Search Results (120)

This study focuses on a class of optimization problems about higher education costs with industrial production characteristics, in which the objective function is a quadratic cost function and the nonlinear constraints follow the Cobb–Douglas form. Through variable substitution, this class of nonlinear-constrained optimization problems is converted into optimization problems with linear constraints. Further, this study derives the conditions for the existence of optimal solutions to this optimization problem and conducts numerical simulations for the two-variable scenario to demonstrate its applicability in the field of higher education. Full article

Governmental organizations, projects, and initiatives in Saudi Arabia have focused specifically on the fisheries and the aquaculture sector to reduce reliance on imports, achieve self-sufficiency, and significantly contribute to food security. To accommodate the annual population increase, Saudi Arabia needs to enhance its fish production. This study aims to illustrate the impact of credit on the fisheries sector by examining the factors that affect fish output in Saudi Arabia, both in general and in specific contexts. The research employed annual time series data to estimate the Cobb–Douglas production function. The study computed the Cobb–Douglas model in an error correction format due to the stationarity characteristic of the data. The results show that fish production in Saudi Arabia is significantly enhanced by the number of fishermen, marine fisheries, aquaculture farms, and financial resources. Furthermore, the results reveal that economies of scale play a crucial role in the Saudi fishing industry. Nevertheless, since the data indicates that the influence of marine fisheries on fish output in Saudi Arabia in the long run surpasses that of aquaculture farms, the researchers recommend an increase in aquaculture production. Sustainable methods for fish production, such as minimizing overfishing and bycatch, improving water and environmental quality, and promoting the traceability of fish populations, should be prioritized in the advancement of the fisheries sector. Full article

The olive flounder (Paralichthys olivaceus) is a significant aquaculture species in Korea, yet production has stagnated due to rising costs, environmental pressures, and shifting consumer preferences. Enhancing farm efficiency is critical not only for economic viability but also for environmental sustainability, as efficient production reduces resource waste, lowers feed inputs, and minimizes the carbon output of aquaculture operations. This study estimated the production function and efficiency of olive flounder farms in Korea using stochastic frontier analysis, drawing on survey data collected directly from producers. Results indicate that the Cobb–Douglas model is more suitable than the translog model for empirical analysis. The average farm efficiency was 0.38, with the lowest recorded efficiency at 0.13. Key determinants of production efficiency included fry quality, workforce size, and feed management. Regional differences were also observed in the technical inefficiency factor. By identifying inefficiencies and management gaps, this study highlights opportunities to enhance resource use efficiency, reduce environmental and economic waste, and promote more sustainable practices. The findings provide insights for policymakers and farm managers seeking to strengthen both the profitability and sustainability of the Korean olive flounder aquaculture industry. Full article

This research develops and applies the IoTRIM model to assess the economic and operational implications of IoT integration in postal and courier enterprises in Slovakia. Combining a multi-criteria evaluation framework with an extended Cobb–Douglas production function, the analysis captures both readiness levels and their translation into output performance. The IoTRIM assessment reveals heterogeneous distributions of strengths across four strategic and technical pillars, with notable disparities between connectivity, data analytics, and interoperability capacities. Monte Carlo simulations under pessimistic, realistic, and optimistic scenarios highlight divergent digital trajectories among enterprises, with some demonstrating accelerated gains from IoT readiness while others face structural bottlenecks in infrastructure and process integration. Hypothesis testing indicates that while a positive and statistically significant relationship between IoT readiness and output is observed in selected cases, this effect is not universal across all enterprises and scenarios. However, the inclusion of IoT readiness consistently improves the explanatory power of the production function models. The findings underline that digital transformation outcomes depend not only on investment scale but also on systemic absorption capacity, including interoperability, data governance, and organizational alignment. The proposed approach offers both a methodological contribution for measuring digital readiness impacts and practical insights for strategic planning in the postal and courier sector. Full article

