Template-Type: ReDIF-Paper 1.0 Author-Name: SULE AKKOYUNLU Author-Name-First: SULE Author-Name-Last: AKKOYUNLU Author-Email: sule.akkoyunlu@gmail.com Author-Workplace-Name: METU - ANKARA Author-Name: Debora Ramella Author-Name-First: Debora Author-Name-Last: Ramella Author-Email: debora.ramella@edu.unito.it Author-Workplace-Name: Universitŕ degli Studi di Torino Title: Corruption and Economic Development Abstract: This study investigates the impact of openness to trade and corruption on economic development for a cross-section of 143 countries for the year 2000 by analysing the effects of trade openness and corruption on income, productivity, innovation, and income inequality. Institutional, cultural and geographical factors, and country size are controlled for in the analysis. An instrumental variable approach has been adopted in order to address the endogeneity of corruption and openness to trade. The age of democracy and gravity-based predictors are chosen as the instruments for corruption and openness to trade, respectively. The estimates show that corruption negatively affects income per capita, productivity, and innovation, while it does not significantly impact income inequality (Gini). The control of corruption and the openness to trade affect output per worker through the total factor productivity. Both the control of corruption and openness to trade are statistically significant determinants of the 90/10 income gap. Landlockedness affects Gini Index directly, even after controlling for trade and corruption. These findings have important policy implications. For example, on the basis of the estimates, if Botswana improved its control of corruption to reach the level of Finland, its per capita income would rise by 2.7 times. Length: 33 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 1-33 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=001&rid=8696 File-Function: First version, 2018 Number: 6908696 Classification-JEL: Keywords: Coruption Economic DevelopmentTrade Handle: RePEc:sek:iefpro:6908696 Template-Type: ReDIF-Paper 1.0 Author-Name: Majed Alharthi Author-Name-First: Majed Author-Name-Last: Alharthi Author-Email: mdalharthi@kau.edu.sa Author-Workplace-Name: King Abdulaziz University Title: Determinants of Foreign Direct Investment in Gulf Cooperation Council (GCC) Region Abstract: This study aims to find the main determinants of foreign direct investment (FDI) in Gulf Cooperation Council (GCC) Region using a panel data from 1996-2016. The GCC region is facing new economic reforms as a result of low oil prices when oil is the main product of GDP in GCC. In addition, GCC impose tax in 2018 that would affect economy negatively due to lowering in purchase power. Based on lower prices of oil, Saudi Arabia released a plan called Vision 2030. This vision was announced in 26 April 2016 by Crown Prince Mohammad bin Salman. The main reason behind this vision is to diversify economy. The FDI is one of the most important indicators to realize this diversity of economy. In this study, the data was collected through the United Nations Conference of Trade and Development, World Bank and International Monetary Fund (IMF) databases. The data was analyzed through fixed-effects model and random-effects model. The GDP is found to have a significant and positive impact on FDI. The Arab Spring affected the FDI negatively and significantly through the period of the study. Length: 13 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 34-46 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=002&rid=9562 File-Function: First version, 2018 Number: 6909562 Classification-JEL: Keywords: foreign direct investment; Gulf Cooperation Council; Vision 2030 Handle: RePEc:sek:iefpro:6909562 Template-Type: ReDIF-Paper 1.0 Author-Name: András Bebes Author-Name-First: András Author-Name-Last: Bebes Author-Email: bebes.andras@akk.hu Author-Workplace-Name: Government Debt Management Agency Pte. Ltd. Author-Name: Dávid Tran Author-Name-First: Dávid Author-Name-Last: Tran Author-Email: tran.david@akk.hu Author-Workplace-Name: Government Debt Management Agency Pte. Ltd. Author-Name: László Bebesi Author-Name-First: László Author-Name-Last: Bebesi Author-Email: Laszlo.Bebesi@unicreditgroup.hu Author-Workplace-Name: UniCredit Hungary Title: Optimizing the Hungarian Government Debt Portfolio Abstract: We construct an optimal debt portfolio model with the purpose of optimizing the Hungarian government debt portfolio. To analyze the characteristics of the costs and corresponding risk factors of the Hungarian debt portfolio we simulate issuances of chosen instruments on a specified time horizon. We apply a multiobjective optimization scheme to construct compositions of financing that minimize the costs and risks of the debt portfolio. Our purpose is to find the set of Pareto-optimal solutions that minimize expected costs, volatility of costs and refinancing risks while maximizing average time to re-fixing. The results of the multiobjective optimization can be used to help in constructing a medium term debt management strategy. Length: 14 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 47-60 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=003&rid=10176 File-Function: First version, 2018 Number: 6910176 Classification-JEL: C61, G17, H63 Keywords: Multiobjectiove Optimization, Portfolio Optimization, Government Debt Management Handle: RePEc:sek:iefpro:6910176 Template-Type: ReDIF-Paper 1.0 Author-Name: Marija Becic Author-Name-First: Marija Author-Name-Last: Becic Author-Email: marija.becic@unidu.hr Author-Workplace-Name: Department of Economics and Business Economics, University of Dubrovnik Author-Name: Perica Vojinic Author-Name-First: Perica Author-Name-Last: Vojinic Author-Email: perica.vojinic@unidu.hr Author-Workplace-Name: Department of Economics and Business Economics, University of Dubrovnik Title: The Role of Female Top Manager in Innovation Activities: Case of CEECs? firms Abstract: The aim of this paper is to explore whether the gender of top manager plays an important role in innovation activities in selected CEE countries. For this purpose, a framework of logistic binary regressions is applied to the firm-level data from Business Environment and Enterprise Performance Survey (BEEPS). The research assesses the differences in firm innovation activities in CEECs considering the gender structure of the top management. Findings indicate that, on average, there is a lower possibility that a firm innovates when it is governed by a female manager. However, women in top management are underrepresented in all the industries but this is specially the case in highly innovative sectors such as IT industry. Length: 10 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 61-70 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=004&rid=9790 File-Function: First version, 2018 Number: 6909790 Classification-JEL: J16, O30 Keywords: process innovation, product innovation, gender diversity, top management, CEECs firms Handle: RePEc:sek:iefpro:6909790 Template-Type: ReDIF-Paper 1.0 Author-Name: Teresa Hanna Bednarczyk Author-Name-First: Teresa Hanna Author-Name-Last: Bednarczyk Author-Email: teresa.bednarczyk@umcs.lublin.pl Author-Workplace-Name: Maria-Curie Sklodowska University Title: How does the pension system in Poland prevent old-age poverty? Abstract: The old-age pension systems are the largest component of social protection and pursue a variety of social goals. This paper focuses on old-age poverty protection as the key aspect of the adequacy of pensions. The main purpose of this work is to assess, whether the Polish pension scheme provides sufficient protection against income poverty for future pensioners? The following hypothesis was verified: institutional solutions in the current Polish pension scheme will not provide sufficient protection against poverty for all future pensioners. The research methods used included a review of the subject literature and an empirical analysis of statistical data. The research findings show that the statutory pension scheme in Poland does not protect well all future pensioners against income poverty. Transition to pensions based on lifetime contributions will lead to lower adequacy and an increased risk of poverty among elderly population. A minimum insurance period of 25 years for men and 20 years for women is required to obtain the right to a guaranteed minimum-pension. Persons, who do not meet this condition receive extremely low pensions (so-called penny pensions). Unfortunately, their number is still growing. Therefore, further changes in the pension system are advisable. Length: 8 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 71-78 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=005&rid=9956 File-Function: First version, 2018 Number: 6909956 Classification-JEL: H55, I32, I38 Keywords: public pension system, pensioner, poverty, demographic aging,replacement rate Handle: RePEc:sek:iefpro:6909956 Template-Type: ReDIF-Paper 1.0 Author-Name: Martin Bo?a Author-Name-First: Martin Author-Name-Last: Bo?a Author-Email: martin.boda@umb.sk Author-Workplace-Name: Matej Bel University in Banská Bystrica, Faculty of Economics Author-Name: Mária Kanderová Author-Name-First: Mária Author-Name-Last: Kanderová Author-Email: maria.kanderova@umb.sk Author-Workplace-Name: Matej Bel University in Banská Bystrica, Faculty of Economics Title: Blending small-cap growth and value stocks: effect upon a periodic and threshold rebalancing strategy Abstract: The paper is motivated by a preference of many investors for small caps and by the popularity of two prevalent investment styles, out of which one stresses investing into so-called growth stocks whereas the other emphasizes virtues of so-called value stocks. The paper investigates usefulness of periodic rebalancing strategies that are built on investing