Showing papers in "Applied Economics Letters in 2019"
TL;DR: In this article, a marginal cost of production model was proposed to value the digital currency Bitcoin, and results from both conventional regression and vector autoregression (VAR) models were used to evaluate the model.
Abstract: This study back-tests a marginal cost of production model proposed to value the digital currency Bitcoin. Results from both conventional regression and vector autoregression (VAR) models show that ...
72 citations
TL;DR: In this paper, the authors empirically studied how foreign direct investment affects air pollution and how this effect depends on institutional quality, using a panel data for 19 developing Asian countri...
Abstract: This paper empirically studies how foreign direct investment (FDI) affects air pollution, and how this effect depends on institutional quality. By using a panel data for 19 developing Asian countri...
68 citations
TL;DR: This article examined the effect of corporate social responsibility (CSR) quality ratings on the financial distress levels of Chinese enterprises by using the previously unexplored new China-specific Altman ratings.
Abstract: We examine the effect of corporate social responsibility (CSR) quality ratings on the financial distress levels of Chinese enterprises by using the previously unexplored new China-specific Altman ‘...
57 citations
TL;DR: In this paper, the authors examined the effects of human capital formation and Internet penetration on economic growth and found that the Internet encourages economic growth by providing innovative applications and opportunitie...
Abstract: This study examines the effects of human capital formation and Internet penetration on economic growth. The Internet encourages economic growth by providing innovative applications and opportunitie...
44 citations
TL;DR: In this article, the authors analyse the cryptocurrency market by means of means of regression analysis and show that Bitcoin has attracted the attention of many investors and policymakers given the increase in popularity of Bitcoin.
Abstract: Cryptocurrencies have attracted the attention of many investors and policymakers given the increase in popularity of Bitcoin. In this context, we analyse the cryptocurrency market by means ...
43 citations
TL;DR: The prospect for electric vehicles as a climate change solution hinges on their ability to reduce gasoline consumption as mentioned in this paper. But this depends on how many miles electric vehicles are driven and on how ma...
Abstract: The prospect for electric vehicles as a climate change solution hinges on their ability to reduce gasoline consumption. But this depends on how many miles electric vehicles are driven and on how ma...
40 citations
TL;DR: In gravity models with exporter and importer dummies, the robust standard errors of the slope parameters tend to be severely downward biased when estimated by PPML and the coverage rate of confidence is low.
Abstract: In gravity models with exporter and importer dummies, the robust standard errors of the slope parameters tend to be severely downward biased when estimated by PPML. The coverage rate of confidence ...
38 citations
TL;DR: In this article, the authors compared the price levels of cities in Sub-Saharan Africa with those of other regions by analyzing price information collected for the 2011 round of the International Comparison Program, and found that African cities are relatively more expensive, despite having lower income levels.
Abstract: Although several studies have examined why overall price levels are higher in richer countries, little is known about whether there is a similar relationship at the urban and city level across countries. This paper compares the price levels of cities in Sub-Saharan Africa with those of other regions by analyzing price information collected for the 2011 round of the International Comparison Program. Readjusting the calculated price levels from national to urban levels, the analysis indicates that African cities are relatively more expensive, despite having lower income levels. The price levels of goods and services consumed by households are up to 31percent higher in Sub-Saharan Africa than in other low- and middle-income countries, relative to their income levels. Food and non-alcoholic beverages are especially expensive, with price levels around 35 percent higher than in other countries. The paper also analyzes price information collected by the Economist Intelligence Unit's Worldwide Cost of Living Survey, and obtains a similar result, indicating higher prices of goods and services in African cities.
36 citations
TL;DR: In this paper, the authors found that international sanctions on Iran have damaged the informal economy even more than the formal economy, and that the international sanctions had a significantly stronger negative impact on the growth rate of the shadow economy than they did on the official GDP growth rate.