With rapid economic development and the growing global demand for water resources, the relationship between water demand and economic growth has become a critical international concern. This study investigates the role of water resources in China’s economic growth by extending the Cobb–Douglas production function to include investment, labor, energy, land, and water resources. Using national and regional data from 1949 to 2023, we quantify the spatiotemporal dynamics of factor contributions across primary, secondary, and tertiary industries. Results show that investment remains the dominant growth driver, with rising contributions from energy and land, while labor is increasingly substituted. Water resources exhibit marked industrial and regional heterogeneity: since 2013, water constraints have intensified in the primary sector of the Yellow River basin and Northeast China, and in the secondary sector of the inland northwest and Yellow River provinces. Considering national food security imperatives and given the complementary nature of water–land resources and the fixed nature of land, we propose strategic water network planning based on land productivity patterns to optimize resource coordination and drive high-quality economic development. Full article

This paper investigates the symmetric and asymmetric effects of renewable and non-renewable energy on Greece’s economic growth within an extended Cobb–Douglas production function for 1990–2022. The study is motivated by the rising role of renewable energy and the need to determine whether the energy–growth nexus is linear or nonlinear, an issue of central importance for policy. The Brock–Dechert–Scheinkman (BDS) test confirms the nonlinearity of the variables, while Zivot–Andrews unit root tests with structural breaks capture crisis-related disruptions. The Wald test indicates that renewable energy has an asymmetric long-run relationship with growth, whereas non-renewables exert symmetric effects. To model these dynamics, the Nonlinear Autoregressive Distributed Lag (NARDL) framework is applied. Results show that in the long run, positive shocks to renewable energy enhance growth, while both positive and negative shocks to non-renewables have symmetric impacts. In the short run, only non-renewable energy shocks significantly affect growth. Asymmetric causality analysis reveals a bidirectional relationship between positive renewable shocks and growth, suggesting a virtuous cycle of renewable expansion and economic performance. The study contributes by providing the first systematic evidence for Greece on the nonlinear energy–growth nexus, advancing empirical modeling with NARDL and break-adjusted tests, and highlighting the heterogeneous growth effects of renewable versus non-renewable energy. Full article

In this work, we consider the problem of minimizing a quasi-convex function over a nonempty closed convex constrained set. In order to approximate a solution of the considered problem, we propose delayed star subgradient methods. The main feature of the proposed methods is that it allows us to use the stale star subgradients when updating the next iteration rather than computing the new star subgradient in every iteration. We subsequently investigate the convergence results of sequences generated by the proposed methods. Finally, we present some numerical experiments on the Cobb–Douglas production efficiency problem to illustrate the effectiveness of the proposed method. Full article

This study investigates the complex dynamics of new-type urbanization in resource-based county-level cities, using Wuan City in Hebei Province, China, as a representative case. As China pursues a high-quality development agenda, cities historically dependent on resource extraction face profound challenges in achieving sustainable and inclusive urban growth. This research employs a multi-method approach—including Theil index analysis, industrial shift-share analysis, a Cobb–Douglas production function model, and a composite urbanization index—to quantitatively diagnose the constraints on Wuan’s development and assess its transformation efforts. Our empirical results reveal a multifaceted situation: while the urban–rural income gap has narrowed, rural income streams remain fragile. The shift-share analysis indicates that although Wuan’s traditional industries have regained competitiveness, the city’s economic structure is still burdened by a persistent negative structural component, hindering diversification. Furthermore, the economy exhibits characteristics of a labor-intensive growth model with inefficient capital deployment. These underlying issues are reflected in a comprehensive urbanization index that, after a period of rapid growth, has recently stagnated, signaling the exhaustion of the city’s traditional development mode. In response, Wuan attempts an “industrial transformation-driven new-type urbanization” path. This study details the three core strategies being implemented: (1) incremental population urbanization through development at the urban fringe and in industrial zones; (2) in situ urbanization of the existing rural population; and (3) the cultivation of specialized “characteristic small towns” to create new, diversified economic nodes. The findings from Wuan offer critical, actionable lessons for other resource-dependent regions. The case demonstrates that successful urban transformation requires not only industrial upgrading but also integrated, spatially aware planning and robust institutional support. We conclude that while Wuan’s model provides a valuable reference, its strategies must be adapted to local contexts, emphasizing the universal importance of institutional innovation, human capital investment, and a people-centered approach to achieving resilient and high-quality urbanization. Full article