into small-cap stocks preserving growth and value stocks in some proportions. The usefulness of the proposed rebalancing strategies mixing small caps with growth and value oriented investment styles is evaluated by a case study oriented on the US stock market. Using historical data, several designs for portfolios tracking the S&P 500 Index are constructed out of its constituents and practical advice is drawn for a small investor. Length: 13 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 79-91 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=006&rid=10154 File-Function: First version, 2018 Number: 6910154 Classification-JEL: G11 Keywords: periodic rebalancing, threshold rebalancing, small-cap stocks, growth and value stocks, mixed investment style, performance, S&P 500 Index Handle: RePEc:sek:iefpro:6910154 Template-Type: ReDIF-Paper 1.0 Author-Name: Andrea Cecrdlova Author-Name-First: Andrea Author-Name-Last: Cecrdlova Author-Email: a.cecrdlova@gmail.com Author-Workplace-Name: University of Economics in Prague Title: The Foreign Exchange Interventions of the CNB as an Unconventional Instrument of Monetary Policy Abstract: During the last crisis monetary authorities hit zero interest rates and as a result they began to use less standard instruments. However, they failed to meet the declared inflation target for a long time. The Czech National Bank (CNB) decided to use the unconventional instrument in November 2013 when the exchange rate commitment was introduced. The aim of the paper is to evaluate the decision to use the exchange rate commitment with regard to its potential side effects. The most significant side effect is the enormous amount of foreign exchange reserves, which, due to the appreciation of the domestic currency, can get the CNB into more cumulative negative values than it already is. Length: 13 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 92-104 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=007&rid=10191 File-Function: First version, 2018 Number: 6910191 Classification-JEL: E31, E52, E58 Keywords: CNB, monetary policy, unconventional monetary instruments, foreign exchange interventions, foreign exchange reserves. Handle: RePEc:sek:iefpro:6910191 Template-Type: ReDIF-Paper 1.0 Author-Name: Krzysztof Echaust Author-Name-First: Krzysztof Author-Name-Last: Echaust Author-Email: k.echaust@ue.poznan.pl Author-Workplace-Name: Pozna? University of Economics and Business Title: Conditional VaR using GARCH-EVT approach with optimal tail selection Abstract: Accurate risk prediction plays a key role in effective risk management process. A conditional GARCH-EVT approach combines Extreme Value Theory and GARCH methodology and it allows us to estimate Value at Risk with high accuracy. The approach requires to pre-specify a threshold indicating distribution tails. In this paper we use an optimal tail selection algorithm of Caeiro and Gomes (2016) to estimate out-of-sample VaR forecasts. Unlike other studies we update the optimal fraction of the tail for each rolling window of the data set. Results are presented for a long and a short position applying ten U.S. blue chips. The GARCH-EVT model enables us to estimate risk precisely. However, it is not possible to notice the improvement of VaR accuracy relative to conservative approach taking the 95th or 90th quantile of returns as a threshold. Length: 14 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 105-118 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=008&rid=10151 File-Function: First version, 2018 Number: 6910151 Classification-JEL: C22, C53 Keywords: Value-at-Risk, optimal tail selection, Extreme Value Theory, GARCH-EVT Handle: RePEc:sek:iefpro:6910151 Template-Type: ReDIF-Paper 1.0 Author-Name: Esida Gila-Gourgoura Author-Name-First: Esida Author-Name-Last: Gila-Gourgoura Author-Email: esida_gila@yahoo.com Author-Workplace-Name: Department of Economics, Faculty of Commerce, University of Cape Town Author-Name: Eftychia Nikolaidou Author-Name-First: Eftychia Author-Name-Last: Nikolaidou Author-Email: efi.nikolaidou@uct.ac.za Author-Workplace-Name: Department of Economics, Faculty of Commerce, University of Cape Town Title: CREDIT RISK DETERMINANTS IN THE VULNERABLE ECONOMIES OF EUROPE: EVIDENCE FROM THE ITALIAN BANKING SYSTEM Abstract: This study uses the ARDL approach to cointegration to identify the factors affecting credit risk in the Italian banking system over the period 1997Q4?2017Q1. The ratio of new bad loans to the outstanding amount of performing loans in the previous period is the selected proxy of credit risk whereas a wide range of explanatory variables are included in the study. Compared to the previous studies, a wider timeframe is investigated, which captures the booming period, the global financial crisis and the ongoing Eurozone sovereign debt crisis. The findings suggest that macroeconomic cyclical, bank-specific, and financial market variables affect the flow of new bad loans in the Italian banking system. The high significance of the sovereign debt crisis risk proxy signals the important link between banking and sovereign debt crisis. Length: 19 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 119-137 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=009&rid=9750 File-Function: First version, 2018 Number: 6909750 Classification-JEL: C32, G17, G21 Keywords: Credit risk, macroeconomic determinants, bank-specific variables, sovereign debt crisis, Italian banking systemcredit risk, Italian banking system, sovereign debt crisis Handle: RePEc:sek:iefpro:6909750 Template-Type: ReDIF-Paper 1.0 Author-Name: SUDARSHAN GIRAMKAR Author-Name-First: SUDARSHAN Author-Name-Last: GIRAMKAR Author-Email: sudarshangiramkar11@gmail.com Author-Workplace-Name: Hon. Shri Babanrao Pachpute Vichardhara Trust?s, Parikrama Institute of Management. Title: GREEN BANKING IN INDIA: A STUDY FOR SUSTAINABLE DEVLOPMENT. Abstract: The global warming is becoming the national as well as international problem; it hampers on destroying the natural resources. For the controlling of global warming problem there should be focus on green and ecofriendly initiatives by all. Banking sector is generally considered as environmental friendly sector in terms of the pollutions and emissions. The Indian banking business is one of the largest banking business in the world which caters to the needs of different strata of society. The development of economy in all sector have the very bad impact on environment. Until the end of twentieth century, green was just the color of money for banks in India. With the introduction of Automated Teller Machines (ATMs) in 2001in the banking sector of India, banking sector took initiative towards an environment-friendly banking system. Green banking means combining operational improvements, technology and changing client habits in banking business. There is need to banks should go for green and play a pro-active role to care environmental and ecological aspects as part of their lending principle, which would force industries to go for mandated investment for environmental management. Thereafter, many initiatives were undertaken viz. use of eco-friendly papers, solar-powered ATMs, green projects, energy efficiency practices, workplace health and safety, organizing awareness campaigns, online banking systems, etc. This paper deals with the green initiatives and developments took place in the banking sector in India and sites international developments. It sites opportunities for banks in areas like carbon credit business, green financial products, core banking solutions, integrated IT environment, etc. that can lead to development in green area and overall environment. The Role of the Reserve Bank of India in formulation of policies on green banking has been focused upon for green growth. Length: 15 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 138-152 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=010&rid=9452 File-Function: First version, 2018 Number: 6909452 Classification-JEL: A10 Keywords: Green initiatives, core banking solution, sustainable development, ecological balance, tech-world, thumb economy, green growth, etc. Handle: RePEc:sek:iefpro:6909452 Template-Type: ReDIF-Paper 1.0 Author-Name: Karikoga Gorejena Author-Name-First: Karikoga Author-Name-Last: Gorejena Author-Email: koga.gorejena@nwu.ac.za Author-Workplace-Name: North West University Title: An assessment of social and economic factors for broadband penetration in Southern Africa Development Community (SADC) Abstract: The transformative benefits of broadband on economic and social variables have led governments to set ambitious targets for its deployment. In making a case for public policy on broadband, many studies have sought to identify and measure broadband economic benefits. Such benefits have not been fully realized in Third World economiesIn an increasingly integrated global economy, broadband is central in providing economic growth and competitiveness to any organisation, country or region. In spite of this competitive advantage of broadband, in the last four years Africa had mobile cellular penetration of 63% and penetration rate flattened at 5.2%. Social and economic factors have been cited as major contributors to this undesirable phenomenon. This papers assays to identify these factors, rank them and suggest possible remedies in the context of Southern Africa Development Community (SADC). The main research question this paper attempts to answer therefore is: how can broadband penetration within SADC region be improved?A confirmatory factors Analysis (CFA) was used to ascertain the conformity of these factors as obtained from raw data to what is given by literature. The weighting of these factors and policy interventions were then discussed as possible solutions for decision makers within the region. Length: 13 