Latest Papers

The latest papers published in the World Economics Journal.



Monetary Policy Tightening and Economic Landing Monetary Policy Tightening and Economic Landing: Will the landing be hard or soft?
Azhar Iqbal , World Economics, December 2022
This article presents a new approach for estimating the optimal nominal interest rate and labels it the appropriate-FFR. The analysis suggests that the US Federal Reserve is behind the curve in the present cycle and also predicts a hard landing using both the FOMC and B ... More


The Long and Winding Road  from the International Macroeconomic Policy Trilemma to the Integrated Policy Framework The Long and Winding Road from the International Macroeconomic Policy Trilemma to the Integrated Policy Framework
Graham Bird & Thomas D. Willett, World Economics, December 2022
For many years the international macroeconomic policy trilemma, which argues that it is impossible to simultaneously have a pegged exchange rate, monetary independence and an open capital account, has provided a theoretical foundation for open economy macroeconomics and ... More


From Recession with Love From Recession with Love: Financial Markets’ Improper Affection for Economic Downturns
Jan Libich, World Economics, December 2022
This article examines why some conventional finance theory no longer seems to apply in the post-2008 period. It discusses the reasons for financial markets responding to good news about economic fundamentals as if it was bad news. My controversial conjecture is that (as ... More


Risk through the Looking Glass Risk through the Looking Glass: The pursuit of a return without the risk
Savvakis C. Savvides, World Economics, December 2022
This article argues that the general acceptance of volatility constituting a good measure of risk is not appropriate in the context of capital investment appraisal. It is argued that expected loss should be employed as a measure of risk. It is further illustrated how t ... More


Relationship Between Macroeconomic Variables and Stock Market Returns Relationship Between Macroeconomic Variables and Stock Market Returns: Empirical Analysis of Emerging Market Economies
Mearaj Ud Din Dar & Khursheed Ahmad Butt, World Economics, December 2022
The present study is an attempt to understand the interactions between prominent macroeconomic variables and stock market returns among seven emerging economies by using a novel econometric technique, the ARDL model. The study found macroeconomic variables do have signi ... More


Stock Prices and the Macro Economy in India Stock Prices and the Macro Economy in India: DCC–MGARCH Model
Amit Kundu, World Economics, December 2022
This article studies the relationship between stock prices and the Indian macroeconomy assessed by the level of GDP. There are many different channels of influence between these two variables, channels which may function in either direction. There are also many hypothe ... More


Zombie Companies, Low Investment and Low Interest Rates Zombie Companies, Low Investment and Low Interest Rates
Andrew Smithers, World Economics, December 2022
The number of zombies has risen this century and growth has slowed. Both have a common cause in the bonus culture but, unlike Japan after 1990, there is no direct causal link. Ultra-low interest rates have not slowed growth. While monetary policy is largely responsible ... More


Gender Inequality in the Indian Informal Economy Gender Inequality in the Indian Informal Economy
Sandeep Kaur & Nidhi Walia, World Economics, December 2022
This article seeks to understand the different dimensions of informal employment in India from a gender perspective. It also seeks to understand the social and economic impact of COVID-19 lockdowns on the lives of female informal workers in Ludhiana (Punjab). Gender pay ... More


Understanding the Determinants of the Gender Gap in the Economy Understanding the Determinants of the Gender Gap in the Economy: A Multiregion Panel Study
Ade Nimri & Taleb Awad Warrad, World Economics, December 2022
The gender gap has been central to discussing development policies in recent decades. It is considered one of the primary benchmarks for policymakers worldwide. This study aims to combine and highlight the primary determinants of the gender gap in four regions: North A ... More


The Implementation of Vouchers in Formalising Undeclared Work in the Republic of North Macedonia The Implementation of Vouchers in Formalising Undeclared Work in the Republic of North Macedonia
Predrag Bejakovic, World Economics, September 2022
This article reviews the main challenges of the labour market in the Republic of North Macedonia and explains the various definitions of undeclared work (UW). North Macedonia (earlier former Yugoslav Republic of Macedonia or FYRM) has achieved very respectable success i ... More


Is Another Eurozone Crisis Coming? Is Another Eurozone Crisis Coming?: Have the Markets Gone Back to Sleep?
Graham Bird, Wenti Du & Eric Pentecost, World Economics, September 2022
The Eurozone crisis in the early 2010s was a landmark event. However, markets did not seem to see it coming. It was only once the crisis had begun that markets received a wake-up call, and risk premia began to rise sharply. Markets then began to act in a way that was mo ... More


