Institutions and Economies 2024-07-01T00:00:00+08:00 Institutions and Economies Open Journal Systems <div align="justify"> <p>Institutions and Economies is a peer reviewed journal published by the Faculty of Business and Economics (formerly Faculty of Economics and Administration), University of Malaya. The journal is published four times a year, in January, April, July and October. The journal publishes research articles <strong>(excluding systematic literature review)</strong> and book reviews. Only original research articles that are not under consideration by other publishers are welcome. Special issues are also welcome but interested special issue editors must submit a proposal to the Editor-In-Chief for consideration. The journal is indexed in SCOPUS, IDEAS, MYCite, ECONPapers, ASEAN Citation Index (ACI), EBSCO and Asian Digital Library. Institutions and Economies is a recipient of the CREAM Award 2016 by the Ministry of Higher Education Malaysia.</p> <p>Print ISSN: 2232 - 1640<br />E - ISSN: 2232 - 1349 </p> <p> </p> <p><strong>Peer Review Statement </strong></p> <p><strong><em>All research articles in the journal have undergone rigorous peer review. The process consists of an initial screening by the</em> <em>Editor-In-Chief, Deputy Editor and</em><em> Associate Editors, followed by double-blind refereeing: two reviewers for articles. Articles in special issues go through double-blind refereeing and one internal review by the Editorial Board. </em></strong></p> <p><strong><br />IMPORTANT ANNOUNCEMENT</strong></p> <p>There will be a <strong>publication fee of USD100/- for accepted papers only (papers that have undergone the double-blind review process)</strong> to partially cover the expenses of copy editing of accepted manuscripts. <strong>Payment of the publication fee should only be made after acceptance of a manuscript.</strong> </p> <p><strong>Note: Submissions from 1/1/2024 and that have been accepted for publication after the double-blind review process will be subject to a publication fee of RM500/-.</strong></p> <p>The detailed information of the payment process can be seen <a href="">here</a>. Payment of the publication fee can be done at this <a href="">website</a>.</p> <p> </p> </div> <div class="SnapLinksContainer" style="margin-left: 0px; margin-top: 0px; display: none;"> <div class="SL_SelectionRect"> <div class="SL_SelectionLabel" style="right: 2px; bottom: 2px;">0 Links</div> </div> <!-- Used for easily cloning the properly namespaced rect --></div> <div class="SnapLinksContainer" style="margin-left: 0px; margin-top: 0px; display: none;"> <div class="SL_SelectionRect"> </div> <!-- Used for easily cloning the properly namespaced rect --></div> Governance and Economic Growth: The Mediating Role of FDI Inflows 2024-06-27T11:38:48+08:00 Dani Rahman Hakim Saksono Budi <p>Abstract: Many studies have attempted to examine the effect of governance on<br>economic growth. However, these studies reveal heterogeneities that make it difficult to<br>implement policy. This current study attempts to fill these gaps by employing foreign<br>direct investment (FDI) inflows as a mediating variable. This study employs balanced<br>panel data for the 10 Association of Southeast Asian Nations (ASEAN) between the<br>period of 2000 to 2021. Based on the mediation framework in a random effect model,<br>this study reveals that political stability (PV) and government effectiveness (GE) affect<br>FDI positively. Moreover, this study finds that FDI can mediate the indirect effect of<br>PV and GE on economic growth. However, this study also reveals that the direct effect<br>of GE on economic growth is negative. This implies that ASEAN countries should be<br>practical, effective, and systematic in improving GE to minimise opportunity costs. On<br>the other hand, ASEAN countries should focus on maintaining PV to attract more FDI<br>and encourage economic growth.</p> 2024-07-01T00:00:00+08:00 Copyright (c) 2024 Zakat and Socio-Economic Impact: The Role of Local Government and Zakat Institutions 2024-06-27T11:53:18+08:00 Umar Al-Haddad Agung Maulana Rifaldi Majid Muh. Fudhail Rahman <p>Abstract: This study aims to solve research questions on whether support for zakat<br>institutions (ZIs) from regional governments in the East Java province of Indonesia<br>affects the social and economic conditions of the region. The authors observed 11 samples<br>of cities and districts in East Java over the last three years (2019 to 2021). Thirty-three<br>research data were processed using panel data regression techniques with a fixed-effects<br>model approach. Data was obtained from the National Zakat Institution (Baznas). The<br>results show that financial support from the local government budget (RREB) and<br>through zakat regulations of the regional governments in East Java have a positive<br>effect on GRDP and a significant negative effect on the Gini index. In addition, zakat<br>distribution activities in East Java have also been shown to have a significant positive<br>and negative effect on GRDP growth and the Gini index. This study also provides<br>recommendations to the local government of East Java and zakat stakeholders in<br>synergising to build a better regional ZI system to support the regional economy.