Abstract: Using Iranian province level data from 2001 to 2013, this study finds that the international sanctions of 2012/2013 had a significantly stronger negative impact on the growth rate of the shadow economy than they did on the official GDP growth rate. Thus, the international sanctions on Iran have damaged the informal economy even more than the formal economy.
34 citations
TL;DR: In this paper, the effect of CEO succession via overall hierarchical jumps on Chinese firm performance and agency cost was analyzed, and hierarchical jumps were classified into low, medium and high levels.
Abstract: This paper analyzes the effect of CEO succession via overall hierarchical jumps on Chinese firm performance and agency cost. It categorizes hierarchical jumps into low, medium and high leve...
30 citations
TL;DR: In this paper, the authors investigate whether financial development matters for renewable energy innovation and find that financial development does not correlate well with renewable energy development in 22 OECD countries between 1990 and 2014.
Abstract: This letter investigates a missing link in the literature – whether financial development matters for renewable energy innovation. Our analysis of 22 OECD countries between 1990 and 2014 suggests t...
TL;DR: In this article, the authors examined the hedge and safe haven properties of gold relative to Dow Jones stock industry indices using quantile-GARCH approach and split the sample period into two sub-periods.
Abstract: The paper aims to examine the hedge and safe haven properties of gold relative to Dow Jones stock industry indices using quantile-GARCH approach. Splitting the sample period into two sub-periods, o...
TL;DR: Li et al. as discussed by the authors explored the antecedents of backers' decision to invest in projects from eight categories on a reward-based crowdfunding platform in China and found that feedback score, social capital, and project quality were key motivating factors in investment decision and subsequently, project success or failure.
Abstract: This article extends the work of Cecere et al. (Appl. Econ., 49(57): 5802–5813, 2017) and explores the antecedents of backers’ decision to invest in projects from eight categories on a reward-based crowdfunding platform in China. We extract data from 2011 to 2016 from the pioneer Chinese reward-based crowdfunding site ‘Demohour’. Our empirical investigation using OLS reveals that feedback score, social capital (followers on Weibo, project sharing on social media) and project quality (number of updates) are key motivating factors in investment decision and subsequently, project success or failure. Robustness tests also confirm the findings.
TL;DR: The authors quantifies the spillover effects of the United States' uncertainty shocks on emerging economies, using a panel VAR model, and finds that the US uncertainty shocks are the risks.
Abstract: The article quantifies the spillover effects of the United States’ (US) uncertainty shocks on emerging economies, using a panel VAR model. We find that the US uncertainty shocks are the risks, and ...
TL;DR: In this article, the authors investigate the joint dynamics of oil prices, financial liquidity and geopolitical risk within a multi-country global vector autoregressive model and find that low oil prices are expected to tr...
Abstract: We investigate the joint dynamics of oil prices, financial liquidity and geopolitical risk, within a multi-country global vector autoregressive model. We find that low oil prices are expected to tr...
TL;DR: In this paper, the authors investigate the dynamic connectedness across nine economic policy uncertainty indexes and find that the total spillover index is on average 67.4%, indicating a high level of uncertainty.
Abstract: This study investigates the dynamic connectedness across nine economic policy uncertainty indexes. Our results indicate that the total spillover index is on average 67.4%, indicating a high level o...
TL;DR: In this paper, the relationship between economic policy uncertainty and investor sentiment was studied based on linear and non-linear Granger causality analysis, and the authors revealed the relationship of policy uncertainty with investor sentiment.
Abstract: In this paper, we study the relationship between economic policy uncertainty and investor sentiment. US data were analysed based on linear and non-linear Granger causality analysis. We reveal the o...
TL;DR: Using a panel fixed effects model for a large sample of countries covering 1975-2005, the authors test the hypothesis that income inequality caused by finance (financial development, financial liberalization, etc.).
Abstract: Using a panel fixed effects model for a large sample of countries covering 1975–2005, we test the hypothesis that income inequality caused by finance (financial development, financial liberalizatio...
