Sraffian Indeterminacy In General Equilibrium Revisited,
2019
Department of Economics, University of Massachusetts, Amherst
Sraffian Indeterminacy In General Equilibrium Revisited, Naoki Yoshihara, Se Ho Kwak
Economics Department Working Paper Series
In contrast to Mandler’s (1999a; Theorem 6) impossibility result about the Sraffian indeterminacy of the steady-state equilibrium, we first show that any regular Sraffian steady-state equilibrium is indeterminate in terms of Sraffa (1960) under the simple overlapping generation economy. Moreover, we also check that this indeterminacy is generic. These results are obtained by explicitly defining a simple model of overlapping generation economies with Leontief production techniques, in which we also explain the main source of the difference between our results and Mandler (1999a; section 6).
On The General Impossibility Of Persistent Unequal Exchange Free Trade Equilibria In The Pre-Industrial World Economy,
2019
Faculty of Economics, Oita University
On The General Impossibility Of Persistent Unequal Exchange Free Trade Equilibria In The Pre-Industrial World Economy, Soh Kaneko, Naoki Yoshihara
Economics Department Working Paper Series
This paper analyzes the persistency of the unequal exchange of labor (UE) in international trade. An intertemporal model of a world economy is defined with a leisure preference and no discount factor. Every incompletely specialized free trade equilibrium is characterized as having non-persistent UE, which verifies the convergence of economies without relying on economic growth or diminishing returns to scale. In particular, it characterizes a sub- class of equilibria in which the sequence of real interest rates does not converge to zero, but UE tends to disappear while equivalently the distribution of capital assets tends to be equalized in the …
Is India’S Employment Guarantee Program Successfully Challenging Her Historical Inequalities?,
2019
Department of Economics, University of Massachusetts Amherst
Is India’S Employment Guarantee Program Successfully Challenging Her Historical Inequalities?, Kartik Misra
Economics Department Working Paper Series
By providing 100 days of guaranteed employment to every rural household, the National Rural Employment Guarantee Act (NREGA) can challenge the hegemony of the landed elite as major employers in the Indian countryside and raise market wages which have long been depressed. This paper shows that the impact of NREGA is conditioned and complicated by historical inequalities in agricultural landownership which have persisted since the colonial period. I find that in the lean season of agriculture, the program is highly successful in raising wages and generating more public employment in districts that were not characterized by historically high levels of …
Economic Transition, Dualism, And Informality In India,
2019
Faculty of Economics, South Asian University, New Delhi, India.
Economic Transition, Dualism, And Informality In India, Surbhi Kesar
Economics Department Working Paper Series
In much of the literature on economic development, sustained economic growth is expected to be accompanied by several interrelated processes of structure change, which involve a shift in economic activities from ‘traditional’ / agricultural / informal to ‘modern’ / industrial / formal sectors. Such transitions are usually accompanied by a transition in the economic dependence of households towards relatively ‘modern’ and formal segments of the economy, along with a rise in their general economic well-being. In this paper, we examine the Indian economy using the only available household-level pan-India panel data over the high growth period between 2005 and 2011-12, …
Partisanship And Local Fiscal Policy: Evidence From Brazilian Cities,
2019
Institute for Applied Economic Research and University of Massachusetts Amherst
Partisanship And Local Fiscal Policy: Evidence From Brazilian Cities, Raphael Gouvea, Daniele Girardi
Economics Department Working Paper Series
We study the role of political parties in shaping local fiscal policy in the context of Brazilian cities in the 2004-2016 period. Using a regression-discontinuity design, we find no effect of left-wing mayors on the size of the city government nor on the allocation of spending across main budget categories (current spending, investment and personnel). We do find a modest, significant and robust positive effect on the share of social expenditures. The (close) election of a left-wing mayor tends to raise the share of social expenditures by around 0.6 percentage points in our preferred RD specification. We then explore possible …
What Is The Impact Of An Exogenous Shock To The Wage Share? Var Results For The Us Economy, 1973–2018,
2019
Department of Economics, University of Massachusetts Amherst
What Is The Impact Of An Exogenous Shock To The Wage Share? Var Results For The Us Economy, 1973–2018, Deepankar Basu, Leila Gautham
Economics Department Working Paper Series
This paper uses a novel empirical strategy to present empirical estimates of the effect of an exogenous shock to distribution on demand and accumulation for the US economy from 1973 to 2018. We use recursive vector autoregressions to identify the impact of shocks to the wage share. We impose restrictions motivated by a simple neo-Kaleckian open- economy model, and build on the recursive identification scheme in Christiano, Eichenbaum and Evans (1999) to show that this small set of plausible and transparent assumptions are sufficient to identify the impact of shocks to distribution. We find that positive shocks to the wage …
Persistent Exploitation With Intertemporal Reproducible Solution In Pre-Industrial Economies,
2019
University of Massachusetts Amherst
Persistent Exploitation With Intertemporal Reproducible Solution In Pre-Industrial Economies, Weikai Chen, Naoki Yoshihara
Economics Department Working Paper Series
This paper presents an intertemporal model of pre-industrial economies defined with leisure preference to study the condition of the emergence and persistence of exploitation as unequal exchange of labor. We show that pure workers are exploited in any finite periods if there is positive real profit rate, even though labor allocation among agents tends to be equalized in the limit regardless of the saving behaviors. The so-called Fundamental Marxian Theorem and Profit-Exploitation Correspondence Principle are generalized in the intertemporal setting with exploitation in the whole life, and the Class-Exploitation Correspondence Principle is established with exploitation within period.
