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Abstract Reasonable assessment of the environmental benefits of integrating forest products into global value chains (GVCs) is important to promote sustainable development. Based on the forest product sector data for 41 countries from 2002 to 2014, this paper explores the impact of GVC participation on carbon embodied in exports using the 2008 financial crisis, a quasi-natural experiment of negative global value chain shocks. We found that deepening backward participation in forest product value chains led to more substantial increases in carbon emissions than did forward participation. Countries with large decreases in GVC participation reduced more carbon embodied in forest product exports after the financial crisis (relative to countries with small decreases) through a larger reduction in the scale of forest product exports, and a decrease in the growth rate of capital-intensive products as a result of the relative decline in capital investment. They increased the embodied carbon of exports through a decrease in the growth rate of skilled personnel. Strengthening the technology effect of GVCs with the guidance of skilled forestry personnel is a key way to decrease exported embodied carbon.

This article describes the process of business activity organization on the regional level and possible influence that external factors cause on it. It is stated that in the years 2010-2016 the number of economic entities in Ukraine has slightly decreased. It is concluded that the share of all the types of enterprises is similar in Ukraine comparing with the EU averages, although there is a significant deviation in the indices of businesses by 10 thousand population which in Ukraine are less than the average for EU countries. In the process of researching the state of development of business activity and the problems of SME development are being indicated. The problems include the following: lack of business support programs at the national level; inconsistency of bank lending to the requirements of business (high interest rates); insufficient infrastructure to support business; unsatisfactory state of vocational training; lack of seed capital for business creation; lack of working capital for business development. It’s concluded that the business model of any business activity plays the role of a template in the process of creation and operation of business in the certain circumstances. It also is an important step in the strategic planning, which includes an overview of future business that in turn affects the evaluation of the main keys of success of the enterprise and determines its growth. The model of business creation is relatively based on resource approach, which is concentrated on the resources and capabilities of the enterprise and is the most important for determining strategic actions. In the perfect circumstances the resources for business activity are meant to become the part of the process of business creation and development. They may be helpful not only as route map of the project implementing but also as its main part. The issue of developing the set of measures that provide the specific tasks of development and activity of small and medium enterprises at the regional level that will ensure efficient use of any information and implementation of scientific approach in business was further developed. The measures mentioned include: implementing the support of entrepreneurship; microcredit funding of the SMEs; increasing the number of small and medium-sized businesses in the production and others. The article also states that business is entirely dependent on the state system concept. The set of measures that provide specific tasks of development and activity of small and medium enterprises (stimulation of entrepreneurship, attracting business in the IT sector, the promotion of export-oriented businesses) should not only solve the economic problems of the country and the region but social issues as well: providing more working places and supporting the small business in the regions. The research and conclusions gained in this article may be used as the theoretical and practical material for government in order to support the SMEs and for entrepreneurs who intend to start their own business.

