Economics | Open Access Articles | Digital Commons Network™

‘They Won't Work!’ - Efficacy Of An Active Labor Market Policy From The Perspective Of Psychology, Marco Meissner

Claremont-UC Undergraduate Research Conference on the European Union

No abstract provided.

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Local Economic Benefits Of Early Childhood Programs: Investing In Kids, Timothy J. Bartik

Presentations

No abstract provided.

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Returns From Self-Employment: Using Human Capital Theory To Compare U.S. Natives And Immigrants, Nikola Popovic

Undergraduate Economic Review

The focus of this paper is to examine the economic returns from self-employment when comparing natives and immigrants. I hypothesize that returns from self-employment will increase with age and education, and that immigrants from China, India, and the Philippines will have higher returns while immigrants from Mexico will have lower returns than natives. I also hypothesize that immigrants with high levels of education will earn more than natives with the same amount of education. The OLS regressions show that human capital variables explain the differences in self-employed income between natives and immigrants, as the literature suggests.

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Where Are The Jobs? Employment Stagnation After The Great Recession, Gary Burtless

Brookings Scholar Lecture Series

The Great Recession of 2008-2009 was the worst economic downturn since the Great Depression. Unlike most other recessions in the post-war era, however, the recovery has brought back only a small fraction of the almost 9 million jobs lost in the downturn. Gary Burtless will explain the puzzling absence of an employment rebound in his talk. Why has the rebound been so slow? What can we do to speed it up?

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Universities Should Continue To Bargain, Daniel J. Julius

Journal of Collective Bargaining in the Academy

College and university leaders should to continue to honor collectively negotiated agreements maintaining relationships with faculty unions, rather than avail themselves of tempting opportunities to redraw the labor and human resources map. To understand why requires some background on the academic union movement, the impact of unions on university management, and the potential advantages of collective bargaining.

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Markowitz 2.0: Innovations For Asset Allocation, Singapore Management University

Perspectives@SMU

The economic wreckage from the 2008 global financial crisis dealt a blow to the theoretical foundations of finance and economic. Many of these theories, such as Markowitz’s Modern Portfolio Theory (MPT), were considered received wisdom and taught in practically all business schools. But now they appeared inadequate to the task of handling the “fat-tails” and “black swans” of extreme market events. These crashes were also occurring far more often than predicted by these theories.

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Rhode Island Current Conditions Index — March 2012, Leonard Lardaro

The Rhode Island Current Conditions Index

No abstract provided.

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A Critique Of The Neoclassical And A Revision Of The Keynesian Theories Of Employment, Yang Liu

Electronic Theses and Dissertations

The neoclassical theory of employment fails to apply to modern capitalism since it claims that unemployment is necessary all voluntary. Its problems are pointed out by Keynes. But, if we look at Keynes’s system, we find that an essential explanation about why modern capitalism suffers from weak demand is not provided. To answer this question an alternative consumption theory is needed. Levine’s consumption theory well explains the condition of under-consumption. Furthermore, a deep problem of capitalism reveals itself: the production format and the distribution pattern of capitalism result in a huge income discrepancy between the working-class and the capitalist-class and …

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Analysis And Economic Impact Of The Film Industry In Northeast Ohio & Ohio, Candice Clouse

All Maxine Goodman Levin School of Urban Affairs Publications

No abstract provided.

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Kantian Optimization, Social Ethos, And Pareto Efficiency, John E. Roemer

Cowles Foundation Discussion Papers

Although evidence accrues in biology, anthropology and experimental economics that homo sapiens is a cooperative species, the reigning assumption in economic theory is that individuals optimize in an autarkic manner (as in Nash and Walrasian equilibrium). I here postulate an interdependent kind of optimizing behavior, called Kantian. It is shown that in simple economic models, when there are negative externalities (such as congestion eﬀects from use of a commonly owned resource) or positive externalities (such as a social ethos reflected in individuals’ preferences), Kantian equilibria dominate Nash-Walras equilibria in terms of eﬀiciency. While economists schooled in Nash equilibrium may view …

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Does Reducing Spatial Differentiation Increase Product Differentiation? Effects Of Zoning On Retail Entry And Format Variety, Sumon Datta, K. Sudhir

Cowles Foundation Discussion Papers

This paper investigates the impact of spatial zoning restrictions on retail market outcomes. We estimate a structural model of entry, location and format choice across a large number of markets in the presence of zoning restrictions. The paper contributes to the literature in three ways: First, the paper demonstrates that the omission of zoning restrictions in the extant literature on entry and location choice leads to biased estimates of the factors aﬀecting market potential and competitive intensity. Second, the cross-market variations in zoning regulations helps us test and provide evidence for the theory that constraints on spatial diﬀerentiation will lead …

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Getting At Systemic Risk Via An Agent-Based Model Of The Housing Market, John Geanakoplos, Robert Axtell, J. Doyne Farmer, Peter Howitt, Benjamin Conlee, Jonathan Goldstein, Matthew Hendrey

Cowles Foundation Discussion Papers

Systemic risk must include the housing market, though economists have not generally focused on it. We begin construction of an agent-based model of the housing market with individual data from Washington, DC. Twenty years of success with agent-based models of mortgage prepayments give us hope that such a model could be useful. Preliminary analysis suggests that the housing boom and bust of 1997-2007 was due in large part to changes in leverage rather than interest rates.

