Politická ekonomie 2024, Volume 72(2), Special Issue: 255-277 | DOI: 10.18267/j.polek.1423
This research covers the literature gap by investigating the factors of economic expansion (GDP), total natural resources (TNRNT), political risk index (PRI) and technological innovation (TI) and their impact on the renewable electricity output (REOT) in the G7 economies, covering the period 1990-2022. The research utilizes novel MMQREG as the primary method, while BSQR is a non-parametric robustness check method. A pairwise Dumitrescu-Hurlin causality test is employed to find out the causal connection between variables. The diagnostic outcomes show that the modelled variables are static after the first difference...
Politická ekonomie 2024, Volume 72(2), Special Issue: 228-254 | DOI: 10.18267/j.polek.1420
Electricity production strategies of countries rely on fossil fuel-based electricity generation. Environmental regulations (ER) are needed to shift to green electricity for achieving energy transition, but corruption and bureaucracy can influence ER, energy transition and ecological quality. Hence, this research considers two important constituents of country risks including corruption and bureaucracy in the model while understanding the connections between green electricity, ER and the load capacity factor (LCF) in BRICS from 1992 to 2018. The research chooses a recent proxy of ecological quality (i.e., LCF),...
Politická ekonomie 2024, Volume 72(2), Special Issue: 203-227 | DOI: 10.18267/j.polek.1419
Unclean energy consumption stimulates carbon footprint (CF) leading to increased environmental pollution. Renewable energy transition (ETN) can curb the CF; however, political risk can obstruct this process. Hence, this study analyses the connections between economic growth, ETN and CF by considering political risk and financial expansion in a panel of top 10 emitters from 1992 to 2020 using the method of moment quantile regressions (MM-QR). The results elucidate that ETN significantly reduces the CF in the top emitters. Thus, expanding the ETN is beneficial for reducing the CF and promoting...
Politická ekonomie 2024, Volume 72(2), Special Issue: 181-202 | DOI: 10.18267/j.polek.1414
In the pursuit of sustainable development, economies such as China are placing a paramount emphasis on significantly augmenting the utilization of renewable energy sources. This marks a departure from conventional research approaches that solely focused on macroeconomic determinants while investigating patterns of renewable energy consumption. Thus, this research pursues to witness the relationship between the political risk index (PRI), renewable electricity output (RELOP), public-private partnership investment in energy (PPINENR), and renewable energy consumption (RECNS) in China from 1984 to 2022. For data estimations,...
Politická ekonomie 2024, Volume 72(2), Special Issue: 151-180 | DOI: 10.18267/j.polek.1413
This research investigates the effect of political stability and geopolitical risk on environmental sustainability (ES) by considering R&D investments in nuclear and renewable energy. Con- sidering the high political stability and recent energy crisis and increasing geopolitical risk, the study focuses on three leading European countries. We use the load capacity factor, include data between 1985/1 and 2020/12, and apply quantile on quantile regression (QQ), Granger causality in quantiles (GQ), and quantile regression (QR) models. The study finds that in higher quantiles (i) increasing political stability stimulates the ES in Sweden and the United...
Politická ekonomie 2024, 72(1):142-150 | DOI: 10.18267/j.polek.1432
Politická ekonomie 2024, 72(1):122-141 | DOI: 10.18267/j.polek.1410
This study examines the long-run relationship between the unemployment rate and labour force participation rate in South Korea from June 1999 to January 2023. The study utilizes the traditional Johansen cointegration test and augments it with Fourier terms to control for an unknown number of breaks in the cointegration system. The empirical findings suggest a significant long-run relationship between the unemployment rate and labour force participation rate in South Korea, which provides evidence against the unemployment invariance hypothesis. The study also finds evidence of the discouraged-worker effect for males and the added-worker effect for females....
Politická ekonomie 2024, 72(1):102-121 | DOI: 10.18267/j.polek.1422
Continuous technological changes in various industries are necessary for achieving economic development goals. Logistics, as an integral part of the supply chain, is gaining an increasingly significant role for national economies. To encourage its further development, especially in the era of intensive digitization and the context of Industry 4.0, innovations and new technologies are seen as important drivers. The paper examines the impact of capacity for innovation and availability of latest technologies on countries' overall logistics performance, as well as individual components of international logistics. Additionally, the role of export and import...