Actual importance of research theme: Combating hunger and providing the Earth’s population with sufficient amount of products is considered one of the strategic priorities of human civilization sustainable development by the UN up to 2030. The rapid growth of this planet’s human population in the 21st century, estimated at 7.6. billion people, leads to the global demand for production and foodstuff. Simultaneously, traditional strategies of extensive development conventional in the 20th century and “target” intensification of agriculture do not take expected positive effect nowadays. World economy requires for new strategies of agricultural production, as well as promoting ‘green revolution’ based on the ground of IT technology advances and “Industry 4.0.”. The generalization of world experience concerning development and implementing agricultural production strategies in the 21st century is of greater theoretical and practical importance for all countries which export agricultural production in mass scales, including Ukraine which focuses on the leadership in the world agricultural business. Thus, the urgency of the issue confirms the actual importance of this article. The problem statement. Foodstuff output in world economy is growing slowly and does not meet the increasing demand for food and agricultural products in industry in global scales. Under these conditions the manufacturers of agricultural products like farmers, agro-businesses and agro-holdings, as well as transnational corporation alter and modify agricultural strategies that were conventional in the 20th century. Among the new strategies transition to precision farming and innovational agriculture based on implementing IT technologies takes the leading role. The core and socio-economic consequences of such strategy implementation require further study. Analysis of latest studies and publication. The important contribution to the study of the core and dimensions of agricultural production strategies linked to innovation and investment development as well as to improvement property relations is made by such Ukrainian scholars as P. Makarenko, V. Pilyavskiy [1] and O. Shul’ga [2]. Foreign scientists like Smaller, C., andW. Speller, withH. Mirza, N. Bernasconi-Osterwalder, andG. Dixie [3] paid the specific attention to the study of strategic priorities concerning risks minimization and profit maximization by agro-businesses and TNC within the realization of agricultural contracts at world markets. Overseas researchers KeatingB., HerreroM., CarberryP. [4] emphasized on actual importance of compliance with strategy of foodstuff security in global environment in their studies. However, the issue of developing the strategy of precise agricultural production based on widespread use of innovation and IT technologies, research into socio-economic consequences accompanying their implementation in the 21st century remains poorly studied. Research challenge of general issue. The issue of studies the core and elements of agricultural production development process in world economy is highlighted in world economic literature pretty well. Nevertheless, the study of TNCs and agricultural businesses strategies and strategies concerning transition of TNCs to the development of precise agriculture is really meaningful. Besides, at present time the trends of direct foreign investments as for agricultural lands purchase and priorities analysis of their use by TNCs in developed and developing world countries are uncertain. Socio economic consequences of mass precise agriculture introduction for national economy in countries with agrarian specialization also require detailed researching. Problem statement, objective of research. The objective of research is to highlight the core and define the regularity of formation, as well as emphasize the basic expected socio-economic consequences of precise agriculture development strategy implementing on the grounds of generalization the world experience of agricultural TNC sactivity. To achieve the objective set the article aimed at solution the following tasks: to note the main ‘players’ at the world agricultural market and study the priorities of their economic activity; to study the core and the elements of ‘green revolution’ strategy, as well as strategy of transition to precise agricultural production based on implementing innovations and IT technologies; to define strategic goals of TNCs as for the use of acquiring land ( at the cost of direct foreign investments) on the grounds of generalization developed and developing countries experience; to point out the expected socio-economic consequences of mass implementation of precise agricultural production strategies by TNCs and national agro-businesses for the economy of the countries specialized in agriculture. Method and methodology of the study. While studying the world experience of implementation the precise agricultural production development strategies theoretical and empirical methods of scientific research were employed. Historical and logical methods, abstract and specific methods, methods of analysis and synthesis, as well as causal (cause-and-effect) method were applied in the article to define strategic priorities of agricultural business and agricultural TNC specialization, to point out expected socio-economic consequences of mass transition to precise agricultural production in the countries with agrarian specialization. Synergetic approach, method of expert estimates and casual methods were applied to ground “green revolution” strategy, as well as strategy of TNCs as for transition to precise agriculture based on innovations and IT technologies. The results of study. Agricultural production is presented by farmers, households, state agricultural sector, national agro-businesses and agro-holdings, international TNCs. As a rule, farms are focused on domestic market; they specialize in production of minor parties of manual crop production and horticulture, grow vegetables, fruit and berries, as well as they are engaged in poultry farming, beekeeping, dairy production, stockbreeding in rather small scales. The farmers in developed world countries, particularly EU countries, concentrate on organic production which is of high demand among middle-class representatives. In EU countries farming is traditionally supported by the state, as it bears both economic and social valuable functions, i.e. assists in rural development and creates workplaces in countryside. The main stakeholders at the mass agricultural market in the world are considered large national and international agro-holdings an TNCs specialized in agricultural production and its industrial processing. TNCs shaped the closed loop – from selection to agricultural production, from its processing to its manufacturing. At the cost of large production scales, as well as capital concentration and centralization it is the agricultural TNCs which leads in production and export of foodstuffs at world markets. TNCs ‘ leadership at world agriculture markets is grounded on ‘green revolution’ strategy implementing, which consists of such elements as innovations, bio-selection to produce performance breed, intensive growth in crop productivity, including the one using GMO which makes cropping insensitive to water shortage, high temperatures and droughts. Agrarian TNCs in the 21st century actively implement the strategies of transition to precise agriculture based on the use of innovations and IT technologies. As the world experience confirms, strategies of transition to precise agriculture combine the following innovations: astronaut and aviation technologies, unmanned technologies, unmanned aerial vehicles; mass transition to the use of apparatus to analyze the ground online; spreading of “agro-scouting” innovation technologies as for field information gathering concerning the condition and development of agriculture; implementation intellectual system of managerial decision-making support; introduction of monitoring and control auto-system and implementation of IT-system as for account of agriculture process elements. The development of precise agriculture for national world economies which are agriculture-based offers a lot of benefits, such as: increase in labor productivity in agriculture; the decrease in employment that saves working capital of agro-businesses; industrialization and technical renovation of agrarian sector which promotes the market for IT products, precise machine building; increase in commerce and export potential of the country, mainly, in the sphere of monostructural crop production (grain, corn, soya, raps, oilseeds etc.). Such strategies also provide revitalization of direct foreign investment processes by TNCsconcerning purchasing farmland in the developing countries with their further listing as raw materials supplier for TNCs. The latter shape and control international links of production value added to all kinds of agricultural products. Among the risks which implementation of precise agriculture strategies bear for national developing country’s economy which are agriculture-based the following should be mentioned: risks concerning decrease in farms and decline in production of labor-intensive small-scale agriculture products (vegetables, fruit, honey etc.); risks of jobs recession and, respectively, the number of rural population and others. There are also other risks linked to these processes like risks of growing volumes of ready foodstuffs import, chronic scarcity of state budget and increase in internal debt, enhancing migration processes etc. In case of falling world prices for foodstuffs and worsening global conditions for agriculture products, including agrarian raw materials, in particular, due to another world economic crisis, the abandonment of occasional farmland purchased by TNCs in developing agrarian countries, their further freezing and ceasing the processing for better times should not be excluded. Under such circumstances the risks of famine for countries which could lose the managerial control over own land resources are also a threatening exercise as for implementing such TNC strategy. The field of results application. International economic relations and world economy, development of agriculture competitive strategies in world countries and agrarian TNCs in world economy. Conclusions. Farms, agro-businesses, agro-holdings and agrarian TNCs are the economic centres of mass agriculture production in all world countries. Farms are mainly specialized in labour-intensive small-scale agriculture production like horticulture, gardening, bee-keeping etc. Large agro-businesses and agrarian TNCs choose the strategy of specializing in mass monostructural agriculture production such as crop production (grain, corn, soya beans and industrial crops). In developed world countries TNCs apply the strategy of farmlands multi-purpose use, including the goals aimed at development and processing livestock and crop production; at development of renewable energy and bio-energy. In developed world countries TNCs focus on processing all kinds of agriculture products and foodstuffs production with high value added. Purchasing of farmlands by TNCs in developing countries, in particular, at the cost of direct foreign investment, provides for implementation the strategy of purchased lands engagement, mainly, to develop crop production as a raw basis for their further processing in the native countries for TNCs. The general world trend of agrarian TNCs development is use of innovation technologies, transition to precise agriculture based on IT technologies, aviation and astronautic technologies, unmanned aerial vehicles and other innovations which positively impact labor productivity and mass industrial production profitability, as well as choose transition to monostructural agrarian specialization as a priority, but bear a set of social risks for developing countries’ economies. Transition of Ukrainian agro-businesses and agro-holdings to the strategy of precise agriculture development based on innovations and IT technologies provides Ukraine’s competitiveness at the world agrarian markets. This process should go hand-in-hand with land reform taking into account Ukrainian farming interests. Establishing industrial processing of agriculture raw products and production of ready foodstuffs with high value added should be strategic for Ukraine.

