Vol. 2008-29  
江戸と明治の製鉄技術 −明治の技術革新はいかに生じたのか−
長谷川 純一

途上国の長期的成長において技術変化が果たす役割が大きいが，どのように技術変化が起こるのかについては，未だ，明らかならざるところが多い。本稿では，日本の江戸期から明治期にかけての製鉄技術を取り上げ，技術変化がどのように起こったのか検証し，途上国の経済発展への示唆を考えてみたい。 そのため次の4点について分析する。第1に，江戸期において，西洋では製鉄技術が大きく変化したが，日本ではほとんど変化しなかった。これは，なぜか。第2に，江戸末期に複数の藩が反射炉の建設に挑戦するが，一部の藩では成功し，他では失敗している。成否を分けたのは，何か。第3に，明治期，官営製鉄所は，釜石と八幡に建設されるが，ともに，初期において大きな失敗をした。当時の計画と失敗の原因を検討することにより，技術変化の特徴について考察する。第4に，これら技術変化の特徴を，より一般化する形で，人的資本，知識水準，ローカリゼーション，試行錯誤の観点から整理する。特に，技術変化を促進する社会の制度について，議論を試みる。

Vol. 2008-28  
China’s Corporate Governance: What Is the Main Agency Problem? -The Governance Scandal of Mingxing Electric Power Co. Ltd.
Li Zhaoxia

This paper studies a case of corporate governance scandal of MXEP. The analysis shows that there was an institutional vacancy in MXEP corporate governance during the period. We find that the internal disciplining mechanism of two-board system was not effective especially when MXEP’s majority shareholder was the private group and the major reason of MXEP corporate governance failure was not caused by lack of autonomy inside the company, but short of checking and balancing power for its top management.By reviewing the process of China’s SOE reform as well as the major policies, I find that too much attention has been paid to decreasing government intervention while the constraining mechanism for manager’s power discretion has been relatively neglected in the reform course. This one sided focus on decreasing government intervention have made management discretion become the major agency problem of China’s corporate governance.There are two implications we may get from these analysis. The first one is that government intervention and the market internal logic may be complements rather than substitutes at least in current China’s condition. The second one is that the recent reform measures, including the implementation of revised laws as well as shareholding reform, cannot strengthen the monitoring role on top management in the perspective of internal governance. So we think that China should explore new way to improve the internal corporate governance for restricting on the authority abuse of top management.

Vol. 2008-27  
Infant industry protection revisited: The learning-by-exporting hypothesis when credit constraint matters
Kazuhiko Yokota; Akinori Tomohara

This paper develops a theoretical framework to study the policy implications of learning-byexporting. We introduce credit constraint into the learning-by-exporting model and discuss possible government intervention. The analysis shows that supporting a learning industry via an export subsidy improves social welfare when the economy maintains a balanced trade condition. However, infant industry protection is not necessarily justified if consumers can access to the international financial market. A learning sector’s goods could be overproduced (relative to another non-tradable sector goods) when consumers can borrow freely for their consumption. Social welfare will be improved once the government levies a tax on the production.

Vol. 2008-26  
Ethnic Mix and Economic Performance in Japanese Cities
Eui-Gak Hwang; Kazuhiko Yokota

This paper presents an examination of immigration and economic performance in majorJapanese cities. Panel data of large Japanese cities??the 13 largest cities??during 1984?2005 are analyzed. Traditional economic growth approaches from the literature and cultural diversity concepts reveal a positive relation between immigration into Japan and a city’s economic performance. These results are robust after controlling for endogeneity problems that often result from simultaneity bias. These are the first reported empirical findings showing that cultural interaction among different social values spurs economic growth of a city, even in a homogeneous society such as Japan’s.

Vol. 2008-25  
A Research on the Long Staying Mechanism of South Korean Enterprises in Shandong: An Empirical Analysis Based on Contract Duration Theory
Donghui Zhang; Jie Wang

Thanks to its good infrastructure and unique geographical position, Shandong becomes an ideal investment place to South Korean firms, among which many choose to have long staying in Shandong. This research shows that the intertwined factors of economics, enterprises’ traits, host governments and others produced the long staying mechanism. Parameters are estimated by using microeconomic data. The estimation results show that enterprises’ operation state, infrastructures, integrity levels, human resources and geographical positions have all played significant roles in affecting South Korean enterprises’ long staying in Shandong.

