The relative roles of domestic and foreign capital in aggregate production of GDP and CO2-equivalent emission across OECD countries.

This paper adopts a two-stage stochastic frontier analysis framework to analyse the roles of foreign and domestic capital in the aggregate production of gross domestic product (GDP) and CO2-equivalent emissions across 36 OECD countries from 1990 to 2014. The first stage estimates a quadratic output directional distance function to derive the marginal products of foreign and domestic capital with respective to GDP and emissions. The second stage examines explanations for variations in the marginal rate of technical substitution (MRTS) of foreign and domestic capital across OECD countries. Our paper finds two important empirical evidence findings on the role of foreign capital in the aggregate production of desirable and undesirable outputs. Firstly, that foreign capital appears to be more effective than domestic capital in generating GDP and curbing CO2-equivalent emissions. We find that one standard deviation of GDP (or $2333 billion in 2011 dollars) would require $1857 billion (in 2011 dollars) of foreign capital in comparison with $4867 billion of domestic capital, ceteris paribus. On the other hand, the reduction of CO2-equivalent emissions by one standard deviation would demand $4091 billion (in 2011 dollars) of foreign capital relative to $16,539 billion of domestic capital. Second, foreign capital is more effective in reducing emissions in countries characterised by higher GDP per capita, larger population density, and higher shares of manufacturing sectors and exports.

An analysis of the impact of clean and non-clean energy consumption on economic growth and carbon emission: evidence from PIMC countries.

This study empirically estimates the impact of clean and non-clean energy consumption on economic growth and carbon dioxide emissions within the framework of the environmental Kuznets curve and pollution haven hypothesis in the case of PIMC countries from 1980 to 2019. The results of the panel cointegration test proposed by Westerlund (2007) show a long-term equilibrium relationship among the variables of each designated model. The long-term elasticities of economic growth and carbon emission estimated by AMG, CCEMG, and MG estimators indicate that both clean and non-clean energy consumption has a significant impact on economic growth, while carbon emission hinders growth. The results also reveal that economic growth, non-clean energy consumption, and interaction between trade openness and non-clean energy consumption have a driving effect on carbon dioxide emission; however, clean energy consumption is found to reduce carbon emission. In addition, the analysis confirms the existence of the inverted U-shaped environmental Kuznets curve and pollution haven hypothesis in the panel of PIMC economies. Finally, there is a one-way causality from non-clean energy consumption to economic growth, but no such causation exists between clean energy consumption and economic growth. The objective of sustained economic growth with a safe environment may be achieved by encouraging clean energy consumption in the PIMC economies.

Government R&D subsidies and international competitiveness of labor-managed firms.

The literature postulates that government subsidization of strategic R&D activities of profit maximising firms (PMFs) increases their shares in international markets. Will this also hold for labor-managed firms (LMFs) which are owned by employees and aim to maximize the profit per labor? This paper provides a theoretical model that examines how such governmental interventions can help LMFs in their home countries to compete better with PMFs in international markets. Our model shows that in most, but not all cases, investing more in R&D activities benefits LMFs by increasing their shares in international markets and decreasing the market share of their competitors. The optimal government R&D subsidy or tax for LMFs depends on the R&D elasticity of LMFs as well as how their competitors react to R&D investment. In contrast, the optimal government R&D subsidy for PMFs depends solely on the slope of the R&D reaction curve of their competitors. Our results present useful policy implications for those governments that seek ways to support LMFs - or more broadly cooperatives - to attain more sustained growth given their advantages over PMFs in the context of sustainable development.

Trade-off analysis of cost and nutrient efficiency of coffee farms in vietnam: A more generalised approach.

Literature has documented significant trade-offs between economic and environmental performance in many areas of agricultural production. However, while it has focused on the trade-off for technically efficient farms there are differing types of trade-offs that exist for differing types of farms. The present paper addresses these gaps in the literature by proposing a more generalised approach to analysing cost and environmental trade-offs. There is also a lack of research on the nature of the trade-off in coffee farming. This is especially so in Vietnam where there is both significant overuse of nutrients and increasing autonomous adaption through voluntary participation in sustainability certification schemes. The proposed framework is employed to investigate a data set of 679 Vietnamese coffee farms. This study delivers several important findings. First, the proposed approach indicates four distinct groups of farms facing differing types of trade-offs with some farms not facing any trade-offs. Second, empirical results show that the average levels of technical, cost and environmental efficiency are relatively low. Third, sustainability certified farms are found to perform better than non-certified farms although the differences in performance diminish over time. Overall, the empirical results favour a heterogeneous and more integrated policy approach to improving the technical, cost and environmental efficiency of coffee farmers in Vietnam.

THE DYNAMIC INTER-RELATIONSHIP BETWEEN OBESITY AND SCHOOL PERFORMANCE: NEW EMPIRICAL EVIDENCE FROM AUSTRALIA.

This paper proposes a new empirical model for examining the relationship between obesity and school performance using the simultaneous equation modelling approach. The lagged effects of both learning and health outcomes were included to capture both the dynamic and inter-relational aspects of the relationship between obesity and school performance. The empirical application of this study used comprehensive data from the first five waves of the Longitudinal Study of Australian Children (LSAC), which commenced in 2004 (wave 1) and was repeated every two years until 2018. The study sample included 10,000 children, equally divided between two cohorts (infants and children) across Australia. The empirical results show that past learning and obesity status are strongly associated with most indicators of school outcomes, including reading, writing, spelling, grammar and numeracy national tests, and scores from the internationally standardized Peabody Picture Vocabulary Test and the Matrix Reasoning Test. The main findings of this study are robust due to the choice of obesity indicator and estimation methods.

Analysis of resource efficiency: a production frontier approach.

This article integrates the material/energy flow analysis into a production frontier framework to quantify resource efficiency (RE). The emergy content of natural resources instead of their mass content is used to construct aggregate inputs. Using the production frontier approach, aggregate inputs will be optimised relative to given output quantities to derive RE measures. This framework is superior to existing RE indicators currently used in the literature. Using the exergy/emergy content in constructing aggregate material or energy flows overcomes a criticism that mass content cannot be used to capture different quality of differing types of resources. Derived RE measures are both 'qualitative' and 'quantitative', whereas existing RE indicators are only qualitative. An empirical examination into the RE of 116 economies was undertaken to illustrate the practical applicability of the new framework. The results showed that economies, on average, could reduce the consumption of resources by more than 30% without any reduction in per capita gross domestic product (GDP). This calculation occurred after adjustments for differences in the purchasing power of national currencies. The existence of high variations in RE across economies was found to be positively correlated with participation of people in labour force, population density, urbanisation, and GDP growth over the past five years. The results also showed that economies of a higher income group achieved higher RE, and those economies that are more dependent on imports and primary industries would have lower RE performance.