Introduction. The problem of Ukraine's economic development in modern conditions is directly related to the implementation of the Ukraine–European Union Association Agreement, so the national economy is facing new opportunities and challenges, including the lack of effective mechanisms to restrict timber exports. The research aimed at assessing the effectiveness of the export bans to the EU. Aim and tasks. The aim of the paper is to study the mechanisms of regulation of the timber market and their export to the EU. Results. The impact of the imposed moratorium on the declared goals is analyzed in the paper. Analyzed statistics show no effect moratorium on the reduction of deforestation and halt exports of unprocessed timber. It is also impossible to make a clear conclusion about the positive impact of the moratorium on the supply of raw materials of domestic enterprises woodworking and furniture industries. However, within the structure of Ukrainian exports, the share of products of woodworking and furniture industries has increased. This was due to the reduction of Ukrainian export volumes against the background of increasing the share of exports of timber and wood products, as well as the resumption of sales of the furniture industry. Conclusions. A study of the ban on raw wood showed that in general, the effect of the moratorium imposed is not obvious, since the number of woodworking enterprises has increased and the level of employment in these sectors has increased. Ukraine requires the adoption of a comprehensive targeted program that would combine measures to develop both the woodworking and forest industries. The national interest of Ukraine is the preservation and restoration of forests, and the moratorium introduced is an example of how partial, fragmentary unsystematic decisions are made. The practical significance of the results allows to analyze existing and find new alternative export balance, ensuring equal opportunities and non-discrimination between domestic and European Union market.