Vol. 2008-24  
The Strain Policy vs. the Sunshine Policy: Which will be a short-cut to Korean Reunification?
Eui-Gak Hwang

Korea has divided for more than sixty years since its liberation from Japan in 1945. Korea is the only country still in ideological conflict between the North and the South, while in the communist juche state in the North more than three millions have in recent years starved to death in spite of huge economic aids from its rich Southern brethren during the decade. The North leadership uses butter to produce guns. This paper argues which is a short-cut to reunification, the sunshine engagement policy and “malign neglect” policy, once the former has been proven a failure.

Vol. 2008-23  
グローバル経済時代における九州半導体装置・部材産業の発展
岸本　千佳司

本稿は，国内有数の半導体産業集積地でありながら，地方としての制約も有する九州エリアに注目し，九州における関連装置・部材産業の現状と発展の展望を，グローバル経済時代における地域・地方の産業振興戦略の観点から分析・検討することを課題とする。分析の結果，九州半導体装置・部材産業の大きな問題点として，戦略的機能（設計・開発，マーケティング等）の不足と国際リンケージの未発達が挙げられる。この内，戦略的機能の不足は，九州内の企業・拠点間での踏み込んだ提携・協力関係が生じ難く，有機的なネットワークを持つ産業クラスターとしての発展への制約に繋がっている。また，国際リンケージの未発達は，国内志向，それも関東等の国内先進地域志向の裏返しであり，戦略的機能（国際事業運営）の不足とも関連している。九州はしばしば，「東アジアへのゲートウェイ」という立地上の優位性を主張するが，単に地理的に近いのみで取引および知識・技術面でのリンケージはさほど展開していないとみられる。東アジアとのリンケージによる発展を目指すに当たって，以下の点を考慮すべきである。第1に，顧客として見る場合，日本と東アジア企業の志向の違い（関係構築の容易さ，取引の長期継続性，カスタマイズへの要求度，技術文化など）を考慮して取引のバランスを考える必要がある。第2に，サプライヤーや下請け・製造委託先として見る場合は，国内外のライバル企業が東アジアの地場サプライヤー等をうまく使いこなしコスト競争力をつけるような事態になる前に，それを積極的に開拓しレベルアップに協力するという戦略的動きも要求されよう。最後に，日本メーカーの競争優位を如何に保持していくかである。半導体装置・部材分野は，顧客との密接な交流を通じて「匠の技」を根気よく磨き上げ品質で勝負するという日本企業の得意な経営手法が通用し易い分野であるが，「匠の技」を支える団塊の世代が引退する時期に優位性が崩れる恐れもある。基盤技術・技能の訓練・継承を促進する制度の構築と人材面でのアジアとの協力も視野に入れる必要がある。

Vol. 2008-22  
Protection for Sale: Agenda-setting and Ratification in the Presence of Lobbying
Yeongkwan Song

One of the most prominent models in political economy literature concerning trade policy is Grossman and Helpman's (1994) "Protection for Sale" model. Along with its great merits, however, this model has three unrealistic features. First, it essentially assumes that lobby groups exercise full agenda-setting power. Second, lobby groups are represented as offering an entire schedule of contributions for all possible trade policy options. Finally, the model neglects the actual legislative processes of trade policy. In the U.S., trade policy is initiated by the executive branch of government and subject to ratification by the legislative branch under fast-tract authority. This paper develops a delegation model to address these limitations of Grossman and Helpman's model by incorporating the possibility that lobbying behavior may be influenced by the behavior of policymakers and by incorporating the institutional feature of trade policy. The main question that I want to address with this model is that, considering the influence of policymakers on the lobbying behavior through agenda-setting power as well as the influence of lobby groups on the behavior of policymakers through political contributions, what kind of trade policy will be proposed by the executive branch of government? Also, this paper shows that when free trade is not politically feasible, legislative bodies capture all the surplus that the policy generates even when executive bodies devise trade policy. This may provide an answer to the question of why the U.S. Congress voluntarily delegated tariff-setting authority to the president.

