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Showing papers on "Spillover effect published in 2016"


Journal ArticleDOI
TL;DR: In this paper, the authors test for heterogeneous spillover impacts on groups of firms that are commonly less engaged in innovation and on firms with different productivity levels, and find that the returns to productivity are larger for firms that commonly engage less in innovation.

180 citations


Journal ArticleDOI
TL;DR: In this paper, a spatial economic weight matrix is constructed and introduced into a spatial autoregressive model to analyse the spatial diffusion effect of PM 2.5 pollution in 152 cities in China considering the spatial attributes of fog and haze alongside the regional economic association.

176 citations


Journal ArticleDOI
TL;DR: In this article, the effect of place-based industrial policy on economic development, focusing on the establishment of Special Economic Zones (SEZ) in China, was studied. But the authors did not consider the impact of SEZ on neighboring regions or cities further away.
Abstract: We study the effect of place-based industrial policy on economic development, focusing on the establishment of Special Economic Zones (SEZ) in China. We use data from a panel of Chinese (prefecture-level) cities from 1988 to 2010. Our difference-in-difference estimation exploits the variation in the establishment of SEZ across time and space. We find that the establishment of a state-level SEZ is associated with an increase in the level of GDP of about 20 %. This finding is confirmed with alternative specifications and in a sub-sample of inland provinces, where the selection of cities to host the zones was based on administrative criteria. The main channel is a positive effect on physical capital accumulation, although SEZ also have a positive effect on total factor productivity and human capital investments. We also investigate whether there are spillover effects of SEZ on neighboring regions or cities further away. We find positive and often significant spillover effects.

168 citations


Journal ArticleDOI
TL;DR: In this paper, the spillover effect between the U.S. market and five of the most important emerging stock markets namely those of the BRICS (Brazil, Russia, India, China and South Africa), and draws implications for portfolio risk modeling and forecasting.

151 citations


Journal Article
TL;DR: In this article, the authors developed and estimated a task framework of regional labor demand in tradable and non-tradable industries, and distinguish the main channels through which technological change affects labor demand.
Abstract: A fast-growing literature shows that technological change is replacing labor in routine tasks, raising concerns that labor is racing against the machine. This paper is the first to estimate the labor demand effects of routine-replacing technological change (RRTC) for Europe as a whole and at the level of 238 European regions. We develop and estimate a task framework of regional labor demand in tradable and non-tradable industries, building on Autor and Dorn (2013) and Goos et al. (2014), and distinguish the main channels through which technological change affects labor demand. These channels include the direct substitution of capital for labor in task production, but also the compensating effects operating through product demand and local demand spillovers. Our results show that RRTC has on net led to positive labor demand effects across 27 European countries over 1999-2010, indicating that labor is racing with the machine. This is not due to limited scope for human-machine substitution, but rather because sizable substitution effects have been overcompensated by product demand and its associated spillovers. However, the size of the product demand spillover – and therefore also RRTC’s total labor demand effect– depends critically on where the gains from the increased productivity of technological capital accrue.

136 citations


Journal ArticleDOI
TL;DR: A review of the literature on spillover for refining the terminology, detailing the underlying mechanisms and identifying both the existing and needed methodological approaches to measure spillover can be found in this paper.

127 citations


Journal ArticleDOI
TL;DR: In this paper, the authors examined the dynamic relationship among local stock returns, foreign exchange rates, interest differentials, and U.S. S&P 500 returns in BRICS countries, including Brazil, Russia, India, China, and South Africa.

126 citations


Journal ArticleDOI
TL;DR: In this article, the authors suggest that self-efficacy may be an important motivator of environmental spillover, and could be used to help encourage engagement in more challenging pro-environmental behaviours.

116 citations


Journal ArticleDOI
TL;DR: In this article, the authors investigate the dynamics of volatility spillovers between the US economic policy uncertainty and the BRIC equity markets and find that there is strong evidence of a time-varying correlation between US economic uncertainty and stock market volatility.

112 citations


Journal ArticleDOI
TL;DR: In this article, the authors investigate spillover effects from sentiment and mood shocks on US outbound tourism demand from 1996 until 2013, using the Index of Consumer Sentiment and Economic Policy Uncertainty Index as proxies for sentiment and the S&P500 as a proxy for mood.

110 citations


Journal ArticleDOI
TL;DR: In this paper, the authors investigated regional FDI knowledge spillover effects on product innovation of China's indigenous electronic firms and found that localized innovative-related activities of foreign-invested firms significantly facilitate product innovation in domestic firms.

Journal ArticleDOI
TL;DR: In this paper, the authors compared the macroeconomic impact of conventional and unconventional ECB policy actions on the euro area and its spillover to six EU countries outside the Euro area (the Czech Republic, Denmark, Hungary, Poland, Sweden and the UK).