TL;DR: In this article, the authors answer the question of whether the documented price clustering in Bitcoin is driven by any given day of the week and show that it is not the case.
Abstract: Following Urquhart (2017) who finds evidence of price clustering in Bitcoin, we answer the question of whether the documented price clustering in Bitcoin is driven by any given day-of-the-week. We ...
TL;DR: This article explore whether the sensitivity of firm-level investment to cash flow is time-varying and in particular whether it varies with overall fund size and the overall fund's size.
Abstract: We explore whether the sensitivity of firm-level investment to cash flow, typically associated with an external financing premium, is time-varying and in particular whether it varies with overall f...
TL;DR: Using a panel vector auto-regressive model, the authors studied interactions between trade openness, innovation, financial development, and economic growth in 27 OECD countries between 2001 and 2016, focusing on...
Abstract: Using a panel vector auto-regressive model, we study interactions between trade openness, innovation, financial development, and economic growth in 27 OECD countries between 2001–2016. We focus on ...
TL;DR: In this article, the authors use the predicted probabilities and marginal effects of random effects probit and logit models to communicate the economic significance of results, which is a nonlinear model.
Abstract: Random effects probit and logit are nonlinear models, so we need predicted probabilities and marginal effects to communicate the economic significance of results. In these calculations, how...
TL;DR: The authors examines the economic ramifications of the recent political reconfigurations that the MENA region witnessed, commonly known as the Arab Spring, utilizing MENA countries' data for the per capita per capita.
Abstract: This paper examines the economic ramifications of the recent political reconfigurations that the MENA region witnessed, commonly known as the Arab Spring, utilizing MENA countries’ data for the per...
TL;DR: In this article, the authors examined the price discovery and spillover effects using vector error correction model and general generalization model in futures market and found that price discovery is correlated with spillover effect.
Abstract: The price discovery and spillover effect are significant indicators in futures markets. This study examines the price discovery and spillover effects using vector error correction model and general...
TL;DR: In this paper, the authors explored the impact of information and communication technologies (ICT) capital on employment generation/destruction in Turkish manufacturing industry, and found that ICT capital had a significant impact on job creation and job loss.
Abstract: This study is said to be the first attempt in exploring the impact of information and communication technologies (ICT) capital on employment generation/destruction in Turkish manufacturing industry...
TL;DR: The results suggest that machine learning methods have an advantage in addressing short-run noise, whereas traditional econometric methods are better at capturing long-run trend.
Abstract: In this note, we contrast prediction performance of nine econometric and machine learning methods, including a new hybrid method combining model averaging and machine learning, using data f...
TL;DR: This article examined whether and how corporate social irresponsibility (CSI) influences stock price crash risk for firms with overconfident CEOs and found that the positive association between CEO ov...
Abstract: This study examines whether and how corporate social irresponsibility (CSI) influences stock price crash risk for firms with overconfident CEOs. We find that the positive association between CEO ov...
TL;DR: In this paper, a dynamic network data envelopment analysis (DEA) model is employed for measuring the innovation efficiency of Chinese pharmaceutical industry, and the results show that the reason for innovation i...
Abstract: A dynamic network data envelopment analysis (DEA) model is employed for measuring the innovation efficiency of the Chinese pharmaceutical industry. The results show that the reason for innovation i...
TL;DR: The preferential tax policies for foreign direct investment (FDI) in China were terminated by a tax reform in 2008 as discussed by the authors, using the provincial-level panel data for 1998-2008 before the tax reform.
Abstract: The preferential tax policies for foreign direct investment (FDI) in China were terminated by a tax reform in 2008. This article uses the provincial-level panel data for 1998‒2008 before th...
TL;DR: In this paper, the authors investigate the level of web-based CSR communication in selected post-communist countries and identify, analyse and evaluate the scope of web based CSR communications.
Abstract: In this survey, we investigate the level of web-based CSR communication in selected post-communist countries. Our objective was to identify, analyse and evaluate the scope of web-based CSR ...