</p> 2024-07-01T00:00:00+08:00 Copyright (c) 2024 Access Barriers for Marine Products Exporters in Andhra Pradesh 2024-06-27T11:59:04+08:00 K. Vijaya Sekhar T. Durga Prasad A. Irin Sutha G. Jitendra N. Visalakshi <p>Abstract: The current study examines the barriers faced by marine product exporters<br>in Andhra Pradesh, India. These are categorised into infrastructural, operational,<br>human resource, financial, raw material, general, and exporting process barriers. The<br>present study is descriptive in nature, and surveys 115 marine exporters from Andhra<br>Pradesh. Cronbach’s alpha and factor analysis are used to assess the reliability of the<br>questionnaires and indicate a good reliability score between the variables. Following that,<br>we used a single-factor Analysis of Variance (ANOVA) test to determine the significance<br>of the variables. Finally, the findings show that infrastructural, general, and exporting<br>process barriers have a positive significant relationship with export performance, whereas<br>human resource, financial, raw material and operational barriers have a negative<br>significant relationship. This study can be beneficial to state and central governments<br>by increasing foreign reserves and tax revenue, increasing employment opportunities,<br>expanding the global market, properly utilising natural resources, and improving banks’<br>financial schemes.</p> 2024-07-01T00:00:00+08:00 Copyright (c) 2024 Impact of Global Value Chains on the Performance of Moroccan Exports: Sector Analysis with Economic Dependencies 2024-06-27T12:08:16+08:00 Abdelkarim Jabri Jaafari Islam Zenansi Mourad <p>Abstract: The last few decades have been marked by profound changes in international<br>trade, which is increasingly organised around global value chains. Theoretical and<br>empirical research shows the benefits associated with increasing participation in global<br>value chains (GVCs) for both developed and developing countries. However, empirical<br>studies on the effects of backward and forward participation in GVCs for the specific case<br>of a country remain limited. This article seeks to examine whether Morocco’s backward<br>and forward participation in GVCs improves the performance of its exports over the<br>period of 1995 to 2018 using different cointegration techniques in panel data. Our<br>empirical results show that forward and backward participation positively impact exports<br>and domestic value added in Moroccan exports. They also indicate that domestic and<br>foreign service inputs contribute positively to this performance. Based on the obtained<br>results, we propose some recommendations for policymakers.</p> 2024-07-01T00:00:00+08:00 Copyright (c) 2024 Economic Crisis Treatment Based on Artificial Intelligence 2024-06-27T12:12:59+08:00 Mohamed F. Abd El-Aal <p>Abstract: There are many possible causes of an economic crisis—a financial downturn,<br>a banking meltdown, political strife (e.g., the Russia-Ukraine war), or a health-related<br>catastrophe (e.g., Covid-19). Some of these crises are expected, while others are “bolts<br>from the sky.” However, what is certain is that all these crises, whatever their cause,<br>have a negative impact on global gross domestic product (GDP). If we can identify the<br>components of output that have the most impact in an economic crisis, we might be able<br>to mitigate its effects. Therefore, this paper uses machine learning algorithms to determine<br>how the components of expenditure and sectoral value-added approach impact global<br>GDP. The gradient boosting algorithm is the most accurate model for predicting and<br>determining the impact of independent variables on a dependent variable. The results<br>indicate that government spending has the largest effect on global GDP, accounting for<br>68.3% of the impact. The economic sector with the most impact on global GDP is the<br>service sector, which affects global output by 42.3%, followed by the agricultural sector<br>at 30.2%. Thus, stimulating government spending and the service sector may reduce the<br>negative effects of an economic crisis.</p> 2024-07-01T00:00:00+08:00 Copyright (c) 2024