Vol. 2008-21  
A Close Look at the Urban Growth Sources in Japan, South Korea and China
Eui-Gak Hwang

This paper attempts to look into the urban growth sources of major cities in Japan, Korea, and China, using separate panel data of respective countries. Available data sets across cities as well as across countries are mutually incongruous and diversified so widely. Nevertheless, efforts are made to selectively choose useful data and thus to identify the marginal effects of theoretically relevant variables on the urban growth in each respective country. The panel data set (consisting of 13 cities and 20 years) of Japan is relatively “long and wide” as compared to the Korean panel (7 cities and 21 years) which is called “long and narrow”. The Chinese panel set is “short and wide” with 64 cross-sectional units and two-year time series observations. Accounting for the urban growth source analysis using each country’s panel may provide us with some understanding of divergent contributions of factors in each country. The growth source analysis if founded on reliable data can be also used for making quantitative projections of future growth, taking account of causal interrelations between the growth sources. The contributions of factor productivity growth, physical capital, human capital, private and government spending, intra competitiveness, and cultural (ethnic) diversity are analyzed to prove quite robustness for both Japan and South Korea but for somewhat suspicious Chinese date.

Vol. 2008-20  
R&D Partnerships and Capability of Innovation of Small and Medium-sized Firms in Zhongguancun, Beijing: The Power of Proximity
Nobuaki Hamaguchi; Yoshihiro Kameyama

We examine the impact of research partnerships on a firm’s own R&D capability along with the context of the importance of geographical proximity using original survey data obtained from small and medium-sized firms in Zhongguancun Science Park (ZSP). This study develops an analytical framework related to the impact of research partnerships on a firm’s R&D capability. Results show that research cooperation with universities and research institutes and small and medium-sized firms enhances the R&D capability of individual firms when the partners are located nearby, although distance has no significant effect on cooperation with large firms.

Vol. 2008-19  
Inter-Korean Economic Cooperation: The Need for Reciprocity -Does Lopsided Cooperation Continue to Soothe North’s Bluffing Mentality?-
Eui-Gak Hwang

This paper attempts to look into the inter-Korean economic cooperation and trade. It will first briefly review the political background and current status of the idiosyncratic determinants of the inter-Korean economic cooperation and trade, followed by its resultant impacts as well as policy suggestion for the future desirable directions. Over the last 20 years, the intra-trade has increased by about 90 times in its value from 20 million US dollars in 1989 to 1.8 billion US dollars in 2007. Since 1999, in particular, inter-Korean economic cooperation has greatly expanded. Its share of North Korean total trade (export plus import) accounted for 13 % in 1999, 26% in 2005 and greatly jumped to 61.2% in 2007. Such an increase is mostly due to increasing aids and investments from the South, while economic gap between the North and South is still widening and the North’s cliff-edge strategy has no signs yet to end. The increase in aids and investment from the South owes largely to both non-economic factors to help the deteriorating economy and appeasement policy to lure the bluffer into bright world. The success of such lopsided policy by the South is yet to be seen, but reciprocity principle would likely work better than free lunch type giving policy (chicken humanitarian policy) in insuring the autarchic North toward self-sustaining market economy.

Vol. 2008-18  
Spillovers and Linkages between Local and Foreign Plants in Thailand Manufacturing Industries
Kazuhiko Yokota

Two possible channels of technology spillover from MNEs to local firms are investigated: diffusion of technological knowledge in the same industry group, and the demand linkage effect where MNEs and local firms are vertically linked in the supply and demand for intermediate goods. Empirical results suggest that in the machinery industry, both spillover and linkage effects exist from MNEs to local suppliers while in resource-based industries, there are negative linkage effects. In resource-based industries, foreign plants are more likely to compete with local producers in the final goods market than the machinery industry. On the other hand, in machinery industries, when foreign plants increase their purchases, local suppliers make use of scale economies and increase productivity. In other words, the relationship between local and foreign plants is complemented.

Vol. 2008-17  
Lewis Growth Model and China’s Industrialization
Nazrul Islam; Kazuhiko Yokota

This paper examines China’s industrialization in the light of the Lewis growth model. It begins with a perusal of Lewis’ own writings and those of Fei and Ranis in order to clarify certain assumptions and predictions of the Lewis model. The paper then reviews previous applications of the Lewis model in studying industrialization in other countries, and notes the methodological problems that arise in this regard. In applying the Lewis model to study China’s industrialization, the paper focuses on the dynamic relationship between wage and marginal product of labor in the traditional sector. For this purpose, the paper estimates a production function for China’s agriculture sector using province level data and compares the estimated marginal product of labor with the corresponding wage of this sector. The results show that the marginal product has been increasing (from below) at a faster pace than the wage, as is predicted by the Lewis model. The results indicate that China as a whole is steadily moving toward the Lewis Turning Point.

