ISSN / EISSN : 1392-1258 / 1392-1258
Current Publisher: Vilnius University Press (10.15388)
Total articles ≅ 363
Latest articles in this journal
Ekonomika, Volume 99, pp 39-58; doi:10.15388/ekon.2020.2.3
This paper performs an empirical study on house loans, interest rates, unemployment, and house rent prices relationship in Germany, France, Spain and Italy from the year 2003 to 2018. We look for the cointegration and causality relationship between the house loans and macro variables with the help of the Vector error correction model (VECM) and Granger causality methods. We investigate whether variables with monthly data explain better the relationship and causal effects between the variables. We find a long term cointegrating relationship between the real house loans and interest rates, unemployment and house rent prices for France, Spain, and Italy, but not for Germany. On average the equilibrium in house loan development is reached from 4 to 8 years, meaning that long term equilibrium exists, but the variables reach it in a rather long time period. The ECB deposit facility rate included as an exogenous variable in four countries gained no significant power in explaining the short term changes of house loans in any of the country. We reveal a complex interaction between the bank’s credits and unemployment, interest rates, house rental prices in the paper.
Ekonomika, Volume 99, pp 59-75; doi:10.15388/ekon.2020.2.4
The aim of this research is to test the relation between institutional ownership and firm value. To accomplish this aim, data from 104 firms listed in the BIST (i.e. Borsa Istanbul) industrial index between 2006 and 2018 have been used. Studies on the structure of ownership have problems with endogeneity. In order to avoid these problems, this study adopted Durbin-Wu-Hausman test with advanced econometric techniques, Ordinary Least Squares (i.e. OLS), and Two-Stage Least Squares (i.e. 2SLS). As a result of the simultaneous equation system improved in this study, a positive relation between institutional ownership as an endogenous variable, and firm value has been located. Besides, it has been found that institutional investors are more interested in the firms that have a higher market performance.
Ekonomika, Volume 99, pp 76-91; doi:10.15388/ekon.2020.2.5
Financial instability, financial crises, and business frauds cause a loss of society confidence on firms. Similarly, the economic uncertainty increased as a result of the social problems, such as rapid consumption of natural resources, climate change, water scarcity, violation of human rights. For these reasons, the reliability and validity of the reports published by firms have been questioned. Firms make voluntary disclosures, such as environmental, social, sustainability, in order to overcome these problems and gain trust of investors. In this context, the purpose of this study is to explore the impact of information disclosure, including environmental disclosures, within the context of sustainability on the cost of equity (COE). At the same time, the study examines the effect of information disclosure on financial performance in terms of firm value and profitability. In doing so, the study employs BIST100 data of non-financial firms from 2010 to 2019, and uses panel regression models for Turkey. As a result, it was found that information disclosure negatively impacts the COE while positively affecting firm value and profitability.
Ekonomika, Volume 99, pp 92-103; doi:10.15388/ekon.2020.2.6
What are the economy sectors will help countries overcome the crisis caused by the COVID-19 pandemic? How countries should rezone their investment strategies to bolster recovery in main economy sectors? Using the Cobb-Douglas model, the importance of agriculture, energy, education, and ICT industries for GDP growth was proven. It was confirmed that agriculture and industry will be key sectors in the post-crisis period for Ukraine, Poland and Austria. During the time of economic uncertainty growth, ICT and e-commerce sectors are principal tools that will sustain the population’s well-being.
Ekonomika, Volume 99, pp 20-38; doi:10.15388/ekon.2020.2.2
Financial markets are complex systems. Network analysis is an innovative method for improving data sharing and knowledge discovery in financial data. Oriented weighted networks were created for the Shanghai Composite, S&P500, DAX30, CAC40, Nikkei225, FTSE100, IBEX35 indexes, for CNY-JPY, EUR-USD, GBP-EUR, RUB-CNY and for cryptocurrency BTC-USD. We considered data since January 6, 2006 to September 6, 2019. The complex networks had a similar structure for both types of markets, which was divided into the central part (core) and the outer one (loops). The emergence of such a structure reflects the fact that, for the most part, the stock and currency markets develop around some significant state of volatility, but occasionally anomalies occur when the states of volatility deviate from the core. Comparing the topology of evolutionary networks and the differences found for the stock and currency markets networks, we can conclude that stock markets are characterized by a greater variety of volatility patterns than currency ones. At the same time, the cryptocurrency market network showed a special mechanism of volatility evolution compared to the currency and stock market networks.
