Search Results (793)

This research objective is to overcome the shortcomings of the updated values added of the System of National Accounts 2025 (SNA 2025) in order to measure the spatialized total sustainable social income from forest ecosystems through an experimentally refined System of Environmental-Economic Accounting (rSEEA). Sustainable income measured at observed, imputed, and simulated market transaction prices is defined as the maximum potential consumption of products generated in the forest ecosystem without a real decline in the environmental asset and manufactured fixed capital at the closing of the current period, assuming idealized future conditions of stable real prices and dynamics of institutional and other autonomous processes. A key finding of this research is that sustainable income extends the SNA 2025 net value added by incorporating the omissions by the latter of environmental net operating surplus (or ecosystem service in the absence of environmental damage), ordinary changes in the environmental asset condition and manufactured fixed capital adjusted according to a less ordinary entry of manufactured fixed capital plus the manufactured consumption of fixed capital. Sustainable income was measured spatially for 15 individual products, the area units being the map tiles for Andalusia, Spain, Stone pine forest (Pinus pinea L.) canopy cover was predominant, covering an area of 243,559 hectares. In 2010, the SNA 2025 gross and net values added accounted for 24% and 27%, respectively, of the Stone pine forest sustainable income measured by the rSEEA. The ecosystem services omitted by the SNA 2025 made up 69% of the rSEEA sustainable income. Full article

This study evaluates the eco-efficiency and eco-productivity of 141 countries using data-driven analytical frameworks over the period 2018–2023, covering the pre-COVID, COVID, and post-COVID phases. We employ an input-oriented Slack-Based Measure Data Envelopment Analysis (SBM-DEA) under variable returns to scale (VRS), combined with the Malmquist Productivity Index (MPI), to assess both static and dynamic performance. The analysis incorporates three inputs—labor force, gross fixed capital formation, and energy consumption—one desirable output (gross domestic product, GDP), and one undesirable output (CO₂ emissions). Eco-efficiency (the joint performance of energy and carbon efficiency) and eco-productivity (labor and capital efficiency) are evaluated to capture complementary dimensions of sustainable performance. The results reveal significant but temporary gains in eco-efficiency during the peak pandemic years (2020–2021), followed by widespread post-crisis reversals, particularly in labor productivity, energy efficiency, and CO₂ emission efficiency. These reversals were often linked to institutional and structural barriers, such as rigid labor markets and outdated infrastructure, which limited the translation of technological progress into operational efficiency. The MPI decomposition indicates that, while technological change improved in many countries, efficiency change declined, leading to overall stagnation or regression in eco-productivity for most economies. Regression analysis shows that targeted policy stringency in 2022 was positively associated with eco-productivity, whereas broader restrictions in 2020–2021 were less effective. We conclude with differentiated policy recommendations, emphasizing green technology transfer and institutional capacity building for lower-income countries, and the integration of carbon pricing and innovation incentives for high-income economies. Full article

Prior economic research emphasized land, labor and physical capital as the primary drivers of growth, but contemporary work highlights the pivotal role of human capital. Investments in education, health and governance are now regarded as central to sustainable development; yet important questions remain regarding their effectiveness and context-specific impact. This study investigates how human capital investment influences labor force participation and income growth within the ASEAN nine economies for the period from 2000 to 2022 which provides a rich example of contrast in economic and governance outcomes within a single geographic region. Impacted units of measurement of labor force participation and income growth are evaluated using the Bayesian Additive Regression Trees model to select the most important variables, the Bayesian Dynamic Nonlinear Multivariate panel model to estimate regional effects, and the Time-varying Seemingly Unrelated Regression Equations model to evaluate country-specific dynamics, which considers not just the influence of investments in health and education but also the context of rule, law, and governance. The findings indicate that human capital investments exhibit heterogenous effects across economic tiers and the need for strategies and future study of preconditions to improve returns particularly in low-tier economies. Accordingly, mid-tier, emerging economies exhibit the greatest benefit from human capital investments while top-tier exhibit the probable impact of the law of diminishing returns as their human capital development is already well underway. Despite the limited scope, this study still has the potential to draw constructive theoretical and practical implications. Full article

