Social and Behavioral Sciences Commons^™

Struggling Recovery And Economic Policy Uncertainty: Testimony Before The Joint Revenue Hearing, House And Senate Ways And Means Committees, Massachusetts State House, Boston, Ma, Christian Weller

Christian Weller

The U.S. economy is in the fourth year of a recovery that started in June 2009. The fact that the economy is in recovery, even modestly, is something of a miracle given how stacked the deck is against it. This is absolutely unique in American economic history: There has never been a recovery without the housing market expanding substantially as well; There has never been a recovery with state and local governments shrinking for three years in a row; There has never been a recovery with households owing, on average, well more than 100 percent of their after-tax income in …

Community Improvement Districts In Georgia: Administrators' Views On Their Effectiveness, Performance, And Accountability, Andrew Ewoh, Kristin Rome

Andrew I.E. Ewoh

Since the early 1990s, Georgia has been a leading participant in public-private partnerships, as exemplified by its many community improvement districts (CIDs). The goals and uses of CIDs vary, but commonly include fundraising, maintaining aesthetically pleasing business environments, controlling traffic flow, and infrastructural improvements. A survey research method was used to examine the effectiveness, performance, and accountability of CIDs in Georgia as perceived by their leaders. Lack of citizen participation was found to be a major problem of CID governance; this has serious public policy implications that can only be remedied by demands for inclusion by residents.

Fai La Macroeconomia Giusta. Le Molte Ragioni Del Libro Di Paul Krugman Fuori Da Questa Crisi, Adesso!, Mario Pianta

Mario Pianta

Reaching For The Brass Ring: The U.S. News & World Report Rankings And Competition, Ronald Ehrenberg

Ronald G. Ehrenberg

[Excerpt] The behavior of academic institutions, including the extent to which they collaborate on academic and nonacademic matters, is shaped by many factors. This paper focuses on one of these factors, the U.S. News & World Report (USNWR) annual ranking of the nation’s colleges and universities as undergraduate institutions, exploring how this ranking exacerbates the competitiveness among American higher education institutions. After presenting some evidence on the importance of the USNWR rankings to both public and private institutions at all levels along the selectivity spectrum, I describe how the rankings actually are calculated, then discuss how academic institutions alter their …

Crafting A Class: The Trade-Off Between Merit Scholarships And Enrolling Lower-Income Students, Ronald G. Ehrenberg, Liang Zhang, Jared M. Levin

Ronald G. Ehrenberg

[Excerpt] It is well known that test scores are correlated with students’ socio-economic backgrounds. Hence, to the extent that colleges are successful in “buying” higher test-score students, one should expect that their enrollment of students from families in the lower tails of the family income distribution should decline. However, somewhat surprisingly, there have been no efforts to test if this is occurring. Our paper presents such a test. While institutional-level data on the dollar amounts of merit scholarships offered by colleges and universities are not available, data are available on the number of National Merit Scholarship (NMS) winners attending an …

The 1995 Nrc Ratings Of Doctoral Programs: A Hedonic Model, Ronald Ehrenberg, Peter Hurst

Ronald G. Ehrenberg

We describe how one can use multivariate regression models and data collected by the National Research Council as part of its recent ranking of doctoral programs (Research-Doctorate Programs in the United States: Continuity and Change) to analyze how measures of program size, faculty seniority, faculty research productivity, and faculty productivity in producing doctoral degrees influence subjective ratings of doctoral programs in 35 academic fields. Using data for one of the fields, economics, we illustrate how university administrators can use the models to compute the impact of changing the number of faculty positions they allocate to the field on …

The Impact Of U.S. News & World Report College Rankings On Admissions Outcomes And Pricing Policies At Selective Private Institutions, James Monks, Ronald G. Ehrenberg

Ronald G. Ehrenberg

Despite the widespread popularity of the U.S. News & World Report College rankings there has been no empirical analysis of the impact of these rankings on applications, admissions, and enrollment decisions, as well as on institutions' pricing policies. Our analyses indicate that a less favorable rank leads an institution to accept a greater percentage of its applicants, a smaller percentage of its admitted applicants matriculate, and the resulting entering class is of lower quality, as measured by its average SAT scores. While tuition levels are not responsive to less favorable rankings, institutions offer less visible price discounts in the form …

Faculty Turnover At American Colleges And Universities: Analyses Of Aaup Data, Ronald G. Ehrenberg, Hirschel Kasper, Daniel Rees

