The Impacts of External Debt on Economic Growth in Transition Economies

The 1989 and following years were the periods in which many important economic and political tumovers took place in the world. That was the time when Berlin Wall fell down with scattering the Eastern block and many politically independent states came into being, at the same time, ongoing about 70 years socialist system also started to change into liberal system. The constituted 27 states in 1991 were tended to liberal economic system instead of socialist economy, and these states were called as transition economies. In this study, the relationship between indebtedness and growth rate of transition countries were analyzed by panel autoregressive distributed lag model （ARDL）. Before panel ARDL application, stationary properties of the variables have been checked with first and second generation unit root test. For the second generation unit root tests, CADF tests have been used. Also cross section dependency has been examined by LM tests.

Currencies of greater interest for central Asian economies:an analysis of exchange market pressure amid global and regional interdependence

Central Asian Economies(CAEs)have diverse exchange rate policies.They have recorded higher volatility in the foreign exchange market since inception.High volatility of the transition era has drifted these economies towards partial dollarization.Monetary authorities in CAEs,(already have a challenge of maintaining monetary policy autonomy)have a gigantic task of price stability and stopping the spread of dollarization.This study is directed towards assessing the drivers and the determinants of foreign exchange market pressure in CAEs.The results,based on panel data analysis and the System GMM model,have provided useful insights about the exchange market pressure determinants particularly USD,Euro,Ruble,and Renminbi.The results show that China and Russia exchange market pressure has a negative effect on the exchange market pressure of CAEs.While the dollar index shows a positive impact on the exchange market pressure of CAEs.Overall,the findings imply that China and Russia currency appreciation results in a trade deficit across CAEs.The policy implication suggests that the floating exchange rate regime(inflation targeting regime)is not in favor of CAEs,and they must use managed-float to reduce their trade deficits.

A Research on Unemployment in China＇s Transition Economy

Based on the theory of rigid wage of Keynesianism, this paper discusses the influence of rigid wage on unemployment in China＇s transition economy, and thoroughly analyzes the traditional concept of workers in state-owned enterprises. Then the paper puts forward that in order to activate employment market, solve current problem of the large quantity surplus labor, supply-demand rule of labor market should be obeyed, and the rigid wage of long-term contract should be replaced by the flexible wage of short-term contract. The solution of unemployment will be of great significance for Chinese economy growth and social development.

Self-Dealing Among Convergence and Path-Dependency Opportunities： An Empirical Analysis of Regulatory From Six European Countries

Self-dealing refers to all kinds of transactions and operations diverting value from a company to corporate controllers. In order to tackle self-dealing, academics and regulators have emphasised the legal tools. However, there is a divergence between those supporting the existence of a benchmark model towards which to converge （convergence hypothesis） and those underscoring the importance of socio-economic factors on the efficacy of governance rules （path-dependency view）. The aim of this paper is to join in the convergence vs. path-dependency debate by focusing on the efficiency of mandatory rules and investigating their effectiveness. Considering the current market integration, the traditional cost-benefit analysis has been extended in order to embrace costs specifically associated to the issue of domestic rules in a global scenario. This analysis supports the convergence view and encourages at least a partial and gradual adjustment of national legislations towards the prevailing Anglo-Saxon model. In order to test this hypothesis, an examination of the self-dealing regulatory （on conflict of interests and self-dealing） adopted in some Western （Germany, Italy, and the United Kingdom （UK）） and Eastern （Czech Republic, Hungary, and Poland） European countries has been conducted.

Urbanization,economic development,and environmental changes in transitional economies in the global south:a case of Yangon

Background:Transitional economies in Southeast Asia—a distinct group of developing countries—have experienced rapid urbanization in the past several decades due to the economic transition that fundamentally changed the function of their economies,societies and the environment.Myanmar,one of the least developed transitional economies in Southeast Asia,increased urbanization substantially from 25%in 1990 to 31%in 2019.However,major knowledge gaps exist in understanding the changes in urban land use and land cover and environment and their drivers in its cities.Methods:We studied Yangon,the largest city in Myanmar,for the urbanization,environmental changes,and the underlying driving forces in a radically transitioned economy in the developing world.Based on satellite imagery and historic land use maps,we quantified the expansion of urban built-up land and constructed the land conversion matrix from 1990 through 2020.We also used three air pollutants to illustrate the changes in environmental conditions.We analyzed the coupled dynamics among urbanization,economic development,and environmental changes.Through conducting a workshop with 20 local experts,we further analyzed the influence of human systems and natural systems on Yangon’s urbanization and sustainability.Results:The city of Yangon expanded urban built-up land rapidly from 1990 to 2000,slowed down from 2000 to 2010,but gained momentum again from 2010 to 2020,with most newly added urban built-up land appearing to be converted from farmland and green land in both 1990–2000 and 2010–2020.Furthermore,the air pollutant concen-tration of CO decreased,but that of NO_(2)and PM_(2.5)increased in recent years.A positive correlation exists between population and economic development and the concentration of PM_(2.5)is highly associated with population,the economy,and the number of vehicles.Finally,the expert panel also identified other potential drivers for urbanization,including the extreme climate event of Cyclone Nargis,capital relocation,and globalization.Conclusions:Our research highlights the dramatic expansion of urban land and degradation of urban environment measured by air pollutants and interdependent changes between urbanization,economic development,and environmental changes.

