Lim Thye Goh, Irwan Trinugroho, Siong Hook Law and Dedi Rusdi
The objective of this paper is to investigate the impact of institutional quality, foreign direct investment (FDI) inflows and human capital development on Indonesia’s poverty…
Abstract
Purpose
The objective of this paper is to investigate the impact of institutional quality, foreign direct investment (FDI) inflows and human capital development on Indonesia’s poverty rate.
Design/methodology/approach
The quantile regression on data ranging from 1984 to 2019 was used to capture the relationship between the impact of the independent variables (FDI inflows, institutional quality and human capital development) on Indonesia’s poverty rate at different quantiles of the conditional distribution.
Findings
The empirical results reveal that low-quantile institutional quality is detrimental to poverty eradication, whereas FDI inflows and human capital development are significant at higher quantiles of distribution. This implies that higher-value FDI and advanced human capital development are critical to lifting Indonesians out of poverty.
Practical implications
Policymakers should prioritise strategies that advance human capital development, create an enticing investment climate that attracts high-value investments and improve institutional quality levels.
Originality/value
This study contributes to the existing literature because, compared to previous studies that focussed on estimating the conditional mean of the explanatory variable on the poverty rate. It rather provides a more comprehensive understanding of the quantiles of interest of FDI inflows and institutional quality on the Indonesian poverty rate, allowing for more targeted policies.
Peer review
The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-09-2023-0733
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Nugroho Saputro, Putra Pamungkas, Irwan Trinugroho, Yoshia Christian Mahulette, Bruno Sergio Sergi and Goh Lim Thye
This paper investigated whether a bank’s popularity and depositors' fear of Google search volume could affect bank deposits and credit.
Abstract
Purpose
This paper investigated whether a bank’s popularity and depositors' fear of Google search volume could affect bank deposits and credit.
Design/methodology/approach
The authors used two different quarterly data from Google Trends and banking data from 2012 Q1 to 2020 Q1. Based on available data, Google Trends data start from 2012. The authors exclude data after 2020 Q1 because the Covid-19 pandemic arguably increased the volume of Internet users due to shifting behavior to online activities. They merged and cleaned the data by winsorizing at 5 and 95 percentiles to avoid any outlier problems, reaching 74 banks in the sample. They used panel data estimation of quarterly data following Levy-Yeyati et al. (2010) and Trinugroho et al. (2020).
Findings
The results show that a higher search volume of a bank’s name leads to higher deposits. A higher search volume of depositor fear reduces deposits and credit. The authors also found that banks with high risk and a high search volume of their name have a significantly lower volume of deposits.
Originality/value
To the best of the authors’ knowledge, not many papers in banking and finance have used Google Trends data to gauge related issues regarding depositors' behavior. The authors have filled a gap in the literature by investigating whether the popularity of Google search and depositors' fear could impact deposits and credit. This study also attempted to establish whether Google Trends data could be a reliable source of information to predict depositors' behavior by using a Zscore to measure bank risk.
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Yaxing Li, Wee-Yeap Lau and Lim-Thye Goh
In response to the COVID-19 pandemic, which caused a downward trend in the US stock market, the Federal Reserve has implemented an innovative Corporate Credit Facility (CCF…
Abstract
In response to the COVID-19 pandemic, which caused a downward trend in the US stock market, the Federal Reserve has implemented an innovative Corporate Credit Facility (CCF) program from March 23 to December 31, 2020. The CCF aims to purchase the eligible corporate bonds and ETFs under the Primary Market Corporate Credit Facility (PMCCF) and Secondary Market Corporate Credit Facility (SMCCF). Firstly, our result shows that the Corporate Credit Facility program has stabilized the return of the S&P 500 by 0.68 in variance reduction. Secondly, the SMCCF has exhibited a better effect on the stock market compared with PMCCF. The coefficient of SMCCF is statistically significant. However, announcement and PMCCF are not significant in the variance equation. Thirdly, the joint Wald test of PMCCF and SMCCF positively and significantly affect the return of the S&P 500, evidenced by the mean equation. Lastly, the announcement of CCF has an adverse effect on the S&P 500. It can be concluded that the Fed's Corporate Credit Facility has been innovative in combating the financial market's instability.
