{"title":"MMT: 'How To Pay For' Economic Development","authors":"Barkin Cihanli","doi":"10.2139/ssrn.3826961","DOIUrl":"https://doi.org/10.2139/ssrn.3826961","url":null,"abstract":"The recent rise of the popularity of Modern Money Theory (MMT) both in academic circles and mainstream media has brought controversial topics to public attention. Some critics like Jan Kregel argues that MMT provides “wrong answers to wrong questions” with respect to the policy proposals and implications, while others attempted to question the applicability of the framework and its policy prescriptions on the development strategies of the developing countries. Even though the critics of MMT have pointed out the theoretical shortcomings of MMT with respect to institutional and structural differences of non-sovereign monetary systems, there has been a growing body of literature on the individual cases of application of MMT as a framework of analysis on the developing countries’ sovereign debt problem. However, there remain fundamental questions : Can the MMT offer insights into development strategies for the developing countries? Another major question that many mainstream MMT critics ask is : “How do we pay for [insert whatever public program you would like]?” In the case of developing countries, this question could take form of : “How do we pay for the economic development?” This paper will argue that MMT, as a framework of analysis, not only applies to developing countries, but also provides insightful implications for economic development strategies for developing countries.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"21 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-05-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"132224690","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Why Do Western SMEs Internationalize Through Springboarding? Evidence From French Manufacturing SMEs","authors":"Noémie Dominguez","doi":"10.18356/fe2941f5-en","DOIUrl":"https://doi.org/10.18356/fe2941f5-en","url":null,"abstract":"This study applies both the internationalization and regulatory focus theories to understand what motivates SMEs to implement springboard strategies i.e. to invest in a country to re-export to third countries. While some academics emphasize the importance of free trade agreements and cost differentials, others highlight the role played by the individual and network dimensions. We conducted 66 in-depth interviews and five days of non-participant observations with five French manufacturing SMEs and ten investment promotion agencies. Our analysis revealed the existence of firm, network and country-related motivations springboard strategies being mainly firm-driven as well as common, partially-shared and specific motivations. Public policy to promote and/or attract springboard-oriented foreign direct investment (FDI) should look at developing dedicated support and educational programmes for SMEs, offering better access to promising markets by removing barriers and enforcing transparency and trade agreements.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"46 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-04-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"122432908","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Underutilization of Labor Resources: Growth of Potential Workforce","authors":"V. Lyashok","doi":"10.2139/ssrn.3555015","DOIUrl":"https://doi.org/10.2139/ssrn.3555015","url":null,"abstract":"In the course of four recent years the unemployment level in the Russian Federation is on the decline. However, application of alternative criteria for the estimation of underutilized labor resources demonstrate somewhat different dynamics. In 2019, we observed growth of potential workforce number including those who believe it to be impossible for them to find a job.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"3 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-03-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"128636186","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Financial Globalisation and the Labour Share in Developing Countries: The Type of Capital Matters","authors":"Katharina van Treeck, K. Wacker","doi":"10.1111/twec.12946","DOIUrl":"https://doi.org/10.1111/twec.12946","url":null,"abstract":"In this paper, we investigate how de facto financial globalization has influenced the labor share in developing countries. Our main argument is the need to distinguish between different types of capital in this context, as different forms of foreign investment have different fixed costs and impacts on the host countries' production process and vary concerning their bargaining power vis-a-vis labor. Assuming an aggregate elasticity of substitution between capital and labor would thus be misleading. Our econometric analysis of the impact of foreign direct vs. portfolio investment in a sample of about 40 developing and transition countries after 1992 supports this claim. Using different panel data techniques to address potential endogeneity problems, we find that FDI has a positive effect on the labor share in developing countries, while the impact of portfolio investment is significantly smaller, and potentially negative. Our results also highlight that de facto foreign investment cannot explain the decline of the labor share in developing countries over the investigated period.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-03-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"128508381","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"India's Missing Working Women: Tracing the Journey of Women's Economic Contribution Over the Last Seven Decades","authors":"Mitali Nikore","doi":"10.2139/ssrn.3789008","DOIUrl":"https://doi.org/10.2139/ssrn.3789008","url":null,"abstract":"India today is an economic powerhouse on the global stage. However, it faces a queer conundrum. Despite considerable gains in female education, decreases in fertility rates and increasing economic growth, only a fourth of its women are in the labor force, amongst the lowest in the world. Based on analysis of time series data over the last seven decades (1950-2018), this paper finds that women's labor force and workforce participation rates have secularly declined to their lowest levels since Independence. Women's wages have consistently been below men, with weighted average wage gaps increasing from 59% in 1993, to 72% in 2018. The fall in labor force participation has been led by women in rural areas, while female unemployment rates have remained higher than men in urban areas. We find that occupational segregation and concentration of women in low-growth sectors, income effect of rising household earnings, increased mechanization and gender gaps in tertiary education and skill training are leading factors behind the observed labor market outcomes. Recent high-frequency data shows that 15 million women lost their jobs in the first month of the COVID-19 induced lockdown. Even as the overall size of the labor force shrunk by 3% between November 2019 to November 2020, the size of the labor force shrunk by 13% for women, vs. 2% for men. Bringing women back to the workforce requires a differentiated approach, targeting different segments, especially informal workers, microentrepreneurs and the formal sector. Therefore, a diverse mix of targeted policy interventions like gender quotas in public works, easier access to credit for female micro-entrepreneurs, preferential procurement for women-owned business, greater flexibility in workplace arrangements and gender targets for skill training among others would help retain and promote workforce participation for women.