Vol. 2008-16  
How Effective is the Renminbi Devaluation on China’s Trade Balance
Zhaoyong Zhang; Kiyotaka Sato

The objective of this study is to contribute to the current discussion on the Renminbi (RMB) exchange rate by providing new evidence on China’s exchange rate policy and the impacts of RMB devaluation/revaluation on China’s output and trade balance. For a rigorous empirical examination, this research constructs a vector autoregression (VAR) model and employs the most recent econometric techniques to identify if the Chinese economic system has become responsive to the changes in the exchange rate after about three decades reform. More specifically, we use a structural VAR technique to estimate impulse response functions and variance decompositions for China’s output and trade balance, and to determine how the fundamental macroeconomic shocks contribute to the fluctuations in the real exchange rate, and how output and trade account respond to the identified various shocks. This study will contribute to our better understanding of how far and how fast China’s reforms have transformed the economy to a market-oriented economy, and also the recent discussion on China’s exchange rate policy. It has important policy implications for the concerned economies.

Vol. 2008-15  
Are Koreans Ideological Victims Yet?
Eui-Gak Hwang

It has been more than sixty years since Korea gained her independence in 1945. But the division of the peninsula between the North’s communist system and the South’s capitalist system has led people ideologically split. In North Korea, today, many hungry people are “fighting for foods” while facing very oppressive dictatorial government. Most of adult people are members of the communist party, whether voluntary or not. They can not publicly criticize the Dear Leader, who is now running the regime at a hide in radiation-free underground stronghold near Pyongyang. In the South, thousands of stomach-full dissidents are out in the streets “fighting against foods”, namely the US beef imports, with red head bands and candle-lights in every hands. Whatever the cloak must be, it is a cover-up to turn over the right wing regime. People in both sides have been the victims of two alien conflicting ideologies for more than a half century. The resultant inflictions will fall eventually on Koreans, both ideological importers and blind followers.

Vol. 2008-14  
Who Gained Market Share in Indonesian Manufacturing?
Sadayuki Takii; Eric D. Ramstetter

This study first shows that the output of local plants fell from 68 percent of the total produced by Indonesia’s medium-large manufacturing plants in 1995 to 64 percent in 2005. Local plant shares also decreased in two-thirds of the 27 examined in this paper. Second, there was a weak tendency toward decreased producer concentration as Herfindahl indexes for both all plants and local plants fell in about half of the 27 industries decreased during the period. At the industry-level, there were relatively strong correlations between changes in local plant shares and the changes in concentration indicating that MNC entry and/or expansion may have led to increases in producer concentration in several industries after the crisis. Third, Spearman’s rank correlation coefficients for market shares among incumbents were generally high, indicating that rankings remained stable. Fourth, the industry-level correlation between TFP growth in local plants and Herfindahl indexes was very weak, indicating that producer concentration is not strongly correlated with TFP changes in local plants. Fifth, 2005 TFP levels were often weakly correlated with TFP and concentration, except the relatively strong tendency for incumbent plants changing into industries that were relatively concentrated in 1995 and for startups with large market shares in 2005 to have relatively high TFP in 2005. On the other hand, there was a very strong tendency for 1995 TFP levels to be highest in concentrated industries among large plants that closed during this period and among small plants with relatively large market shares in 1995.

Vol. 2008-13  
Producer Concentration and R&D Intensity in Taiwanese Manufacturing Sectors
Chikashi Kishimoto

This paper analyzes interactions between producer concentration and research and development (R&D) activities of Taiwanese firms at the industry level. The paper first documents how producer concentration has varied across manufacturing industries over the last 2 decades or so. Then, it provides the analysis of correlation between firm concentration ratios and R&D-sales ratios. Although in Schumpeter’s discussion, it is hypothesized that innovation increases with market concentration, a review of the empirical studies on this issue reveals that there are weak correlations between markets structure and innovative activities. The analysis of this paper also supports it, namely, clarifying that industrial concentration is not an independent and significant determinant of R&D intensity. In order to have a better understanding, it will be suggested that we might have to focus on the other factors such as the type of market demand, technological opportunity, and business model, the examination of which needs more accumulation of field researches as well as numerical analyses.

