• The Journal of Asian Finance, Economics and Business
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• v.7 no.4
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• pp.145-154
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• 2020

The paper aims to investigate the interactions between rule of law, economic growth and the shadow economy in 18 selected transition economies. This study uses annual data over the period 2002-2015 for 18 transition countries to estimate the effects of rule of law and other factors on the size of shadow economy. The transition country group is classified based on International Monetary Fund resources and is selected on the basis of the availability of data. The data examined in this research are derived from the World Bank, Worldwide Governance Indicators project and Working Paper from International Monetary Fund. This study employs GMM method. The results show that the economic growth indicators have negative and statistically significant impact on the shadow economy. Additionally, these results also reveal that in transition countries the size of shadow economy is negatively related to the quality of rule of law. However, the findings of this research also point out that there are positive relationships between inflation, public expenditure and the size of shadow economy. Hence the results from this study suggest that the size of shadow economy could be controlled by improving the effectiveness of rule of law and the growth of economy particularly in transition countries.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.10
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• pp.601-611
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• 2020

The study aims to investigate the impact of ownership structure on corporate voluntary disclosure in the listed companies of Bangladesh. While many studies on the impact of ownership structure on voluntary disclosure have looked at developed and developing countries, few studies have been carried out in a transition economy. Using a three-step relative voluntary disclosure index, the study applies a multivariate analysis on the cross-sectional data for the year 2018. The findings indicate that the quality of voluntary disclosure in transition economy is still below average but has improved compared to findings from the previous literature. We found a significant inverse relationship between corporate voluntary disclosure and public ownership, while no significant relationships between voluntary disclosure and institutional ownership, director ownership, and foreign ownership have been found. The empirical findings of the study will provide evidence to promote the voluntary disclosure characterized by the ownership structures. The findings have important implications for both local and foreign investors as they make their investment decisions especially related to a transition economy. Besides, the findings will assist, not only the corporate executives in rearranging their reporting paradigm, but also the regulators and governments in similar transition economy in adopting and formulating their corporate policies and strategies.

• International Journal of Computer Science & Network Security
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• v.21 no.12
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• pp.309-315
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• 2021

The purpose of the article is to analyze the functioning of economic systems in the context of the development of their potential in a circular economy. It is determined that the functioning of economic systems to ensure their sustainability should meet modern challenges and provide for the formation of competitive institutional architecture, the introduction of structural and regulatory innovations, the transition to an innovative model of development. The specific principles of functioning of economic systems include openness, nonlinearity, multivectority, dynamism, emergence, uncertainty about the development of economic processes. It is substantiated that the linear nature of development and equilibrium are not dominant in the functioning of economic systems, and increasing the level of economic efficiency should go hand in hand with minimizing the activities of enterprises, which necessitates the use of circular economy. The main prerequisites for the transition to a circular economy are analyzed. It is determined that the basic concept of the circular economy involves the development of a system of production and consumption, which is based on processing, reuse, repair, product sharing, change of consumption patterns and new business models and systems. The main elements of the circular economy include: a closed cycle, the use of renewable energy sources, systems thinking. The correlation of the principles of sustainable development and the peculiarities of the application of the circular economy is analyzed. It is determined that the circular economy contrasts with the traditional linear economic model, which is based on the model of "take-do-consume-throw away". The advantages and disadvantages due to the use of the principles of circular economy are given. Based on the study, steps are identified to accelerate the transition from a linear economy to a circular economy.

• STI Policy Review
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• v.9 no.1
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• pp.133-157
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• 2018

The divide between the "digital" economy and the traditional "physical" economy is outdated. In fact, we are in a transition to a singular economy. This paper classifies economic objects (including actors) as either physical or virtual and argues that due to emerging technologies, these objects are interacting with each other in both physical and increasingly digital spheres in tandem. This paper recognizes the elemental difference between atoms and bytes but argues that physical and digital economic activities are becoming inseparably intertwined. Furthermore, arbitrarily dividing the economy into two categories - one "physical" and the other "digital" - distorts the overall view of the actual execution of economic activity. A wide range of innovations emerging concurrently is fueling the transition to a singular economy. Often referred to as the elements of the Fourth Industrial Revolution (4IR), four emerging technological areas are reviewed here: distributed ledger technology, artificial intelligence/machine learning/data sciences, biometrics and remote sensor technologies, and access infrastructure (universal internet access/electricity/cloud computing). The financial services sector is presented as a case study for the potential impact of these 4IR technologies and the blurring physical/digital line. To reach the potential of these innovations and a truly singular economy, it requires the concurrent development of social, organizational, and regulatory innovations, though they lag in terms of technological progress thus far.

