Niigata Institute of Technology Repository
Not a member yet
5446 research outputs found
Sort by
Monetary Theory of Macro Accounting for Supply Chain Finance
No full textWe present a monetary theory where money is taken primarily as a medium of debt repayment and not as a medium of exchange. Money and products are exchanged in reciprocal contracts of disposals of property rights within two-sided obligation contracts. Money demand arises because production takes time and producers need to pay suppliers of resources before they are paid at markets for their products. Accordingly, money is part of monetary systems of macro accounting for supply chain finance where producers are exchanging their products for money in order to repay loans of investments. We take advantage of two legal principles of separation and abstraction in order to clarify the concepts of obligations, debts, claims, disposals, property rights or money. Monetary systems exist to organise the division of labour at the micro level of economies. At the meso level of banking money helps to organise the sharing of risks from investments. At the macro level monetary systems help to distribute the product of the common productive effort (GDP). We analyse macro (aka quadruple accounting) systems composed as parallel bookings in one or more micro (aka double) accounting systems of the agents exchanging products and money in networks of obligations created by contracts. We use the Bill of Exchange (BoE) as the financial instrument to unify views on paper, gold and fractional monetary systems and to understand how to book money creation at central banks. We propose to keep track of invariances of accounting systems over micro, meso and macro levels of economies by sheaf theory and homology theory to detect and resolve inconsistencies as the mathematical foundation of monetary policy. We discuss open games as an implementation technology for monetary macro accounting (MoMa) systems in reduced form (Markov) models and for the analysis of data for a structural analysis by models of belief formation or multi-agent systems. We also discuss industrial applications of our monetary theory
SME Financing – How to Bridge the Persistent Demand Supply Gap?
No full textIndia's micro, small, and medium enterprises (MSMEs) serve as a critical engine of employment and economic growth, yet they face persistent credit gaps, particularly among unincorporated and high-growth micro-enterprises known as Hired Worker Enterprises (HWEs). Existing interventions have saturated the microcredit market without generating proportional employment or income gains, primarily due to the structural mismatch between rigid, fixed-installment loan products and the fluctuating cashflows of small enterprises. This paper critiques the current MSME financing architecture, analyzing the limited employment impact of microfinance loans and the rising delinquency rates. It then proposes an alternative model of cashflow-based credit, wherein repayment obligations dynamically adjust to enterprise revenues, reducing default risk while supporting sustainable growth. Drawing on action research pilots and policy experiments in India, we outline the design of scalable, risk-mitigated cashflow financing instruments, including revenue-linked repayments and micro-equity components, tailored to the realities of small business operations. We estimate that such reforms could unlock ₹15 lakh crore in responsible credit and facilitate 10 crore jobs without imposing fiscal burdens on the government
Exploring N₂O Emissions at World Level: Advanced Econometric and Machine Learning Approaches in the ESG Context
No full textThe paper examines nitrous oxide (N₂O) emissions from an Environmental, Social, and Governance (ESG) standpoint with a combination of econometric and machine learning specifications to uncover global trends and policy implications. Results show the overwhelming effect of ESG factors on emissions, with intricate interdependencies between economic growth, resource productivity, and environmental policy. Econometric specifications identify forest degradation, energy intensity, and income inequality as the most significant determinants of N₂O emissions, which are in need of policy attention. Machine learning enhances predictive power insofar as emission drivers and country-specific trends are identifiable. Through the integration of panel data techniques and state-of-the-art clustering algorithms, the paper generates a highly differentiated picture of emission trends, separating country groups by ESG performance. The findings of the study are that while developed nations have better energy efficiency and environmental governance, they remain significant contributors to N₂O emissions due to intensive industry and agriculture. Meanwhile, developing economies with energy intensity have structural impediments to emissions mitigation. The paper also identifies the contribution of regulatory quality in emission abatement in that the quality of governance is found to be linked with better environmental performance. ESG-based finance instruments, such as green bonds and impact investing, also promote sustainable economic transition. The findings have the further implications of additional arguments for mainstreaming sustainability in economic planning, developing ESG frameworks to underpin climate targets
From Crisis to Opportunity: Advancing Solar Energy in Lebanon Through Effective Policymaking