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 153-165 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=011&rid=10160 File-Function: First version, 2018 Number: 6910160 Classification-JEL: A14, A12 Keywords: Broadband, Penetration, Policy, CFA and Factors Handle: RePEc:sek:iefpro:6910160 Template-Type: ReDIF-Paper 1.0 Author-Name: Ma?gorzata Just Author-Name-First: Ma?gorzata Author-Name-Last: Just Author-Email: malgorzata.just@up.poznan.pl Author-Workplace-Name: Pozna? University of Life Sciences, Faculty of Economics and Social Sciences Title: The Dynamics of Dependencies between the World Grain and Oilseed Markets Abstract: The paper analyses relations between world grain and oilseed markets in the period from the beginning of 2000 to the middle of 2018. The study covered the period of drastic hikes and drops of cereal grain and oilseed prices during the economic and financial crisis. The study assessed the strength and dynamics of dependencies between rates of return from grain and oilseed sub-Indexes of the International Grains Council. For this purpose copula-based multivariate GARCH models were used, and dynamic Kendall's tau coefficients and dynamic tail dependence coefficients were calculated. Among the analysed markets the strongest (weak or moderate) relationships were found between the maize and soybean markets, and between the wheat and maize markets, with the linkages changing in time. The greatest probabilities of extreme events transfer were recorded for the maize and soybean markets. Length: 13 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 166-178 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=012&rid=10166 File-Function: First version, 2018 Number: 6910166 Classification-JEL: C58, Q11, Q13 Keywords: agricultural raw materials, copula-GARCH model, dynamic dependencies, Kendall's tau coefficient, tail dependence Handle: RePEc:sek:iefpro:6910166 Template-Type: ReDIF-Paper 1.0 Author-Name: Bozena Kaderabkova Author-Name-First: Bozena Author-Name-Last: Kaderabkova Author-Email: b.kaderabkova@centrum.cz Author-Workplace-Name: The University of Economics, Prague Author-Name: Emilie Jasova Author-Name-First: Emilie Author-Name-Last: Jasova Author-Email: entropa@seznam.cz Author-Workplace-Name: Institute for Forcast Title: Evaluation of the use of methods for the time varying NAIRU and economic cycle estimation from the perspective of the V4 countries real economy data Abstract: The aim of the paper is to apply a set of internationally used methods to estimate NAIRU in countries of the Visegrad Group. The analysis is focused on estimation of the time varying NAIRU that best describes development in the countries during a period of transition from one political-economic system to another and development in a period of major fluctuations in the economy as well as those caused by the financial, economic and debt crisis. Our attention was paid to localization of unstable period, the reasons for their creation, their way of expression and the duration on the labour market. The Stochastic method in the Czech Republic point the remarkable negative unemployment gap in period from the 4th quarter of 1996 to the 1st quarter of 1998. The authors analysed the ability of the methods to estimate the influence of V4 countries economy transformation in accordance with the real data. Length: 14 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 179-192 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=013&rid=10442 File-Function: First version, 2018 Number: 6910442 Classification-JEL: Keywords: Phillips curve; NAIRU; HP filter; Kalman filter; Stochastic trend; Unemployment gap. Handle: RePEc:sek:iefpro:6910442 Template-Type: ReDIF-Paper 1.0 Author-Name: Leena Ajit Kaushal Author-Name-First: Leena Ajit Author-Name-Last: Kaushal Author-Email: leena.kaushal@mdi.ac.in Author-Workplace-Name: Management Development Institute (MDI) Gurgaon Title: India's Outward Foreign Direct Investment: Growth Drivers Abstract: Robust inward and outward flow of direct investments signals ever-increasing integration of an economy with the global world. The emergence of outward foreign direct investment from the developing countries has gathered significant interest from research scholars. Overseas investments encourage economic co-operation between home and the host countries. Over the past two decades India has been in the limelight for its ever rising overseas investments and integration with global world. The study aims to identify country-specific macroeconomic growth drivers that encouraged Indian overseas investments since 1991 till 2015 using Dunning?s OLI framework. The results substantiate significant impact of country-specific growth drivers on Indian overseas investments. Length: 16 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 193-208 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=014&rid=9578 File-Function: First version, 2018 Number: 6909578 Classification-JEL: F40, F23 Keywords: Overseas investment, foreign direct investment (FDI), India, Growth , Drivers Handle: RePEc:sek:iefpro:6909578 Template-Type: ReDIF-Paper 1.0 Author-Name: Magdalena Kozera-Kowalska Author-Name-First: Magdalena Author-Name-Last: Kozera-Kowalska Author-Email: mkozera@up.poznan.pl Author-Workplace-Name: Poznan University of Life Science Author-Name: Rafal Baum Author-Name-First: Rafal Author-Name-Last: Baum Author-Email: baum@up.poznan.pl Author-Workplace-Name: Poznan University of Life Sciences Title: Measurement of intellectual capital in agricultural enterprises: a case study in Poland Abstract: This paper discusses the possible ways of measuring intellectual capital in agricultural enterprises. Of the many available methods, VAIC? by A. Puli? was assumed to be the most useful one. It was implemented for the purposes of research and to enable an empirical verification based on financial data of 148 agricultural enterprises. The analysis of results and the discovered deviations from substantive findings resulted in proposing a new indicator of Intellectual Sources of Value Added (ISVA) which was empirically verified using the same sample of businesses. The results suggest that ISVA provides a much more realistic reflection of the processes of value added creation from intellectual capital in agricultural enterprises. It also demonstrates that new value is created in a context of complementarity between tangible and intangible inputs which together provide the agricultural enterprises with a key to growth of efficiency. Length: 12 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 209-220 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=015&rid=10142 File-Function: First version, 2018 Number: 6910142 Classification-JEL: G32, L25, O12 Keywords: intellectual capital, value added, agricultural holding performance, micro analysis of farms, intellectual capital measurement Handle: RePEc:sek:iefpro:6910142 Template-Type: ReDIF-Paper 1.0 Author-Name: W?odzimierz Ko?odziejczak Author-Name-First: W?odzimierz Author-Name-Last: Ko?odziejczak Author-Email: kolodziejczak@up.poznan.pl Author-Workplace-Name: Pozna? University of Life Sciences, Faculty of Economics and Social Sciences Title: Estimation of the equilibrium unemployment level as a tool for assessing the rural population?s occupational situation: an example of Poland Abstract: The purpose of this paper is to present the possible uses of the method developed by the Centre for Economic Policy Research (Unemployment 1995) for estimating the structural unemployment level in selected population groups based on the analysis of flows to/from employment, unemployment and inactivity. Though the method is quite old and has met criticism, it is still reasonable to use it because it enables the decomposition of unemployment into the structural and cyclical component at various levels, limited only by data availability. Also, it is highly suitable for the analysis of data retrieved from the EU-wide Labour Force Survey (LFS). Calculating the flow rates and equilibrium unemployment levels for particular rural population groups selected by defined characteristics, assessing how they evolve over time, and comparing the results between different population groups (e.g. urban dwellers) can be a basis for drawing conclusions on the determinants of changes in economic activity and on the structural or cyclical nature of unemployment. This information is essential for a proper selection of measures taken to counteract adverse developments in the labour market, and enables a more efficient search for solutions designed to improve the population?s occupational and economic status. The possible uses of that method are illustrated by the example of the Polish rural population and by calculations based on 2016 data. Length: 13 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 221-233 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=016&rid=10179 File-Function: First version, 2018 Number: 6910179 Classification-JEL: J21, J64 Keywords: unemployment decomposition, LFS, equilibrium rate of unemployment, unemployment natural rate, rural areas Handle: RePEc:sek:iefpro:6910179 Template-Type: ReDIF-Paper 1.0 Author-Name: Ma?gorzata Ko?odziejczak Author-Name-First: Ma?gorzata Author-Name-Last: Ko?odziejczak Author-Email: mkol@up.poznan.pl Author-Workplace-Name: Pozna? University of Life Sciences, Faculty of Economics and Social Sciences Title: The cost of services use in horticulture on farms in the European Union countries in 2004-2016 Abstract: Agricultural services address the demand for the technological, economical and environmental dimension of agricultural activities. This paper focuses on agricultural services used by farms specializing in horticultural production. The objective of the study was to identify the output of agricultural services used by farms specializing in horticultural production in European