Social and Behavioral Sciences Commons^™

The Interest Rate Effect On Private Saving: Alternative Perspectives, Joshua Aizenman, Yin-Wong Cheung, Hiro Ito

Economics Faculty Publications and Presentations

Using an uneven panel of 135 countries from 1995 to 2014, we investigate the link between interest rates and private saving, and focus on whether the interest rate effect is dominated by the income (i.e., negative) or the substitution (i.e., positive) effect. With the baseline estimation, we find that the real interest rate has the substitution effect on private saving only for a full-country sample and a group of Asian economies. We also examine if low real - or nominal - interest rates have any impact on the link between the real interest rate and the private saving rate. We …

The Role Of Inflation Targeting In Debt Denomination In Developing Countries, Olena Ogrokhina, Cesar M. Rodriguez

Economics Faculty Publications and Presentations

This paper analyzes the inflation targeting experience of developing countries as an effective monetary policy framework to promote changes in the currency composition of their international debt. Using matching with difference-in-differences to address the self-selection bias, we find that in inflation targeting has led to a 3-6 percentage point reduction in the foreign currency share of international debt in targeting countries when compared to non-targeting countries. Furthermore, from the analysis of the individual currency shares, we find that inflation targeting has contributed to a 10 percentage points lower US dollar share in international debt in targeting countries compared to non-targeting …

Trade Invoicing In Major Currencies In The 1970s-1990s: Lessons For Renminbi Internationalization, Hiro Ito, Kawai Masahiro

Economics Faculty Publications and Presentations

In this paper, we investigate how much a major currency is used for trade invoicing by focusing primarily on the experiences of the U.S. dollar, the Japanese yen, and the Deutsche mark (DM) in the 1970s through the 1990s. We then attempt to draw lessons for China’s renminbi (RMB) internationalization. Our data on the shares of the three major currencies in export invoicing show that the dollar was unequivocally a global invoicing currency, and that the DM was the most important regional currency in Europe while the yen was never a global or a regional currency. DM invoicing was driven …

The Economic Value Of Forest Park Ecosystem Services: Results Of Five Focus Groups Conducted In Spring 2016, Randall A. Bluffstone, Pablo Barreyro, Jenny Dempsey Stein, Cody Kent, Antonia Machado

Economics Faculty Publications and Presentations

Objective: This initial phase of research lays the foundation for a survey using contingent valuation (CV) and choice experiment (CE) methods. We asked select Portland residents what they care about most in Forest Park, their willingness to pay (WTP) for improving ecosystem services and how they generally think about the value of those goods and services. These results will help us narrow the experimental design of the forthcoming CV/CE study.

Approach: We conducted a focus group in each of Portland’s 5 “quadrants.” We chose each location - Skyline, St. John’s, Cully, Foster-Powell and Hillsdale - based on either its proximity …

Democratization, Political Performance, And Income Distribution In Argentina And Brazil, Nicholas Paul Stowell

Dissertations and Theses

This research examines the effects of democratization and political performance on the functional distribution of income in Argentina and Brazil from the end of their authoritarian periods to the present. The existing literature tends to focus on the impacts of democratization and political performance on the economic growth of the country as a whole or on changes to per capita income. This analysis focuses on the equality of economic development in less developed countries because growth is not necessarily distributed equally and poverty and inequality are both endemic to many less developed countries and also negatively impact development as a …

Bertrand Competition With Asymmetric Marginal Costs, Subhasish Dugar, Arnab Mitra

Economics Faculty Publications and Presentations

This paper tests the prediction of three discrete asymmetric duopoly price competition games in the laboratory. The games differ from each other in terms of the size of the cost asymmetry that induces a systematic variation in the difference between the firms’ marginal costs. While the standard theory requires the low-cost firm to set a price just equal to the high cost firm's marginal cost, which is identical across all three games, and win the entire market; intuition suggests that market price may increase with a decrease in the absolute difference between the two marginal costs. We develop a quantal …

Aspirational Planning: A Statistical Model Of Hawthorne Bridge And Tilikum Crossing Bicycle Ride Counts, Robert Mccullough, Ramon Cabauatan, Jacob Gellman

Hatfield Graduate Journal of Public Affairs

Portland city planners have routinely planned for an increase in bicycle commutership and a decrease in automobile commutership. This paper discusses the latest data on Portland car and bicycle use. Portland and Multnomah County are observing an increase in single occupancy vehicle commuters, car ownership, and gasoline consumption. Bicycle use in Portland is found to have followed a logistic curve pattern since the early 1990s. The authors present an ordinary least squares model to explain bicycle ridership on the Hawthorne Bridge and the recently constructed Tilikum Crossing. When controlling for other factors such as weather and daylight, the Tilikum Crossing …

Book Review: Aleman, Richard (Ed). The Hound Of Distributism: A Solution For Our Social And Economic Crisis, Anthony Philip Stine

Hatfield Graduate Journal of Public Affairs

Aleman and the collected authors provide a starting point for investigating modern Distributist writings. Distributism is a 'third way' private property-based economic system focused on decentralization of power, a focus on family life and reconceptualizing our relationships between individuals, families, the state and large economic actors. Essays range from the topics of totalitarianism and big government to pastoralism and permaculture. Contributing authors include classic Distributists like GK Chesterton and modern writers such as Joseph Pearce, Dale Ahlquist, Philip Maxence and Ryan Grant. The selected authors present a snapshot of a theory that presents a means towards achieving sustainability through decentralization …

Policy Analysis: Minimum Wage In The Portland Metropolitan Area, Aaron Kaufman

Hatfield Graduate Journal of Public Affairs

Oregon’s current minimum wage of $9.25 per hour is unsustainable as it does not provide adequate nutritional resources or housing for full time employees. Additionally, employers of minimum wage workers often rely on social safety net benefits for their workers which effectively subsidize wages. This creates an unnecessary burden on the taxpayer. Oregon Senate Bill 1532 increases the minimum wage incrementally within Portland’s Metropolitan Area to $14.75 in 2022. This wage provides full time minimum wage workers enough income for adequate nutrition and reasonable housing while reducing reliance on social safety net programs.