Politická ekonomie 2024, 72(1):73-101 | DOI: 10.18267/j.polek.1411
This paper examines various configurations of the formula under the formulary apportionment methodology from the perspective of the explanatory power of the variability in profitability of multinational companies with the aim to identify the best-performing formula based on analytical evidence of panel microeconomic data. The considered configurations of the formula are based on the novel composition of the allocation formula indicated under the BEFIT proposal, preceding the CCCTB proposal, and traditionally used formulas, at the sub-national level, in Canada and the United States. The empirical analysis uses microeconomic panel data obtained from...
Politická ekonomie 2024, 72(1):50-72 | DOI: 10.18267/j.polek.1407
This study investigates whether the response of stock returns to economic policy uncertainty de- pends on the level of government size in the economy. Although there is a consensus in the liter- ature that stock markets react negatively to policy-related uncertainties, the factors that determine the magnitude of this effect have been ignored. This study is the first to demonstrate that the magnitude of this effect depends on the size of the government in the economy. In the study, data for the period 1997Q1-2021Q4 pertaining to 18 countries are used. According to results of fixed-effects estimations with Driscoll-Kraay robust standard errors, economic...
Politická ekonomie 2024, 72(1):24-49 | DOI: 10.18267/j.polek.1402
Precarious work is characterized by flexible and nonstandard employment relations. It affects people's economic relationships and participation in social and political movements. Based on the data of the Hong Kong Panel Study of Social Dynamics 2015, this paper explores the influence mechanism of precarious work on political participation with political attitudes as a mediator. The results show that, for precarious workers, there is a significantly lower probability of institutionalized political participation and a higher probability of non-institutionalized political participation. Also, the young precarious workers have a lower probability of institutionalized...
Politická ekonomie 2024, 72(1):1-23 | DOI: 10.18267/j.polek.1399
In the lens of European integration, national competitiveness no longer depends just on national inheritance, but also on the new member states' capacity of exploiting existing advantages of EU membership. In this paper, we closely follow the effects of European Union (EU) admission on national competitiveness for eleven Central and Eastern European (CEE) countries that joined the EU after 2004. The analysis includes new specific variables that we consider potential boosters of competitiveness in this particular sample of countries, besides the proxies generally used in the literature. The results indicate that, for most of the CEE countries, EU accession...
Politická ekonomie 2023, 71(6):758-780 | DOI: 10.18267/j.polek.1396
ThDr. Bernard Bolzano (1781-1848) was not only a mathematician and logician of European stature, a theologian, philosopher, teacher and educator, but also a critical social thinker and reformer, whose work also has distinct economic dimensions. Economic aspects play an important role in Bolzano's vision, and this does not rest on foundations that are only naively fanciful. The star- ting point of his economic considerations is the category of property. In the work of Bolzano, one can trace the vision of the welfare state, the public sector, or the germs of elements of welfare economics. It is possible to appreciate the thoughtfulness, logic and precision...
Politická ekonomie 2023, 71(6):730-757 | DOI: 10.18267/j.polek.1405
This study examines the impact of monetary developments on environmental quality and economic growth. We utilize ARDL/PMG models to study twelve climatically vulnerable countries from 1996 to 2018. We find that a 1% increase in real GDP and domestic credit harms the environment by 0.827% and 0.220%, respectively. However, savings improve environmental excellence by 0.373%. A 1% environmental degradation decreases human health by 0.317%; consequently, economic growth declines by 1.102%. Good governance emerges as a key solution, with a 1% improvement in public institutions mitigating the adverse impact of real GDP on the environment by 0.777%. Redirecting...
