Journal of Economics and Political Economy

Front Matter

EconSciences Contact — 2025-12-20

Front Matter

On the economic returns grom a global program of social capital: A Trillion Dollar agenda for growth

Steven H. KIM — 2025-12-20

For the economy to grow, the actors in the marketplace need to expand the overall output rather than jostle each other for bigger shares of the available output. To this end, the productivity level may be boosted through a comprehensive program of social capital. Based on the experience of the 20th century, the rich countries of the world could afford to commit US$1 trillion per year for a couple of decades. According to a compelling scenario, the total investment of $20 trillion in nominal terms will comprise $13.6 trillion in current dollars since the funds will be disbursed over time rather than spent at once. Based on conservative estimates, the present value of the benefits will exceed $3.39 quadrillion which represents a payback of 249 times the original investment. In this way, the windfall from a global program of social capital should far surpass the outlay required for its implementation.

Keywords. Economic growth; Social capital; Foreign aid; Emerging markets; Productivity.

JEL. E20; E60; O10; P00; Z10.

Impact of Pronaf on soybean production in Paraná and Rio Grande do Sul

Kamille Sousa de Oliveira — 2025-12-20

Este estudo analisou os efeitos da cobertura do Programa Nacional de Fortalecimento da Agricultura Familiar (Pronaf) sobre a produção de soja nos municípios do Paraná e do Rio Grande do Sul em 2022. Utilizando o método do Escore de Propensão Generalizado (GPS) com dados de nível municipal, a cobertura do Pronaf foi tratada como uma variável contínua para estimar a função dose-resposta. Os resultados mostram uma relação em forma de U invertido, o que significa que o acesso ao crédito inicialmente aumenta a produção de soja, mas os efeitos diminuem em níveis de cobertura mais altos, proporcionando um ponto ótimo de eficiência. Os contrastes regionais entre os estados destacam a necessidade de políticas territorialmente sensíveis e a integração do Pronaf com medidas complementares para aumentar a eficácia do programa.

The measurement of credit channel in the CEMAC Zone

Jean Luis EKOMANE — 2025-12-20

This article measures the credit channel’s parameters in monetary policy transmission in the CEMAC zone. Having highlighted the limitations of other channels with a theoretical and factual assessment, we check the effectiveness of bank credit channel through the autoregressive vectors’ method, using consolidated monetary and macroeconomic data from six countries in the Zone, from 1960 to 2012. It appears that credit channel is narrow. It has a low outflow and a depth-based credit as far as the private sector is concerned, while the GDP reacts with a two-year period following a monetary policy impulse.

Keywords. Credit channel measurement; Monetary policy; Autoregressive vectors; CEMAC.

JEL. E51; E52; E58; G32..

Fiscal Federalism and Diversity Accommodation in Multilevel States: A Comparative Outlook. By Francisco J.R. Caro & Alice Valdesalici

Scatt CARSON — 2025-12-20

This volume, part of the Federalism and Internal Conflicts series, examines the critical role of fiscal federalism in the constitutional design of multilevel states, particularly as a tool for accommodating diversity and resolving internal conflicts. The book argues that the financial arrangements between central and sub-national governments are key to the success of federal systems. The collection offers a comparative outlook on how different multilevel states—such as Canada, Australia, Spain, and the United Kingdom—utilize financial mechanisms like revenue sharing, equalization transfers, and sub-national taxing powers to manage territorial and cultural diversity. It explores the interplay between asymmetric arrangements and fiscal relations, recognizing that federalism itself is a mechanism for conflict resolution in contexts marked by ethnic, cultural, linguistic, and identity disputes. The overall aim is to assess the extent to which fiscal tools can support effective governance and political stability while addressing issues like secessionism, separatism, and power-sharing.

Keywords. Fiscal Federalism; Multilevel States; Asymmetric Arrangements; Internal Conflicts; Conflict Resolution; Comparative Federalism.

JEL. D74; H71; H72; H77; P52.

Conference Notes on the 2025 International Conference on Applied Economics and Political Economy (ICAEPE 2025)

ESL Editorial — 2025-12-20

The International Conference on Applied Economics and Political Economy (ICAEPE 2025), held in Vienna on May 14–17, 2025, brought together scholars, policymakers, development agencies, and research institutions working at the intersection of economics and political economy. The 2025 edition of the conference distinguished itself through its comprehensive analytical scope, strong empirical orientation, and its highly interdisciplinary engagement with global political-economic transformations. The conference published both an Abstract Book and a Proceedings Book, providing an extensive record of the empirical studies, conceptual debates, and policy dialogues presented over the four-day event. This set of conference notes synthesizes the key intellectual contributions, methodological innovations, and policy implications of ICAEPE 2025, highlighting sessions most relevant to Journal of Economics and Political Economy—particularly macroeconomic governance, institutional analysis, global economic restructuring, inequality, political institutions, geoeconomics, and public policy evaluation.

Keywords. Political Economy of Global Polycrisis; Macroeconomic Governance and Institutions; Geoeconomic Fragmentation and Trade Restructuring; State Capacity, Development, and Inequality; Economic Policy, Democracy, and Institutional Quality.

JEL. E02; F50; H60; O43; P16.