Union countries in 2004?2016. The study was based on a deductive and comparative method and relied on FADN data; also used were correlation indexes. In the group of farms covered by this study, the use of agricultural services may be found to depend on two basic factors. The first one is the farms? development level and the intensity and structure of production activities. The differences between EU-12 and EU-7 countries suggest that national specificities of horticultural production and local farming patterns are at least as important as the development level. Another significant factor is the availability of the farms? own machinery and the amount of labour engaged in production. However, own equipment and service use were not found to be substitutes, whereas companies with large resources of productive inputs usually incurred higher service costs. Also, as the demand for labour grows, so does the demand for services. This suggests that services are complementary rather than substitute to physical capital. Length: 9 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 234-242 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=017&rid=10180 File-Function: First version, 2018 Number: 6910180 Classification-JEL: L89, Q16 Keywords: agriculture services, service intensity rate, horticulture, European Union, FADN Handle: RePEc:sek:iefpro:6910180 Template-Type: ReDIF-Paper 1.0 Author-Name: Jak?a Kri?to Author-Name-First: Jak?a Author-Name-Last: Kri?to Author-Email: jkristo@efzg.hr Author-Workplace-Name: University of Zagreb Faculty of Economics and Business Author-Name: Alen Stojanovi? Author-Name-First: Alen Author-Name-Last: Stojanovi? Author-Email: astojanovic@efzg.hr Author-Workplace-Name: University of Zagreb Faculty of Economics and Business Author-Name: August Cesarec Author-Name-First: August Author-Name-Last: Cesarec Author-Email: acesarec@efzg.hr Author-Workplace-Name: University of Zagreb Faculty of Economics and Business Title: Comparison of economic development and banking loan activities on a case of Croatian counties Abstract: Banking credit policy is an important pillar of the economic development of a country as well as countries narrower territorial units. Regional development is often based on comprehensive government and municipal policy, geographical and demographic characteristics, statistical classification, a role of different government agencies but also of a financial institutions business policy. The goal of this paper is to compare level of economic development with a banking loan activities in case of Croatian counties. The paper is analysing banking loan activities based on loan to deposit ratio, relative size of banking loan activities on a county level as well as currency and type of a loan structure of banking loan portfolio. Indicators of banking loan activities are compared with counties economic development using non-hierarchical k-means cluster analysis. Research in a paper is looking for an answer to what extent are seen similarities of economic development of Croatian counties and total banking loan activities. In this sense paper is comparing two methodologies, regional development measurement and characteristics of banking loan business. Length: 11 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 243-253 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=018&rid=10182 File-Function: First version, 2018 Number: 6910182 Classification-JEL: G21, O16, R10 Keywords: regional development, banking loans, regional financial intermediation, counties, Croatia Handle: RePEc:sek:iefpro:6910182 Template-Type: ReDIF-Paper 1.0 Author-Name: Egor Krivosheya Author-Name-First: Egor Author-Name-Last: Krivosheya Author-Email: egor_krivosheya@skolkovo.ru Author-Workplace-Name: Moscow school of management SKOLKOVO, National Research University Higher School of Economics, Russian Federation Author-Name: Ekaterina Semerikova Author-Name-First: Ekaterina Author-Name-Last: Semerikova Author-Email: ekaterina_semerikova@skolkovo.ru Author-Workplace-Name: Moscow school of management SKOLKOVO Title: Network effects at retail payments market: evidence from Russian individuals Abstract: This research empirically evaluates the effect of network externalities for individuals behavior at Russian retail payments market. Specifically, the effects of direct and indirect network externalities for cardholding and usage probabilities are examined. Using the representative sample of 1500 individuals from all Russian regions this study finds significant robust evidence of positive association between the degree of both types of network externalities and individuals? activity at the Russian retail payments market. Results are economically significant: a standard deviation increase in network effects leads to 2.5-4 percentage points increase in probability of cardholding and usage. Findings imply that one needs to account for network effects which play an important role for the payment behavior before implementing payment stimulating programs in Russia aimed at cardholders or users. Length: 34 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 254-287 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=019&rid=10185 File-Function: First version, 2018 Number: 6910185 Classification-JEL: G21, D53, E42 Keywords: Retail payments; payment cards; network effects; cardholders' behavior; financial services Handle: RePEc:sek:iefpro:6910185 Template-Type: ReDIF-Paper 1.0 Author-Name: Egor Krivosheya Author-Name-First: Egor Author-Name-Last: Krivosheya Author-Email: Egor_Krivosheya@skolkovo.ru Author-Workplace-Name: Moscow school of management SKOLKOVO, National Research University Higher School of Economics, Russian Federation Title: Network effects at retail payments market: evidence from Russian merchants Abstract: This research examines the role of network externalities in card acceptance by merchants on the retail payments market in Russia. The work empirically tests the effects of both direct and indirect network externalities for the merchants? card acceptance probability based on the representative survey of 800 traditional (offline) merchants from all Russian regions. The main finding of this study is that the probability of cashless payments acceptance by merchants increases with the presence of direct and indirect or both types of network externalities, controlling for a large set of control variables, including merchants? characteristics and location-specific differences between the retailers. The results are robust to the changes in measures of network externalities and inclusion of shadow economy controls. The findings are significant both statistically and economically. Length: 35 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 288-322 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=020&rid=10312 File-Function: First version, 2018 Number: 6910312 Classification-JEL: G21, E42 Keywords: Retail payments; payment cards; network effects; merchants' acceptance; financial services Handle: RePEc:sek:iefpro:6910312 Template-Type: ReDIF-Paper 1.0 Author-Name: GISELE MAH Author-Name-First: GISELE Author-Name-Last: MAH Author-Email: Gisele.Mah@nwu.ac.za Author-Workplace-Name: NORTH WEST UNIVERSITY Title: Determinants of budget deficit in South Africa: A Bounds cointegration Abstract: This study examine the determinants of budget deficit in South Africa from 1994Q1 to 2018Q2. Data was collected from the South African reserve bank and Organisation for Economic Co-operation and Development. The Bounds cointegration was employed to analyse the determinants of budget deficit. The findings showed that there is a positive and significant relationship between the lag 4 of national government deficits and national government deficit itself. There is a negative and statistically significant relationship between real exchange rate and national government deficit. Lastly, there is a positive and statistically significant relationship between gross domestic product and national government deficit. It is recommended that, for national government deficit to be reduce, the current national government deficit needs to be reduce, the real exchange rate increased and the growth stabilise. Length: 8 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 323-330 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=021&rid=9931 File-Function: First version, 2018 Number: 6909931 Classification-JEL: H30, C32 Keywords: Budget Deficit, gross domestic product, government expenditure, gross fixed capital formulation, unemployment, South Africa. Handle: RePEc:sek:iefpro:6909931 Template-Type: ReDIF-Paper 1.0 Author-Name: GISELE MAH Author-Name-First: GISELE Author-Name-Last: MAH Author-Email: Gisele.Mah@nwu.ac.za Author-Workplace-Name: NORTH WEST UNIVERSITY Title: The extend of the response of government expenditure in South Africa Abstract: In South Africa, the total government expenditure keeps increasing yearly for the provision of public services such as health, education Social protection and Housing trying to improve the social state. This increase in total government expenditure is affecting the budget deficit and the government is increasing taxes and trying to reducing spending. This study aims to examine the extent to which education, health and defence response to shock from total government expenditure in South Africa. Data was collected from the South African Reserve Bank from 1983 to 2017. The Generalise Impulse Response function and Variance Decomposition was used to analyse the data. The results showed that total government expenditure responses positively to shock from education, health and defence response. Also, over the periods, education, health and defence explain the variation in total government expenditure. This study recommends that reducing the defence expenses will not have much effect on the total government