IDEAS home Printed from https://ideas.repec.org/a/spr/apjors/v7y2023i3d10.1007_s41685-023-00281-y.html
   My bibliography  Save this article

Sustainable development of rural regions: metafrontier data envelopment analysis of hometown tax in municipality K

Author

Listed:
  • Jing Fu

    (Fukuoka Institute of Technology)

  • Hideyuki Fujii

    (Fukuoka Institute of Technology)

Abstract

Hometown tax is a unique system in Japan that allows people to donate to any municipality of their choice, and donors in turn receive tax benefits and reciprocal gifts under specific conditions. This system was initially introduced in 2008 for the revitalization and sustainable development of rural municipalities by reducing the tax revenue gaps with urban areas. To attract more donations, the competition over reciprocal gifts among municipalities has intensified in recent years. In 2019, the government issued strict regulations on the gifts to prevent municipalities from giving excessively high-value goods. Hence, most municipalities face pressures to review and adjust the gift lineup to maintain competitiveness and acquire stable independent tax revenue under the new regulations. This study selected municipality K as an example and utilized the metafrontier data envelopment analysis to obtain insights into the performance of various groups of reciprocal gifts and gift providers with different production frontiers. The cross-analysis of the metafrontier efficiencies, the group frontier efficiencies, and metatechnology ratios showed that: (1) the gift lineups of drinks, vegetables, fruits, rice, and tickets with relatively lower metafrontier efficiencies and metatechnology ratios need to be investigated and adjusted with higher priority; (2) providers of drinks & alcohol, vegetables & fruits, daily necessities & ornaments, and tickets performed poorer than other providers. Based on our analysis, we presented a comprehensive gift lineup adjustment proposal for municipality K that can also be taken as a reference analysis model for other municipalities.