No full textLebanon faces an enduring energy crisis, characterized by persistent electricity shortages and an overreliance on polluting self-generation methods, particularly in urban areas like Beirut. Despite the lack of proper policy support, solar electricity adoption has increased significantly since 2020. This rise is driven primarily by the widespread distrust in the public utility and government, reduced costs, and growing public awareness of pollution and health concerns. This policy brief proposes reducing import red tape measures and exempting solar panels and related accessories from customs and VAT taxes. This initiative aims to encourage the adoption of renewable energy solutions, reduce pollution, and alleviate the electricity supply crisis, thereby contributing to a more sustainable and resilient energy future for Lebanon. Additionally, the brief addresses issues of equity and the just transition to renewables, ensuring that the benefits of solar energy are accessible to all segments of society, particularly vulnerable populations. By implementing these measures, Lebanon can promote an inclusive and fair energy transition, enhancing the quality of life for its citizens and mitigating the environmental impact of its energy consumption
Trade-off in energy policy: Evidence from a best-worst discrete choice experiment
No full textThis study addresses the critical issue of climate change awareness in Pakistan by evaluating the Pakistani citizens’ willingness to adopt energy reforms to reduce CO2 emissions. Using best-worst scaling, we examined five key attributes important for reforming the Pakistan energy policy: CO2 emission reduction, energy independence, employment impact, transition time, and changes in energy price. The findings reveal a strong preference for reducing CO2 emissions, enhancing energy independence, increasing employment, and accelerating policy implementation. Meanwhile, Pakistan residents revealed concerns about potential increases in energy bills. The analysis showed that male, urban, educated, full-time employed, middle-aged (35-44), married individuals with children, high-income, and environmentally conscious respondents were more willing to trade-off for CO2 reduction. In contrast, apprehension about potential job losses and higher energy bills was prevalent across all subgroups. The study recommends diversifying energy sources, including nuclear and hydro-energy, as a strategic approach to balance environmental goals with economic stability in Pakistan. These insights into public energy policy preferences can inform policymakers and researchers in similar developing countries of sustainable energy strategies
Secular Stagnation and Income Redistribution Policy: A Long-Run Kaleckian Approach
No full textThis study investigates how the income redistribution policy affects economic growth, employment, income distribution, income inequality, and asset inequality in the context of "secular stagnation." The income redistribution policy is defined as one that imposes capital taxation on capitalists and redistributes it to workers. For this purpose, we construct a Kaleckian model in which, in addition to capitalists, workers own capital stock through savings. Depending on the relative size of workers' and capitalists' saving rates, we obtain the Pasinetti equilibrium, in which both classes coexist, and the dual equilibrium, in which only workers own capital stock, whereas capitalists do not. In the Pasinetti equilibrium, raising the tax rate for capitalists drives an increase in workers' assets and income shares. Simultaneously, economic growth and employment rates increase when the short-run equilibrium is wage-led growth whereas they decrease when the short-run equilibrium is profit-led growth. Hence, the income redistribution policy is effective in reducing inequality and promoting economic growth and employment when the short-run equilibrium is wage-led
Leveraging Firm Entry Policy to Drive Innovation, Growth, and Reduce Income Inequality, in the Presence of Entry Threats and Rent-Seeking
No full textThis paper presents an analytical model that investigates the dynamics of rent-seeking, innovation, and entry policies in a two-sector economy characterized by skilled and unskilled labor. The model explores how incumbent firms in an intermediate goods sector react to the threat of new entrants and how rent-seeking behavior influences innovation and economic productivity. A key feature of the model is the role of a policymaker who sets firm entry policies and responds to bribes offered by incumbent firms seeking to restrict market entry.
The analysis distinguishes between advanced and backward incumbent firms. Advanced firms, which operate at the frontier of technological productivity, choose to innovate to retain their competitive position in response to entry threats. In contrast, backward firms face higher barriers to innovation and are more likely to bribe policymakers to deter new competition. The magnitude of the bribes depends on the difference in profits with and without entry threats, as well as the costs of innovation.
The model highlights how rent-seeking by backward firms distorts market competition, leading to suboptimal innovation and lower aggregate productivity in the skilled sector. Policymakers, balancing between maximizing bribes and addressing wage inequality, face conflicting incentives. If a policymaker prioritizes welfare, they may restrict entry to reduce wage inequality, thereby lowering competitive pressures and innovation. Alternatively, a policymaker focused on maximizing bribes may encourage higher entry threats, fostering innovation but exacerbating income inequality.