expenditure. Length: 10 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 331-340 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=022&rid=9932 File-Function: First version, 2018 Number: 6909932 Classification-JEL: Keywords: Government expenditure, Education, Health, Social protection, Housing, South Africa, Generalised impulse response function and Variance decomposition. Handle: RePEc:sek:iefpro:6909932 Template-Type: ReDIF-Paper 1.0 Author-Name: Katarzyna Maj-Wa?niowska Author-Name-First: Katarzyna Author-Name-Last: Maj-Wa?niowska Author-Email: katarzyna.maj@uek.krakow.pl Author-Workplace-Name: Cracow University of Economics Author-Name: Agnieszka Wa??ga Author-Name-First: Agnieszka Author-Name-Last: Wa??ga Author-Email: agnieszka.walega@uek.krakow.pl Author-Workplace-Name: Cracow University of Economics Author-Name: Grzegorz Wa??ga Author-Name-First: Grzegorz Author-Name-Last: Wa??ga Author-Email: grzegorz.walega@uek.krakow.pl Author-Workplace-Name: Cracow University of Economics Title: Silver economy, poverty and social exclusion in the European Union countries Abstract: Ageing society and the development of silver economy run a greater risk of poverty and social exclusion. Rapid demographic changes are not only a major challenge of public spending, workforce and consumptions patterns but also a major opportunity for new jobs and growth. The aim of this article is to assess the level of advancement in the realization of the silver economy concept in European Union countries and its influence on poverty and social exclusion. The concept of silver economy in the European Union and challenges related to ageing in the area of public finance were discussed. The silver economy index was built using the old dependency ratio, active ageing index and age-related public spending. The conducted research shows that it is difficult to indicate a statistically significant relationship between the level of advancement of the silver economy concept and the level of people at risk of social exclusion rate. The study indicates that the silver economy ratio is the highest in Nordic countries and France, and in the countries of Central and Eastern Europe this concept is much less developed. At the same time, countries accepted to the European Union after 2004 are characterized with higher level of at-risk-of poverty and social exclusion rate, as well as relatively low age-related spendings and relatively high old dependency ratios. Length: 13 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 341-353 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=023&rid=10223 File-Function: First version, 2018 Number: 6910223 Classification-JEL: J14, J11, I32 Keywords: silver economy, poverty and social exclusion, old dependency ratio, ageing, Active Ageing Index Handle: RePEc:sek:iefpro:6910223 Template-Type: ReDIF-Paper 1.0 Author-Name: Michal Mares Author-Name-First: Michal Author-Name-Last: Mares Author-Email: michalmares@centrum.cz Author-Workplace-Name: University of Economics, Prague Author-Name: Martin Slany Author-Name-First: Martin Author-Name-Last: Slany Author-Email: martin.slany@institutvk.cz Author-Workplace-Name: University of Economics, Prague Title: Early Warning Indicator of financial crises for V4 Countries Abstract: This paper represents an early warning indicator of financial crises applied to the data of the Czech Republic, Poland, Hungary and Slovakia (V4 counties) between 2005 and 2018. Based on the previous research, 16 indicators were selected to build up the composite indicator of cyclical components ? so. Composite Index of Financial Instability (CIFI), and discussed its development. The relevance of the presented indicator, especially in the context of the Euro-American financial crisis of 2008-2009, is demonstrated in both graphical and econometric analysis using panel logistic regression. The conclusion implies that all V4 countries had experienced a high instability in connection with the global financial crisis 2008/2009 and implies different developments in financial conditions in recent years. The output of econometric model confirms positive relation between the value of CIFI and probability of financial crises occurrence. An increase in the CIFI per unit indicates an increase in probability of occurrence crisis approximately by 7 %. In spite of all its limitations, the usefulness of the composite index in the context of economic policymaking is proven by the analysis. Length: 15 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 354-368 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=024&rid=10382 File-Function: First version, 2018 Number: 6910382 Classification-JEL: C53, E47, G01 Keywords: financial crises, early warning indicator, composite index, Visegrad countries,panel regression Handle: RePEc:sek:iefpro:6910382 Template-Type: ReDIF-Paper 1.0 Author-Name: El?bieta Miko?ajczak Author-Name-First: El?bieta Author-Name-Last: Miko?ajczak Author-Email: e.a.mikolajczak@gmail.com Author-Workplace-Name: Poznan University of Life Sciences Author-Name: Karol Wajszczuk Author-Name-First: Karol Author-Name-Last: Wajszczuk Author-Email: wajszczuk@up.poznan.pl Author-Workplace-Name: Poznan University of Life Sciences Title: OPTIMIZING THE METHOD OF SAWMILL BY-PRODUCT MANAGEMENT: SELECTED METHODOLOGICAL ISSUES Abstract: This paper presents a valuation method for sawmill by-products processed into energy. The method includes a set of indexes enabling entrepreneurs who own sawmill by-products to assess the economic viability of processing them into biofuels and energy. The indexes include: the threshold margin, maximum processing costs, maximum purchase price of by-products intended for processing, and minimum sales price of the product acceptable to the producer. A multidimensional analysis of above indexes was performed, and may provide a basis for assessing the economic viability of various methods of wood by-product management as an alternative to selling by-products in an unprocessed condition. As regards energy production, the method takes into account both the use of energy for own purposes and sale of energy to external customers. Length: 14 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 369-382 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=025&rid=10144 File-Function: First version, 2018 Number: 6910144 Classification-JEL: C20, D24, Q42 Keywords: renewable energy, sawmill by-products, index-based analysis Handle: RePEc:sek:iefpro:6910144 Template-Type: ReDIF-Paper 1.0 Author-Name: Manuela Mischitelli Author-Name-First: Manuela Author-Name-Last: Mischitelli Author-Email: manuela.mischitelli@gmail.com Author-Workplace-Name: La Sapienza Author-Name: Giovanni Di Bartolomeo Author-Name-First: Giovanni Author-Name-Last: Di Bartolomeo Author-Email: giovanni.dibartolomeo@uniroma1.it Author-Workplace-Name: La Sapienza Title: Unconventional policies in a monetary union: a policy game approach Abstract: How does the availability of fiscal and unconventional monetary measures modify the composition of the optimal policy mix, in a monetary union, when ZLB is binding? In order to answer to this question, we have built a simply three-period generalized New Keynesian model, in which we have assumed that non-money assets are not perfect substitutes. Following Friedman (2013), private agents' choice is responsive to a sort of long run interest rate.We have proved that in a monetary union, greater is the number of member countries adopting autonomous fiscal policy, greater will be public spending and more moderate will be the use of unconventional policies measures by central bank. Anyway, deviations in output and inflation decrease with the enlargement of the monetary union. Length: 23 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 383-405 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=026&rid=10183 File-Function: First version, 2018 Number: 6910183 Classification-JEL: C70, E52, E60 Keywords: Unconventional Monetary policies, ZLB, Fiscal policy, Quantitative Easing, Forward Guidance, Policy game Handle: RePEc:sek:iefpro:6910183 Template-Type: ReDIF-Paper 1.0 Author-Name: Karolina Pawlak Author-Name-First: Karolina Author-Name-Last: Pawlak Author-Email: pawlak@up.poznan.pl Author-Workplace-Name: Poznan University of Life Sciences, Faculty of Economics and Social Sciences, Department of Economics and Economic Policy in Agribusiness Title: Competitiveness of the Polish meat industry against selected European Union countries within the framework of transatlantic trade Abstract: The aim of the paper was to assess the competitive capacity of the Polish meat industry in trade with the US in relation to major EU producers of meat and meat preparations. Referring both to the growth and trade theories in research on international competitiveness and based on the methodological approach proposed by Wijnands, van der Meulen and Poppe (2006) to estimate the competitive capacity of the meat industry in the analysed countries the study used a set of economic and trade indicators appropriately adapted to the requirements of the analysis of bilateral relations. The indexes based on the market and trade shares included shares in exports to the target market and indexes of relative trade advantage, while the applied economic indexes included the real value added and its share in the total value added of the food industry and real labour productivity. The time frame for the analyses covered the years 2007-2016. The study is based on data from the European Statistical Office (Eurostat). Summing up the analyses it may be stated that in the years 2007-2016 the competitive position of the Polish meat industry in trade with the US in comparison to the leading EU producers of meat and meat preparations was strengthened both thanks to an improved trade position (measured by the share in the EU exports to the US market and