Vol. 2008-12  
東アジアにおける産業構造の変化とロジスティクスの研究−A Study of Changes in Industrial Structure and Logistics in East Asia Region−
井原　健雄; 石川　良文; 藤原　利久

本研究は、昨今の東アジアにおける産業構造の変化に着目して、その計量的把握に努めるとともに、国際貨物流動による相互依存関係の動向をとくにロジスティクスと関連づけて捉え、その機能と役割について考察したものである。とくに本研究では、変貌著しい東アジア地域の産業構造の変化を比較静学の手法により計量的に把握するとともに、国際物流の現況把握と将来動向等について詳細な実証分析を行っている。また、北部九州地域の港湾物流の比較優位性を、ただ単に東アジア地域への近接性というのではなく、韓国（例えば、釜山）や中国（例えば、上海）等の相対比較を通じて、客観的なデータによって顕在化することに努めた。したがって、本研究の最大の特色は、需要側と供給側の相互依存関係に着目した産業構造の変化に基づく物流動向の計量的な把握を試みるとともに、その結果に基づく特定地域（国際物流におけるロジスティクス機能の高度化が要請されている北部九州地域）における国内外の物流ネットワークにおける比較優位性を、広域的なフィールド調査と客観的なデータによって顕在化している点に求められる。

Vol. 2008-11  
頭脳流出から頭脳循環へ−中国のハイテク産業における帰国創業者の役割−
戴　二彪

1990 年代後半以降，中国経済の持続的な高成長，外資系企業の対中進出の急増，中国国内の知識産業（Knowledge-based economy）への注目，および政府の帰国促進・奨励政策の強化などにより，主に留学の形で中国から海外に移出した専門技術者の帰国人数は増加しつつある。本稿では，中国各地の留学生園区におけるベンチャー企業や，ナスダック（NASDAQ）に上場している中国企業に関する資料に基づいて，（1）帰国留学生の創業動向，（2）中国のハイテク産業の成長における帰国創業者の役割，（3）留学先別帰国創業者の活躍状況の差異について考察する。

Vol. 2008-10  
対中円借款と中国の開発政策−日本の政策、中国の政策−
長谷川　純一; Eric D. Ramstetter; 戴　二彪

日本の中国に対する経済協力は、1980年に開始され、2007年度を以って、経済協力の大半を占める円借款の供与が終了した。本論文では、28年間に及ぶ円借款が、それぞれの時期の日本政府および中国政府の政策と、どのような関わりをもって供与されたかを検証するものである。28年間の間に、中国の経済水準は大きく変化し、経済政策の内容も大きく変化している。また、日本側も、自国の政治と援助を取り巻く国際世論の状況に応じて、政策を変化させている。そこで、両国の政策変化が、円借款の供与にどのような影響をもたらしたのかを、検討した。円借款プロジェクトのセクター配分、地理的配分および量的変化を検討した結果、円借款の供与には、両国政府の政策的影響が強く表れていることがわかった。中国の経済成長ともなって変化している開発政策が、円借款のセクター配分・地理的配分に強く影響していることが確認された。日本政府の政策は、多くの時期において中国の開発政策を容認するものであったが、いくつかの点において、その独自の考えが、中国の意向とは異なって、反映されている時期があることがわかった。

Vol. 2008-09  
Regional Institutional Strength and FDI Location Choice in China: Implications for East Asian FDI Source Countries/Areas
Julan Du; Yi Lu; Zhigang Tao

Using an extensive data set on foreign invested enterprises (FIEs) in the Chinese mainland, we explore the role of regional economic institutions as well as other more traditional factors in determining the locational choice of foreign direct investment (FDI). In particular, we compare the sensitivities of FDI from six major source countries/areas (Hong Kong, Taiwan, US, EU, Japan and Korea) toward the variation in economic institutional strength across China’s regions. It is found that FIEs from the source countries/areas that are institutionally or culturally more remote from China exhibit a stronger aversion to regions with weaker economic institutions. Both the separate regression analysis for FDI from each major source country/area and the pooled regression analysis for FDI from all the six major source countries/areas lend support to this finding. Moreover, this pattern is more salient when FDI takes the form of fully-owned enterprises (FOEs) than when it takes the form of joint ventures (JVs).

