Institutions and Economies

Absorptive Capacity and Technology Spillovers: A Quantile Regression Approach

Norhanishah Mohamad Yunus — Sat, 01 Apr 2023 00:00:00 +0800

Employing a quantile regression estimator, the study presents new evidence on the role of human capital in exploiting the technology effects from foreign direct investment (FDI) in low-technology industries. A new model of human capital to capture the non-linearity of FDI effects according to employees’ educational qualifications was developed. This study examined whether workers’ absorptive capacity had different effects on FDI spillover at different points of conditional distribution. Although the study found that the ability of employees with degrees and diplomas to exploit foreign technology exceeds the median quantile, it also acknowledges the existence of both ‘over-skilled’ and ‘over-educated’ workers at a higher quantile of FDI distribution. As the problem of shortages and mismatch between skills and education for workers with degrees and diplomas still hinders firms from applying advanced technologies from FDI, this study proposes using the law to make firms work with universities. Firms could inform universities of the industry’s in-demand skills regularly and get involved in the development of the university curriculum to ensure that graduates are equipped with skills and knowledge that can be ‘transmitted’ to different industries.

The Comparative Economics of Globalisation and Governance in Sub-Saharan Africa

Simplice A. Asongu, Nicholas M. Odhiambo — Sat, 01 Apr 2023 00:00:00 +0800

This study investigates the effect of globalisation on governance in 40 Sub-Saharan African countries for the period of 2000-2019, with particular emphasis on income levels (low income versus middle income), legal origins (English common law versus French civil law), landlockedness (landlocked versus unlandlocked), resource wealth (oil-rich versus oil-poor) and political stability (stable versus unstable). The empirical evidence is based on fixed effects regressions in order to control for the unobserved heterogeneity. Political, economic, social, and general globalisation variables are used, while three bundled governance indicators are also employed to assess five main hypotheses. From baseline findings, while all globalisation dynamics negatively affect political governance, only political and social globalisation dynamics have a negative incidence on economic governance. Social and general globalisation dynamics positively affect institutional governance. The hypotheses that higher income, English common law, unlandlocked, oil-poor, and politically-stable countries are associated with higher levels of globalisation-driven governance, are valid, invalid, and partially valid contingent on the globalisation and governance dynamics.

Skills Acquisition and Employability Among Arts and Social Sciences Interns in a Malaysian Public University

Mythili Monogaran, Thirunaukarasu Subramaniam — Sat, 01 Apr 2023 00:00:00 +0800

Many Malaysian employers feel that university curricula inadequately prepare graduates for the realities of the job market. The present study attempts to rank skills acquisition among interns at a Malaysian public university and identify the gaps through skills gap and radar analyses. Respondents comprised students from an Arts and Social Sciences faculty in a Malaysian public university who had undergone internship as well as the employers who conducted trainings for them. Using a simple random sampling method, 164 students and 43 employers provided responses. The largest gap between employers’ expectations and interns’ performance is seen for ‘values, attitudes and professionalism’. Employers tend to emphasise ‘values, attitudes and professionalism’ as an essential skill for employability. Positive qualities, such as having good work habits and attitudes, are valuable assets that need to be inculcated. Another skill that requires improvement is ‘communication, leadership and team skills’, as poor communication skills can become a serious obstacle for employability. This study provides insights from a dual perspective analysis through the identification of gaps between actual and expected intern performance. This information will be a valuable guideline in redesigning university modules to meet the demands of potential employers.

Youth and Political Participation: What Factors Influence Them?

Sat, 01 Apr 2023 00:00:00 +0800

This study discusses the factors that could influence political participation among youth. The purpose of this study is to look at the impact of the main factors (such as the influence of social environment and mass media) on youth political participation. A total of 343 youths participated in this study, with a response rate of 90.5%. Findings from multiple linear regression demonstrate that the influence of social environment and the influence of mass media have a substantial influence on political participation. Studies on the influence of political participation among the youth, particularly in Malaysia, are vital yet scarce. Significantly, the findings of this study can provide insight to political parties on the importance of youth political participation. Finally, this study provides practical implications for youth political participation.

Does Tourism Lead to Environmental Impact? Cross-National Static and Dynamic Evidence from the Ecological Footprint

Sat, 01 Apr 2023 00:00:00 +0800

At present, public consciousness on respecting and safeguarding the environment is declining rapidly. On that note, this study assumes that growing tourism has negative environmental implications. To satisfy tourism demand, overconsumption, and overexploitation through the development of tourism-related facilities have generated waste that destroy ecosystem functions. Ecological footprint is used to study the environmental impact of tourism activities by including the role of governance in our model. The outcome reveals that the environment is significantly affected by tourism pressure and good governance is essential for environmental protection.

Chip War: The Fight for the World’s Most Critical Technology

Nurulhuda Mohd Satar — Sat, 01 Apr 2023 00:00:00 +0800

21st Century Economics: Economic Ideas You Should Read and Remember

Shafinah Rahim — Sat, 01 Apr 2023 00:00:00 +0800