East Asian Economies And Financial Globalization In The Post-Crisis World, Joshua Aizenman, Hiro Ito

Economics Faculty Publications and Presentations

This paper assesses the East Asian Economies’ openness to cross-border capital flows and exchange rate arrangements in the past decades, with the main focus on emerging market economies. Using Mundell’s trilemma indexes, we note that the convergence of the three policy goals in East Asia toward a “middle ground” pre-dates the convergence of these indices in other regions. Another more recent development involves the high level of international reserve (IR) holdings–a feature that is known as the most distinct characteristic of Asian EMEs. Financial globalization seems to have made asset prices and interest rates in Asian EMEs more vulnerable to …

Working Paper No. 35, The Machine Process In Industry And Society: A Veblenian Approach, Emily Pitkin

Working Papers in Economics

This inquiry considers Thorstein Veblen’s understanding of the machine process and some of its influences. In particular, this paper explores relationships between the machine process and industry, noting the powerful influences of standardization of outputs as well as inputs. In addition, this paper considers some of the implications of the machine process on workers, considering particularly the tendency of the machine process to enforce routines and some of the related effects on “habitual thinking.” Finally, the machine process and its relation to society will be discussed with a focus on its effects on value systems, examining also the ways in …

Leadership Positioning Among U.S. Firms Investing In China, Rossitza B. Wooster, Donna L. Paul

Economics Faculty Publications and Presentations

This study investigates leadership positioning by U.S. firms in China using the awareness, motivation, capability (AMC) perspective. We define leadership as first in industry to invest in China, and find that leaders have characteristics associated with higher AMC, evidenced by pre-existing multinational experience, higher product market orientation, smaller scale of operations, and higher input cost structure. Notably, the motivation to lower input costs and the prior capability in multinational operations mattered only for the first wave of firms leading industry investment earlier in time, while firms with smaller scale of operations exhibited a preference to lead investment in less popular …

Subreption, Radical Institutionalism, And Evolutionary Economics, John B. Hall, Alexander Dunlap, Joe Mitchell-Nelson

Economics Faculty Publications and Presentations

This inquiry seeks to establish the importance of subreption as an approach to economic and social evolution that also proves integral to the tradition of radical institutionalism. We relate subreption’s etymology and appearances in Roman, Canon and Scots Law, as well as in Philosophy, to its applications found in writings advanced by Thorstein Veblen and carried on later as William Dugger details the rise of corporate hegemony. Understood as an approach derivable from selected philosophical writings of Immanuel Kant, in social science subreption is suggested to occur through the introduction of an outside value that sets off a form of …

Optimal Design Of Compact And Functionally Contiguous Conservation Management Areas, Hayri Önal, Yicheng Wang, Sahan T.M. Dissanayake, James D. Westervelt

Economics Faculty Publications and Presentations

Compactness and landscape connectivity are essential properties for effective functioning of conservation reserves. In this article we introduce a linear integer programming model to determine optimal configuration of a conservation reserve with such properties. Connectivity can be defined either as structural (physical) connectivity or functional connectivity; the model developed here addresses both properties. We apply the model to identify the optimal conservation management areas for protection of Gopher Tortoise (GT) in a military installation, Ft. Benning, Georgia, which serves as a safe refuge for this ‘at risk’ species. The recent expansion in the military mission of the installation increases the …

A Dynamic Simulation/Optimization Model For Scheduling Restoration Of Degraded Military Training Lands, Hayri Önal, Philip Woodford, Scott A. Tweddale, James D. Westervelt, Mengye Chen, Sahan T.M. Dissanayake, Gauthier Pitois

Economics Faculty Publications and Presentations

Intensive use of military vehicles on Department of Defense training installations causes deterioration in ground surface quality. Degraded lands restrict the scheduled training activities and jeopardize personnel and equipment safety. We present a simulation-optimization approach and develop a discrete dynamic optimization model to determine an optimum land restoration for a given training schedule and availability of financial resources to minimize the adverse effects of training on military lands. The model considers weather forecasts, scheduled maneuver exercises, and unique qualities and importance of the maneuver areas. An application of this approach to Fort Riley, Kansas, shows that: i) starting with natural …

Equity Commitment Under Uncertainty: A Hierarchical Model Of Real Option Entry Mode Choices, Rossitza B. Wooster, Luisa Blanco, W. Charles Sawyer

Economics Faculty Publications and Presentations

We develop a real option hierarchical model of entry mode choice and test predictions using a sample of US companies in Latin America and the Caribbean between 1980 and 2005. Probit results indicate that the choice between a real option non-equity mode and equity commitment is influenced by previous acquisition experience, R&D and advertising intensities, and country risk. The choice of the more flexible real option JV mode over WOEs is positively related to greater firm size and market-to-book ratio in countries with better infrastructure. In contrast, greater marketing intensity and lower country risk encourage WOEs.

Building A State For All Ages: Tapping The Potential Of Older Oregonians, Stephen Percy, Judith A. Ramaley, John Tapogna, Margaret B. Neal, Jay Bloom, Alexandra Reece

Institute on Aging Publications

This report explores how the aging population—including native Oregonians and senior adults moving to the state—represent an asset to Oregon. Aging in America has often been viewed from a perspective of deficit and decline. We wholeheartedly challenge this perspective. This report identifies how older adults can play vital roles in the workforce, entrepreneurship and innovation, and supporting community revitalization through volunteering of time and talent.