relative trade advantages) as well as economic indicators connected with an increase importance of the analysed sector in the generation of real value added of the food industry and labour productivity. Length: 14 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 406-419 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=027&rid=10181 File-Function: First version, 2018 Number: 6910181 Classification-JEL: F14, L66, Q13 Keywords: competitiveness, meat industry, market share, relative trade advantage, real value added, labour productivity, Poland, the EU countries, the US market Handle: RePEc:sek:iefpro:6910181 Template-Type: ReDIF-Paper 1.0 Author-Name: Emna Rassâa Author-Name-First: Emna Author-Name-Last: Rassâa Author-Email: a.emna@yahoo.fr Author-Workplace-Name: IHEC, University of Carthage Author-Name: Hafedh Ben Abdennebi Author-Name-First: Hafedh Author-Name-Last: Ben Abdennebi Author-Email: hafedh.benabdennebi@gmail.com Author-Workplace-Name: IHEC, University of Carthage Title: Intellectual Property Rights and Innovation in Developing Countries: A Panel Analysis Abstract: Given the importance of innovation for the development and economic growth in developing countries, we therefore consider it necessary to examine the relationship between intellectual property rights (IPR) and innovation. In order to test this relationship, we use of panel data for a sample of 13 developing countries over the period from 1998 to 2011. We make two contributions to the literature. First of all, the majority of empirical studies, using a single indicator of IPR elaborated by Park And Ginarte (1997), usually do not take into account the application of laws on patents filed in the practice. Unlike the previous studies, we incorporate in our work a new indicator developed by Papageorgiadis et al. (2014) which used to measure the intensity of the dimension related to the application of patent systems. We have also used the one developed by Park and Ginarte (1997) that measures the strength of patent regulations. As a second contribution, we add a new factor likely to influence innovation, namely education. The variable of education has not been taken into account in some studies. On the one hand, our empirical results reveal the existence of nonlinear relationships between IPR and innovation and argue, on the other hand, that the economic development, the opening as well as education are essential factors that contribute significantly and positively to innovation in developing countries. Length: 10 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 420-429 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=028&rid=10165 File-Function: First version, 2018 Number: 6910165 Classification-JEL: O31, O34, C23 Keywords: intellectual property rights, innovation, education, developing countries, panel data Handle: RePEc:sek:iefpro:6910165 Template-Type: ReDIF-Paper 1.0 Author-Name: Martha Rodriguez-Villalobos Author-Name-First: Martha Author-Name-Last: Rodriguez-Villalobos Author-Email: martha.rodriguezv@udem.edu Author-Workplace-Name: Universidad de Monterrey Author-Name: Karla Garza-Santillán Author-Name-First: Karla Author-Name-Last: Garza-Santillán Author-Email: karla.garza@udem.edu Author-Workplace-Name: Universidad de Monterrey Author-Name: Aida Gutierrez Author-Name-First: Aida Author-Name-Last: Gutierrez Author-Email: aida.gutierrez@udem.edu Author-Workplace-Name: Universidad de Monterrey Title: Determinants of Violence in Mexico Abstract: This paper determines whether income inequality is the main determinant of violence (measured as the homicide rate) in Mexico, when considering the so-called "hot zones" of the country during the period from 2001 to 2013. By Least Squares in Two Stages (2SLS) with fixed effects, it was found that the main determinants to reduce violence are the increase in the number of students studying the secondary level and the better salary conditions. It was also found that the percentage change in wages is decisive to reduce the level of violence, specifically, a 1% increase in salaries decreases violence levels by 1.19%. As of 2007, the entities belonging to the "hot zones" had a level of violence 0.74% higher than the rest. Length: 12 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 430-441 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=029&rid=10065 File-Function: First version, 2018 Number: 6910065 Classification-JEL: C36, D31, O54 Keywords: Income Inequality, Crime, Instrumental Variables, Mexico Handle: RePEc:sek:iefpro:6910065 Template-Type: ReDIF-Paper 1.0 Author-Name: Groznykh Rogneda Author-Name-First: Groznykh Author-Name-Last: Rogneda Author-Email: i.m.drapkin@mail.ru Author-Workplace-Name: Ural Federal University Author-Name: Igor Drapkin Author-Name-First: Igor Author-Name-Last: Drapkin Author-Email: i.m.drapkin@mail.ru Author-Workplace-Name: Ural Federal University Author-Name: Oleg Mariev Author-Name-First: Oleg Author-Name-Last: Mariev Author-Email: olegmariev@mail.ru Author-Workplace-Name: Ural Federal University Title: THE EFFECTS OF MAJOR SPORTS EVENTS ON ECONOMIC GROWTH AND FOREIGN DIRECT INVESTMENT INFLOWS: THE RESULTS OF EMPIRICAL ESTIMATION Abstract: In the modern literature there is no consensus on the effects arising in countries as a result of hosting major sports events, namely the Olympic Games, FIFA World Cup and UEFA European Championship. This paper focuses on two aspects of the major sports events effects in the hosting country: on economic growth and foreign direct investment inflows. The estimated database includes indicators for all countries that hosted major sport events during 1970?2015. This paper confirms the hypotheses of positive effects both on economic growth and foreign direct investment in the hosting countries. Positive significant effects are found not only during the period of preparation to the event, but (what is more important) during the 4 to 12 year period after the event. Length: 14 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 442-455 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=030&rid=10164 File-Function: First version, 2018 Number: 6910164 Classification-JEL: L83, O11, O19 Keywords: major sports events, economic growth, foreign direct investment inflows, the Olympic Games, FIFA World Cup, UEFA European Championship, effects of hosting major sports events, Solow model Handle: RePEc:sek:iefpro:6910164 Template-Type: ReDIF-Paper 1.0 Author-Name: Roma Ry?-Jurek Author-Name-First: Roma Author-Name-Last: Ry?-Jurek Author-Email: rys-jurek@up.poznan.pl Author-Workplace-Name: Pozna? University of Life Sciences Title: Determinants of family farm income: Findings from the panel data on the type of production in the EU countries Abstract: The aim of this research is to present the family farm income and its determinants according to the type of production of farms in the EU countries in 2004-2016. Research is based on European Farm Accountancy Data Network (FADN), which includes information about average farms in the EU-28. These data include basic information about economic situation of 2335 production types according to the TF8 grouping, i.e.: fieldcrops, horticulture, wine, other permanent crops, milk, other grazing livestock, granivores and mixed.In this paper an attempt is made to use the panel models to evaluate the determinants of family farm income. The Gretl program is used to evaluate fixed effect models and random effect models allowing to indicate determinants of family farm income depending on the farm?s type of production. Length: 12 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 456-467 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=031&rid=10055 File-Function: First version, 2018 Number: 6910055 Classification-JEL: C23, Q12, Q14 Keywords: FADN, family farm income, panel data Handle: RePEc:sek:iefpro:6910055 Template-Type: ReDIF-Paper 1.0 Author-Name: Ivo Speranda Author-Name-First: Ivo Author-Name-Last: Speranda Author-Email: ivo.speranda@unidu.hr Author-Workplace-Name: University of Dubrovnik - Department of Economics and Business Economics Title: A New Perspective on Valuating of Common Stocks Abstract: AbstractThe hypothesis of this paper states the value of a firm and value of a corresponding stock are tightly connected. So, the ?right?value of a company directly leads to the ?right? value of a related stock. The research topic is to find out i.e. to establish how and in what extent new appraisal approach Compounded Cash Flow method (CCF method) effects the value of a stock. The CCF method is theoretically well founded, applicable in practice and it serves for valuating any business. By this method the company's value can be estimated (valuated) at the certain part of time and compared to the current stock price on the stock market, and the additional advantage of this method is risk elimination of misevaluating for the certain extend incomes is not very high.The aim of this paper is to point out the importance of combining several appraisal methods in establishing the ?right? value of a stock i.e. establishing if a stock currently is over or under valuated on the market. It?s to be concluded that this paper approaches the stock evaluation as an ideal segment of a firm. The quality of firm?s business and its potentials are often strong indicators of the stock value in long term. Combined with the usual methods CCF method provides a more precise firm evaluation, i.e. more precise stock evaluation. Length: 11 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 468-478 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=032&rid=8849 File-Function: First version, 2018 Number: 6908849 Classification-JEL: D04, G11, G12 Keywords: Keywords: stock value, firm value, Discounted Cash Flow, Compounded Cash Flow Handle: RePEc:sek:iefpro:6908849 Template-Type: ReDIF-Paper 1.0 Author-Name: Izabela Sta?czyk