Wilson (2007) has been extended into the context of MPI estimation.
Findings
The results from the conventional Malmquist productivity estimates testifies to an improvement of total factor productivity (TFP) in seven out of 16 years under consideration. On the contrary, TFP growth is recorded only in the four years throughout the period after the bias correction. A greater discrepancy between the two measures has been found in the case of scale change factor component of MPI.
Practical implications
The technical change (TC) component positively influences TFP, whereas scale change factor (SCF) deteriorates the TFP condition of this industry. It will be appropriate for these firms to identify and operate under an optimal scale of operation, along with reaping the benefits of technological change. From a methodological perspective, researchers should consider the potential bias that arise in estimation of TFP and use a larger sample whenever possible.
Originality/value
This paper brings in a new perspective to the existing literature on industrial productivity. As against earlier studies, this study empirically tests the returns to scale of the sector under consideration and uses the most appropriate approach to measure productivity. The effect of sampling bias on TFP and its components is analysed.
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Anh Tuyet Nguyen, Vu Hiep Hoang, Phuong Thao Le, Thi Thanh Huyen Nguyen and Thi Thanh Van Pham
This study addresses the empirical results of the spillover effect with export as the primary economic activity that enhances local businesses' total factor productivity (TFP). A…
Abstract
Purpose
This study addresses the empirical results of the spillover effect with export as the primary economic activity that enhances local businesses' total factor productivity (TFP). A learning mechanism is expected to be generated and used as the basis for the policy implication.
Design/methodology/approach
This study adopted the Cobb–Douglas function and multiple estimation approaches, including the generalized method of moments, the Olley–Pakes and the Levinsohn–Petrin estimation techniques. The findings were estimated based on the panel data of a Vietnamese local businesses survey conducted by the General Statistics Office of Vietnam (GSO) from 2010 to 2019.
Findings
The results showed that the highest TFP belongs to the businesses in the Southeast region, the Mekong Delta region, the mining industry and the foreign-invested enterprises. The lowest impacted TFP are businesses in the Northwest region and agricultural, forestry and fishery sectors. In addition, the estimated results also show that the positive spillover effect on TFP is shown through forward and backward linkage. The negative spillover effect is expressed through the backward and horizontal channels.
Research limitations/implications
This study offers original empirical evidence on the learning mechanisms via which exports contribute to productivity improvement in a developing Asian economy, so making a valuable contribution to the existing academic literature in this domain. The findings of this research make a valuable contribution to the advancement of understanding on the many ways via which spillover effects manifest such as horizontal, forward, backward and supplied-backward linkage.
Practical implications
The study's findings indicate that it is advisable for governments to give priority to the development and improvement of forward and supply chain linkages between exporters and local suppliers. This approach is recommended in order to optimize the advantages derived from export spillovers. At the organizational level, it is imperative for enterprises to strengthen their technological and managerial skills in order to efficiently incorporate knowledge spillovers that originate from overseas partners and trade counterparts.
Originality/value
This study sheds new evidence on the export spillover effect on productivity in emerging economies, with Vietnam as the case study. The paper contributes to the research's originality by adopting novel methodological aspects to estimate local businesses' impact on total factor productivity.
Peer review
The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-05-2023-0373
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Cleyton Farias and Marcelo Silva
The authors explore the hypothesis that some movements in commodity prices are anticipated (news shocks) and can trigger aggregate fluctuations in small open emerging economies…
Abstract
Purpose
The authors explore the hypothesis that some movements in commodity prices are anticipated (news shocks) and can trigger aggregate fluctuations in small open emerging economies. This paper aims to discuss the aforementioned objective.
Design/methodology/approach
The authors build a multi-sector dynamic stochastic general equilibrium model with endogenous commodity production. There are five exogenous processes: a country-specific interest rate shock that responds to commodity price fluctuations, a productivity (TFP) shock for each sector and a commodity price shock. Both TFP and commodity price shocks are composed of unanticipated and anticipated components.
Findings
The authors show that news shocks to commodity prices lead to higher output, investment and consumption, and a countercyclical movement in the trade-balance-to-output ratio. The authors also show that commodity price news shocks explain about 24% of output aggregate fluctuations in the small open economy.
Practical implications
Given the importance of both anticipated and unanticipated commodity price shocks, policymakers should pay attention to developments in commodity markets when designing policies to attenuate the business cycles. Future research should investigate the design of optimal fiscal and monetary policies in SOE subject to news shocks in commodity prices.
Originality/value
This paper contributes to the knowledge of the sources of fluctuations in emerging economies highlighting the importance of a new source: news shocks in commodity prices.
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