Ronald G. Ehrenberg

This paper uses institutional level data collected by the American Association of University Professors as part of their annual survey of faculty members' compensation to analyze faculty turnover. Analyses of aggregate data over almost a twenty-year period highlight how remarkably stable faculty retention rates have been nationwide and how little they vary across broad categories of institutions. Analyses of variations in faculty retention rates across individual institutions stress the role that faculty compensation levels play. Higher levels of compensation appear to increase retention rates for assistant and associate professors (but not for full professors) and the magnitude of this effect …

Advance Notice Provisions In Plant Closing Legislation: Do They Matter?, Ronald Ehrenberg, George Jakubson

Ronald G. Ehrenberg

This paper evaluates the cases for and against plant closing legislation. In spite of the growth of legislative efforts in the area, there has been surprisingly little effort devoted to analyzing what the effects are of existing plant closing legislation, of provisions in privately negotiated collective bargaining agreements that provide for advance notice in case of plant shutdowns and/or layoffs, and of voluntary employer provision of advance notice. The paper summarizes the results of previous research, and our own empirical analyses that used the January 1984 Bureau of Labor Statistics Survey of Displaced Workers, on the effects of advance notice …

Did Teachers’ Race And Verbal Ability Matter In The 1960’S? Coleman Revisited, Ronald Ehrenberg, Dominic Brewer

Ronald G. Ehrenberg

Our paper reanalyzes data from the classic 1966 study Equality of Educational Opportunity, or Coleman Report. It addresses whether teacher characteristics, including race and verbal ability, influenced "synthetic gain scores" of students (mean test scores of upper grade students in a school minus mean test scores of lower grade students in a school), in the context of an econometric model that allows for the possibility that teacher characteristics in a school are endogenously determined. We find that verbal aptitude scores of teachers influenced synthetic gain scores for both black and white students. Verbal aptitude mattered as much for black teachers …

Paying Our Presidents: What Do Trustees Value?, Ronald G. Ehrenberg, John J. Cheslock, Julia Epifantseva

Ronald G. Ehrenberg

Our study makes use of data from a panel of over 400 private colleges and universities on their presidents’ salaries and benefits. These data, reported annually to the Internal Revenue Service on Form 990, have been collected by and reported in the Chronicle of Higher Education for academic years 1992–1993 through 1997–1998. We merge these data with those from other sources including the American Association of University Professors, the American Council on Education, Who’s Who in America, the National Association of College and University Business Officers, the Council on Aid to Education, and the National Science Foundation’s CASPAR system. This …

Applications Barriers To Entry And Exclusive Vertical Contracts In Platform Markets, James Prieger, Wei-Min Hu

James E. Prieger

Our study extends the empirical literature on whether vertical restraints are anticompetitive. We focus on exclusive contracting in platform markets, which feature indirect network effects and thus are susceptible to applications barriers to entry. Exclusive contracts in vertical relationships between the platform provider and software supplier can heighten entry barriers. We test these theories in the home video game market. We find that indirect network effects from software on hardware demand are present, and that exclusivity takes market share from rivals, but only when most games are non-exclusive. The marginal exclusive game contributes virtually nothing to console demand. Thus, allowing …

Verifiable And Non-Verifiable Anonymous Mechanisms For Regulating A Polluting Monopolist, James Prieger, Nicholas Sanders

James E. Prieger

Optimal regulation of a polluting natural monopolist must correct for both external damages and market power to achieve a social optimum. Existing non-Bayesian regulatory methods require knowledge of the demand function, while Bayesian schemes require knowledge of the underlying cost distribution. We introduce mechanisms adapted to use less information. Our Price-based Subsidy (PS) mechanisms give the firm a transfer that matches or approximates the incremental surplus generated each period. The regulator need not observe the abatement activity or know the demand, cost, or damage functions of the firm. All of the mechanisms induce the firm to price at marginal social …

The Empirics Of The Digital Divide: Can Duration Analysis Help?, James Prieger, Wei-Min Hu

James E. Prieger

Accurate measurement of digital divides is important for policy purposes. Empirical studies on broadband subscription gaps have largely used cross-sectional data, which cannot speak to the timing of technological adoption. Yet, the dynamics of a digital divide are important and deserve study. With the goal of improving our understanding of appropriate techniques for analyzing digital divides, we review competing econometric methodology and propose the use of duration analysis. We compare the performance of alternative estimation methods using a large dataset on DSL subscription in the U.S., paying particular attention to whether women, blacks, and Hispanics catch up to others in …

The Rules Of The Road Or Roadblocks On The Information Highway? Regulation And Innovation In Telecommunications, James Prieger, Daniel Heil