Suggested Citation

  • Jing Fu & Hideyuki Fujii, 2023. "Sustainable development of rural regions: metafrontier data envelopment analysis of hometown tax in municipality K," Asia-Pacific Journal of Regional Science, Springer, vol. 7(3), pages 775-806, September.
    • Handle: RePEc:spr:apjors:v:7:y:2023:i:3:d:10.1007_s41685-023-00281-y
    DOI: 10.1007/s41685-023-00281-y
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s41685-023-00281-y
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s41685-023-00281-y?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Takaaki Hoda & Richard B. Dasher, 2021. "Local Tax Benefits at a Distance," SpringerBriefs in Economics, Springer, number 978-981-16-5138-0, June.
    2. Takaaki Hoda & Richard B. Dasher, 2021. "Effects of Fostering Local Businesses and Measures for Enhancing Business Capabilities: —Based on Case Studies on Hometown Tax Donation Gift Providers," SpringerBriefs in Economics, in: Local Tax Benefits at a Distance, chapter 0, pages 19-33, Springer.
    3. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    4. Christopher O’Donnell & D. Rao & George Battese, 2008. "Metafrontier frameworks for the study of firm-level efficiencies and technology ratios," Empirical Economics, Springer, vol. 34(2), pages 231-255, March.
    5. Yantuan Yu & Jianhuan Huang & Yanmin Shao, 2019. "The Sustainability Performance of Chinese Banks: A New Network Data Envelopment Analysis Approach and Panel Regression," Sustainability, MDPI, vol. 11(6), pages 1-25, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Liang-Han Ma & Jin-Chi Hsieh & Ying Li & Yung-Ho Chiu, 2021. "Evaluating Efficiency Change in Taiwan’s Financial Industry," SAGE Open, , vol. 11(2), pages 21582440211, April.
    2. Fang, Lei, 2022. "Measuring and decomposing group performance under centralized management," European Journal of Operational Research, Elsevier, vol. 297(3), pages 1006-1013.
    3. Silvia Saravia-Matus & T. S. Amjath-Babu & Sreejith Aravindakshan & Stefan Sieber & Jimmy A. Saravia & Sergio Gomez y Paloma, 2021. "Can Enhancing Efficiency Promote the Economic Viability of Smallholder Farmers? A Case of Sierra Leone," Sustainability, MDPI, vol. 13(8), pages 1-17, April.
    4. Yongqi Feng & Haolin Zhang & Yung-ho Chiu & Tzu-Han Chang, 2021. "Innovation efficiency and the impact of the institutional quality: a cross-country analysis using the two-stage meta-frontier dynamic network DEA model," Scientometrics, Springer;Akadémiai Kiadó, vol. 126(4), pages 3091-3129, April.
    5. Fogarasi, Jozsef & Latruffe, Laure, 2009. "Farm performance and support in Central and Western Europe: a comparison of Hungary and France," 83rd Annual Conference, March 30 - April 1, 2009, Dublin, Ireland 51053, Agricultural Economics Society.
    6. Tao Ding & Ya Chen & Huaqing Wu & Yuqi Wei, 2018. "Centralized fixed cost and resource allocation considering technology heterogeneity: a DEA approach," Annals of Operations Research, Springer, vol. 268(1), pages 497-511, September.
    7. Afsharian, Mohsen & Ahn, Heinz & Harms, Sören Guntram, 2019. "Performance comparison of management groups under centralised management," European Journal of Operational Research, Elsevier, vol. 278(3), pages 845-854.
    8. Camanho, Ana S. & Stumbriene, Dovile & Barbosa, Flávia & Jakaitiene, Audrone, 2023. "The assessment of performance trends and convergence in education and training systems of European countries," European Journal of Operational Research, Elsevier, vol. 305(1), pages 356-372.
    9. Yingying Shao & Gongbing Bi & Feng Yang & Qiong Xia, 2018. "Resource allocation for branch network system with considering heterogeneity based on DEA method," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 26(4), pages 1005-1025, December.
    10. Latruffe, Laure & Fogarasi, József & Desjeux, Yann, 2012. "Efficiency, productivity and technology comparison for farms in Central and Western Europe: The case of field crop and dairy farming in Hungary and France," Economic Systems, Elsevier, vol. 36(2), pages 264-278.
    11. DiMaria, charles-henri, 2024. "ESG principles: the limits to green benchmarking," MPRA Paper 120410, University Library of Munich, Germany, revised 2024.
    12. Wen-Chi Yang & Wen-Min Lu, 2023. "Achieving Net Zero—An Illustration of Carbon Emissions Reduction with A New Meta-Inverse DEA Approach," IJERPH, MDPI, vol. 20(5), pages 1-20, February.
    13. Wijesiri, Mahinda & Yaron, Jacob & Meoli, Michele, 2017. "Assessing the financial and outreach efficiency of microfinance institutions: Do age and size matter?," Journal of Multinational Financial Management, Elsevier, vol. 40(C), pages 63-76.
    14. Isabel Narbón-Perpiñá & Maria Teresa Balaguer-Coll & Diego Prior & Emili Tortosa-Ausina, 2021. "Searching for the optimal territorial structure: the case of Spanish provincial councils," Regional Studies, Taylor & Francis Journals, vol. 55(4), pages 645-664, April.
    15. Zhang, Ning & Zhao, Yu & Wang, Na, 2022. "Is China's energy policy effective for power plants? Evidence from the 12th Five-Year Plan energy saving targets," Energy Economics, Elsevier, vol. 112(C).
    16. Alda, Erik, 2019. "Does Size influence Jail Efficiency?: A Metafrontier analyisis of local Jails in the United States," MPRA Paper 91803, University Library of Munich, Germany.
    17. Barnabé Walheer, 2019. "Dynamic directional nonparametric profit efficiency analysis for a single decision-making unit: an aggregation approach," OR Spectrum: Quantitative Approaches in Management, Springer;Gesellschaft für Operations Research e.V., vol. 41(4), pages 1123-1149, December.
    18. Li, Ke & Lin, Boqiang, 2015. "The improvement gap in energy intensity: Analysis of China's thirty provincial regions using the improved DEA (data envelopment analysis) model," Energy, Elsevier, vol. 84(C), pages 589-599.
    19. Zhen Shi & Shijiong Qin & Yung-ho Chiu & Xiaoying Tan & Xiaoli Miao, 2021. "The impact of gross domestic product on the financing and investment efficiency of China’s commercial banks," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 7(1), pages 1-23, December.
    20. Fang-Rong Ren & Ze Tian & Yu-Ting Shen & Yung-Ho Chiu & Tai-Yu Lin, 2019. "Energy, CO 2 , and AQI Efficiency and Improvement of the Yangtze River Economic Belt," Energies, MDPI, vol. 12(4), pages 1-17, February.

    More about this item

    Keywords

    Metafrontier data envelopment analysis; Metafrontier technical efficiency; Group frontier technical efficiency; Metatechnology ratio; Hometown tax; Reciprocal gift lineup;
    All these keywords.

    JEL classification:

    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy
    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:apjors:v:7:y:2023:i:3:d:10.1007_s41685-023-00281-y. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.