Theoretical and Applied Economics
No. 4 / 2024 (641), Winter
A simple model of online marketing, production, profit and growth
Visva-Bharati University, India
Labani Roy CHAKRABORTY
Visva-Bharati University, India
Alapan SANYAL
Visva-Bharati University, India
Abstract. We build an optimization model to decipher the effects of digitalization in trading or marketing. The basic model uses Cobb -Douglas production function to argue that a shift from offline to online may induce increase in profit and subsequent economic growth. The factor-intensity of trading has a role in this context. Additionally, night time utilization due to digitalization further strengthens our results. The extended model with a CES production function gives similar results. However, revenue and cost implications are not same in these two cases. Nevertheless, the essence of the basic results holds true even in a more generalized case.
Contents
Digitalization and innovation: a regional perspective on their interaction
Assessing the macroeconomic challenges in Romania after the economic and financial crisis
Green finance and innovation input: the promoters of carbon neutrality in China
A simple model of online marketing, production, profit and growth
The relationship of digital payments, macroeconomic variables, and banking stability in developing Asia
Modelling the relationship between inflation and uncertainty with existence of structural break: evidence from Azerbaijan
Analysis of the global energy resources evolution in the context of the population growth
Assessing the impact of energy and macroeconomic shocks on the Romanian economy: a Bayesian VAR approach
Two faces of the same coin: integrated perspectives of public and private debt on the effects of interdependence on financial stability
Institutional quality and sustainability: empirical study in 11 MENA countries
The effect of population ageing on savings: a time series analysis for Türkiye
Workplace economics – How does the Impostor Syndrome affect organisational output?
COVID-19 and the labour market: regional shifts of human capital working in technology and employment
Validity of the environmental Kuznets Curve in Bangladesh under the role of financial development
The impact of doing business indicators on economic growth in emerging market economies: a cross-sectional analysis
The essential role of U.S.-China tensions: a fresh insight into the gold market
The dispersion of poverty in some Romanian rural areas – good examples of rural localities with the lowest poverty rates
The stability and Growth Pact in Practice: inefficiencies of previous debt rules and the way forward
Leaders in disguise: power, perception, and paradox – economics and the fragile authority of politicians
Investigating the corporate debt and real investment nexus: dynamics and challenges in a shifting financial landscape
The hidden economy revealed: profiling informal workers through random forest classification
The impact of oil price shocks on economic growth in Algeria
The determinants of political instability: the role of mining resources
Quantitative easing and its implications for contingent convertible triggers: an analytical perspective