James E. Prieger

Regulatory policy in telecommunications must balance short-term efficiency (low prices) against the firms’ incentives to innovate, which have longer reaching impacts on economic welfare. Historically, policy tended to sacrifice dynamic efficiency for the sake of competitive prices and static efficiency. In the last few decades, economists and other researchers have begun to document the large welfare costs of ignoring dynamic efficiency. We analyze the impact regulation has on innovation in a simple theoretical framework. We then turn to the empirical evidence that regulation dampens firms’ incentive to innovate in the telecommunications industry in general and the market for broadband Internet …

The Microeconomic Impacts Of E-Business On The Economy, James Prieger, Daniel Heil

James E. Prieger

The adoption of e-business at the microeconomic level of retail, wholesale, and labor market transactions has an enormous impact on the performance of firms and the economic welfare of consumers and workers. This article reviews, in broad outlines, the economics of e-business, focusing on empirical research. The fundamental notion that e-business and adoption of ICT lowers the cost of transferring, storing, and processing in-formation is used to organize the examination. E-business spheres of impact covered include B2C and B2B e-commerce, the labor market, and the productivity of firms. This article covers both the predicted impacts of e-business on the economy …

The Macroeconomic Impacts Of E-Business On The Economy, James Prieger, Daniel Heil

James E. Prieger

The growing use of information and communications technology (ICT) by business—e-business—profoundly affects the economy. This article covers some of the macroeconomic impacts of e-business. Evidence from empirical studies examining the impact that greater use of ICT by business has on productivity and national economic growth is presented, along with discussion of how e-business changes the volatility and complicates measurement of growth. E-business can bring down inflation, but also exacerbates some monetary and fiscal policy challenges, and raises new ones. While e-payments and e-money can complicate monetary policy and may alter its goals, little effect has been seen to date. Sales …

The Broadband Digital Divide And The Nexus Of Race, Competition, And Quality, James Prieger, Wei-Min Hu

James E. Prieger

We examine the gap in broadband access to the Internet between minority groups and white households with geographically fine data on DSL subscription. In addition to income and demographics, we also examine quality of service and competition as components of the Digital Divide. The gaps in DSL demand for blacks and Hispanics do not disappear when income, education, and other demographic variables are accounted for. However, lack of competition is an important driver of the Digital Divide for blacks. Service quality is an important determinant of demand, and ignoring it masks the true size of the DSL gap for Hispanics.

Financial Forecasts For The Next Decade, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] Harold Hovey pointed out that the outlook for state funding of public higher education institutions during the first decade of the 21st century might not be as rosy as it has been during the last five years. The pictures I have painted of the financial futures for American public and private higher education echo his concerns. If sustained economic growth continues, academic institutions' financial prospects will be somewhat brighter. However, it is clear that the well-being of colleges and universities nationwide depends upon their diversifying their sources of revenues. Through their efforts to do so, the publics will end …

Dissecting The Workforce And Workplace For Clinical Endocrinology, And The Work Of Endocrinologists Early In Their Careers, Claude Desjardins, Mark A. Bach, Anne R. Cappola, Ellen W. Seely, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] No national mechanism is in place for an informed, penetrating, and systematic assessment of the physician workforce such as that achieved by the National Science Foundation (NSF) for the periodic evaluation of the nation’s scientists and engineers. Likewise, knowledge of the workforce for clinical research is enigmatic and fragmentary despite the serial recommendations of “blue-ribbon” panels to establish a protocol for the recurrent assessment of clinical investigators early in their careers. Failure to adopt a national system for producing timely, high-quality data on the professional activities of physicians limits the application of improvement tools for advancing clinical investigation and …

On Estimating The Effects Of Increased Aid To Education, Ronald G. Ehrenberg, Richard P. Chaykowski

Ronald G. Ehrenberg

[Excerpt] The 1983 report, A Nation at Risk, of the National Commission on Excellence in Education decried the state of public education in the United States and suggested a number of reforms. Among their recommendations was increased federal aid for education. The view was that this would lead to desirable outcomes such as reduced class sizes and higher teacher salaries, with the latter aiding in the recruitment and retention of high-quality teachers. Somewhat surprisingly, previous research on the economics of education provides us with very few insights about what the effects of such proposals might be. For example, while there …

Workers’ Rights: Rethinking Protective Labor Legislation, Ronald G. Ehrenberg

Ronald G. Ehrenberg

This paper focuses on a few directions in which protective labor legislation might be expanded in the United States over the next decade and the implications of expansion in each area for labor markets. Specifically, it addresses the areas of hours of work, unjust dismissal, comparable worth, and plant closings. In each case, the discussion stresses the need to be explicit about how private markets have failed, the need for empirical evidence to test such market failure claims, the need for economic analysis of potential unintended side effects of policy changes, and the existing empirical estimates of the likely magnitudes …