Journal ArticleDOI
Yosuke Kido1
TL;DR: In this article, the spillover effects of the US economic policy uncertainty shock on real effective exchange rates with the data from January 2000 to December 2014 were analyzed using dynamic conditional correlation GARCH (DCC-GARCH) model.

Journal ArticleDOI
TL;DR: This paper found that labeling those who perceived they performed many pro-environmental behaviors as "environmentalists" led to stronger environmental self-identity with no simultaneous reduction of guilt, increasing the total positive spillover.

Journal ArticleDOI
TL;DR: In this article, the relationship between stock market volatility and the business cycle in four major economies, namely the US, Canada, Japan and the UK, was investigated and a multivariate analysis was conducted to explore possible spillover effects across countries.
Abstract: This paper investigates the relationship between stock market volatility and the business cycle in four major economies, namely the US, Canada, Japan and the UK. We employ both linear and nonlinear bivariate causality tests and we further conduct a multivariate analysis to explore possible spillover effects across countries. Our results suggest that there is a bidirectional causal relationship between stock market volatility and the business cycle within each country and additionally reveal that the recent financial crisis plays an important role in this context. Finally, we identify a significant impact of the US on the remaining markets.

Posted Content
TL;DR: In this paper, the authors developed a new dataset using UNESCO source materials on the location of nearly 15,000 universities in about 1,500 regions across 78 countries, some dating back to the 11th Century.
Abstract: We develop a new dataset using UNESCO source materials on the location of nearly 15,000 universities in about 1,500 regions across 78 countries, some dating back to the 11th Century. We estimate fixed effects models at the sub-national level between 1950 and 2010 and find that increases in the number of universities are positively associated with future growth of GDP per capita (and this relationship is robust to controlling for a host of observables, as well as unobserved regional trends). Our estimates imply that doubling the number of universities per capita is associated with 4% higher future GDP per capita. Furthermore, there appear to be positive spillover effects from universities to geographically close neighboring regions. We show that the relationship between growth and universities is not simply driven by the direct expenditures of the university, its staff and students. Part of the effect of universities on growth is mediated through an increased supply of human capital and greater innovation (although the magnitudes are not large). We find that within countries, higher historical university presence is associated with stronger pro-democratic attitudes.

Journal ArticleDOI
TL;DR: The authors studied spillovers among daily returns and innovations in the option-implied risk-neutral volatility and skewness of the G10 currencies using an empirical network model, uncover substantial time variation in the interaction of returns and risk measures, both within and between currencies.

Journal ArticleDOI
TL;DR: The authors found evidence for negative spillover among Democrats only, which was mediated by environmental identity: Democrats who recycled the water bottle had lower environmental identities and were less supportive of the green fund than those in the control condition.

Book
28 Jun 2016
TL;DR: In this article, the authors examined major forces of economic growth, including spillover effects and externalities, education and formation of human capital, knowledge creation through deliberate research efforts, and public infrastructure investment.
Abstract: In economics, the emergence of New Growth Theory in recent decades has directed attention to an old and important problem: what are the forces of economic growth and how can public policy enhance them? This book examines major forces of growth--including spillover effects and externalities, education and formation of human capital, knowledge creation through deliberate research efforts, and public infrastructure investment Unique in emphasizing the importance of different forces for particular stages of development, it offers wide-ranging policy implications in the process The authors critically examine recently developed endogenous growth models, study the dynamic implications of modified models, and test the models empirically with modern time series methods that avoid the perils of heterogeneity in cross-country studies Their empirical analyses, undertaken with newly constructed time series data for the United States and some core countries of the Euro zone, show that models containing scale effects, such as the R&D model and the human capital model, are compatible with time series evidence only after considerable modifications and nonlinearities are introduced They also explore the relationship between growth and inequality, with particular focus on technological change and income disparity The Forces of Economic Growth represents a comprehensive and up-to-date empirical time series perspective on the New Growth Theory

Journal ArticleDOI
TL;DR: This paper used panel data for 173 countries over 33 years to explore their magnitude and nature, focusing particularly on developing countries and applying a new method to distinguish between spillover effects through real decisions and through avoidance, and to quantify the revenue impact of the latter.
Abstract: International corporate tax issues have now risen to prominence in public debate. But while there is considerable empirical evidence for advanced countries on the cross-country fiscal externalities at their heart, there is almost none for developing countries. This paper uses panel data for 173 countries over 33 years to explore their magnitude and nature, focusing particularly on developing countries and applying a new method to distinguish between spillover effects through real decisions and through avoidance, and to quantify the revenue impact of the latter. The results suggest that spillover effects on the tax base are if anything a greater concern for developing countries than for advanced - and a significant one.

Journal ArticleDOI
TL;DR: In this paper, the impact of large upward/downward oil price movements on metal prices and the asymmetric response of metal prices to large oil price movement was examined and quantified by computing the unconditional and conditional value-at-risk.

