• KDI Journal of Economic Policy
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• v.40 no.2
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• pp.23-52
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• 2018

Given the limited availability of data in South Korea, this study proposes a method by which to estimate regional capital stock by modifying the benchmark year method (BYM) and applies it to estimate regional net capital stock by sector in transport infrastructure. First, it estimates time-varying sectoral depreciation rates using the sectoral net capital stock and the investment amount for each period. Second, it estimates the net capital stock of each period using the net capital stock in the base year and the investment in each period. Third, in order to ensure that the sum of net capital stocks by region is equal to the nationwide estimate, the national estimates are allocated to each region according to the proportion of the values derived from the previous stage. The proposed method can alleviate well-known problems associated with conventional BYMs, specifically the upward bias and arbitrary choice of the depreciation rate.

• Journal of Korea Technology Innovation Society
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• v.9 no.3
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• pp.606-625
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• 2006

This Study is to show the impact of IT capital stock accumulation on the total factor productivity in 9 industries during 1980 through 2000. We construct the If capital stock using input and output table provided by Bank of Korea (2000). Using sequence testing methodologies, we investigate the nonstationary characteristics of the relevant data and test the cointegration relationship between total factor productivity and IT capital stock. Over the past two decades, IT capital stock contributed between 0.19 to 0.07 percentage point per IT capital stock on total factor productivity. Our empirical results, therefore, do not support Solow's IT paradox in using the long period panel data case in Korea.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.8
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• pp.99-108
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• 2022

This study aims to examine the influence of capital structure on the business efficiency of joint stock commercial banks listed on the Vietnamese stock market. The article uses data collected from the financial statements of 15 prominent joint-stock commercial banks out of 27 joint-stock commercial banks listed in Vietnam from 2011 to 2021. The research uses E-view software in quantitative analysis to build regression models to determine the relationship and the impact of capital structure factors on the business efficiency of listed joint stock commercial banks. Research results show that ROA is affected by 2 variables of capital structure. It is the sum of customer deposits to total assets and total liabilities to total equity. Total debt to total equity and total customer deposits to total assets both have a negative effect on ROA. For the regression results of ROA with all control variables, the control variables have a positive relationship with the dependent variable. The article has provided recommendations based on the research findings to determine the proper capital structure. Managers must solve the outstanding amount of mobilized capital in previous years, combined with the bad debt handling activities that have arisen.

• Journal of Korea Trade
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• v.23 no.7
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• pp.147-155
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• 2019

Purpose - As the U.S.-China trade war has become considerably worse, the Chinese government is considering applying non-tariff barriers to trade, especially local contents rule. The main purpose of this research is to check whether it is suitable for Korean investors to invest in the current Chinese capital market. Design/methodology - In order to check the stability of the recent Chinese capital market, we investigated the behavior of foreign equity investment (including Korean equity investment) in the Chinese capital market after China announced the Shanghai-Hong Kong Stock Connect (SH-HK Connect). In this paper, we researched whether international portfolio investment would or would not contribute to an increase the volatility of an emerging market's stock market (Chinese capital market) when foreign investors make investment decisions based on the objective of short-term gains by rushing into countries whose markets are booming and fleeing from countries whose markets are falling. Findings - The empirical results indicate that foreign investors show strong, negative feedback trading behavior with regard to the stock index of the Shanghai Stock Exchange (SSE), and when the performance of foreign investors in the Chinese stock market was fairly good. Also, we found evidence that the behavior of foreign investors significantly decreased volatility in SSE stock returns. Consequently, the SH-HK Connect brought on a win-win effect for both the Chinese capital market and foreign investors. Originality/value - It appeared that the Chinese capital market was very suitable for Korean investors after the China's declaration of the SH-HK Connect. However, the win-win effect was brought on by the Chinese government's aggressive capital control but the capital controls could possibly cause financial turmoil in the Chinese capital market. Therefore, Chinese reform in industrial structure and the financial sector should keep pace with suitable capital control policies.

• Journal of the Korean Society for Railway
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• v.13 no.5
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• pp.528-534
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• 2010

In the new growth theory, R&D stock is the third factor of production excluding a labor and capital. In this point, a R&D stock is located in a capital which is accumulated by money like existing capital and this is a knowledge capital. The effort for escalating this knowledge capital is R&D investment and R&D stock is an accumulation of this. A contribution degree of the economic growth and a return of R&D investments are analyzed by an estimation of relation R&D stock and a total factor of productivity. This study analyzed R&D stock of railroad R&D investments and compared R&D stock with a technical level. So, a technical level is proportionally escalated following escalation of R&D stock. and compared railroad industry weight on the GDP with a railroad R&D stock weight on whole industries R&D stock. According to a relatively small railroad R&D stock weight against the railroad industry weight, a continuous railroad R&D investment is needed.

