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Articles 1 - 12 of 12
Full-Text Articles in Social and Behavioral Sciences
Results On The Bias And Inconsistency Of Ordinary Least Squares For The Linear Probability Model, William C. Horrace, Ronald L. Oaxaca
Results On The Bias And Inconsistency Of Ordinary Least Squares For The Linear Probability Model, William C. Horrace, Ronald L. Oaxaca
Economics - All Scholarship
This note formalizes bias and inconsistency results for ordinary least squares (OLS) on the linear probability model and provides sufficient conditions for unbiasedness and consistency to hold. The conditions suggest that a "trimming estimator" may reduce OLS bias.
November 2005, Syracuse Department Of Economics
November 2005, Syracuse Department Of Economics
Economics - All Scholarship
No abstract provided.
Ranking Inequality: Applications Of Multivariate Subset Selection, William C. Horrace, Joseph T. Marchand, Timothy M. Smeeding
Ranking Inequality: Applications Of Multivariate Subset Selection, William C. Horrace, Joseph T. Marchand, Timothy M. Smeeding
Economics - All Scholarship
Inequality measures are often presented in the form of a rank ordering to highlight their relative magnitudes. However, a rank ordering may produce misleading inference, because the inequality measures themselves are statistical estimators with different standard errors, and because a rank ordering necessarily implies multiple comparisons across all measures. Within this setting, if differences between several inequality measures are simultaneously and statistically insignificant, the interpretation of the ranking is changed. This study uses a multivariate subset selection procedure to make simultaneous distinctions across inequality measures at a pre-specified confidence level. Three applications of this procedure are explored using country-level data …
Gentrification And Neighborhood Housing Cycles: Will America's Future Downtowns Be Rich?, Jan K. Brueckner, Stuart S. Rosenthal
Gentrification And Neighborhood Housing Cycles: Will America's Future Downtowns Be Rich?, Jan K. Brueckner, Stuart S. Rosenthal
Economics - All Scholarship
This paper identifies a new factor, the age of the housing stock, that affects where high- and low-income neighborhoods are located in U.S. cities. High-income households, driven by a high demand for housing services, will tend to locate in areas of the city where the housing stock is relatively young. Because cities develop and redevelop from the center outward over time, the location of these neighborhoods varies over the city's history. The model predicts a suburban location for the rich in an initial period, when young dwellings are found only in the suburbs, while predicting eventual gentrification once central redevelopment …
How Unobservable Productivity Biases The Value Of A Statistical Life, Thomas J. Kniesner, W. Kip Viscusi, James P. Ziliak, Christopher Woock
How Unobservable Productivity Biases The Value Of A Statistical Life, Thomas J. Kniesner, W. Kip Viscusi, James P. Ziliak, Christopher Woock
Economics - All Scholarship
A prominent theoretical controversy in the compensating differentials literature concerns unobservable individual productivity. Competing models yield opposite predictions depending on whether the unobservable productivity is safety-related skill or productivity generally. Using five panel waves and several new measures of worker fatality risks, first-difference estimates imply that omitting individual heterogeneity leads to overestimates of the value of statistical life, consistent with the latent safety-related skill interpretation. Risk measures with less measurement error raise the value of statistical life, the net effect being that estimates from the static model range from $5.3 million to $6.7 million, with dynamic model estimates somewhat higher.
