Annex I and non-Annex I countries’productive performance revisited using a generalized directional distance function under a metafrontier framework: Is there any convergence-divergence pattern for technology gaps?

Countries rapid economic growth, energy consumption and anthropogenic emissions (GHGs) in the atmosphere are creating serious environmental problem on both global and local scales -. This is while compiled evidence about the relationship between climate change/global warming and the amount of GHG released is present (IEA, 2010). In advance, it is generally accepted that countries production processes, should seriously, take into account environmental sustainability principles and targets. In recent years, there have been a series of studies using a directional distance function dealing with environmental efficiency with the aim of measuring the ability of decision making units (i.e regions, firms, industries, countries) to produce more with less impact on the environment. A scarcity of empirical studies appears concerning the estimation of directional distance function under a metafrontier framework. In this paper we employ a balanced panel of 103 countries from 1995-2011 to shed light on the idiosyncratic performance of countries participating in two distinct different groups (Annex I and non-Annex I) using a generalized directional distance function independent of the direction vector length -. The non-parametric metafrontier framework - used in this study, as a first stage of analysis, is exploited to account for the heterogeneity between countries participating in our sample. In the second stage, a convergence-divergence hypothesis has been examined for the technology gaps estimated for each period. Our findings reveal significant patterns between countries’ individual performance

Too much EMU? An investigation of technology gaps.

Although European Single Market (ESM) has been widely perceived as a model for regional integration, there continues to be considerable debate about the impact of this integration on the EU regions. Studies in this field have mainly investigated the convergence-divergence issue, while the effect of ESM on regional performance has attracted few empirical studies. The non-parametric metafrontier framework used in this study, as a first stage of analysis, is exploited to account for the heterogeneity between the Italian regions in the whole period and in two distinct time periods before and after EMU implementation. In a second stage, using a partial least squares model, the technology gaps estimated for each period have been regressed, investigating possible factors that may have affected regional performance. Our findings reveal a significant improvement for the Italian regions since ESM implementation, a paradoxically unchanged behavior for efficiency performance in the Centre-North regions, and clear identification of specifically which regions performed better in terms of the technology gap. The inclusion of variables related to regional trade performance in the model indicates that trade balance is of major importance

Annex I and non-Annex I countries’productive performance revisited using a generalized directional distance function under a metafrontier framework: Is there any convergence-divergence pattern for technology gaps?

Countries rapid economic growth, energy consumption and anthropogenic emissions (GHGs) in the atmosphere are creating serious environmental problem on both global and local scales -. This is while compiled evidence about the relationship between climate change/global warming and the amount of GHG released is present (IEA, 2010). In advance, it is generally accepted that countries production processes, should seriously, take into account environmental sustainability principles and targets. In recent years, there have been a series of studies using a directional distance function dealing with environmental efficiency with the aim of measuring the ability of decision making units (i.e regions, firms, industries, countries) to produce more with less impact on the environment. A scarcity of empirical studies appears concerning the estimation of directional distance function under a metafrontier framework. In this paper we employ a balanced panel of 103 countries from 1995-2011 to shed light on the idiosyncratic performance of countries participating in two distinct different groups (Annex I and non-Annex I) using a generalized directional distance function independent of the direction vector length -. The non-parametric metafrontier framework - used in this study, as a first stage of analysis, is exploited to account for the heterogeneity between countries participating in our sample. In the second stage, a convergence-divergence hypothesis has been examined for the technology gaps estimated for each period. Our findings reveal significant patterns between countries’ individual performance

Estimating risk efficiency in MiddleEast banks before and after the crisis.A Metafrontier framework.

The aim of this study is two-fold. Firstly, it attempts to analyse the effect of risk on Middle East bank's efficiency levels before and after the recent financial crisis. Secondly, it seeks to determine the influence of bank size taking into consideration the possible inefficiency originated to risk abatement cost. To examine the aforementioned issues we introduce a risk efficiency index based on an output orientated directional distance function with weak and strong disposability assumptions. The methodology has been applied on a panel data of Middle East banks spanning the period 1998-2014.The empirical findings suggest that on average small banks are more efficient and their size have less negative impact on their technical efficiency and risk management. On the other hand, large banks' risk management is found to be more flexible during financial crisis. Finally, banks with higher fixed assets are associated with more costly dispose of non performing loans justifying the rejection of a positive relation between bank size and technical efficiency

Environmental and Financial Performance. Is there a win-win or a win-loss situation? Evidence from the Greek manufacturing

This study examines the causal linkage between environmental and financial performance in Greek manufacturing firms. Environmental performance is measured according to accounting data following the Eco Management and Auditing Scheme guidelines and ISO certification. Return on assets and return on sales are used as indicators of financial performance. Empirical findings suggest that there seems to be a link between these dimensions irrespectively of the particular sector of activity. Contrary to similar studies a “virtuous circle” does not exist as the avoidance of environmental improving investments is related to a better financial performance. On the other hand firms with superior financial performance seem to achieve a better environmental performance. At the same time firm specific and market characteristics significantly affect this relationship. These findings provide evidence that governmental and corporate actions are necessary in order to lead to a more sustainable corporate performance in the long ru

Estimating risk efficiency in MiddleEast banks before and after the crisis.A Metafrontier framework.