Economic Shocks and Development Resilience in Nigeria: Evidence from State Fragility Index Economic Shocks and Development Resilience in Nigeria: Evidence from State Fragility Index
Kingsley Imandojemu, World Economics, September 2022
This article examines the prospects for and challenges of development resilience within the methodological framework of the state fragility index in Nigeria. By using a qualitative and dialectical approach we find, contrary to initial expectation, that the economy show ... More


The Impact of Financial Corruption on the Economy and Means of Prevention The Impact of Financial Corruption on the Economy and Means of Prevention: The Case of Jordan
Ade Nimri & Said M. Alkhatib, World Economics, September 2022
Our study aims to examine the impact of financial corruption on the economy in Jordan over the period 1990–2020. The study used different measures to measure financial corruption more efficiently, including the values and numbers of corruption cases. It also used the se ... More


Measuring Trade Flows Between India and Latin American and Caribbean Countries Measuring Trade Flows Between India and Latin American and Caribbean Countries: A Gravity Model Approach
Riti Srivastava, Seema Sharma & Qamar Alam, World Economics, September 2022
This study has been undertaken to analyse the bilateral trade flows between India and selected Latin American and Caribbean countries and the period of study is from 2001 to 2019. The trade tool used is the augmented gravity model and the study specifically covers four ... More


Measuring the Non-observed Economy in Vietnam Measuring the Non-observed Economy in Vietnam
François Roubaud & Van Thi Nghiem, World Economics, June 2022
This article takes advantage of new political demand at the government’s highest level to focus on measurement of the informal economy in Vietnam from a statistical perspective. The main challenges, concepts and definitions regarding the informal economy within the fra ... More


The Impact of Financial Corruption on Economic Performance The Impact of Financial Corruption on Economic Performance
Ade S. Nimri, World Economics, June 2022
This study aims to evaluate the impact of financial corruption on economic performance in Jordan using time series data over the period 1990–2020. It used the dynamic least squares (DOLS) estimation method to examine the impact between the variables using the Corruptio ... More


Inequality: A Problem for the Indian Economy Inequality: A Problem for the Indian Economy
Sheetal Khandre, World Economics, June 2022
The economic slow-down and COVID-19 pandemic have highlighted India’s extreme crisis inequality. India is an unequal country: 84% of household sector income declined in 2021, at the same time that the number of billionaires went up from 102 to 142. According to the Worl ... More


Relationship of Internet Activity to Economic and Social Metrics Relationship of Internet Activity to Economic and Social Metrics
John A. DeLeon, Karen Loveland, Katherine Taken Smith & Lawrence Murphy Smith, World Economics, June 2022
This paper provides a multinational analysis of the relationship of internet activity to economic and social metrics. Analyses were made of 129 countries, all those with complete data for internet usage, economic activity, economic freedom, gender equality, and social p ... More


Fears of Inflation: What’s Going On? Fears of Inflation: What’s Going On?
Graham Bird, World Economics, June 2022
Although there are global differences in rates of inflation, a sharp acceleration in inflation during 2021/22 occurred in most parts of the world. Measurement matters. Differences exist between headline and core rates of inflation. These reflect the composition of infla ... More


Out of the Frying Pan, into the Fire Out of the Frying Pan, into the Fire: The Green Energy Transition, Resource Independence, and the War in Ukraine
Aurélien Pradier & John M. Luiz, World Economics, June 2022
We ask how the war in Ukraine is likely to affect the green energy transition and its changing resource requirements in the longer term, given the resource endowments of Russia and Ukraine. We argue that the invasion of Ukraine complicates Europe’s green energy transiti ... More


The Disconnect of Funding From Wealth Creation The Disconnect of Funding From Wealth Creation: The Corruption of Capitalism
Savvakis C. Savvides, World Economics, June 2022
This article identifies concentration of money and power and loosely regulated financial markets as impeding the efficient allocation of economic resources. The pursuit of return without risk inevitably leads to the transfer of wealth through a failing banking system wh ... More


An Analysis of India’s Trade Intensity with Latin American and Caribbean Countries An Analysis of India’s Trade Intensity with Latin American and Caribbean Countries
Riti Srivastava, World Economics, June 2022
This article aims to establish a better trade relationship between India and Latin American and Caribbean countries, so they come closer, share common interests and find out means of enhancing bilateral trade as a result of bilateral negotiations. It presents Trade Inte ... More