• Journal of Labour Economics
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• v.24 no.2
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• pp.63-94
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• 2001

Based on the human capital theory, the wage differentials among laborers are generated from the discrepancy of human capital stock which depends on individual laborer's decision. Hence, the wage differentials among laborers or between male and female are not the results of discrimination, but the results of individual choice. But, if the individual choice for human capital stock would be affected by the male-female discrimination, the explanation for male-female wage differentials base on the human capital stock has a bias. Actually, women have experienced in the discrimination on labor market participation due to gravity, parturition, infant rearing. Also, it is a fact that women have been discriminated against men in labor market owing to social, traditional, and cultural discriminations. If woman or her parent will less invest on human capital than man owing to the existence of discrimination in labor market, the 'expected human capital stock' instead of human capital stock will explain male-female wage differentials better. Therefore, in this study, we set up three models; first model includes working hours, industry, occupation, etc which are in general used as explanatory variables for wage decision, second model includes the variables which reflect the traditional human capital stock together with the first model's explanatory variables, third model employes the 'expected human capital stock' instead of traditional human capital stock. From the empirical test, the estimates of discrimination in three models are .93, .60, and, .48 respectively. This result implies that the male-female wage differentials in Korea can be explained by the discrepancy of 'expected human capital stock'. Since the discrepancy in expected human capital stock depend on the disparity in life-cycle labor force participation, male-female wage differentials can largely be attributed to male-female disparity in expected lifetime labor force participation.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.7
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• pp.423-431
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• 2021

This research (1) examines the effect of stock ownership structure on capital structure; (2) explains the effect of stock ownership structure on corporate value; and (3) investigates the influence of capital structure on corporate value. This research is categorized as a quantitative research, which is directed to test various theories. In this study, the population of all consumption companies listed on the Indonesia Stock Exchange (IDX) consist of 38 companies. Population data in this study are all consumption companies, which have gone public in the period from 2010 to 2015. In this study, given the objectives and problem formulation and hypothesis, the analysis method used is Generalized Structural Component Analysis (GSCA). Ownership structure has a significant effect on capital structure; ownership structure has no significant effect on corporate value; capital structure has a significant effect on corporate value; corporate value has a significant effect on capital structure. Previous research found different results. Some researchers found a positive relationship and other researchers found a negative relationship, and there are studies that found both significant and non-significant effects. The inconsistency of previous research results prompted the researchers to examine the effect of ownership structure on capital structure and corporate value.

• Asia-Pacific Journal of Business
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• v.11 no.2
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• pp.133-143
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• 2020

Purpose - This study seeks to summarize the tax changes in stock trading and analyze K-OTC stock trading data in 2017 and 2018 to infer the effects of the application of capital gains taxes by individual investors. Design/methodology/approach - This study analyzes the case of the expansion of the 2018 capital gains tax exemption in the K-OTC market, which exempts capital gains tax on the proceeds from the sale of individual investors of certain stocks under the temporary special law. Findings - In the K-OTC market, the amount of transactions has expanded since the capital gains tax exemption in 2018, but the volume of transactions and transaction turnover have decreased. In particular, the result of lower transaction turnover after the expansion is contrary to expectations. To control the macroscopic effects of the stock market, further analyses the transactions of capital gains tax-exempt stocks and non-exempt stocks. The turnover rate of exemption stocks is higher than that of the non-exempt stocks. In the case of transaction turnover, the two results are not consistent. However, the latter result is more meaningful because the comparison of exempt and non-exempt reduces distortion by macro effects. Research implications or Originality - To mitigate the impact of capital gains taxes on stock market, government authorities need to consider the gradual expansion of the scope of taxation, the application of separate taxation in the introduction of capital gains, the reduction tax rate on transfer income of listed shares, and the reduction tax rate on long-term holdings.

• The Journal of Asian Finance, Economics and Business
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• v.6 no.3
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• pp.41-53
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• 2019

Building a target capital structure is one of the most important decisions in corporate financial management. The purpose of this article is to identify the determinants of capital structure and adjustment mechanism toward the target leverage. The partial adjustment model was applied on a sample of 306 non-financial companies listed on Vietnam stock exchange market during the period of 2008-2017. By the fixed effect model estimation method, the research results have discovered the factors of growth opportunities, firm size, tangible fixed assets and firm's unique characteristics have a positive effect on the target capital structure of enterprises. Besides, profitability and dividend payment have a negative effect on the target capital structure of enterprises. Accordingly, the research results show that the average adjustment speed toward target leverage of the firms is 90.03%. Research results also demonstrate firms have higher or lower debt ratio than the target debt ratio, capital surplus or capital deficit also have an impact on the adjustment rate toward the target capital structure. The research results are consistent with the Dynamic Trade-off Theory. From this result, this article has provided policy implications for non-financial companies listed on Vietnam's stock market in building a reasonable target capital structure according to operating timeline to maximize enterprise value.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.11
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• pp.689-698
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• 2020

The aim of this article is to determine the influence of factors on the capital structure of construction companies listed on the Hanoi Stock Exchange. The data of the article were collected and calculated from the financial statements of 54 construction companies listed on Hanoi Stock Exchange from 2012 to 2019. With the application of E-view software in quantitative analysis to build panel data regression model (panel data), the article has built a regression model to determine the relationship of intrinsic factors affecting the capital structure of construction companies listed on Hanoi Stock Exchange. In the study, dependent variable is capital structure, determined by the debt-to-equity ratio. Profitability, coefficient of solvency, size, loan interest rate, structure of tangible assets, and growth are independent variables. The results showed that the two factors of growth and firm size positively affect the capital structure, the profitability factor has the opposite effect on capital structure. Factors of short-term debt solvency, average loan interest rate and tangible asset structure have no correlation with capital structure. The findings of this article are useful for business administrators, helping business managers make the right financial decisions to make capital structure decisions in their own conditions.