Ekonomika, Volume 99, pp 104-115; doi:10.15388/ekon.2020.2.7
The purpose of this study is to investigate the effects of the COVID-19 pandemic on economic policy uncertainty in the US and the UK. The impact of the increase in COVID-19 cases and deaths in the country and the increase in the number of cases and deaths outside the country may vary. To examine this, the study employs the bootstrap ARDL cointegration approach from March 8, 2020 to May 24, 2020. According to the bootstrap ARDL results, a long-run equilibrium relationship is confirmed for five out of the ten models. The long-term coefficients obtained from the ARDL models suggest that an increase in COVID-19 cases and deaths outside of the UK and the US has a significant effect on economic policy uncertainty. The US is more affected by the increase in the number of COVID-19 cases. The UK, on the other hand, is more negatively affected by the increase in the number of COVID-19 deaths outside the country than the increase in the number of cases. Moreover, another significant finding from the study demonstrates that COVID-19 is a factor of great uncertainty for both countries in the short-term.
Ekonomika, Volume 99, pp 6-19; doi:10.15388/ekon.2020.2.1
The article describes the features of the processes of economic convergence in the countries of Eastern Europe for the last 10 years. The analysis of β- and σ-convergence was carried out based on a system of macroeconomic indicators with 10 key parameters. The calculation of the direction and speed of convergence was performed using the econometric instruments in the region as a whole and pairwise analysis of the β-convergence index for all analyzed countries. The obtained results allowed to conclude the inequity development of Eastern European countries and the lack of a stable trend towards convergence of macroeconomic indicators. The resulting model is universal and can be applied to other world regions or to determine the processes of convergence of another system of macroeconomic indicators and choose main directions of reforming to bring national economies closer and achieve stronger external relations.
Ekonomika, Volume 85, pp 81-89; doi:10.15388/ekon.2009.0.5126
The paper The Economic culture of the Polish countryside in the Process of Changes – an outline of issues sets up a thesis that the transformation process has a multidimensional character and that its final effect is decided by an interaction between the organizational-institutional and mental-cultural level. Drawing attention to the cultural aspect increases the accuracy of the formulated diagnoses, explanations and prognoses. The author’s arguments are based on three elements. Firstly, she indicates the theoretical aspects of understanding the economic culture – the ways of defining and operation; secondly, she discusses the essential components of the traditional economic culture of the countryside, indicating the impact that the traditional value system has on contemporary economic attitudes and mentality. Thirdly, she points out how the changes connected with the transformation process exert an influence on modification of the crucial elements of this culture, adapting it to the requirements of contemporary world.
Ekonomika, Volume 99, pp 79-92; doi:10.15388/ekon.2020.1.5
Using quarterly data from 2006:Q1 to 2019:Q3 (55 observations), this paper examines 18 Eurozone macroeconomic variables that represent monetary policy, external and construction sectors’ performance, economic growth, investment, households’ earnings, inflation and assesses their impact on the performance of the European listed real estate companies and REITs. Empirical results demonstrate that the European listed real estate market is strongly influenced by the supply side: the construction sector and the inflation of producers’ prices; while the demand side is strongly affected by the expansionary monetary policy of ECB. Furthermore, some primary findings propose that US expansionary monetary policy shocks have an effect on the European listed real estate market. This conclusion demands further thorough research.
Ekonomika, Volume 99, pp 69-78; doi:10.15388/ekon.2020.1.4
A modern effective business model involves the use of an appropriate pricing strategy. However, not only a short-term profitability matters but also long-term clients’ loyalty. The main purpose of this paper is to present a specific transactional pricing strategy for a second-hand goods resale exchange platform, which allows to avoid possible negative outcomes of being associated with consumer discrimination. Using simulation modeling approach, it was shown how customer segmentation combined with transactional pricing can help to gain higher profitability. The model is based on the work of intelligent agents that recreate the full product lifecycle. Changing the input parameters of the model, it is possible to simulate different scenarios of a company’s activity and market conditions. The model supports the inclusion of any number of products, while its intelligent agents’ methods are still flexible to replace with other techniques. The simulation model has shown that the use of transactional pricing can increase the profitability of a business, while keeping its clients loyal.