The EU Artificial Intelligence Act (Regulation (EU) 2024/1689) designates AI systems used in life and health insurance underwriting as high-risk systems, imposing rigorous requirements for bias testing, technical documentation, and post-deployment monitoring. Leveraging 12.4 million quote–bind–claim observations from four pan-European insurers (2019 Q1–2024 Q4), we evaluate how compliance affects premium schedules, loss ratios, and solvency positions. We estimate gradient-boosted decision tree (Extreme Gradient Boosting (XGBoost)) models alongside benchmark GLMs for mortality, morbidity, and lapse risk, using Shapley Additive Explanations (SHAP) values for explainability. Protected attributes (gender, ethnicity proxy, disability, and postcode deprivation) are excluded from training but retained for audit. We measure bias via statistical parity difference, disparate impact ratio, and equalized odds gap against the 10 percent tolerance in regulatory guidance, and then apply counterfactual mitigation strategies—re-weighing, reject option classification, and adversarial debiasing. We simulate impacts on expected loss ratios, the Solvency II Standard Formula Solvency Capital Requirement (SCR), and internal model economic capital. To translate fairness breaches into compliance risk, we compute expected penalties under the Act’s two-tier fine structure and supervisory detection probabilities inferred from GDPR enforcement. Under stress scenarios—full retraining, feature excision, and proxy disclosure—preliminary results show that bottom-income quintile premiums exceed fair benchmarks by 5.8 percent (life) and 7.2 percent (health). Mitigation closes 65–82 percent of these gaps but raises capital requirements by up to 4.1 percent of own funds; expected fines exceed rectification costs once detection probability surpasses 9 percent. We conclude that proactive adversarial debiasing offers insurers a capital-efficient compliance pathway and outline implications for enterprise risk management and future monitoring. Full article

Achieving net zero relies on siting large-scale solar and wind where they are cheapest and most socially acceptable. We present a transferable, evidence-based siting framework and apply it to Australia. The landscape is divided into millions of 250 m pixels, each assigned an indicative cost based on resource quality, distance-weighted connection costs, and land use exclusions. Two bounding generation mix scenarios (high solar vs. high wind) stack the cheapest pixels until a fully electrified demand of 20 MWh per capita per year is met. Results are aggregated to all 547 Local Government Areas (LGAs) and 150 federal electorates and expressed as capital inflow, construction job-years, long-term jobs, and land-lease income. We find Class A solar (<50 AUD/MWh) is abundant nationwide except in Tasmania, while high-quality wind is concentrated in Victoria, Tasmania, and coastal Western Australia. Just 15% of LGAs, mainly within 100 km of the existing 275–500 kV transmission backbone, can host over half of least-cost capacity. A single top-ranked LGA such as Toowoomba (Queensland) could attract around AUD 33 billion in investment and sustain over 50,000 construction job-years. Mapping ten candidate high-voltage transmission corridors shows how new lines shift opportunities to under-served councils. The results bridge the gap between state-level renewable energy zones and fine-scale site suitability maps, with policy recommendations proposed. Because the workflow relies mainly on globally available datasets, it can be replicated in other countries to raise public awareness, align policy with community support, and accelerate clean-energy buildouts while maximising regional benefit. Full article

This study aims to examine the impact of compressor station availability on the techno-economic aspects of natural gas pipeline transportation, using the proposed Trans-Saharan Gas Pipeline (TSGP) project as a case study. A scenario-based technical and economic analysis was conducted to highlight the economic sensitivities of the systems to availability. The economic assessment of the project was performed using a discounted cash flow method, considering lifecycle costs. The techno-economic model was developed using MATLAB R2020b, accounting for variations in ambient temperatures at the compressor station under different flow conditions. Findings indicate an 8.41% increase in project lifecycle cost in one scenario compared to the baseline, assuming a 15% discount rate. However, the baseline case with a 100% compressor station availability assumption appears unrealistic, as shown by its lifecycle cost and net present value estimates. This is because constant operating conditions throughout the project lifecycle are impossible. Additionally, when station availability increases by 7.87% and the cost of standby units rises by 10.24%, avoided income loss due to station unavailability increases by 14.06%. This reveals a trade-off between the extra capital expenditure on standby units and the savings from avoiding income loss. Furthermore, the impact of 2% and 4% escalation rates of fuel and maintenance costs on lifecycle costs results in a rise of 2.70% and 6.15%, respectively, in one scenario compared to the 0% escalation rate. The results demonstrate the significant influence of compressor station availability analysis on pipeline projects, particularly in reducing engine downtime costs and enhancing project revenue. Therefore, the methods presented here help in understanding the importance of compressor station availability in pipeline techno-economics, leading to more effective resource and financial management. Full article

