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1 – 10 of over 90000Rohit Apurv and Shigufta Hena Uzma
The purpose of the paper is to examine the impact of infrastructure investment and development on economic growth in Brazil, Russia, India, China and South Africa (BRICS…
Abstract
Purpose
The purpose of the paper is to examine the impact of infrastructure investment and development on economic growth in Brazil, Russia, India, China and South Africa (BRICS) countries. The effect is examined for each country separately and also collectively by combining each country.
Design/methodology/approach
Ordinary least square regression method is applied to examine the effects of infrastructure investment and development on economic growth for each country. Panel data techniques such as panel least square method, panel least square fixed-effect model and panel least square random effect model are used to examine the collective impact by combining all countries in BRICS. The dynamic panel model is also incorporated for analysis in the study.
Findings
The results of the study are mixed. The association between infrastructure investment and development and economic growth for countries within BRICS is not robust. There is an insignificant relationship between infrastructure investment and development and economic growth in Brazil and South Africa. Energy and transportation infrastructure investment and development lead to economic growth in Russia. Telecommunication infrastructure investment and development and economic growth have a negative relationship in India, whereas there is a negative association between transport infrastructure investment and development and economic growth in China. Panel data results conclude that energy infrastructure investment and development lead to economic growth, whereas telecommunication infrastructure investment and development are significant and negatively linked with economic growth.
Originality/value
The study is novel as time series analysis and panel data analysis are used, taking the time span for 38 years (1980–2017) to investigate the influence of infrastructure investment and development on economic growth in BRICS Countries. Time-series regression analysis is used to test the impact for individual countries separately, whereas panel data regression analysis is used to examine the impact collectively for all countries in BRICS.
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Aziz Kaba, Ece Yurdusevimli Metin and Onder Turan
The purpose of this study is to build a high accuracy thrust model under various small turbojet engine shaft speeds by using robust, ordinary, linear and nonlinear least squares…
Abstract
Purpose
The purpose of this study is to build a high accuracy thrust model under various small turbojet engine shaft speeds by using robust, ordinary, linear and nonlinear least squares estimation methods for target drone applications.
Design/methodology/approach
The dynamic shaft speeds from the test experiment of a target drone engine is conducted. Then, thrust values are calculated. Based on these, the engine thrust is modeled by robust linear and nonlinear equations. The models are benefited from quadratic, power and various series expansion functions with several coefficients to optimize the model parameters.
Findings
The error terms and accuracy of the model are given using sum of squared errors, root mean square error (RMSE) and R-squared (R2) error definitions. Based on the multiple analyses, it is seen that the RMSE values are no more than 17.7539 and the best obtained result for robust least squares estimation is 15.0086 for linear at all cases. Furthermore, the R2 value is found to be 0.9996 as the highest with the nonlinear Fourier series expansion model.
Originality/value
The motivation behind this paper is to propose robust nonlinear thrust models based on power, Fourier and various series expansion functions for dynamic shaft speeds from the test experiments.
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Lee C. Adkins, Randall C. Campbell, Viera Chmelarova and R. Carter Hill
The Hausman test is used in applied economic work as a test of misspecification. It is most commonly thought of as a test of whether one or more explanatory variables in a…
Abstract
The Hausman test is used in applied economic work as a test of misspecification. It is most commonly thought of as a test of whether one or more explanatory variables in a regression model are endogenous. The usual Hausman contrast test requires one estimator to be efficient under the null hypothesis. If data are heteroskedastic, the least squares estimator is no longer efficient. The first option is to estimate the covariance matrix of the difference of the contrasted estimators, as suggested by Hahn, Ham, and Moon (2011). Other options for carrying out a Hausman-like test in this case include estimating an artificial regression and using robust standard errors. Alternatively, we might seek additional power by estimating the artificial regression using feasible generalized least squares. Finally, we might stack moment conditions leading to the two estimators and estimate the resulting system by GMM. We examine these options in a Monte Carlo experiment. We conclude that the test based on the procedure by Hahn, Ham, and Moon has good properties. The generalized least squares-based tests have higher size-corrected power when heteroskedasticity is detected in the DWH regression, and the heteroskedasticity is associated with a strong external IV. We do not consider the properties of the implied pretest estimator.
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R. Farnoosh, P. Nabati and A. Hajirajabi
The main purpose of this paper is to estimate the resistance and inductor in the RL electrical circuit when these are unavailable or missing data that it is a concern in…
Abstract
Purpose
The main purpose of this paper is to estimate the resistance and inductor in the RL electrical circuit when these are unavailable or missing data that it is a concern in electrical engineering. The input voltage is assumed to be corrupted by the noise and the current is observed at discrete time points.