Journal ArticleDOI
TL;DR: In this article, the authors used a k-th order nonparametric Granger causality test to analyze whether firm-level, economic policy and macroeconomic uncertainty indicators predict movements in real stock returns and their volatility.

Journal ArticleDOI
TL;DR: This article showed that suppliers to purely financially distressed companies that are highly likely to reorganize in bankruptcy incur little or no spillover costs, while suppliers to economically distressed firms experience large losses in market value that are linked to proxies for the cost of replacing the bankrupt customers.
Abstract: We document that suppliers to purely financially distressed companies that are highly likely to reorganize in bankruptcy incur little or no spillover costs. In contrast, suppliers to economically distressed firms experience large losses in market value that are linked to proxies for the cost of replacing the bankrupt customers. Suppliers experience increased selling, general, and administrative (SG&A) expenses and lower margins in the year following the bankruptcy of their trading partners, which we link to proxies for partner replacement costs. Suppliers continue to extend trade credit to firms that are healthier and in situations where the cost of replacing the partner is higher.

Posted Content
TL;DR: In this paper, the authors identify networks of volatility spillovers and examine time-varying spillover intensities with daily implied volatilities of US Treasury bonds, global stock indexes, and commodities.
Abstract: We identify networks of volatility spillovers and examine time-varying spillover intensities with daily implied volatilities of US Treasury bonds, global stock indexes, and commodities. The US stock market is the center of the international volatility spillover network and its volatility spillover to other markets has intensified since 2008. Moreover, US quantitative easing alone explains 40% to 55% of intensifying spillover from the US. The addition of interest rate and currency factors does not diminish the dominant role of quantitative easing. Our findings highlight the primary contribution of US unconventional monetary policy to volatility spillovers and potential global systemic risk.

Journal ArticleDOI
TL;DR: In this paper, the authors investigated volatility persistence and returns spillovers between oil and gold markets using daily historical data from 1986 to 2015 partitioned into periods before the global crisis and after the crisis.

Journal ArticleDOI
TL;DR: Findings indicate that marketers can use SMCs to focus online WOM on a particular product by drawing consumers away from talking about other related, but off-topic, products.
Abstract: Seeded marketing campaigns (SMCs) involve firms sending product samples to selected customers and encouraging them to spread word of mouth (WOM). Prior research has examined certain aspects of this increasingly popular form of marketing communication, such as seeding strategies and their immediate efficacy. Building on prior research, this study investigates the effects of SMCs that extend beyond the generation of WOM for a campaign’s focal product by considering how seeding can affect WOM spillover effects at the brand and category levels. The authors introduce a framework of SMC-related spillover effects, and then empirically estimate these with a unique dataset covering 390 SMCs for products from 192 different cosmetics brands. Multiple spillover effects are found, suggesting that while SMCs can indeed be used primarily to stimulate WOM for a focal product, marketers must also account for brand- and category-level WOM spillover effects. Specifically, product seeding increases conversations about that product among non-seed consumers, and, interestingly, decreases WOM about other products from the same brand and about competitors’ products in the same category as the focal product. These findings indicate that marketers can use SMCs to focus online WOM on a particular product by drawing consumers away from talking about other related, but off-topic, products.

Journal ArticleDOI
TL;DR: In this article, a long-term experimental study examines the potential for behavioural spillover on the acceptability of low carbon policies, caused by a framed intervention to promote electricity saving behavior.

Journal ArticleDOI
TL;DR: In this article, the authors present a comprehensive analysis of energy demand in Ghana by estimating demand functions for key disaggregated energy components including gasoline, diesel, liquefied petroleum gas (LPG), kerosene, biomass, residual fuel oil (RFO) and electricity.
Abstract: This paper presents a comprehensive analysis of energy demand in Ghana by estimating demand functions for key disaggregated energy components including gasoline, diesel, liquefied petroleum gas (LPG), kerosene, biomass, residual fuel oil (RFO) and electricity. Our results show that energy prices, income, urbanization and economic structure are significant demand drivers of the different energy types in Ghana with varying estimated elasticities. Further, there is evidence of high degree of inter-fuel substitution in energy demand in Ghana, particularly from gasoline, diesel and kerosene towards LPG consumption. We recommend, among different policy options, a customization of energy price subsidization policies, especially on LPG, to reduce the unintended beneficiary dilemma or spillover effect of current government policy. Other policies such as intensification of energy conservation programs and market entry of independent power trading companies to enhance energy service delivery through competition are also discussed.

Journal ArticleDOI
TL;DR: In this article, the authors extend the framework of Diebold and Yilmaz (2009b) and construct volatility spillover indexes using a DCC-GARCH framework to model the multivariate relationships of volatility among assets.

Journal ArticleDOI
TL;DR: In this paper, the authors investigate extreme risk spillover effects among four major world gold markets (London, New York, Tokyo and Shanghai) before and after the recent global financial crisis.