Economic systems face critical challenges, including widening income inequality, unemployment driven by automation, mounting public debt, and environmental degradation. This study introduces Economocracy as a transformative framework aimed at addressing these systemic issues by integrating democratic principles into economic decision-making to achieve social equity, economic efficiency, and environmental sustainability. The research focuses on two core mechanisms: Economic Productive Resets (EPRs) and Economic Periodic Injections (EPIs). EPRs facilitate proportional redistribution of resources to reduce income disparities, while EPIs target investments to stimulate job creation, mitigate automion-related job displacement, and support sustainable development. The study employs a theoretical and analytical methodology, developing mathematical models to quantify the impact of EPRs and EPIs on key economic indicators, including the Gini coefficient for inequality, unemployment rates, average wages, and job displacement due to automation. Hypothetical scenarios simulate baseline conditions, EPR implementation, and the combined application of EPRs and EPIs. The methodology is threefold: (1) a mathematical–theoretical validation of the Cycle of Money framework, establishing internal consistency; (2) an econometric analysis using global historical data (2000–2023) to evaluate the correlation between GNI per capita, Gini coefficient, and average wages; and (3) scenario simulations and Difference-in-Differences (DiD) estimates to test the systemic impact of implementing EPR/EPI policies on inequality and labor outcomes. The models are further strengthened through tools such as OLS regression, and Impulse results to assess causality and dynamic interactions. Empirical results confirm that EPR/EPI can substantially reduce income inequality and unemployment, while increasing wage levels, findings supported by both the theoretical architecture and data-driven outcomes. Results demonstrate that Economocracy can significantly lower income inequality, reduce unemployment, increase wages, and mitigate automation’s effects on the labor market. These findings highlight Economocracy’s potential as a viable alternative to traditional economic systems, offering a sustainable pathway that harmonizes growth, social justice, and environmental stewardship in the global economy. Economocracy demonstrates potential to reduce debt per capita by increasing the efficiency of public resource allocation and enhancing average income levels. As EPIs stimulate employment and productivity while EPRs moderate inequality, the resulting economic growth expands the tax base and alleviates fiscal pressures. These dynamics lead to lower per capita debt burdens over time. The analysis is situated within the broader discourse of institutional economics to demonstrate that Economocracy is not merely a policy correction but a new economic system akin to democracy in political life. Full article

This study examines the role of human capital, technological investment, and institutional quality in promoting economic complexity in South Africa, with implications for sustainable development and the strategic role of Small and Medium Enterprises. Motivated by the growing importance of productive sophistication for long-term development in emerging economies (notably SDG 8 and SDG 9), the study examines both long-run and short-run dynamics using the Autoregressive Distributed Lag approach, with robustness checks via Fully Modified Least Squares, Dynamic Least Squares, and Canonical Cointegration Regression. Structural Vector Autoregression is employed to assess the persistence of shocks, while the Toda–Yamamoto causality test evaluates causality. The results reveal that institutional quality significantly enhances economic complexity in the long run, while technological investment exhibits a negative long-run impact, potentially indicating absorptive capacity constraints within industries. Though human capital and income per capita do not influence complexity in the long run, they have short-term effects, with income per capita having the most immediate influence. Variance decomposition shows that shocks to technological investment are essential for economic complexity, and are the most persistent, followed by human capital and institutional quality. These findings show the need for institutional reforms that lower entry barriers for SMEs in industries, targeted innovation policies that support upgrading, and human capital strategies aligned with driven industrial transformation. The study offers insights for policymakers striving to influence structural drivers to advance sustainable industrial development and achieve the SDGs. Full article