Impact Of Development Aid On Infant Mortality: Micro-Level Evidence From Côte D’Ivoire,
2019
Department of Economics, Indiana State University Terre Haute
Impact Of Development Aid On Infant Mortality: Micro-Level Evidence From Côte D’Ivoire, Didier Wayoro, Léonce Ndikumana
Economics Department Working Paper Series
The empirical literature has failed to reach consensus on the impact of aid on development outcomes based on aggregate cross-country analysis. This study follows the current trend in the literature on the effectiveness of aid to examine the impact of local-level aid on health outcomes. We combine data on World Bank’s geo-located aid projects with three rounds of Demographic Health Surveys from Côte d’Ivoire and use difference-in-difference estimation techniques to explore the effects of aid on infant mortality. We find that proximity to development aid projects is associated with reduced infant mortality. Our results are robust to mother fixed-effects estimations …
Dominance Of Majoritarian Politics And Hate Crimes Against Religious Minorities In India, 2009–2018,
2019
Department of Economics, University of Massachusetts Amherst
Dominance Of Majoritarian Politics And Hate Crimes Against Religious Minorities In India, 2009–2018, Deepankar Basu
Economics Department Working Paper Series
Using a novel state-level panel data set for the period 2009-18 on the incidence of hate crimes in India, and a difference in difference (DD) approach, this paper investigates the causal impact of the right-wing, Hindu nationalist BJP’s win in the 2014 national elections on hate crimes against religious minorities. Using 2009-13 (pre-election) and 2014-18 (post-election) as the before and after periods, I estimate a standard DD model, where the treatment group consists of states where BJP won the largest share of popular votes in 2014, to get an initial estimate of the causal impact. I strengthen this result with …
The Profit Rate In Chile: 1900-2010,
2019
Economics Department, University of Massachusetts Amherst
The Profit Rate In Chile: 1900-2010, Diego Polanco
Economics Department Working Paper Series
The interest of this paper is to discuss the main features that characterize the accumulation regimes that have taken place during the twentieth century in Chile. Understanding that a set of institutionalized compromises and political conflicts are inherent to any capitalist society, I rely on the body of literature of Marxist political economy, which focuses on the dynamics of profitability to describe its reproductive patterns. In light of this analysis, I argue that the main institutional transformations in Chilean history are better understood. I characterize long-waves of capitalist accumulation as accumulation regimes and identify three stages: early expansion, late expansion, …
Accumulation By Dispossession And Electoral Democracies: An Analysis Of Land Acquisition For Special Economic Zones In India,
2019
Department of Economics, University of Massachusetts Amherst
Accumulation By Dispossession And Electoral Democracies: An Analysis Of Land Acquisition For Special Economic Zones In India, Kartik Misra
Economics Department Working Paper Series
Forcible acquisition of agricultural land to facilitate accumulation by dispossession attempts like setting up of Special Economic Zones (SEZ) is fiercely resisted by farmers in India. These agitations may determine the political viability of governments. The ability if the state to enact and implement policies favoring accumulation by dispossession is determined by the political conflict between, on the one side, the elite and the state, and, on the other side, dispossessed farmers and landless agricultural workers. The outcome of this conflict is determined by the distribution of power in society and the success of different groups in mobilizing and enforcing …
Capital Flight, Foreign Direct Investment And Natural Resources In Africa,
2019
Department of Economics and Political Economy Research Institute, University of Massachusetts Amherst
Capital Flight, Foreign Direct Investment And Natural Resources In Africa, Léonce Ndikumana, Mare Sarr
Economics Department Working Paper Series
This paper provides theoretical and empirical insights into the puzzling simultaneous rise in foreign direct investment inflows in Africa and capital flight from the continent over the past decades. Indeed, paradoxically, even as African countries have become more attractive to foreign private capital, they have continued to experience capital exodus in the context of improved economic performance, especially since the turn of the century. This paper explores three questions. First, does foreign direct investment fuel capital flight as has been established in the case of external borrowing? In other words, is there an FDI-fueled capital flight phenomenon akin to debt-fueled …
Does Dynamic Market Competition With Technological Innovation Leave No One Behind?,
2019
epartment of Economics, Andrew Young School of Policy Studies, Georgia State University, Atlanta.