Vol. 2008-08  
Does Korea Follow Japan in Foreign Aid? Relationships between Aid and Foreign Investment
Bokyeong Park; Hong Sik Lee

Korea, an emerging donor country, highly considers its economic relations to recipients when allocating its aid. Such practices were preceded by Japan before the 1990s. We expect those similar practices between the two countries will make resemblance in aid outcomes. On a macro level we show similarities in aid allocations by type, region, income, and sector. The similarities are ascertained also at a micro level by our statistical analysis on the relationships between aid and FDI. The analysis based on FDI gravity model and panel dynamic system GMM estimation shows that only aids from Korea and Japan create more inflow of FDI to their recipient developing countries. Those contrast with other donors’ aids which are not related to FDI or substitute for FDI.

Vol. 2008-07  
The Creation of Kunshan ICT Cluster
Tain-Jy Chen

In this paper, we look into the advantages that have contributed to the creation of Kunshan as an important ICT cluster in the world. One unique feature of Kunshan is that virtually all industries in the region have been transplanted from foreign countries, especially Taiwan. One obvious advantage of Kunshan is the availability of low-cost labor, which, however, is non-essential. Two essential advantages of Kunshan are its proximity to Shanghai, the industrial center of China, and its ability to create unique local institutions that allow the region to become a part of global production networks (GPN). Proximity to Shanghai allows the region to attract skilled labor, which is essential to the formation of a high-tech cluster, and to handle a large volume of trade in a speedy and flexible fashion, which characterizes the new methods of production in the ICT industry. Furthermore, Kunshan has created a unique set of local institutions which are loosely coupled with institutions in the rest of China, but are closely connected with international institutions that support the trans-boundary operations of GPN. This institutional design enables the poorly endowed Kunshan to leverage the Chinese resources to form alliances with foreign capital.

Vol. 2008-06  
Innovation, Productivity and Exports: Firm-Level Evidence from Malaysia
Cassey Lee

The objective of this paper is to empirically examine the relationship between innovation, productivity and trade intensity using firm-level data from the Malaysian manufacturing sector. Evidence from this paper suggest that exporters do have higher productivity levels compared to non-exporters. Regressions on production functions indicate that exporting may not necessarily be an important driver of productivity growth compared to capital and labour. Estimates from structural models show that the mechanisms by which exporting may influence productivity in Malaysia is one in which productivity gains are driven primarily by process innovation (rather than product innovation) which, in turn, is influenced by exporting through the decision to undertake R&D.

Vol. 2008-05  
Producer Concentration, Conglomerates, Foreign Ownership, and Import Protection: Thai Manufacturing Firms a Decade after the Crisis
Archanun Kohpaiboon; Eric D. Ramstetter

This paper first explains how production concentration, foreign ownership, and exporting have increased in most Thai manufacturing industries during the decade beginning in 1996, just before the economic crisis of 1997-1998. Second, it analyzes the determinants of changes in producer concentration at the industry level, highlighting the weak influence of majority-foreign ownership shares on these changes. It also shows how concentration tended to fall in industries with relatively high import protection, but this correlation was also weak. In contrast, there was a stronger tendency for concentration to rise in industries where shares of intra-industry conglomerates were relatively large in the initial year, although changes in conglomerate shares were not strongly correlated with changes in concentration. Third, incumbent firms, which were also among the largest firms in their respective industries in both years, had a strong tendency to be conglomerate members in both years, and a weak tendency to be majority-foreign owned in 1996, but not 2006. Exporting firms did not have a strong tendency to be among the largest firms, however. Firms that exited or entered samples of the largest firms between 1996 and 2006 did not have a strong tendency to be conglomerate members, majority-foreign owned, or exporters. Thus, potential market power was most common among incumbent conglomerate members and may have existed in some incumbent majority-foreign firms. However, foreign ownership and international trade activities generally had relatively weak effects on concentration and thus on potential market power.