By 2050, it is estimated that approximately 200 million people will be displaced due to the impacts of climate change. Vulnerability to climate change is shaped not only by environmental factors but fundamentally by systemic power relations and structural conditions present at both the places of origin and destination. In Latin America, climate-displaced persons predominantly settle in marginalised neighbourhoods, where widely accepted informality facilitates their rapid arrival but obstructs genuine progress and full integration as urban citizens. This paper critically examines the prevailing myths that justify the persistence of informality, revealing the socioeconomic challenges faced by climate migrants in the region. These four dominant myths are (1) Latin America’s inherently low productivity levels; (2) concessions by the ruling class enabling excluded groups to merely survive; (3) the perceived privilege of marginalised neighbourhoods to generate income outside formal legal frameworks, which supports their social capital; and (4) the limited benefits associated with formalisation. Debunking these myths is essential for developing effective public policies aimed at reducing informality and promoting inclusive urban integration, ultimately benefiting both climate migrants and host communities. Full article

Solid biomass (agro-residue) is the most important source of renewable energy. The accelerating impacts of climate change and global population growth contribute to air pollution through the use of fossil fuels. These processes increase the demand for energy. The European Union has adopted a climate action plan to address the above challenges. The main aim of this study was to assess the economic performance of the producers of biomass for energy generation in Poland. The detailed objectives were to determine land resources in the studied agricultural farms and to determine the value of fixed and current assets in the analyzed farms. We used questionnaires as the main method to collect data. Purposive sampling was used to choose the farms. We conducted various tests to analyze the revenues from biomass sales and their normality, such as the Dornik–Hansen test, the Shapiro–Wilk test, the Liliefors test, and the Jargue–Berra statistical test. Moreover, we conducted regression analysis to find factors that are the basis for the economic performance (incomes) of farms that sell biomass. Results: This study demonstrated that biomass sales had a minor impact on the performance of agricultural farms, but they enabled farmers to maintain their position on the market. The economic analysis was carried out on a representative group of Polish agricultural farms, taking into account fixed and current assets, land use, production structure, and employment. The findings indicate that a higher income from biomass sales was generally associated with better economic results per farm and per employee, although not always per hectare of land. This suggests that capital intensity and strategic resource management play a crucial role in the profitability of bioenergy-oriented agricultural production. Conclusions: We concluded that biomass sales had a negligible influence on farm income. But a small income from biomass sales could affect a farm’s economic viability. Full article

This article examines the relationship between human capital accumulation, household income, and shared prosperity using 2005–2018 household surveys in Cameroon, Ethiopia, Kenya, Nigeria, and Uganda. Human capital is found to be positively and significantly correlated with household wellbeing in all five nations. Health’s indirect benefits in Cameroon, Ethiopia, and Kenya augment its direct benefits. Education has monotonic welfare benefits from primary to tertiary levels in all countries. Human capital and labour market participation are strongly associated with household wellbeing. The equalization of human capital endowments increases income for the 40% of the least well-off groups in three of the sample countries. All countries except Uganda record a decrease in human capital deprivation over the period studied. Redistribution is associated with a reduction in human capital deprivation, although less systematically than in the growth scenario. These results suggest that sizeable reductions in human capital deprivation are more likely to be accomplished by interventions that focus on boosting general human capital outcomes than those that redistribute the human capital formation inputs. In countries with declining human capital deprivation, the within-sector interventions seem to account for this success. Substantial heterogeneity in human capital poverty exists within and across countries and between rural and urban areas. Full article