• KDI Journal of Economic Policy
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• v.44 no.3
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• pp.75-99
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• 2022

This paper analyzes job creation when the Korean economy transitioned to a knowledge economy from the 1990s to the 2010s. During this period, the ratio of service to manufacturing jobs increased, knowledge intensive industries grew, and job creation became geographically concentrated around Seoul. The changes slowed down in the 2010s, and overall job growth weakened. To analyze the effect of job creation driver industries during this period, the main part of which are knowledge intensive tradable service industries, on local service job creation, I use a modified version of the local labor market of Moretti (2010). I analyze the job changes during 1995-2005 and during 2006-2016 in 237 Si-Gun-Gu areas in the Census on Establishments datasets. I find that one manufacturing job creates 0.5 local service jobs and that one tradable service job creates 1.1 jobs within Gu areas of metro cities and 2.3 jobs in Si-Gun areas. The job creation relationship between the tradable and local service sectors was not altered in this period. As more jobs were created in the tradable sector driven by the transition to a knowledge economy, job creation overall remained active, with the opposite also being true.

• The Journal of Asian Finance, Economics and Business
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• v.2 no.4
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• pp.21-29
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• 2015

Green technologies are essential tools to ensure sustainable development of the economy. In this regard, the article deals with analysis of the development tendency of green economy in Kazakhstan emphasizing commercialization of green technologies. In the first part of the study, authors investigated more than 50 official sources of information, including laws, concepts, programs, events and reviews of major international organizations. The study's methodological basis included Kazakhstan's legislative and regulatory Acts, state programs and Concept for transition to Green economy, and data about innovations in the field of green technologies. Six experts were interviewed in order to determine factors which interfere to commercialization of green technologies. Urgent problems and trends of development, challenges and obstacles to gain green economy have also been identified in the result of expert interviewing. The research shows that despite Kazakhstan's intentions to update and develop much of its infrastructure over the coming 20 years, inefficient use of resources is currently observed in every sector. It is necessary to encourage scientists and entrepreneurs to invent and commercialize new green technologies. That would be basis for successful implementation of transition from "brown" to green economy.

• Journal of Korea Planning Association
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• v.53 no.7
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• pp.67-86
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• 2018

This paper attempted to analyze impacts of transition in electricity generation system on a national economy and environmental level in Korea using a recursive computable general equilibrium(CGE) model. In particular, the paper presented a hybrid model combining the top-down CGE model with the bottom-up model which describes the structure of electricity production in detail. The impacts were analyzed by two policy scenarios base on the basic plan for electricity supply and demand proposed by the Korean government. As a result, the paper specifically showed that there exists a trade-off relationship in the policy-making between economic efficiency and environmental level. The paper also suggested that the transition in electricity generation system should be done more gradually and carefully.

• KDI Journal of Economic Policy
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• v.39 no.2
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• pp.25-51
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• 2017

This paper employs an Overlapping Generations Model to quantify the impacts of Korea's demographic transition toward an older population on the total output growth rate. The model incorporates the projected population through 2060 according by Statistics Korea. The effects of the low fertility and increased life expectancy rates are studied. The model is considered suitable for analyzing the effects of demographic changes on the Korean economy. Under the assumption that the TFP growth rate will not slow considerably in the future, remaining at 1.3% per annum, the gross output growth rate of the Korean economy is projected to slow to 1.1% per annum in the 2050s, from 4.0% in the 2000s. The shrinking workforce due to the decline in fertility plays a significant role in the deceleration of the Korean economy. The increased life expectancy rate is expected to mitigate the negative effect, but the magnitude of its effect is found to be limited.

• East European & Balkan Studies
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• v.36
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• pp.247-268
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• 2013

The ever-increasing informal economy in post-socialist Eastern Europe forces one to wonder about what transition to post-socialism is for and about. Informal economy, which refers to unregistered work and services to was rampant in the socialist period across Eastern Europe and the Soviet Union. It was considered as a pathological phenomenon of the socialist system and exposing the rigidity and inefficiency of the command economy amongst the socialist regimes. The ordinary people of the Eastern bloc had to resort to all sorts of informal channels to get hold of goods and services constantly in short supply, especially at the last decade of the really existing socialism. However, it is ironical to observe the same old informal economy, considered pathological, even more thriving in the new era of post-socialism in Eastern Europe. After all, the system has changed into the capitalism, the antipode to socialism. It should be mentioned that the function of informal economy is seen to be even more intensified, from a means to make living better in the socialist time to a means for survival and sustenance in the post-socialist period. It follows from the socialist experience that the deficiency of the ruling system could not be indefinitely borne out. Real remedies should be sought out before it will be too late.

• International Journal of Computer Science & Network Security
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• v.22 no.2
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• pp.297-303
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• 2022

The main purpose of the study is to determine the main aspects of the problem of socio-economic development in the conditions of the digital economy. The post-industrial era is characterized by the development of the electronic environment and the transition to an information civilization. In this regard, the developed countries of the world pay considerable attention to the development of the digital economy. However, there are a significant number of problems associated with this process. The country cannot be successful in the development of the digital economy in the absence of the necessary legal framework, an economic development strategy based on digital technologies. The research methodology involves the use of several theoretical methods for analyzing and synthesizing information. As a result of the study, the key problems of socio-economic development in the digital economy were characterized.