The aim of this study is two-fold. Firstly, it attempts to analyse the effect of risk on Middle East bank's efficiency levels before and after the recent financial crisis. Secondly, it seeks to determine the influence of bank size taking into consideration the possible inefficiency originated to risk abatement cost. To examine the aforementioned issues we introduce a risk efficiency index based on an output orientated directional distance function with weak and strong disposability assumptions. The methodology has been applied on a panel data of Middle East banks spanning the period 1998-2014.The empirical findings suggest that on average small banks are more efficient and their size have less negative impact on their technical efficiency and risk management. On the other hand, large banks' risk management is found to be more flexible during financial crisis. Finally, banks with higher fixed assets are associated with more costly dispose of non performing loans justifying the rejection of a positive relation between bank size and technical efficiency

Environmental and Financial Performance. Is there a win-win or a win-loss situation? Evidence from the Greek manufacturing

This study examines the causal linkage between environmental and financial performance in Greek manufacturing firms. Environmental performance is measured according to accounting data following the Eco Management and Auditing Scheme guidelines and ISO certification. Return on assets and return on sales are used as indicators of financial performance. Empirical findings suggest that there seems to be a link between these dimensions irrespectively of the particular sector of activity. Contrary to similar studies a “virtuous circle” does not exist as the avoidance of environmental improving investments is related to a better financial performance. On the other hand firms with superior financial performance seem to achieve a better environmental performance. At the same time firm specific and market characteristics significantly affect this relationship. These findings provide evidence that governmental and corporate actions are necessary in order to lead to a more sustainable corporate performance in the long ru

European Regional Productive Performance under a Metafrontier Framework. The role of patents and human capital on technology gap?

Assessing regional convergence is an important issue both at the national and at the supranational level, such as the level of European regions. Regional convergence and productivity growth are also principles of the European regional policy. This paper studies regional productivity convergence among 232 NUTS-2 European regions for the period 2003-2011. Despite the European regional policies implemented in the last two decades, the technology gap between European regions has only increased. The objective of this paper is to provide new evidence on production efficiency and the technology gap in European regions. We present a two-stage model of regional productive performance using a meta-frontier framework and a PVAR analysis. The main conclusion is that there exist significant differences in productive performance that confirm the North-South division in Europe. Finally, the results from the PVAR model provide robust evidence for the role played by human capital and innovation activity through patent realization in the technology gaps at the regional level in Europe

European Regional Productive Performance under a Metafrontier Framework. The role of patents and human capital on technology gap?

Assessing regional convergence is an important issue both at the national and at the supranational level, such as the level of European regions. Regional convergence and productivity growth are also principles of the European regional policy. This paper studies regional productivity convergence among 232 NUTS-2 European regions for the period 2003-2011. Despite the European regional policies implemented in the last two decades, the technology gap between European regions has only increased. The objective of this paper is to provide new evidence on production efficiency and the technology gap in European regions. We present a two-stage model of regional productive performance using a meta-frontier framework and a PVAR analysis. The main conclusion is that there exist significant differences in productive performance that confirm the North-South division in Europe. Finally, the results from the PVAR model provide robust evidence for the role played by human capital and innovation activity through patent realization in the technology gaps at the regional level in Europe

Are the Energy Efficiency Technologies efficient?

This paper investigates a rather neglected issue regarding the impact of Energy Efficiency Technologies (EETs) on firms' productive performance. Possible influences may arise in the context of internal cost of adjustment, learning by doing effects and the capital vintage. A unique dataset was used which has resulted from a survey carried out among a sample of Greek EET adopters in the manufacturing sector. An econometric framework based on nested non-neutral frontiers, was developed to estimate the influence and the decomposition of EETs on firms' productive performance. The empirical findings reveal that the EETs affect positively the firms' technical efficiency and negatively the deterministic part of the frontier. Significant variations among industries and size groups appear to be present. Some policy implications are derived based on the empirical evidence supporting a mix of energy and technology directions.Energy Efficient Technologies Productive efficiency Non-neutral frontiers