Vol. 2008-04  
Productivity, Ownership, and Producer Concentration in Transition: Evidence from Vietnamese Manufacturing
Eric D. Ramstetter; Phan Minh Ngoc

This paper examines relationships between producer concentration, firm ownership, and productivity in Vietnam’s manufacturing enterprises in 2000, 2002, and 2004. Simple calculations indicate that multinational corporations (MNCs) and state-owned enterprises (SOEs) generally had substantially higher labor productivity and lower capital productivity than local, private firms. After controlling for the effects of factor intensities and producer concentration in samples of all manufacturing firms combined, total factor productivity differentials were negative for SOEs in 2000 and positive for MNCs in 2004, but statistically insignificant in other years. When eight broadly defined industry groups are distinguished, results varied markedly, however. SOE-private differentials were usually statistically negative in four industries, while MNC-private differentials were generally insignificant in six. Producer concentration and productivity were usually positively correlated in samples of all manufacturing firms but negatively significant correlations were more common than positively significant correlations at the industry level. Cross section estimates indicate that larger MNC and SOE presence was generally associated with higher productivity in private firms. However, fixed effects panel estimates, which examine the question of how SOE and MNC presence affected changes in private firm productivity over time, suggest that productivity in private firms tended to fall relatively rapidly in industries where SOEs were large, while MNC presence had no significant effect. Producer concentration also had no significant effect if all three years are combined, but varied effects in the two two-year combinations.

Vol. 2008-03  
Globalization, Productivity Changes, and Missing Middle in Indonesia’s Manufacturing Sectors
Kazuhiko Yokota

This paper analyzes the productivity growth, technical efficiency, and technological changes in Indonesia’s manufacturing sector. Using establishment-level industrial census, I showed the details of the productivity change, innovation, and catch-up performances of four sectors?apparel, general machinery, electric machinery, and motor vehicles. Then I identified the factors affecting the firms’ performance. The results showed that globalization matters for mainly large enterprises in the electrical machinery and motor vehicle industries while medium-sized enterprises are not deeply affected by trade and investment liberalization.

Vol. 2008-02  
Exploiting Bright Pearls Hidden in the Pandora’s Box of Japanese Urban Growth -Cities and Sources of Economic Growth-
Eui-Gak Hwang; Shoichi Yamashita; Kazuhiko Yokota

Japanese per capita national income had grown at the average rate of around 2.0% in the last two decades, while most of the 13th largest cities in our sample grew in the range of 2.04% (Osaka) to 3.43% (Tokyo) with only exceptions of Sendai(-0.03%), Kawasaki(1.02%) and Kitakyushu (1.56%). This paper attempts to look into the growth sources of the most advanced capitalistic but idiosyncratic Japanese society. Cross-urban data sets of Japan are put on the macro-anatomical table using both panel data of 13 largest cities covering 1994-2004 and time-series data of 10 cities for 1984-2004 plus one additional city Yokohama (1985-2005). Despite some mutually incongruous and diversified data sets for those cities over years, efforts for both congruent economic analysis and econometric experiments are made to identify the marginal effects of theoretically relevant key factors on the urban growth. Accounting for the urban growth and growth source analysis using Japanese urban data conforms fairly well to the conventional theory related to production function. One aspect of cultural diversity, namely the ethnic diversity partakes to produce statistically significant contribution to the growth of cities in Japan. But limited and internally inconsistent data of other important cultural factors such as religion, sports, and other cultural activities does not allow us to test their effects on urban growth, but future supplement of these data promises to be interesting path to explore further.

Vol. 2008-01  
インドネシアの社会経済調査と貧困ライン
本台　進

Susenas調査はサンプル世帯の世帯消費データを中心として収集されているため，貧困構造や所得格差の分析にとって利用価値は大きい。恒常所得仮説のもとでは，所得水準よりも消費水準のほうが個人や世帯の経済厚生の水準をより正確に反映している可能性が高いので，所得格差の分析にとって重要なデータとなる。また，この調査データで，教育による貧困削減効果や教育が所得格差に及ぼす影響の分析も可能となる。さらに，世帯構成員別の個人データが利用できることは，個人的特性と所得との関係を分析する際に非常に有効で，この調査のメリットとして大きい。すなわち本稿で示したように，この調査データを単純な集計分析をするだけでも，世帯主が農村で農業または商業セクターで就業し，彼等の教育レベルが小学校卒業以下の場合に，貧困世帯になる確率が著しく大きくなることが分かる。

ICSEAD Working Paper Series