Does Dynamic Market Competition With Technological Innovation Leave No One Behind?, Yongsheng Xu, Naoki Yoshihara
Economics Department Working Paper Series
In this paper, we examine the performance of the market mechanism by focusing on whether no one, in the ‘long-run’, can be left behind with technological innovation in the economy. We show that the market mechanism with technological innovation unavoidably leaves some individuals behind. We extend this negative result to a broader class of resource allocation mechanisms.
Asymmetric Majority Pillage Games,
2019
School of Computer Science, University of Birmingham
Asymmetric Majority Pillage Games, Manfred Kerber, Colin Rowat, Naoki Yoshihara
Economics Department Working Paper Series
This paper studies pillage games (Jordan in J Econ Theory 131.1:26-44, 2006, “Pillage and property”), which are well suited to modelling unstructured power contests. To enable empirical test of pillage games’ predictions, it relaxes a symmetry assumption that agents’ intrinsic contributions to a coalition’s power is identical. In the three-agent game studied: (i) only eight configurations are possible for the core, which contains at most six allocations; (ii) for each core configuration, the stable set is either unique or fails to exist; (iii) the linear power function creates a tension between a stable set’s existence and the interiority of its …
Capital Inflows, Sustained Investment Surges, And The Role Of External Economies Of Scale In A Developing Economy,
2019
Economics Department, University of Massachusetts Amherst
Capital Inflows, Sustained Investment Surges, And The Role Of External Economies Of Scale In A Developing Economy, Arslan Razmi
Economics Department Working Paper Series
Standard open economy macro models with unemployment predict a contractionary short-run effect of international capital inflows. Empirical evidence, on the other hand, often associates such inflows with short-term booms, and developing country policy makers frequently go out of their way to welcome foreign capital. Employing a portfolio balance framework, this paper distinguishes between international financial (i.e., bond) and "real" (i.e., equity) flows to explore the different consequences for capital accumulation that may follow over the medium run. The presence of external economies of scale generates multiple equilibria, and different kinds of capital flows may push investment in one direction or …
Inequality In Energy Consumption: Statistical Equilibrium Or A Question Of Accounting Conventions?,
2019
Political Economy Research Institute and Economics Department, University of Massachusetts Amherst; Department of Economics, SOAS University of London
Inequality In Energy Consumption: Statistical Equilibrium Or A Question Of Accounting Conventions?, Gregor Semieniuk, Isabella Weber
Economics Department Working Paper Series
Mitigating climate change requires information about the inequality in energy consumption. Recent contributions (Banerjee and Yakovenko, 2010; Lawrence et al., 2013; Yakovenko, 2010, 2013) have studied energy inequality through the lens of maximum entropy. They claim a weighted international distribution of total primary energy demand should approach a Boltzmann-Gibbs maximum entropy equilibrium distribution in the form of an exponential distribution, implying convergence to a Gini coefficient of 0.5 from above. The present paper challenges the validity of this claim and critically discusses the applicability of statistical equilibrium reasoning to economics from the viewpoint of social accounting. It is shown that …
Technical Progress, Capital Accumulation, And Distribution,
2019
Department of Economics, University of Massachusetts, Amherst
Technical Progress, Capital Accumulation, And Distribution, Naoki Yoshihara, Roberto Veneziani
Economics Department Working Paper Series
We study the effects of innovations on income distribution in capitalist economies characterised by a drive to accumulate. Consistent with the basic intuitions of Marx’s theory of technical change, we show that there is no obvious relation between ex-ante profitable innovations and the income distribution that actually emerges in equilibrium, and individually rational choices of technique do not necessarily lead to optimal outcomes. Innovations may even cause the disappearance of all equilibria. Methodologically, it is not possible to fully understand the ‘creative destruction’ induced by innovations without capturing the dialectic between individual choices and aggregate outcomes, and the complex network …
The Effect Of Environmental Change On Gdp,
2019
Sacred Heart University
The Effect Of Environmental Change On Gdp, Jackson V. Barliant
Writing Across the Curriculum
Climate change is one of the most debated topics of the 21st century. Not only has it been detrimental to our eco-system, but it is beginning to redefine and reshape society. Can the U.S. economy continue to flourish while acknowledging the necessary steps that need to be taken in regard to combatting climate change? Yes, the inherent change within our environment due to climate change can not only be withstood by our economy, but it presents an opportunity to revolutionize and expand through innovation.
Understanding Factors Of Sexual Behaviors In Teenagers In Mississippi,
2019
University of Mississippi
Understanding Factors Of Sexual Behaviors In Teenagers In Mississippi, Jackson Colburn
Honors Theses
The primary purpose of this study is to determine the associations between socio-demographic factors and sexual behaviors in teens based on bivariate analysis from the Centers for Disease Control and Prevention’s Youth Risk Behavior Surveillance System survey for 2015. In conducting a comparative analysis of survey data for both the United States and the state of Mississippi, this study aims to depict a picture of the state of teen sexual behaviors both nationally and in Mississippi. A secondary quantitative analysis of the Mississippi survey dataset also sets out to highlight any possible significant relationships between teen sexual behaviors and certain …
Front Matter,
2019
Gettysburg College