Politická ekonomie 2023, 71(6):709-729 | DOI: 10.18267/j.polek.1406
The relationship between government size and economic growth is a major task in the economic literature and this paper is devoted to public expenditure. We empirically study the relationship between public expenditure and economic growth in the European Union. Our approach consists on a quantile regression for the period 2004-2019. The results show a negative and significant impact of total public expenditure on economic growth, with a higher effect in the high tail of the growth distribution. In a more detailed analysis, the study of three large public expenditures, considering the percentage of total public expense, reveals an insignificant effect...
Politická ekonomie 2023, 71(6):668-708 | DOI: 10.18267/j.polek.1408
The article deals with the question of whether there is an equilibrium relationship between long-term interest rates and rental yields or real estate prices. In the theoretical part, an arbitrage relationship with the real estate market is shown, emphasizing the importance of nominal interest rates in the house price-setting process. Simplified theoretical relationships are empirically tested on panel data for a number of countries in the world. The results suggest that there is a cointegrating relationship between long-term interest rates and rental yields. Rental yields tend to adjust to interest rates over a long time period dominantly through house...
Politická ekonomie 2023, 71(6):642-667 | DOI: 10.18267/j.polek.1404
The objective of this paper is to analyse the outflow of primary income from the Czech Republic in comparison with the inflow of foreign direct investment and to show the causes of this phenomenon and the need for active economic policy in the area of primary income outflows. We look at the impact of pension outflows in the form of dividends on our economy as well as on the external balance from the perspective of the current account of the balance of payments. Attention is also paid to comparing pension outflows with inflows from domestic FDI abroad. The intention is also to test the hypothesis of a relationship between economic growth and FDI inflows...
Politická ekonomie 2023, 71(5):639-641
Politická ekonomie 2023, 71(5):619-638
The engine that drives prosperity in the modern world is the increasingly rapid emergence of useful knowledge. The aim of the paper is to present the basic ideas of the economic theory of innovation. The first part of the paper outlines the theory of endogenous growth and technological change. The second part reveals the nature of innovation. The third part presents creative destruction as part of technological development. The fourth part explains the paradox of progress: why we produce more from less. The fifth part outlines the future as an age of abundance.
Politická ekonomie 2023, 71(5):591-618
This study aims to identify growth-conducive institutions unique to emerging economies. For that purpose, we examine the roles of Anglo-American institutions in fostering total factor productivity growth through the improvement of technical efficiency in emerging economies. Specifically, the impacts of the liberalistic and paternalistic types of regulatory institutions are discerned. The results show that institutional qualities such as reverence for the rule of law and effective governments robustly promote total factor productivity by improving technical efficiency, while voices of citizens and political stability exhibit a symbiotic relationship,...
Politická ekonomie 2023, 71(5):555-590
The objective of this paper is to analyse the distribution of salaries in the public sector with a focus on employees receiving a salary at the level of minimum wages in the initial period of the COVID-19 pandemic. Among the methods used is the construction of salary distribution models by gender and educational attainment and the creation of predictions using exponential smoothing. The results of the analysis show the highest increase in real salaries among women with the lowest education. The results further show that the highest benefit in terms of the average real monthly salary of both men and women comes from changing the employee's educational...
Politická ekonomie 2023, 71(5):536-554
The paper presents the volume of debts incurred as part of non-insurance social security benefits in the Czech Republic from 2016 to 2020 and defines the structure of these debts by individual types of non-insurance social security benefits, where 25% is attributable to parental allowance, followed by housing allowance (17%) and subsistence allowance (20%). The analysis deals with the number of debts broken down into paid, collected, settled by other means, written off for uncollectibility or extinction of the right. The study works with unique data obtained by summarisation from the appli-cation programmes used by the Labour Office of the Czech Republic,...
Politická ekonomie 2023, 71(5):518-535
The author's main objective is to point out the existence of the paradox of involuntary improvement and to present a solution to this paradox. The paradox of involuntary improvement appears when a subject which suffers an injustice involuntarily still gets better off by this change. The suggested solution consists in the decomposition of the total effect of the pseudo-contract into the effect of the basic contract (which is desirable for the subject) and the effect of the super-contract (which is undesirable for the subject). Such a decomposition is not arbitrary, in the author's view, but necessary because it reflects the self-contradictory nature...