Design/methodology/approach
The authors propose a computationally efficient framework for parameters estimation using least square estimator and Bayesian Monte Carlo scheme.
Findings
The explicit formulas for least square estimator are derived and the strong consistency of resistance estimator is verified when inductor is a known parameter, then Bayesian estimation of parameters governed by using Markov chain Monte Carlo methods. The applicability of the results is demonstrated by using numerical examples. Several numerical results and figures are presented via Matlab and R programming to illustrate the performance of the estimators.
Practical implications
The paper can be used in various types of electrical engineering real time projects. The projects include electrical circuits, electrical machines theory and drives, especially when the parameters are uncertain that it is a worry in electrical engineering.
Originality/value
To the author's best knowledge, least square and Bayesian estimation of resistance and inductor have not been studied before. The proposed model is nonlinear with respect to inductor (L); therefore the present work has fundamental difference in comparison with the similar models.
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Waqas Mehmood, Rasidah Mohd-Rashid, Norliza Che-Yahya and Chui Zi Ong
This study investigated the effect of pricing mechanism and oversubscription on the heterogeneity of investors' opinions on initial public offering (IPO) valuation.
Abstract
Purpose
This study investigated the effect of pricing mechanism and oversubscription on the heterogeneity of investors' opinions on initial public offering (IPO) valuation.
Design/methodology/approach
Besides the ordinary least square method, this study incorporated robust least square, stepwise least square and quantile regression methods to investigate the aftermarket behaviour of investors using the price range on the first day of trading of 82 IPOs listed on the Pakistan stock exchange.
Findings
The aftermarket behaviour of investors was found to be significantly influenced by the pricing mechanism, oversubscription, financial leverage, political stability and the risk of IPO, whereas control of corruption showed an insignificant impact. Concurrently, the findings showed that pricing mechanism and oversubscription played a crucial role in determining the intensity of investors' heterogeneous opinions at high levels of significance.
Originality/value
Pricing mechanism and oversubscription not only signal the quality of IPOs but also provide an important means for reducing the information asymmetry associated with new listings. Based on the literature review, it was found that both the pricing mechanism and oversubscription have yet to be explored in investigating the aftermarket behaviour of investors using the price range in the Pakistan IPO market. This study suggests that book building pricing mechanism and oversubscription are associated with lower heterogeneity in investors’ opinions at a high level of significance.
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Waqas Mehmood, Rasidah Mohd-Rashid, Abd Halim Ahmad and Ahmad Hakimi Tajuddin
The present study investigated the influence of country-level institutional quality on IPO initial return using World Bank Governance indices.
Abstract
Purpose
The present study investigated the influence of country-level institutional quality on IPO initial return using World Bank Governance indices.
Design/methodology/approach
This study analysed 84 IPOs listed on Pakistan Stock Exchange between 2000 and 2017 using cross-sectional data. The impact of country-level institutional quality on IPO initial returns was examined using ordinary least square, robust least square, stepwise least square and quantile regression.
Findings
Empirically, the values of political stability, government effectiveness and regulatory quality were positively significant, whereas rule of law and control of corruption were negatively significant in explaining the intensity of IPO initial return. The results also show the presence of significant risk in the market. Hence, investors were compensated with higher initial returns for weak country-level institutional quality. The results also reveal that improving country-level institutional quality would improve the financial market transparency, thereby reducing IPO initial returns.
Originality/value
No studies have been conducted regarding the influence of country-level institutional quality on IPO initial return in Pakistan. This study is a pioneering study that seeks to give insights into the link between these variables in the context of Pakistan.
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Daniel J. Henderson and Christopher F. Parmeter
It is known that model averaging estimators are useful when there is uncertainty governing which covariates should enter the model. We argue that in applied research there is also…
Abstract
It is known that model averaging estimators are useful when there is uncertainty governing which covariates should enter the model. We argue that in applied research there is also uncertainty as to which method one should deploy, prompting model averaging over user-defined choices. Specifically, we propose, and detail, a nonparametric regression estimator averaged over choice of kernel, bandwidth selection mechanism and local-polynomial order. Simulations and an empirical application are provided to highlight the potential benefits of the method.
