Asian-Pacific Economic Literature最新文献

This paper presents a revised version of the FH Gruen lecture by Professor Ross Garnaut at the Australian National University on 29 June 2022.

The use of trade credit as important short-term financing for firms is increasing. This study explores the differential impact of firm earnings management on trade credit financing under different motives, using A-share listed firms in China from 2009 to 2020. The results show that accrued and real earnings management reduce a firm's trade credit. On the other hand, the classification shifting earnings management increases a firm's trade credit. Accrued and real earnings management are opportunistically motivated, while classification shifting earnings management is non-opportunistically motivated. Moreover, external audits weaken the negative effect of accrued and real earnings management on trade credit and enhance the positive effect of classification shifting earnings management on trade credit, indicating the ‘bilateral matching effect’ between external audits and firms. Finally, financing constraints weaken the impact of earnings management on trade credit.

This study examines the gender wage gap, to explore whether a glass ceiling (large unexplained wage gaps in the upper percentiles) or sticky floor (large unexplained wage gaps in the lower percentiles) exists in the wage distribution of the most educated Koreans. This study focuses on seeking these distributional patterns for a theoretically homogeneous gender group, relying on a smaller dataset of PhD holders. Counterfactual methods combining recentered influence function decomposition with propensity score matching allow us to estimate how the wage gap between statistically similarly matched males and females, varies across the unconditional wage distribution. There is evidence of a strong sticky floor and a limited glass ceiling among Korean PhD holders. Results show that a negative relationship between a high level of education and the gender wage gap cannot be taken for granted, at least in South Korea. Even female PhD holders suffer from gender discrimination, especially when they are at the bottom end of the wage distribution.

Prior studies have typically concentrated on poverty status to determine anti-poverty measures; however, this approach cannot sufficiently detect income heterogeneity. This study employs quantile regression for panel data to investigate the Korean Labour and Income Panel Study 2003–2020. Moreover, it adopts both household- and community-level variables and separates demographic groups as working-age and older adults, considering Korea's severe old-age poverty. The findings indicate that household-level characteristics, such as householder's gender, physical health, and employment status, present heterogeneous effects across the income distribution. Second, low-income households are more vulnerable to regional economic and labour market downturns than high-income neighbours. Lastly, although the National Pension, a backbone of the public pension system, provides limited supports for retirees because it was introduced much later than other countries, it assists low-income old adults more effectively. Therefore, this study suggests more tailored redistribution measures, considering heterogeneous effects of household- and community-level environments, and a further expansion of the National Pension to mitigate old-age poverty.

This study examines the impact of world oil price shocks on macroeconomic variables in Vietnam with a focus on the transmission channel of domestic oil prices. The Structural Vector Autoregression model with two blocks of real economy variables and monetary variables is employed. The world oil price follows an autoregressive process to reflect the exogenous nature of world oil price shocks to the domestic economy. The retail domestic oil price is determined simultaneously by only the world oil price due to the government's control of the domestic oil market. Using monthly data in the period between 2009 and 2021, the study indicates that a positive shock to world oil prices will increase the domestic oil prices significantly, industrial production (slightly and only statistically significant in the third month after), and inflation (significantly in 8 months). Besides, the domestic oil price is not the only transmission channel of world oil price shocks to the economy. This result implies forecasting, assessing, and controlling the impact of the world oil price shock on the economy should focus on both domestic oil prices and other indirect channels.

This paper aims to analyse how employment and wages change when a firm's trade status is altered. Using a detailed firm-level dataset of Vietnamese manufacturing enterprises, the study finds that how firms trade matters for firm employment and wages in Vietnam. The average effect of one-way trading (exporting or importing) is positive for both firms' total employment and female employment. Direct trading activities are associated with a higher level of employment than indirect trading activities by firms. The female employment effect of direct exports is nearly three times higher than direct imports. Indirect imports hurt firms' total employment and female employment. Both direct and indirect two-way traders experience higher growth in firm employment than direct-only traders. However, it is interesting to note that indirect two-way trading activities have a positive impact on female employment. Furthermore, the commencement of direct import is also associated with greater labour cost advantage.