This paper develops a nonlinear optimization model for the optimal allocation of labor and investment resources in a three-sector open economy. The model is based on the Cobb–Douglas production function and incorporates sectoral interdependencies, capital depreciation, trade balances, and import quotas. The resource allocation problem is formalized as a constrained optimization task, solved analytically using the Lagrange multipliers method and numerically via the golden section search. The model is calibrated using real statistical data from Kazakhstan (2010–2022), an open resource-exporting economy. The results identify structural thresholds that define balanced growth conditions and resource-efficient configurations. Compared to existing studies, the proposed model uniquely integrates external trade constraints with analytical solvability, filling a methodological gap in the literature. The developed framework is suitable for medium-term planning under stable external conditions and enables sensitivity analysis under alternative scenarios such as sanctions or price shocks. Limitations include the assumption of stationarity and the absence of dynamic or stochastic features. Future research will focus on dynamic extensions and applications in other open economies. Full article

This article is devoted to the study of the possibilities for improvAzing the quality of energy management systems adopted at open-pit mining enterprises in the Russian Federation. The main idea of the work is to apply stochastic boundary value analysis methods using the production function for individual and integral estimates of the performance of energy-consuming objects when performing various types of technological work. It is shown that mining enterprises are experiencing problems in the field of rational energy consumption due to the lack of strictly formalized ways to determine the frontiers of the efficiency value of the parameter of specific energy consumption (SEC). A justification is given for the need to apply stochastic frontier analysis (SFA) methods and use the Cobb–Douglas production function to account for the nonlinearity and stochasticity of the operating conditions of energy-consuming mining objects. The results of a statistical analysis of the data on the operation of EKG-10 excavators at operating enterprises in Siberia are presented, as well as an assessment of their energy efficiency using the adopted approach based on planning the target value of SEC. The results of computational experiments on constructing an energy efficiency model using the SFA/Cobb–Douglas function for various data segmentation options are presented. Computational experiments have been conducted to compare variants based on the Cobb–Douglas production function and translog function with semi-normal and exponential distribution forms for the same data set. A comparative assessment is given of the approaches to the complex analysis of activities adopted at enterprises and proposed in this study, characterizing potential hidden energy losses in the range from 4.53% to 20.73%. Full article

Concentration within the food industry is a desirable process in the context of improving economic efficiency, which is the basis for building sustainable competitive advantages in internationalisation and globalisation. Excessive concentration of market structures can generate negative externalities that threaten sustainability in the long term. Maintaining a balance between the freedom of economic activities and the protection of consumers and environmental interests is fundamental to the stability of the entire economy and its position in the international market, which is a priority of the EU-MERCOSUR trade agreement. The aim of this article was to assess the process of concentration of the Polish food industry and its impact on factor efficiency in the context of changing external conditions. In order to do so, the Cobb–Douglas production function was used. The research results showed that there is a progressive concentration in the food industry. Changes in the entity structure are taking place in an evolutionary way, as illustrated by the still high fragmentation of companies. Large companies make good use of economies of scale, which is mirrored in their high efficiency. The structure of the Polish food industry makes it possible to realise the objectives of agricultural policy, including in terms of sustainable development and improvement of competitiveness on the global market. Taking into account the current entity structure of the Polish food industry, it will be crucial for the long-term sustainability to take into account contemporary economic, environmental and social issues in the EU-MERCOSUR trade agreement. Full article