Author-Name-First: Izabela Author-Name-Last: Sta?czyk Author-Email: izabela.stanczyk@uj.edu.pl Author-Workplace-Name: Jagiellonian University, Institute of Economics, Finance and Management Author-Name: Magdalena Stuss Author-Name-First: Magdalena Author-Name-Last: Stuss Author-Email: magdalena.stuss@uj.edu.pl Author-Workplace-Name: Jagiellonian University, Institute of Economics, Finance and Management Title: THE VALUATION OF HUMAN CAPITAL THE CASE STUDY OF COMPANY LISTED ON THE WARSAW STOCK EXCHANGE Abstract: Nowadays, the valuation of human capital in listed companies is not only a choice within the framework https://www.ikea.com/gb/en/products/wardrobes/fitted-wardrobes/ of Human Resource strategies, but a business necessity. The aim of this paper is to analyse some aspects of valuation of human capital in energy company listed on GPW (The Warsaw Stock Exchange). Firstly the evaluation of the literature related to the valuation of human capital will be presented and this will be followed by empirical analysis of energy companies listed on GPW. The paper it trying to identify what are the needs in the area of valuation of human capital in management processes and what method of valuation of human capital companies use. Length: 12 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 479-490 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=033&rid=9895 File-Function: First version, 2018 Number: 6909895 Classification-JEL: J24, M12, M42 Keywords: valuation of human capital, human resources management, listed companies Handle: RePEc:sek:iefpro:6909895 Template-Type: ReDIF-Paper 1.0 Author-Name: Grzegorz Strupczewski Author-Name-First: Grzegorz Author-Name-Last: Strupczewski Author-Email: grzegorz.strupczewski@uek.krakow.pl Author-Workplace-Name: Cracow University of Economics Title: Current state of the cyber insurance market Abstract: The aim of the paper is to present the current state of the cyber insurance market. Based on recent industry reports, we identify its opportunities and threats, and discuss the most important challenges that have to be overcome by the insurance industry. The role of cyber risk reinsurance in providing capacity for insurance carriers is also shown. Finally, we try to identify current trends in demand for cyber coverage and verify if all needs of cyber insurance buyers are satisfied. In order to attract more cyber insurance customers, insurers should at least: clarify the language and the scope of cyber insurance policy, expand the advantages of cyber policy beyond simple risk transfer, develop personal cyber insurance offer. Length: 11 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 491-501 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=034&rid=10062 File-Function: First version, 2018 Number: 6910062 Classification-JEL: G22, K13 Keywords: cyber insurance, cyber risk, cyber reinsurance, insurance market Handle: RePEc:sek:iefpro:6910062 Template-Type: ReDIF-Paper 1.0 Author-Name: Karol Szomolányi Author-Name-First: Karol Author-Name-Last: Szomolányi Author-Email: karol.szomolanyi@euba.sk Author-Workplace-Name: University of Economics in Bratislava Author-Name: Martin Luká?ik Author-Name-First: Martin Author-Name-Last: Luká?ik Author-Email: martin.lukacik@euba.sk Author-Workplace-Name: University of Economics in Bratislava Author-Name: Adriana Luká?iková Author-Name-First: Adriana Author-Name-Last: Luká?iková Author-Email: adriana.lukacikova@euba.sk Author-Workplace-Name: University of Economics in Bratislava Title: Estimate of the Elasticity of Substitution in Slovak Economy ? A Frequency Filter SUR Model Abstract: The elasticity of substitution between capital and labor in Slovak economy is estimated in the paper. To avoid normalization of the constant elasticity substitution production function problem, we focus in the capital and labor demand specification. Data series of capital, labor, output and their prices gathered from the National Bank of Slovakia macroeconomic database are used. To abstract from the business cycle shocks, data are modified by frequency filters. Finally, to avoid a false regression, the specifications are differenced. Since we do not reject the correlation between error terms of the specification, we use the seemingly unrelated regression method to estimate the coefficients. In result the estimated elasticity of substitution in the Slovak economy is relatively small; its value ranges from 0.03 to 0.11. Length: 10 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 502-511 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=035&rid=10155 File-Function: First version, 2018 Number: 6910155 Classification-JEL: C32, E23, E25 Keywords: elasticity of the input substitution, seemingly unrelated regression model, frequency filter Handle: RePEc:sek:iefpro:6910155 Template-Type: ReDIF-Paper 1.0 Author-Name: Petra Tausl Prochazkova Author-Name-First: Petra Author-Name-Last: Tausl Prochazkova Author-Email: pprochaz@kpm.zcu.cz Author-Workplace-Name: University of West Bohemia Author-Name: Vaclav Sova Martinovsky Author-Name-First: Vaclav Author-Name-Last: Sova Martinovsky Author-Email: martv@kpm.zcu.cz Author-Workplace-Name: University of West Bohemia Author-Name: David Musil Author-Name-First: David Author-Name-Last: Musil Author-Email: pprochaz@rek.zcu.cz Author-Workplace-Name: University of West Bohemia Title: Alternative finance: theoretical and empirical consideration Abstract: Alternative finance presents a stream that has boomed several years ago. These finance tools are often described with attributes such as ?non-traditional?, ?online? or ?innovative?. Since this research area is relatively new, there are scholar and practitioner discussions about what kind of financial tool belongs to the label ?alternative finance? and which one not. Indeed, alternative finance segment is on the rise and has to be understood as a reliable source of financing business ventures (even more not only ventures with business attribute). The aim of this paper is to provide theoretical and empirical remarks to this research stream. Authors continue with this paper with their research interest and present a part of gained information during their research. The paper is articulated as follows: first the alternative finance sphere is discussed including the taxonomy and current state of knowledge about this segment mainly on the European level. Second, follow-up empirical research is provided answering four hypotheses related to alternative finance attributes and general awareness among society. In conclusion final remarks and future perspectives are highlighted. Length: 13 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 512-524 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=036&rid=10159 File-Function: First version, 2018 Number: 6910159 Classification-JEL: G24, F65, L26 Keywords: alternative finance, crowdfunding, peer-to-peer, SMEs, venture capital Handle: RePEc:sek:iefpro:6910159 Template-Type: ReDIF-Paper 1.0 Author-Name: Karolina Tura-Gawron Author-Name-First: Karolina Author-Name-Last: Tura-Gawron Author-Email: ktura@zie.pg.gda.pl Author-Workplace-Name: Gdansk University of Technology Author-Name: Magdalena Szyszko Author-Name-First: Magdalena Author-Name-Last: Szyszko Author-Email: magdalena.szyszko@wsb.poznan.pl Author-Workplace-Name: WSB University in Poznan Title: Spatial Approach to Heterogeneity of Inflation Expectations in the Euro Area Abstract: In this article, we examine the spatial heterogeneities in inflation expectations of the euro area consumers. We expect to find them heterogeneous in our research period of 2001-2016. Contrary to standard examination of heterogeneity, a spatial correlation analysis is applied by referring to global and local correlation measures. It is performed with the economic distance-based weights (the difference in HICP rates). Application of spatial analysis is the main contribution of our examination. Standard examinations ignore spatial relations and might be misleading. Our findings suggest that expectations are heterogeneous once the differences of inflation rates represent economic distance between the countries that we cover by our examination. Length: 12 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 525-536 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=037&rid=10174 File-Function: First version, 2018 Number: 6910174 Classification-JEL: E52, E61, C31 Keywords: inflation expectations, expectations heterogeneity, euro area, spatial analysis Handle: RePEc:sek:iefpro:6910174 Template-Type: ReDIF-Paper 1.0 Author-Name: Karol Wajszczuk Author-Name-First: Karol Author-Name-Last: Wajszczuk Author-Email: wajszczuk@up.poznan.pl Author-Workplace-Name: Poznan University of Life Sciences Title: VERIFICATION OF AN INNOVATIVE LOGISTICS-BASED COSTING MODEL FOR AGRICULTURAL ENTERPRISES IN A PROCESS APPROACH Abstract: This paper presents the main assumptions and functionalities of an innovative logistics-based costing model dedicated to agricultural enterprises. The model was verified in purposefully selected farms of various acreage engaged in crop or livestock production. The use of an innovative logistics-based costing model allowed to determine the basic logistics cost ratios both at a general level and in a process-based approach (by stages and by basic logistics processes), taking total/actual process costs into account. In livestock farms, the ratio of logistics costs to total costs was twice as high as in crop farms, and ranged from 30.4% to 42.9% of total costs. In crop farms, the corresponding ratio varied from 15.8% to 23.6%. The analysis of logistics costs by basic logistics processes shows that the largest difference in ratios between the farms was observed for warehousing processes. In livestock farms, the relevant ratio was three times higher than in crop farms. Length: 15 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 