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"69 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"134537050","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Creation of Innovative Tourism Products via Local Actor Analysis and Their Organization in the Territory","authors":"Lamya Maghnaoui","doi":"10.26500/jarssh-05-2020-0401","DOIUrl":"https://doi.org/10.26500/jarssh-05-2020-0401","url":null,"abstract":"Over decades, tourism has grown steadily and has become increasingly diverse, becoming one of the fastest growing economic sectors in the world. Indeed, among all this forms of tourism, emerging geological tourism in recent years is considered as an alternative that can be associated with classical tourism, which constitutes a presentation of the geological and geomorphological heritage of a territory and highlights the Enormous geological and cultural diversity. Our study forms part of the ongoing work on a territorial project which aims the structuring of these resources/territory (what can be done? what happens? Offers, events). The valorization, mobilization and combination of these resources are made to give various forms of geological tourism in a transversal and territorial approach.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"30 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-02-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"115487739","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Wealth Creation in the U.S. Public Stock Markets 1926 to 2019","authors":"H. Bessembinder","doi":"10.2139/ssrn.3537838","DOIUrl":"https://doi.org/10.2139/ssrn.3537838","url":null,"abstract":"This report quantifies long-run stock market outcomes in terms of the increases or decreases (relative to a Treasury bill benchmark) in shareholder wealth, when considering the full history of both net cash distributions and capital appreciation. The study includes all of the 26,168 firms with publicly-traded U.S. common stock since 1926. Despite the fact that investments in the majority (57.8%) of stocks led to reduced rather than increased shareholder wealth, U.S. stock market investments on net increased shareholder wealth by $47.4 trillion between 1926 and 2019. Technology firms accounted for the largest share, $9.0 trillion, of the total, but Telecommunications, Energy, and Healthcare/ Pharmaceutical stocks created wealth disproportionate to the numbers of firms in the industries. The degree to which stock market wealth creation is concentrated in a few top-performing firms has increased over time, and was particularly strong during the most recent three years, when five firms accounted for 22% of net wealth creation. These results should be of interest to any long-term investor assessing the relative merits of broad diversification vs. narrow portfolio selection.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"132 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2020-02-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"122883757","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Cryptodemocratic Governance of Special Economic Zones","authors":"Darcy W. E. Allen, A. Lane","doi":"10.2139/ssrn.3491481","DOIUrl":"https://doi.org/10.2139/ssrn.3491481","url":null,"abstract":"Special jurisdictions are testbeds for institutional experimentation that require voting mechanisms to make complex and evolving policy decisions. In this paper we explore how blockchain technology—as a new infrastructure for voting rights—might be applied in special jurisdictions. In a cryptodemocracy, voters are given property rights in their own votes that are recorded on decentralized blockchain ledgers (Allen et al. 2019). Votes in a cryptodemocracy can be given different bundles of property rights—such as the ability to delegate votes—that changes the structure of the democratic system. Our aim in this paper is to explore the underappreciated collective choice problems underpinning special jurisdictions, outline the potential for cryptodemocractic voting systems as new infrastructure for special jurisdictions, and propose a new interdisciplinary research program at the boundaries of institutional economics, political science, and innovation economics.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"35 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-11-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131648883","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Developing Development Theory: Law and Development Orthodoxies and the Northeast Asian Experience","authors":"J. Ohnesorge","doi":"10.2139/ssrn.3480753","DOIUrl":"https://doi.org/10.2139/ssrn.3480753","url":null,"abstract":"First, while intellectual histories of law and development theory are now common, no work that I am aware of employs the actual experience of Northeast Asia to interrogate these theories, yet it is in Northeast Asia where modern history's most outstanding development success stories can be found. Because this seemingly obvious step is not taken, theories of law and development remain disconnected from historical experience, and seem to attract adherents based upon unstated and untested assumptions. Second, this paper offers a way forward for law and development work which builds upon the Northeast Asian experience, but does so in a way that has not been suggested before. Law and development work affects literally billions of people in developing countries, and costs taxpayers and foundations in developed countries billions of dollars, yet many law and development practitioners express serious reservations about the utility of their work. Whatever reservations one might have about this work, it has an enormous impact on the world, and it is going to continue for the foreseeable future. It is therefore crucial that we think about new ways to assist legal reform in developing countries. Although on one level this paper is about law and development and Northeast Asia, the issues it addresses are also at the core of our understandings of law and social organization in any society. The theorists it discusses, from Max Weber, to Friedrich Hayek, to Douglass North, are likewise at the heart of our theorizing about law, society and politics generally. This paper thus contributes to debates at the core of our legal intellectual tradition, and by bringing in the experience of Northeast Asia can enrich this tradition.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"263 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-11-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131474007","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Job Polarization and the Declining Fortunes of the Young: Evidence from the United Kingdom","authors":"Era Dabla‐Norris, C. Pizzinelli, Jay Rappaport","doi":"10.5089/9781513515410.001","DOIUrl":"https://doi.org/10.5089/9781513515410.001","url":null,"abstract":"This paper uses a life-cycle framework to document new stylized facts about the nexus between job polarization and earnings inequality. Using quarterly labor force data for the UK over the period 2000-2018, we find clear life-cycle profiles in the probability of being employed within each occupation type and wages earned therein. Cohort plots and econometric analysis suggest that labor market outcomes and prospects have gradually worsened for the young. These adverse trends are particularly significant for low-skill women: estimated cohort effects point to a fall in wages within each occupation as well as a lower propensity of being employed in abstract-task occupations. We also find evidence of general occupational downgrading in the UK, with more educated workers taking up fewer high-skill occupations than they did in the past. Our analysis informs the policy debate over appropriate measures needed to reduce skill mismatches and alleviate labor market transitions.","PeriodicalId":208134,"journal":{"name":"PSN: Other Domestic Development Strategies (Topic)","volume":"53 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"125009135","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}