Institutions, Entrepreneurship and Channels to Sustained Economic Growth

In this paper, we build a simple model to integrate the findings and/or hypotheses in the diverse literatures related to economic development and growth. They include the literature on institutions attributed to Douglas North (1990), on entrepreneurs, innovations and technical progress attributed to Schumpeter (1934) and on the driving factors of economic growth in various theoretical and empirical contributions. The effort results in a comprehensive theory that is flexible enough to understand broad strategic lessons from diverse growth experiences across country and time. It is also specific enough to reveal the factors, channels, mechanism and the key to sustained economic growth.Institution, Entrepreneurship, Tools Variety, Technology, Economic Growth

Entrepreneurs, Sticky Competition and the Schumpeterian Cobb-Douglas Production Function

In this paper, we institute the role of entrepreneurs in technical progress and the mechanism of tools multiplication into the Cobb Douglas Production Function. After the advancements, the technology component in the function has technical meaning and is potentially observable. Unlimited technical progress becomes possible and automatic under sticky competitive markets. The coexistence of sustained growth, decline and stagnation across countries and time becomes obvious and the target of public policies for achieving sustained growth is also clear and precise.Entrepreneur, Sticky Competition, Cobb-Douglas Production Function, Endogenous Growth, Technical Progress, Tools Variety

International Human Trafficking: Theory and Solution

In this paper, we build a simple model to explain the choice of migration method and the root causes of international human trafficking (IHT). Our analyses result in several implications on the problems related to IHT. First, IHT is driven by poverty and international productivity/living quality disparities. Second, the existing humanitarian and/or suppressive approaches cannot solve the problem. Third, the best option for solving the problem is setting up the ‘reciprocal direct investment’ (RDI) scheme between leading and lagged economies.The RDI scheme can facilitate improvements in the quality of public governance in lagged economies and directly promote international competition, efficiency, trade liberalization and division of labor. The resulting convergence in global living quality at a higher level across nations will eliminate the root causes of illicit migrations.human trafficking, global development, income disparities

Rational Democracy:A Political System for Universal Interest

In this paper, we formulate a political system that can satisfy certain desirable characteristics that include democratic participation, serving for universal interest, public sector efficiency, and sustainable by incentive compatibility and virtuous cycles. The system comprises a set of rules and organizations that provide motivations and supports to the participants for enhancing universal interest. It is a political structure that serves the people, rules by rationality, strives for efficiency and is sustainable. They will drive the society toward harmony and rapid growth in the quality of life for all.Political System Design, Economic Development

Minimum Wage Legislation and Economic Growth: Channels and Effects

Despite decades of experience and research, the effects of minimum wage legislation (MWL) on long-run economic performance have rarely been studied since Stigler’s (1946) classic exposition about the shortcomings of MWL. In this study, we use a novel method to estimate the magnitude and transmission channels by which MWL affect productivity and GDP growth. Our results suggest that countries with MWL have a growth rate of about 20 to 30 percent lower than the sample mean. Although the initial impacts are small, in the ‘steady state’ where the marginal effect of the legislation years equals zero, a country will have a growth rate of about 30 to 38 percent lower than the average.minimum wage, GDP growth, private investment, government size, government investment, population growth

Trade Liberalization Sequence for Sustained Economic Growth

This paper delivers a simple model to generalize the successful trade liberalization experiences in East Asian countries as a strategy for attaining inclusive and sustained economic growth. The sequential approach, based on preserving existing production units while liberalizing export-oriented sectors, can be understood as a way to promote international interactions and learning by practice, to extend the limit of market and to introduce market incentive and pressure on all related agents for attaining dynamic efficiency. It provides a regular liberalization sequence to ignite and sustain economic growth for most lagged economies.Trade liberalization, Sustained economic growth

LaRC TPI 1500 series polymers

The crystallization behavior and the melt flow properties of two batches of 1500 series LaRC-TPI polymers from Mitsui Toatsu Chemicals (MTC) were investigated. The characterization methods include Differential Scanning Calorimetry, the x ray diffractography and the melt rheology. The as-received materials possess initial crystalline melting peak temperatures of 295 and 305 C, respectively. These materials are less readily recrystallizable at elevated temperatures when compared to other semicrystalline thermoplastics. For the samples annealed at temperatures below 330 C, a semicrystalline polymer can be obtained. On the other hand, a purely amorphous structure is realized in the samples annealed at temperatures above 330 C. Isothermal crystallization kinetics were studied by means of the simple Avrami equation. The viscoelastic properties at elevated temperatures below and above glass transition temperature of the polymers were measured. Information with regard to the molecule sizes and distributions in these polymers were also extracted from melt rheology

Productivity measurement and resource allocation in the operation of an electric utility

The simplest and, perhaps, most traditional definition of productivity, output divided by input, is still unchallengeable. This study deals with the productivity of an electric utility at the firm level, using the economic production function theory to construct multi-factor productivity (MFP) indexes. These MFP indexes, together with the partial factor productivity (PFP) indexes, can be used as managerial tools to identify the possible inefficient utilization of input resources. They also provide a rough overview of how well these input resources are being managed;In this study, output is defined as the sales of electricity to the ultimate customers and sales for resale. The input resources are capital, labor, fuel, purchased power and miscellaneous materials, which were aggregated by means of the methodology developed using their cost shares as weights. A case study of this productivity model was carried out for the period 1974-1979;A goal programming model, a technique of operations research, was also developed to allocate the input resources in an efficient and effective manner so that a certain percentage growth in productivity can be satisfied and the other objectives (goals) of the electric power system also be fully met. The productivity measures coupled with the goal programming technique are shown to be a very useful tool to assist management in making crucial decisions with respect to input resources in any electric utility company