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Parul Gupta, Fangfang Zhang, Sumedha Chauhan, Sandeep Goyal, Amit Kumar Bhardwaj and Yuvraj Gajpal
This study aims to examine the factors (Stimuli) enhancing perceived utilitarian, social and conditional values (Organisms) of social commerce (s-commerce) platforms and their…
Abstract
Purpose
This study aims to examine the factors (Stimuli) enhancing perceived utilitarian, social and conditional values (Organisms) of social commerce (s-commerce) platforms and their impact on small and medium enterprises’ (SMEs’) behavioral intention (Response) to adopt s-commerce.
Design/methodology/approach
Survey data were gathered from 304 Indian SMEs using s-commerce platforms. Data were analyzed using SmartPLS 3 software.
Findings
The results indicated that perceived values significantly impact SMEs’ behavioral intention to adopt s-commerce. Among conditional, utilitarian and social values, the conditional value of s-commerce sites was found to be the strongest motivator for SMEs to adopt s-commerce.
Research limitations/implications
This research contributes to the growing literature on s-commerce, explaining how perceived value influences the decision of SMEs to adopt s-commerce platforms.
Practical implications
Among the significant influencers, perceived usefulness and perceived reputation were found to be the most effective triggers that stimulate perceived values of s-commerce sites. The findings draw due attention from policymakers toward environmental cues such as the legal and regulatory environment, which are instrumental in creating the most important perceived value for SMEs, i.e. conditional value.
Originality/value
By employing the inputs from the theory of consumption values and the Stimulus-Organism-Response framework, this original study looked beyond the technology factors and examined the role of perceived values of s-commerce platforms in shaping SMEs’ behavioral intention to adopt.
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Wing Thye Woo, Yuen Yoong Leong, Wai Sern Low, Jin Soong Liew and Chean Chung Lee
This study employs advanced modelling to assess the effectiveness of Malaysia’s current energy policies in achieving a low-carbon future. By optimising a 100% renewable energy…
Abstract
Purpose
This study employs advanced modelling to assess the effectiveness of Malaysia’s current energy policies in achieving a low-carbon future. By optimising a 100% renewable energy mix, including energy storage, the research identifies pathways to decarbonise the power sector while minimising costs. These findings will inform the development of future policies.
Design/methodology/approach
This study employs the Stockholm Environment Institute-developed Low Emissions Analysis Platform (LEAP) and Next Energy Modeling system for Optimization (NEMO) to construct and optimise a comprehensive Malaysian power sector model. The model encompasses both electricity supply, including diverse electricity generation sources and demand across key sectors. Three scenarios – existing policy, optimised existing policy and more ambitious policy (near-zero emissions) – are analysed.
Findings
Solar photovoltaic (PV) is the dominant technology, but realising its full potential requires significant grid upgrades. While natural gas expansion underpins Malaysia’s decarbonisation strategy, solar and storage offer a cleaner and potentially cost-effective alternative. Rapid technological advancements in clean energy increase stranded asset risk for new gas power plants. Malaysia’s abundant bioenergy resources need more tapping. This can contribute to decarbonisation and rural development. Transitioning to a fully renewable grid necessitates substantial investments in energy storage and grid infrastructure. While falling battery costs and regional interconnection can mitigate costs, careful consideration of potential disruptions and cost fluctuations is essential for resilience.
Research limitations/implications
Energy sector modelling results are inherently dependent on input assumptions, such as future technology costs, resource availability and fossil fuel prices. These factors can be highly uncertain. While this study did not conduct sensitivity analyses to explore how variations in these assumptions might affect the results (e.g. cost variations across scenarios, technology mix fluctuations), the core findings provide valuable insights into potential decarbonisation pathways for Malaysia’s power sector. Future studies could build upon this work by incorporating sensitivity analyses to provide a more comprehensive understanding of how key results might change under a wider range of future possibilities.
Originality/value
This study co-optimises a 100% renewable energy mix for Malaysia, incorporating a comprehensive range of renewable resources, battery and pumped hydro storage. The research also provides a unique perspective on the interplay of philosophical underpinnings, psychological maturity and energy policy.