Politická ekonomie 2023, 71(5):496-517
With the advancement of machine learning tools, an increasing number of algorithms are being utilized for predicting not only traditional time series data related to financial markets but also those connected to cryptocurrencies. This paper aims to compare various machine learning algorithms used for prediction, in order to identify the one with the greatest practical potential for creating a prediction model of Bitcoin’s price as an investment asset. The analysis focuses on supervised learning algorithms, taking into account the nature of the task involving long time series datasets. The paper also describes the exact process of creating and...
Politická ekonomie 2023, 71(4):447-472 | DOI: 10.18267/j.polek.1393
In most cases, the rules of the game in international trade are shaped by political economy, but this interplay is more noticeable in politically sensitive sectors such as agriculture. The balance between domestic political interests and the considerations concerning international relations changes over time in response to the joint action of a variety of factors, and this is mirrored in the multilateral trade regime governing this sector. Combining a broad set of empirical evidence available at the international level, this paper aims to capture the pattern of tariff and non-tariff protectionism in the global agricultural trade. The investigation...
Politická ekonomie 2023, 71(4):473-495 | DOI: 10.18267/j.polek.1395
Voters' ability to act upon the fulfilment of election pledges matters profoundly for democratic accountability. Existing literature provides evidence of retrospective voting on pledge fulfilment at the party level. This paper investigates retrospective voting on pledges at the level of individual politicians. It estimates the effect of breaking a pledge to support anti-corruption legislation on Czech deputies' preferential votes. Since the pledge was identical for all the participating de- puties and not all deputies pledged, the data permit estimation of the effect of pledge breakage independently of the effect of voting against anti-corruption bills....
Politická ekonomie 2023, 71(4):422-446 | DOI: 10.18267/j.polek.1391
The paper shows an econometric approach to environmental taxes, economic growth and go- vernment expenditures in Visegrad Group (VG) countries from 1995 to 2018. The aim of this research is to explore how environmental taxes affect economic growth in Czechia, Hungary, Poland and Slovakia in the observed period. The subject of the research is to identify the relationship between total environmental tax revenues, energy tax revenues, transport tax revenues and economic growth. Also, empirical research includes the relation between environmental taxation and government expenditures to identify the character of their effects and influence on economic growth...
Politická ekonomie 2023, 71(4):390-421 | DOI: 10.18267/j.polek.1389
The aim of this article is to find out how the state and EU subsidies paid in the Czech Republic since 2000 have been translated into the territory. The methodology is based on obtaining a continuous time series of data on subsidies for the smallest possible territorial level and comparing the impacts on territorial cohesion, with particular reference to structurally affected regions on the one hand and the areas of Integrated Territorial Investments (ITI) and Integrated Plan for the Development of the Territory (IPRÚ) on the other. The results show that the share of subsidies has increased steadily over the period under review. Per capita funding...
Politická ekonomie 2023, 71(4):366-389 | DOI: 10.18267/j.polek.1387
The aim of this study is to verify the validity of Barro-Ricardo equivalence in Czech conditions with the help of experimental methods. Ricardian equivalence, in which case consumers postpone consumption under lower taxation, is a basic assumption of many studies dealing with intertemporal decision making and has important implications for government tax policy. Using nonparametric methods and panel data regression, we find that Ricardian equivalence does not hold in general. Our results suggest that taxation has a significant impact on consumption decisions. Over the life cycle, a tax cut increases consumption on average by 28.7% of the tax credit....
Politická ekonomie 2023, 71(3):342-365 | DOI: 10.18267/j.polek.1392
The present study aims to indicate whether structural transformation has provided enhancement for the disadvantaged parts of society in terms of gender or whether it has been implemented at the expense of social inequalities in 10 BEM (Big Emerging Market) economies (Argentina, Brazil, China, India, Indonesia, Mexico, Poland, South Africa, South Korea and Türkiye) in the period 1998–2019. The study also aims to understand the dynamics behind the connection between structural transformation and unemployment by comparing the results from each country. This paper also focuses on the effects of economic complexity on the breakdown of unemployment...