Reindustrialization or Postindustrial Development： Innovation Policy Debate in Ukraine

Usual recommendations concerning the principles of effective economic policy that were given by international experts, closely connected with the ＂Washington consensus＂ approach, for the transitive countries, especially to Ukraine, do not contain requirements of the active innovation technological policy, stressing importance the measures which provide efficiency of the existing production structure. This article discusses and criticizes such attitude as the strategic methodological platform. The theoretical backgrounds of the presented analysis lay in the Schumpeterian innovation theory of economic development and the Neo-Schumpeterian approaches concerning decisive value of structural and technological change for economic growth. It gives arguments for standpoint that a follow-up economic development can be successful if a country will be able to have expansion of new modem sectors and more innovative structure of production, as investments in the process of innovation must guarantee a permanent structural reform of the national economy on a new technological basis. One of the main means of realization should be the diversification of the organizational forms of the national economy, ensuring the cooperation of small, medium and large companies within the innovation ＂science-technology-production＂ cycle. Conclusion that in transitive countries and in Ukraine the contemporary innovation policy should provide effective mechanisms of investing into large-scale structural changes for the benefit of the sectors of the fifth and sixth technological paradigm.

On China＇s Economy： A Tentative Research from a Dual Visual Angle

Most economists approach the economy of China from a single visual angle considering it as a special economic modality of transition economy. Based on the analysis from the single visual angle, the paper puts forward a dual visual angle treating China＇s economy as one of both transition and transformation features, and attempts to research it from this dual visual angle.

Can the improvement of competitive adequacy and fairness reduce discriminatory M&A behavior?Evidence from the market access negative list pilot in China

Corporate mergers and acquisitions(M&As)are subject to skewed logic due to excessive government regulation.China is progressively adopting the Market Access Negative List(MANL)pilot to transfer the power of resource allocation from the government to the market.Using the DID method,we examine the impact of relaxing market access regulation on firms’M&A behavior against China’s institutional background and the M&A events of listed companies from 2012 to 2019.The MANL significantly increases firms’M&A tendency and amount and strengthens the competitive adequacy and fairness of market-oriented M&A decisions.Post-M&A financial performance does not increase,but human capital productivity,innovation effectiveness and total factor productivity do,demonstrating the dynamic balance of profit and efficiency in M&As.

How Market-Guanxi Ambidexterity Affects Adaptive Capability in China＇s Transition Economy

Whether market- and guanxi-based strategies are complementary or substitutable in shaping adaptive capability is a critical yet controversial issue. This paper tackles this problem by adopting the ambidexterity perspective. Specifically, using a sample of 185 Chinese private firms, this study examines the independent and interactive effects of market orientation （MO） and guanxi orientation （GO, i.e., emphasizing on building business and political ties） on adaptive capability of firms in transition economies. Our results suggest that both direct impacts and complementary impacts of MO and GO strongly exist in shaping firms＇ adaptive capability, indicating the importance of ＂strategic ambidexterity.＂ These findings have several theoretical implications for studies on ambidexterity and adaptive capability, and practical implications for finn strategies in transition economies.

Social capital and folk lending in China’s hottest financial market

In 2011,respnding to a credit crunch,Wenzhou became the first and only municipality to institute complete financial reform.Wenzhou had been the fastest growing municipal economy in China's fastest-growing province for two decades.But the global financial crisis hit hard the informal financial networks which funded small and medium-sized enterprises.The so-called'Wenzhou model'has long been dependent on financial capital from other parts of China funnelled through these networks to fund local entrepreneurs,especially the person-to-person financing known as folk lending.These informal financial networks relied heavily on interpersonal connections,reputation and trust,the major ingredients of social capital in banking and finance.In order to generate the social capital lost in the credit crunch,Wenzhou created govermment financial intermediaries,but these have not had much success.However,peer-to-peer on-line financing companies(P2P platforms),established concurrently by private entre preneurs with ltte capital,have been highly succesful.In effect,P2P platforms have capitalised on the"Wenzhou model'by using the Wenzhou brand name to create a new form of financing net-work channel.