The Export-Led Growth Hypothesis (ELGH) posits that expanding exports drive long-run economic growth. While this has held true for several Asian economies, its effectiveness across African regional blocs remains underexplored. This study investigates the validity of ELGH in the East African Community (EAC) and Southern African Development Community (SADC), assessing whether exports significantly contribute to economic growth in these regions. The analysis covers 22 EAC and SADC economies from 1990 to 2022—regions marked by structural transformation efforts, trade liberalisation, and participation in the AfCFTA. A dynamic panel data model based on an augmented Cobb-Douglas production function is estimated using the System Generalised Method of Moments (System GMM) to address endogeneity and reverse causality. Granger causality tests supplement the analysis. Exports and technology significantly enhance GDP growth, while labour and FDI are statistically insignificant. Trade openness negatively affects growth, suggesting vulnerability to external shocks. A bidirectional Granger causality exists between exports and GDP. This study offers the first dynamic, bloc-level empirical evaluation of ELGH across EAC and SADC, incorporating trade-related interactions. Findings affirm ELGH’s relevance and stress the need for export diversification, technological upgrading, and institutional reform for sustained growth in Africa. Full article

Optimal taxation and profit maximization are two very important problems, naturally related to one another since companies operate under a given tax system. However, in the literature, these two problems are usually considered separately, either by studying optimal taxation or by studying profit maximization. This paper tries to link the two problems together by formulating a bilevel model in which the government acts as a leader and a profit maximizing follower acts as a follower. The exact form of the tax revenue function, as well as optimal tax amount and optimal input levels, are derived in cases when returns to scale take on values 0.5 and 1. Several illustrative numerical examples and accompanying graphical representations are given for decreasing, constant, and increasing returns to scale values. Full article

As a key facilitator of agricultural technology diffusion, the development and implementation of agricultural standards significantly shape future agricultural technology innovation. This study analyzes China’s agricultural economic development from 2004 to 2019. It integrates agricultural standard stocks and patent stocks into a Cobb–Douglas production function. Patents serve as a proxy for technological progress, reflecting innovation capacity, while standards represent the institutionalization and diffusion of technological advancements. The analysis focuses on the average annual growth rates of agricultural capital, labor, patents, and standards to clarify their respective contributions to agricultural development. The results show that capital contributes 19.951%, though constrained by inefficiencies. Labor accounts for 38.779% but shows negative elasticity (−0.403%), reflecting the decline of rural labor and the need for mechanization. Patents contribute the most at 42.021%, though limited by weak technology diffusion. Agricultural standards contribute 5.323%, with their impact restricted by adoption barriers. The findings highlight the growing role of technological innovation in agriculture. Strengthening standardization systems and promoting broader adoption of agricultural standards are key to advancing sustainable agricultural development in China. Full article

Farmers’ decision-making behavior is shaped by familial intergenerational ties and neighborhood relations, yet research often treats them as independent decision-makers, overlooking these critical dynamics. This oversight can undermine the effectiveness of policies on farmland quality. Using micro-survey data from 1045 maize farmers in Gansu Province, China, this study explores farmers’ fertilizer reduction behavior through a theoretical framework that incorporates intergenerational behavioral transmission and neighborhood effects. Economically optimal fertilizer usage was calculated using the Cobb–Douglas production function, with hierarchical regression models and instrumental variable methods employed for analysis. Our findings reveal the following: (1) The Cobb–Douglas production function indicates that 74.1% of farmers apply more fertilizer than the economically optimal amount. (2) Effective intergenerational behavioral transmission and positive neighborhood effects significantly promote farmers’ adoption of reduced fertilizer application practices, with neighborhood effects further enhancing the effects of intergenerational behavioral transmission. (3) Stronger neighborhood effects not only enhance the positive impact of effective intergenerational behavioral transmission but also mitigate the negative impact of ineffective transmission. Additionally, neighborhood effects mediate the relationship between intergenerational behavioral transmission and fertilizer reduction. This study highlights the importance of kinship and neighborhood dynamics in shaping farmers’ fertilizer use and provides insights for designing more effective farmland quality protection policies. By acknowledging these relational factors, governments can better promote sustainable agricultural practices and minimize excessive fertilizer application. Full article