Introduction To Doctoral Education And The Faculty Of The Future, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] Concern has been expressed, however, that the growing enrollment of foreign students in American PhD programs "crowds out" potential American citizen PhD holders and discourages them from pursuing PhD study. On the other hand, the aftermath of 9/11, the growth of research infrastructure and research support in other nations, and the growth of other nations' higher education systems all cast doubt on the ability of the United States to continue to rely on foreign PhD holders to meet our nation's need for scientific researchers and to fill future faculty positions. Given all of these issues, in October 2006 the …

Changing The Education Of Scholars: An Introduction To The Andrew W. Mellon Foundation’S Graduate Education Initiative, Ronald G. Ehrenberg, Harriet Zuckerman, Jeffrey A. Groen, Sharon M. Brucker

Ronald G. Ehrenberg

[Excerpt] In 1991 the Andrew W. Mellon Foundation launched the Graduate Education Initiative (GEI) to improve the structure and organization of PhD programs in the humanities and social sciences and to combat the high rates of student attrition and long time to degree completion prevailing in these fields. While attrition and time to completion were deemed to be important in and of themselves, and of great significance to degree seekers, they were also seen more broadly as indicators of the effectiveness of graduate programs. An array of characteristics of doctoral programs was earmarked as likely contributors to high attrition and …

Does America Face A Shortage Of Scientists And Engineers?, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] As someone who served on the committee that issued the 1998 study of the early careers of life scientists that Teitelbaum talks about in his article and who has critiqued models that projected shortages of new PhDs, I am very sympathetic to many of the points that he makes (National Research Council, 1998; Ehrenberg, 1991). What I want to focus on today is the word we in his title, because, as Teitelbaum emphasizes, the question of shortages or surpluses is often in the eye of the beholder. For example, from the perspective of faculty members involved in the academic …

Do Historically Black Colleges And Universities Enhance The College Attendance Of African American Youths?, Ronald G. Ehrenberg, Donna S. Rothstein, Robert B. Olsen

Ronald G. Ehrenberg

Recently, Historically Black Colleges and Universities (HBCUs) have become the center of intense policy debates. Do HBCUs enhance the college attendance of African American youths? Previous research has been inconclusive. Among other improvements, our study adjusts for the relative availability of HBCU enrollment opportunities in each state. We find that African Americans are more likely to choose HBCUs over other colleges if more HBCU openings are available. However, more HBCU openings don't increase overall African American enrollment. As we have shown elsewhere, attendance at an HBCU does enhance African American students' college graduation rates.

Method Or Madness? Inside The U.S. News & World Report College Rankings, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] The rankings exacerbate, but are not the major cause of the increased competition in American higher education that has taken place over the last few decades. The real shame is that this competition has institutions focusing on improving the selectivity of their entering first-year classes. Institutions appear to be increasingly valued for the test scores of the students they attract, not for their value added to their students and to society.

Phd Attainment Of Graduates Of Selective Private Academic Institutions, Jeffrey A. Groen, Matthew P. Nagowski, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] It is therefore important to understand the forces that have caused a decline in the PhD attainment rate of American college graduates. The fraction of bachelor's recipients who go on to receive PhDs nationwide is influenced by many factors, including high school graduation rates, college enrollment rates of high school graduates, college graduation rates for college enrollees, the distribution of undergraduate majors, and the academic backgrounds of college students. PhD attainment also depends upon changes in the economic rewards to pursuing PhD study relative to entering the workforce or pursuing study for other professional occupations, such as law, medicine, …

The American University: Dilemmas And Directions, Ronald G. Ehrenberg

Ronald G. Ehrenberg

[Excerpt] American research universities clearly are national treasures. Over the past decade, however, these institutions have increasingly come under attack for a wide variety of alleged sins. Further, their economic bases are increasingly being eroded because of budget problems at federal and state levels, coupled with increased demand for resources to meet competing social needs, such as health care. Thus, although American universities are national treasures, many fear they are entering a period of decline and may well prove to be an endangered species. Why are research universities being attacked, and why are their supporters in both the private and …

Generation X: Redefining The Norms Of The Academy, Ronald Ehrenberg

Ronald G. Ehrenberg

[Excerpt] The members of Generation X are the young faculty members of today and the immediate future. The panelists at this session of the conference were asked to discuss the effects of this generation on academic norms and institutional governance and the types of new models that may be emerging for academia as a result of them. More specifically, they were asked if the attitudes and loyalties of these young faculty members really do differ from that of the Baby Boom Generation, how their attitudes and behavior affect graduate programs, what academic institutions will need to do to attract the …