The Only Game In Town: Stock-Price Consequences Of Local Bias, Jeffrey D. Kubik, Harrison Hong, Jeremy Stein
The Only Game In Town: Stock-Price Consequences Of Local Bias, Jeffrey D. Kubik, Harrison Hong, Jeremy Stein
Economics - All Scholarship
Theory suggests that, in the presence of local bias, the price of a stock should be decreasing in the ratio of the aggregate book value of firms in its region to the aggregate risk tolerance of investors in its region. We test this proposition using data on U.S. Census regions and states, and find clear-cut support for it. Most of the variation in the ratio of interest comes from differences across regions in aggregate book value per capita. Regions with low population density - e.g., the Deep South - are home to relatively few firms per capita, which leads to …
Some Results On The Multivariate Truncated Normal Distribution, William C. Horrace
Some Results On The Multivariate Truncated Normal Distribution, William C. Horrace
Economics - All Scholarship
This note formalizes some analytical results on the n-dimensional multivariate truncated normal distribution where truncation is one-sided and at an arbitrary point. Results on linear transformations, marginal and conditional distributions, and independence are provided. Also, results on log-concavity, A-unimodality and the MTP_2 property are derived.
April 2005, Syracuse Department Of Economics
April 2005, Syracuse Department Of Economics
Economics - All Scholarship
No abstract provided.
On The Ranking Uncertainty Of Labor Market Wage Gaps, William C. Horrace
On The Ranking Uncertainty Of Labor Market Wage Gaps, William C. Horrace
Economics - All Scholarship
This paper uses multiple comparison methods to perform inference on labor market wage gap estimates from a regression model of wage determination. The regression decomposes a sample of workers' wages into a human capital component and a gender specific component; the gender component is called the gender differential or wage gap and is sometimes interpreted as a measure of sexual discrimination. Using data on fourteen industry classifications (e.g. retail sales, agriculture), a new relative estimator of the wage gap is calculated for each industry. The industries are then ranked based on the magnitude of these estimators, and inference experiments are …
Are Foreign Investors Attracted To Weak Environmental Regulations? Evaluating The Evidence From China, Judith M. Dean, Mary E. Lovely, Hua Wang
Are Foreign Investors Attracted To Weak Environmental Regulations? Evaluating The Evidence From China, Judith M. Dean, Mary E. Lovely, Hua Wang
Economics - All Scholarship
One of the most contentious debates today is whether pollution-intensive industries from rich countries relocate to poor countries with weaker environmental standards, turning them into "pollution havens." Empirical studies to date show little evidence to support the pollution haven hypothesis, but suffer potentially from omitted variable bias, specification, and measurement errors. Dean, Lovely, and Wang estimate the strength of pollution-haven behavior by examining the location choices of equity joint venture (EJV) projects in China. They derive a location choice model from a theoretical framework that incorporates the firm's production and abatement decision, agglomeration, and factor abundance. The authors estimate conditional …
Are Household Production Decisions Cooperative? Evidence On Pastoral Migration And Milk Sales From Northern Kenya, Cheryl R. Doss, John G. Mcpeak
Are Household Production Decisions Cooperative? Evidence On Pastoral Migration And Milk Sales From Northern Kenya, Cheryl R. Doss, John G. Mcpeak
Economics - All Scholarship
Market-based development efforts frequently create opportunities to generate income from goods previously produced and consumed within the household. Production within the household is often characterized by a gender and age division of labor. Market development efforts to improve well being may lead to unanticipated outcomes if household production decisions are non-cooperative. We develop and test models of household decision-making to investigate intra-household decision making in a nomadic pastoral setting from Kenya. Our results suggest that household decisions are contested, with husbands using migration decisions to resist wives' ability to market milk.
Value Of A Statistical Life: Relative Position Vs. Relative Age, Thomas J. Kniesner, W. Kip Viscusi
Value Of A Statistical Life: Relative Position Vs. Relative Age, Thomas J. Kniesner, W. Kip Viscusi
Economics - All Scholarship
This paper examines the influence on estimates of the value of statistical life (VSL) of the worker's relative position in the wage distribution and relative position in the life cycle. Whereas past work on relative position effects in the labor market have been based on illustrative hypothetical examples, this paper develops empirical tests using actual market behavior. To test for the effect of relative wage position, we use two different measures: the individual's wage rank in the state and the wage rank by gender in the state. Using the CPS coupled with constructed BLS fatality risk measures by industry and …