537-551 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=038&rid=10143 File-Function: First version, 2018 Number: 6910143 Classification-JEL: C81, M40, Q14 Keywords: logistics-based costing model, agricultural enterprises, model verification, process approach Handle: RePEc:sek:iefpro:6910143 Template-Type: ReDIF-Paper 1.0 Author-Name: AGNIESZKA Wa??ga Author-Name-First: AGNIESZKA Author-Name-Last: Wa??ga Author-Email: agnieszka.walega@uek.krakow.pl Author-Workplace-Name: Cracow University of Economics Author-Name: GRZEGORZ Wa??ga Author-Name-First: GRZEGORZ Author-Name-Last: Wa??ga Author-Email: grzegorz.walega@uek.krakow.pl Author-Workplace-Name: Cracow University of Economics Title: Indebted households in Poland and their economic situation: assessment using mobility indices Abstract: Economic situation is one of the major determinants of household debt. The analysis of changes in borrowing levels in the global economic context allows for better understanding of household behaviours in the financial markets. The increase in income levels results in upgrading consumer aspirations, especially in developing countries. With some household expenses financed by credit, a growth in household debt levels can be observed. This research is based on panel data at the micro level for Polish households, obtained from the Social Diagnosis (Diagnoza Spo?eczna) study in 2009 and 2015. The purpose of this paper is to assess the impact of changing household incomes on their debt levels. The overall change in household debt levels is examined using mobility indices.The results show that the general improvement in the income situation of indebted households varies depending on the level of debt. The subjective perception of the income situation of the low-debt households has improved. In addition, the heavier the burden of loan repayments, the less likely it is that households can benefit from the favourable economic situation. Length: 10 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 552-561 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=039&rid=10190 File-Function: First version, 2018 Number: 6910190 Classification-JEL: D12, D14, D31 Keywords: indebted household, economic situation, mobility indices Handle: RePEc:sek:iefpro:6910190 Template-Type: ReDIF-Paper 1.0 Author-Name: PI-HSIA YEN Author-Name-First: PI-HSIA Author-Name-Last: YEN Author-Email: isufinance@gmail.com Author-Workplace-Name: Yu Da University of Science and Technology Title: Selling Losers and Winners: A Test of the Disposition and House Money Effect Abstract: This paper test of the disposition and house money effect across market states in the context of mutual fund investors in China, based on a sample period that extends from January 2006 to December 2017. Previous studies primarily document the existence of the disposition effect in China without addressing: first, the impact of market states (bullish, bearish and neutral market) on the investors? disposition effect; and, second, we separate the fund performance according to the different levels of gains and losses. Our results suggest that investors are characterized by a house money effect when they have extreme capital gains under a bull market, and investors are characterized by an inverse disposition effect (they redeem their losing mutual fund units) when they have moderate capital losses under a neutral market. Thus, disposition effect is not uniform; it varies across market states in China. Our findings are robust to aggregate, investor levels, and the others robustness testing factors. Length: 14 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 562-575 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=040&rid=10161 File-Function: First version, 2018 Number: 6910161 Classification-JEL: G02, G10 Keywords: disposition effect; mutual fund investors; market states; house money effect, China Handle: RePEc:sek:iefpro:6910161 Template-Type: ReDIF-Paper 1.0 Author-Name: Emília Zimková Author-Name-First: Emília Author-Name-Last: Zimková Author-Email: emilia.zimkova@umb.sk Author-Workplace-Name: Matej Bel University in Banská Bystrica, Faculty of Economics Author-Name: Vlastimil Farka?ovský Author-Name-First: Vlastimil Author-Name-Last: Farka?ovský Author-Email: vlastimil.farkasovsky@umb.sk Author-Workplace-Name: Matej Bel University in Banská Bystrica, Faculty of Economics Author-Name: ?ubomir Pinter Author-Name-First: ?ubomir Author-Name-Last: Pinter Author-Email: lubomir.pinter@umb.sk Author-Workplace-Name: Matej Bel University in Banská Bystrica, Faculty of Economics Author-Name: Jaros?aw Szostak Author-Name-First: Jaros?aw Author-Name-Last: Szostak Author-Email: jaroslaw.szostak@chorzow.wsb.pl Author-Workplace-Name: WSB University in Chorzow Author-Name: Krzysztof Koj Author-Name-First: Krzysztof Author-Name-Last: Koj Author-Email: krzysztof.koj@chorzow.wsb.pl Author-Workplace-Name: WSB University in Chorzow Title: A Dynamic Hierarchical Cluster Analysis of Economic Performance and Perceptions of the Euro across EU Countries Abstract: One of the crucial benefits of EU membership, inscribed in Art. 3(3) of the Treaty on the European Union, should be economic and social cohesion. Ample empirical studies have examined EU countries? performance in terms of nominal convergence, real convergence, and convergence of business and financial cycles. Twenty years after the inception of the Economic and Monetary Union, economic cohesion clearly is not a reality, while widening real income gaps threaten social cohesion, too. The paper aims to highlight the heterogeneity and dynamics of changes in economic performance and perceptions of the euro across Europe ? two factors arguably having a tremendous impact on the success of the European project. To this end, series of data spanning 2008 through 2017 were explored using hierarchical cluster analysis. Length: 13 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 576-588 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=041&rid=10153 File-Function: First version, 2018 Number: 6910153 Classification-JEL: E52, E62, E50 Keywords: Economic and Monetary Union, economic performance, convergence criteria, euro adoption, euro perception, dynamic hierarchical cluster analysis Handle: RePEc:sek:iefpro:6910153 Template-Type: ReDIF-Paper 1.0 Author-Name: Aleksandra ?uczak Author-Name-First: Aleksandra Author-Name-Last: ?uczak Author-Email: aleksandra.luczak@up.poznan.pl Author-Workplace-Name: Pozna? University of Life Sciences Title: Assessing the development status of local administrative units with the use of a modified quantifiable SWOT method Abstract: The purpose of this paper is to assess the development status of local administrative units (LAUs) with the use of a modified quantifiable SWOT analysis based on Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS). The proposed method was used for assessing the socio-economic development status of municipalities located in the Pozna? district (Poland) in 2016. Based on research, four main types of development status were identified: the aggressive, competitive, conservative and defensive type. Also, the level of exogenous and endogenous socio-economic development was assessed. The study was based on statistical data from the Central Statistical Office in Poland. The method presented in this paper is of a universal nature and may be used as well for SWOT analyses of other spatial and economic units. Length: 12 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 589-600 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=042&rid=10188 File-Function: First version, 2018 Number: 6910188 Classification-JEL: C38, H70, O12 Keywords: modified quantifiable SWOT method, TOPSIS, socio-economic development, development status, municipalities, planning Handle: RePEc:sek:iefpro:6910188 Template-Type: ReDIF-Paper 1.0 Author-Name: Aleksandra ?uczak Author-Name-First: Aleksandra Author-Name-Last: ?uczak Author-Email: aleksandra.luczak@up.poznan.pl Author-Workplace-Name: Pozna? University of Life Sciences Author-Name: Ma?gorzata Just Author-Name-First: Ma?gorzata Author-Name-Last: Just Author-Email: malgorzata.just@up.poznan.pl Author-Workplace-Name: Pozna? University of Life Sciences Author-Name: Agnieszka Kozera Author-Name-First: Agnieszka Author-Name-Last: Kozera Author-Email: akozera@up.poznan.pl Author-Workplace-Name: Pozna? University of Life Sciences Title: APPLICATION OF THE POSITIONAL POT-TOPSIS METHOD TO THE ASSESSMENT OF FINANCIAL SELF-SUFFICIENCY OF LOCAL ADMINISTRATIVE UNITS Abstract: In this paper we propose new approach to the construction of synthetic measure, where the objects are described by the characteristics with strong asymmetry and outliers. The aim of the paper is to present the application potential of the tools of the Extreme Values Theory (EVT) i.e. Peaks over Threshold Model (POT) in constructing a synthetic measure based of positional Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS), that utilize the spatial median of Weber. POT model has been used for identification of outliers and to determination of the positive and negative ideal solutions of financial self-sufficiency of local administrative units (LAUs). This approach is used in the assessment of financial self-sufficiency of LAUs in Poland in 2016. Length: 12 pages Creation-Date: 2018-10 Publication-Status: Published in Proceedings of the Proceedings of the 10th Economics & Finance Conference, Rome, Oct 2018, pages 601-612 File-URL: https://iises.net/proceedings/10th-economics-finance-conference-rome/table-of-content/detail?cid=69&iid=043&rid=10173 File-Function: First version, 2018 Number: 6910173 Classification-JEL: C10, C49, H70 Keywords: positional POT-TOPSIS, Extreme Values Theory, Peaks over Threshold Model, synthetic measure, financial self-sufficiency, local administrative units Handle: RePEc:sek:iefpro:6910173