Since the end of the Civil War, Cambodia has pursued economic development to enhance livelihoods, particularly in rural areas, where land is a critical resource. Previous studies have indicated that the country has changed land use and land cover. However, they have not explained how these changes can improve the livelihoods of local communities, thereby mitigating their negative impacts through an asset-based approach. Battambang Province, in the northwestern region, was the battleground until political integration in 1996. Since then, the province has been home to immigrants exploring the lands for livelihood. Thus, this study aims to examine agricultural livelihoods in the villages of Dei Kraham and Ou Toek Thla, located west of Battambang Town. These were selected because of their common characteristics. Adopting a quantitative approach and a sustainable livelihood framework, this study employed stratified random sampling to select 123 families for interviews across three population subgroups: old settlers, new settlers, and young settlers. In situ information was collected using structured questionnaires and analyzed using Kruskal–Wallis tests to assess the livelihood assets underlying the physical, natural, human, financial, and social capital. The statistical analysis results reveal no significant differences (p-value = 0.079) in livelihood assets between the strata at the village level. Meanwhile, significant differences were observed in physical, human, and financial capital between old and young settlers when examining the subgroups (p-value 0.000). The extent of the land resources held by old settlers was associated with household income and livelihoods related to agriculture. Based on livelihood asset scores, nearly half of the new settlers (0.49–0.5) and a quarter of the young settlers (0.47) are vulnerable groups requiring support. The youth will soon face an uncertain future if they do not prioritize education. Full article

As part of the post-conflict reconstruction and recovery, the development of Kabul New City aims to bring relief to the existing capital city, Kabul, which has experienced exponential population growth, putting heavy pressure on its existing resources. Kabul New City is divided into four subsectors, and each of them is being developed and is expected to reach a target population by 2025, as defined by the master plan. The study’s objective is to determine which of the four zones are in demand and need to be prioritized for development, as per the model results. The data collection involves an online questionnaire, and the responses are collected from residents of Kabul and Herat. Agent-based modeling (ABM) is an emerging method of simulating urban dynamics. Cities are evolving continuously and are forming unique spatial patterns that result from the movement of residents in search of new locations that accommodate their needs and preferences. An agent-based model is developed using the weighted random selection process based on household size and income levels. The agents are the residents of Kabul and Herat, and the environment is the land use classification image using the Sentinel 2 image of Kabul New City. The barren class is treated as the developable area and is divided into four sub-sectors. The model simulates three alternative growth rate scenarios, i.e., ambitious, moderate, and steady. The results of the simulation reveal that the sub-sector Dehsabz South, being closer to Kabul city, is in higher demand. Barikab is another sub-sector high in demand, which has connectivity through the highway and is an upcoming industrial hub. Full article

This paper highlights the importance of accounting for both the maturity structure of government debt and the composition of fiscal instruments when studying the macroeconomic effects of fiscal policy. Using a dynamic stochastic general equilibrium (DSGE) model featuring a debt maturity structure and six exogenous fiscal shocks spanning both the expenditure and revenue sides, we show that long-maturity debt systematically weakens the expansionary effects of fiscal policy under dovish monetary policy, particularly in response to increases in government purchases, government investment, and capital income tax cuts, where long-term financing leads to the significant crowding-out of private activity. In contrast, short-term debt financing yields output multipliers that often exceed unity. The maturity structure also alters the relative efficacy of fiscal instruments: while labor income tax cuts produce the largest multipliers under short-term debt, government purchases become more potent under long-term debt financing. We also show that the stark difference between short- and long-term debt becomes muted under a hawkish monetary regime. Our results have important policy implications, suggesting that the maturity composition of public debt should be carefully considered in the design of fiscal policy, particularly in high-debt economies. Full article

The paper analyses the relationship between human capital formation and income growth in Burkina Faso using data from household surveys conducted in 2009 and 2018. By combining estimates from multiple linear regressions of the impact of human capital variables on income with variance decomposition techniques, this paper quantifies the contribution of education, health, underemployment, and dietary diversity to income growth. It distinguishes between the shares related to the effects of increasing capital factor endowments and those related to the returns on these endowments. The results demonstrate that an increase in human capital endowment is a key factor in determining workers’ income growth. Furthermore, the impact of human capital on income growth is greater when the endowment and return effects of these factors are both positive and high. These results also indicate that a significant improvement in household income is more likely to be achieved by interventions focused on both increasing human capital endowments and improving human capital outcomes. Full article