This paper contributes to the literature on rent-seeking and economic growth by providing a nuanced understanding of how firm behavior, entry policies, and innovation are interlinked, with important implications for labor markets and income inequality. The model provides insights into the broader economic consequences of rent-seeking behavior and entry regulation, emphasizing the need for balanced policies that encourage innovation while minimizing economic distortions caused by rent-seeking activities
Gouvernance du cobalt et pouvoir stratégique : une analyse intertemporelle hamiltonienne de la suspension des exportations en RDC
No full textIn a context of sustained price decline and heightened volatility in the global cobalt market, the Democratic Republic of the Congo (DRC),the world’s leading producer, suspended its cobalt exports in February 2025. This decision aimed to recalibrate international prices, reinforce mineral sovereignty, and initiate a structural transformation of the domestic value chain. Against this backdrop, the objective of this article is to assess the economic sustainability of such a strategy by employing a dynamic framework of intertemporal trade-offs between short-term losses and long-term gains. The adopted methodology relies on a rigorous analytical model grounded in the Hamiltonian formalism, allowing the modeling of economic flows weighted by the policymaker’s time preference factor. The findings suggest that while the suspension generates a negative welfare balance in the short term, a favorable reversal remains attainable in the medium term, provided that local transformation, institutional reforms, and bilateral cooperation are rapidly activated. Accordingly, it is recommended that the DRC adopt a strategy of patient statecraft, characterized by a low discount rate, accelerate the implementation of industrial reforms such as local refining and supply chain traceability, establish a contract-based governance framework through structured dialogue between the state and mining operators, and formalize a bilateral partnership with Indonesia to exert coordinated influence on global pricing. In this perspective, cobalt must no longer be viewed as a mere strategic commodity, but rather as a sovereignty lever to be governed intertemporally through coherent and forward-looking economic policy
Too hard to decarbonize: Insights from a decision support tool for the Greek maritime operations
No full textThe Greek maritime sector, one of the largest in the world, faces multiple economic, environmental and development challenges, requiring careful long-term investment decisions. In this paper we present the application of a free, open-source Investment Decision Support tool we have developed, the MaritimeGCH, applied for the Greek fleet. We quantify the effect of two main interventions for a cost-effective carbon abatement, under the recent EU environmental regulations: the implementation of mature on-ship emission reduction technologies and transition scenarios to cleaner fuels. While significant emissions are achievable, even ambitious interventions fall short of fully decarbonizing the sector by 2050. This suggests that a more unified set of policy solutions are needed to achieve the national commitments
How the Liberation Day Announcement is Shaping the Global Trade Order: From Free Trade to Fair Trade Agreements
No full textIt may be assumed that all of the United States’ trading partners were impacted by the recent “Liberation Day” announcement – an announcement which constitutes “two distinct tariff actions” – as will be highlighted in this paper. However, despite previous concerns of being targeted by their free trade agreement (FTA) partner, Canada and Mexico – as would have been or should be expected, have been exempted from the tariff imposition.
As well as addressing factors which have contributed to the shift from free trade to increasingly and predominantly protectionist stances and most likely, fair trade practices, this paper is aimed at highlighting and explaining the rationales behind the recent historical developments – as well as highlighting those factors that have triggered the build up to the Liberation Day Announcement of the 2nd April 2025.
It is remarked that “Trump’s reciprocal tariff doctrine, holds foreign countries accountable”. Against this backdrop of discontent with World Trade Organisation’s dispute resolution mechanisms, which will be further elaborated on, in the paper, the immediate and possible long term impacts of the Announcement, will be considered.
As well as exploring the reasons for recent developments – by way of reference to historical developments and data, the paper also considers the underlying frameworks governing the calculations of recent tariff rates and hikes. Whilst there are arguments regarding the validity of such calculations, or whether the current scenario justifies the basis for implementing “national emergency measures”, what can be regarded as an emergency response can be determined through a consideration of underlying and contributory factors.
If negotiations, and more specifically, bilateral negotiations, take place as hoped, between those countries impacted by the Liberation Day Announcement, financial stability across global markets is expected to be restored. However, if retaliatory measures follow – with an escalation of trade wars, possible repercussions should be cause for concern. The global trading system is still recovering from the recent crisis which was largely uncontrollable – hence, it is more likely (and hoped) that the recent market turbulence and volatilities will be short term