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Jörg Henseler and Florian Schuberth
In their paper titled “A Miracle of Measurement or Accidental Constructivism? How PLS Subverts the Realist Search for Truth,” Cadogan and Lee (2022) cast serious doubt on PLS’s…
Abstract
Purpose
In their paper titled “A Miracle of Measurement or Accidental Constructivism? How PLS Subverts the Realist Search for Truth,” Cadogan and Lee (2022) cast serious doubt on PLS’s suitability for scientific studies. The purpose of this commentary is to discuss the claims of Cadogan and Lee, correct some inaccuracies, and derive recommendations for researchers using structural equation models.
Design/methodology/approach
This paper uses scenario analysis to show which estimators are appropriate for reflective measurement models and composite models, and formulates the statistical model that underlies PLS Mode A. It also contrasts two different perspectives: PLS as an estimator for structural equation models vs. PLS-SEM as an overarching framework with a sui generis logic.
Findings
There are different variants of PLS, which include PLS, consistent PLS, PLSe1, PLSe2, proposed ordinal PLS and robust PLS, each of which serves a particular purpose. All of these are appropriate for scientific inquiry if applied properly. It is not PLS that subverts the realist search for truth, but some proponents of a framework called “PLS-SEM.” These proponents redefine the term “reflective measurement,” argue against the assessment of model fit and suggest that researchers could obtain “confirmation” for their model.
Research limitations/implications
Researchers should be more conscious, open and respectful regarding different research paradigms.
Practical implications
Researchers should select a statistical model that adequately represents their theory, not necessarily a common factor model, and formulate their model explicitly. Particularly for instrumentalists, pragmatists and constructivists, the composite model appears promising. Researchers should be concerned about their estimator’s properties, not about whether it is called “PLS.” Further, researchers should critically evaluate their model, not seek confirmation or blindly believe in its value.
Originality/value
This paper critically appraises Cadogan and Lee (2022) and reminds researchers who wish to use structural equation modeling, particularly PLS, for their statistical analysis, of some important scientific principles.
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This paper aims to propose an efficient and convenient numerical algorithm for two-dimensional nonlinear Volterra-Fredholm integral equations and fractional integro-differential…
Abstract
Purpose
This paper aims to propose an efficient and convenient numerical algorithm for two-dimensional nonlinear Volterra-Fredholm integral equations and fractional integro-differential equations (of Hammerstein and mixed types).
Design/methodology/approach
The main idea of the presented algorithm is to combine Bernoulli polynomials approximation with Caputo fractional derivative and numerical integral transformation to reduce the studied two-dimensional nonlinear Volterra-Fredholm integral equations and fractional integro-differential equations to easily solved algebraic equations.
Findings
Without considering the integral operational matrix, this algorithm will adopt straightforward discrete data integral transformation, which can do good work to less computation and high precision. Besides, combining the convenient fractional differential operator of Bernoulli basis polynomials with the least-squares method, numerical solutions of the studied equations can be obtained quickly. Illustrative examples are given to show that the proposed technique has better precision than other numerical methods.
Originality/value
The proposed algorithm is efficient for the considered two-dimensional nonlinear Volterra-Fredholm integral equations and fractional integro-differential equations. As its convenience, the computation of numerical solutions is time-saving and more accurate.
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Faris ALshubiri and Mawih Kareem Al Ani
This study aims to analyse the intellectual property rights (INPR), foreign direct investment (FDI) inflows and technological exports of 32 developing and developed countries for…
Abstract
Purpose
This study aims to analyse the intellectual property rights (INPR), foreign direct investment (FDI) inflows and technological exports of 32 developing and developed countries for the period of 2006–2020.
Design/methodology/approach
Diagnostic tests were used to confirm the panel least squares, fixed effect, random effect, feasible general least squares, dynamic ordinary least squares and fully modified ordinary least squares estimator results as well as to increase the robustness.
Findings
According to the findings for the developing countries, trademark, patent and industrial design applications, each had a significant positive long-run effect on FDI inflows. In addition, there was a significant positive long-run relationship between patent applications and medium- and high-technology exports. Meanwhile, trademark and industrial design applications had a significant negative long-term effect on medium- and high-technology exports. In developed countries, patent and industrial design applications each have a significant negative long-term on medium- and high-technology exports. Furthermore, patent and trademark applications each had a significant negative long-run effect on FDI inflows.
Originality/value
This study contributes significantly to the focus that host countries evaluate the technology gaps between domestic and foreign investors at different industry levels to select the best INPR rules and innovation process by increasing international cooperation. Furthermore, the host countries should follow the structure–conduct–performance paradigm based on analysis of the market structure, strategic firms and industrial dynamics systems.
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