Climate change is becoming a global crisis that can affect all aspects of human life on Earth, including the economy. So, protecting the environment and achieving sustainable development goals are now on the agenda of many governments. This article uses the Panel Smooth Transition Regression Model to test the role of information communication technology as a transition variable. In this research, it is investigated whether ICT can decouple the economic growth from the increase in pollution by changing the effect of productivity on CO2 emission. The goal is to show whether policymakers can use the development of the digital economy around the world to achieve better environmental and economic outcomes. This study was conducted on a global scale and data from 108 countries was used from 2003 to 2019. The results show that the co2 emission follows a PSTR model with ICT as a transition variable that changes the effect of total factor productivity on co2 emission in favor of the environment. ICT development will improve carbon efficiency and reduce climate change.

This paper investigates the threshold effects of business cycles on earnings quality for the period of 2005 to 2015, using Panel Smooth Transition Regression (PSTR) model as one of the most prominent regimeswitching models. For this end, accruals quality and earnings smoothing are used as measures of earnings quality, and sales growth as transition variable. The linearity test results indicate nonlinear relationship among variables under consideration. Moreover, considering one transition function and one threshold parameter, as a two regime model, is sufficient to specification the nonlinear relationship among variables. The results indicate that in the first regime, business cycles have a negative impact on both earnings smoothing and accruals quality, and beyond threshold value, in the second regime, the impact of business cycles is positive. Therefore business cycles have played an important role on the earnings quality.

This paper investigates the threshold effect of oil prices on bilateral trade balances in Iran and 14 main trading countries during 1992 - 2010 by using a Panel Smooth Transition Regression (PSTR) model. oil prices is selected as the variable of transition. The empirical results indicate a strong nonlinear relationship between the trade balance and dependent variables. The threshold value and transition parameter are -0.44 and 12.99 representing the average adjustment speed. Moreover, it is sufficient to consider one transition function by one threshold to estimate a nonlinear model. In the first regime, oil prices have a positive impact on the trade balance. This effect becomes negative when passing from the threshold value and in the second regime. The results suggest that by high levels of oil prices, the increases have a negative impact on bilateral trade balances indicating that the dependence of economy on oil should be reduced.

Achieving a high and stable economic growth rate is one of the important issues in each country. Influence of Inflation on Economic Growth has been examined from various perspectives in economic literature. These views, depending on the conditions of the global economy, have suggested different views on the impact of inflation on economic growth. Therefore, the purpose of this study is to investigate the threshold effect of inflation on the growth of developed and developing countries in the period 1995-2015. To do this review, has been used a panel smooth transition regression model (PSTR). Also, considering a transfer function with a threshold parameter representing a two-regime model is sufficient to specify the nonlinear relationship between the variables under consideration. Based on the results, the threshold for inflation for developed countries is 7. 99 and for developing countries is 12. 11. On the other hand, the slope parameter (transmission velocity) is also 3. 11 and 0. 22 in developed and developing countries, respectively. The results indicate that the inflation rate in both regimes (first and second regimes) has a negative effect on economic growth. While in developing countries, the variable inflation rate in the first-order diet has a positive effect and in the second-order diet has a negative effect on economic growth.

Reducing the emission of pollution, especially polluting gases, is one of the important goals of the world's energy and environmental policies. The purpose of this research is to investigate the effect of energy consumption structure on the emission of polluting gases in some countries of the world, including industrialized developed countries and developing countries. To meet this end, while using data for the period 1995 to 2019, a panel smooth transition regression (PSTR) was applied. In this paper, energy consumption structure, economic complexity index, urban population and the degree of openness of the economy considered as effective factors on the emission of polluting gases. The results of the linearity test confirm the existence of a non-linear relationship between the research variables. A transfer function with a threshold parameter that represents a two-regime model was considered to specify the non-linear relationship between model variables. The slope parameter (transmission speed) is equal to 3.1964. The results of the tests indicate that in both regimes (first and second) in industrialized and developed countries, the structure of energy consumption has a positive effect on the emission of polluting gases.

Introduction One of the economic problems in the developing countries is the debt problem. External debt occurs in the developing countries due to the elimination of the restrictions on the savings gap, the foreign exchange gap, and the fiscal gap in order to form the capitalto accelerate the economic growth (Karakoy et al., 2012, p.491).

The purpose of this study is to investigate The Threshold Effect of Economic Growth on the Relationship between Energy Consumption and environment Pollution in D8 Countries during the period 1990-2015. The panel smooth transition regression model (PSTR) is used for this purpose that is well proper for heterogeneous panel data. The Economic Growth used as the transition variable. The results show that there is a non-linear relationship between the explanatory variables and the dependent variable and relationship between energy consumption, population, Industry value added and co2 emissions indirectly is affected by Economic Growth. Estimated threshold value of transition variable is equal 8. 3418 and the slope parameter is equal 21. 4942 that contain only one transition function and only one threshold value. In the first regime, Energy consumption, population and Industry value added have a positive impact on co2 emissions. In the second regime that the amount of Economic Growth is greater than threshold value, positive impact of population on dependent variable has been intensified. In this regime the effect of Energy consumption and Industry value added on co2 emissions is positive but its impact is less than before.

Based on transaction cost theory, active management leads to a reduction in transaction costs and thus reduction in the distance between the bids and ask gap. On the contrary, based on the adverse selection hypothesis, when a group of shareholders has the advantage of information over another, there is an information asymmetric which in turn will reduce liquidity. This study is primarily aimed at testing the mentioned theories. Using a panel smooth transition regression model, as a new econometric technique, we examined the data to explore the asymmetric impact of blockholders ownership on liquidity in the 148 firms for the period 2009 to 2018 from TSE. Our empirical results strongly rejected the null hypothesis of linearity, and the test on inexistence of nonlinearity indicated a model with one transition function and two threshold parameters. The first regime (levels of blockholders ownership below 36. 1 percent) showed that liquidity increases with institutional ownership while the trend was reversed in the second regime (levels of blockholders ownership above 36. 1 percent). Blockholders are inherently good or bad for the capital market because their impact varies from diet to regimen, and it seems to be dependent on the percentage of ownership of blockholders and corporate characteristics.

In an economy system, government activities play a fundamental role in economic growth and development of countries, but increase these activities have a positive effect on economic growth until a certain threshold and from this threshold excessive increase in government activities not only have no positive effect on economic growth, but these activities are main barrier to growth. Including of these activities, can mention the government's capital expenditures and public debt. In this study, is tried to study the threshold effects and nonlinear government investment and public debt on GDP in two separate models during of 2000-2016 using of provincial data and Panel Smooth Transition Regression Model (PSTR). The results of linearity test show that there is a nonlinear relationship between variables. Also, the inclusion of a transfer function with a threshold parameter which is representing a two-regime model, is sufficient to determine the nonlinear relationship between variables. The results show that public debt and investment in first regime have a positive effect on GDP, but by crossing of threshold and entering to second regime, severity of this effect will be increased and negative. It seems, this result is due to the crowed-out effect on private sector and increase in public debt due to rising government spending and confirms Laffer curve hypothesis.