Abstract This study employs a parametric input distance function that incorporates both desirable and undesirable outputs to provide a more complete representation of the production technology from which environmentally sensitive productivity and efficiency measures can be generated. This framework also generates pollution abatement cost estimates that are useful for policy making. An input-based Malmquist index of productivity growth that appropriately credits the producer not only for increases in marketable or desirable outputs but also for the production of improved environmental quality through pollution abatement activities is derived from the input distance function. The method was applied to time series data from the Canadian pulp and paper industry. Our shadow price estimates indicate that the marginal cost to producers of pollution control has been rising. The main conclusion of this study is that productivity improvement, from the social viewpoint, has been stronger than conventional measures would suggest.

Abstract The article proves the necessity and expediency of using financial leasing by extractive industry enterprises to minimize the cost of purchasing, using, maintaining equipment and maintaining production capacity. Foreign and domestic financial leasing practices analyzed and their direct impact on the development of the country’s economy is determined. Financial leasing will become more accessible and understandable for enterprises of different sectors of the economy after the entry into force of the Law of Ukraine “On Financial Leasing”. The analysis of the value of the concluded financial leasing agreements by sectors of the economy carried out and their basic tendencies defined. It is determined that the volume of concluded financial leasing agreements by extractive industry enterprises has a small share in comparison with other branches of economy. The analysis of the effectiveness of structural changes confirm the low demand for financial leasing by extractive industry enterprises. It is determined that the use of financial leasing by extractive industry enterprises will expand existing production, introduce the latest technologies, minimize costs for the purchase, use, maintenance and upgrade of equipment and means of production.

Abstract The transportation sector is a major user of oil-based energy. Even as oil prices continue to fluctuate greatly, the impact of oil price changes on transportation firms has heretofore not been adequately examined. This paper fills this gap, documenting important new findings based on analysis of over two decades of daily data on large changes in oil prices (oil price shocks). First, while transportation firm returns are influenced negatively by oil price increases, risks are increased more by oil price declines. Second, firm characteristics are important with the market-to-book ratio being the most important firm characteristic, and ROA, firm size, and the prior run up in prices are also important in influencing oil price related returns, betas, variances, and trading volumes. Third, in the S&P transportation sub-sector, industry concentration is negatively related to returns, oil price risk, and trading volume, and asymmetrically related to returns and market betas. These new findings enhance our understanding of the asset price impact of oil price shocks and should be of much interest to scholars, corporate executives, money managers, regulators, and policy makers.

Abstract The 2014–2015 dramatic drop in world oil prices had devastating impacts on a global scale. We analyse economic costs and impacts of a negative oil price shock following the 2014–2015 decrease in oil prices on the provincial economy of Newfoundland and Labrador, Canada. We use a Dynamic Computable General Equilibrium model to estimate a drop in oil prices by inputting the estimated effect as a direct impact to royalties, which are the land input in the oil and gas sector of the provincial economy. We provide sensitivity to account for the duration and magnitude of the shock, as well as the timing of recovery. Our results suggest that a shock in the price of oil will have its most significant impact on GDP in the initial years. Over the first five years, the reduction in GDP due to this shock would be roughly 2.1% of GDP in our most realistic shock scenario, but could be much higher in other scenarios considered. A sharp drop in GDP over the first five years will be mitigated somewhat in the long run as the growth in oil prices rises; however, negative long run impacts to GDP persist due to the oil price shock in 2014–2015, and will worsen if there is a prolonged shock.

Two kinds of disparities pervade China and threaten its well-being. The first, regional disparities focus on levels of economic development, which vary considerably across China. The second is largely a corollary of the first, referring to mismatch in energy supply and demand, with some places suffering severe shortages while others are blessed with significant surpluses. Western China enjoys the dubious distinction of recording the country's lowest levels of economic development while, paradoxically, being blessed with plentiful reserves of energy and non-energy minerals. Turning those surplus resources to good account through transferring them to minerals and energy-hungry Eastern China is seen by policy-makers as something of a panacea. Not only will such a strategy significantly boost Western China's economic prospects, but it will eliminate the resource shortages currently constraining the East's vibrant growth. The issues of regional disparities, energy mismatches and transfers of these resources are discussed, with attention given to both spatial and time perspectives. The paper concludes with a cautious endorsement of the policy initiatives that promote the strategy of mineral transfers.