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Bounded Rationality And Limited Datasets: Testable Implications, Identification, And Out-Of-Sample Prediction, Geoffroy De Clippel, Kareen Rozen

Cowles Foundation Discussion Papers

Theories of bounded rationality are typically characterized over an exhaustive data set. How does one tell whether observed choices are consistent with a theory if the data is incomplete? How can out-of-sample predictions be made? What can be identiﬁed about preferences? This paper aims to operationalize some leading bounded rationality theories when the available data is limited, as is the case in most practical settings. We also point out that the recent bounded rationality literature has overlooked a methodological pitfall that can lead to ‘false positives’ and ‘empty’ out-of-sample predictions when testing choice theories with limited data.

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Kantian Optimization: An Approach To Cooperative Behavior, John E. Roemer

Cowles Foundation Discussion Papers

Although evidence accrues in biology, anthropology and experimental economics that homo sapiens is a cooperative species, the reigning assumption in economic theory is that individuals optimize in an autarkic manner (as in Nash and Walrasian equilibrium). I here postulate a cooperative kind of optimizing behavior, called Kantian. It is shown that in simple economic models, when there are negative externalities (such as congestion eﬀects from use of a commonly owned resource) or positive externalities (such as a social ethos reflected in individuals’ preferences), Kantian equilibria dominate Nash-Walras equilibria in terms of eﬀiciency. While economists schooled in Nash equilibrium may view …

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Mandate-Based Health Reform And The Labor Market: Evidence From The Massachusetts Reform, Jonathan T. Kolstad, Amanda E. Kowalski

Cowles Foundation Discussion Papers

We model the labor market impact of the three key provisions of the recent Massachusetts and national “mandate-based” health reforms: individual and employer mandates and expansions in publicly-subsidized coverage. Using our model, we characterize the compensating diﬀerential for employer-sponsored health insurance (ESHI) — the causal change in wages associated with gaining ESHI. We also characterize the welfare impact of the labor market distortion induced by health reform. We show that the welfare impact depends on a small number of suﬀicient statistics” that can be recovered from labor market outcomes. Relying on the reform implemented in Massachusetts in 2006, we estimate …

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Short Run Needs And Long Term Goals: A Dynamic Model Of Thirst Management, Guofang Huang, Ahmed Khwaja, K. Sudhir

Cowles Foundation Discussion Papers

Beverage consumption occurs many times a day in response to a variety of needs that change throughout the day. In making their choices, consumers self-regulate their consumption by managing short run needs (e.g., hydration and mood pickup) with long-term goals (e.g., health). Using unique intra-day beverage consumption, activity and psychological needs data, we develop and estimate a model of high frequency consumption choices that accounts for both intra-day changes in short run needs and individual level unobserved heterogeneity in the degree of self-regulation. A novel feature of the model is that it allows for dynamics of consumption and stockpiling at …

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Improved Estimates Of Using Luminosity As A Proxy For Economic Statistics: New Results And Estimates Of Precision, William D. Nordhaus, Xi Chen

Cowles Foundation Discussion Papers

Previous work has analyzed whether luminosity data contain useful information for estimating economic output and concluded that there was signiﬁcant promise for regions with poor quality economic statistics. The present paper examines alternative measures of the precision of the estimates using bootstrap and prior estimates of the errors for both the luminosity quality and the national accounts quality. Based on the new results, we conclude: First, for countries with high quality systems, there is no reason to use luminosity data as a supplement to standard data in any context where standard data are available. Second, we ﬁnd that there is …

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Antitrust Energy, D. Daniel Sokol, Barak Orbach

UF Law Faculty Publications

Marking the centennial anniversary of Standard Oil Co. v. United States, we argue that much of the critique of antitrust enforcement and the skepticism about its social significance suffer from “Nirvana fallacy” — comparing existing and feasible policies to ideal normative policies, and concluding that the existing and feasible ones are inherently inefficient because of their imperfections. Antitrust law and policy have always been and will always be imperfect. However, they are alive and kicking. The antitrust discipline is vibrant, evolving, and global. This essay introduces a number of important innovations in scholarship related to Standard Oil and its modern …

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Family Structure, Family Stability And Outcomes Of Five-Year-Old Children, Terry Ann L. Craigie, Jeanne Brooks-Gunn, Jane Waldfogel

Economics: Faculty Publications

This study exploits data from the Fragile Families and Child Wellbeing Study, a birth cohort study of a diverse sample of children from 20 cities in the United States (N = 3,676), to examine how cognitive, behavioural and health outcomes of five-year-old children differ according to their family structure and family stability. We define three models: one that measures family structure at birth only, a second that measures current family structure at year five conditional on family structure at birth, and a third that measures changes in family structure from birth to age five. We find that while family structure …

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Bargaining And Devolution In The Upper Guadiana Basin, Carmen Marchiori, Susan Stratton Sayre, Leo K. Simon

Economics: Faculty Publications

Increasingly, central governments approach contentious natural resource allocation problems by devolving partial decision-making responsibility to local stakeholders. This paper conceptualizes devolution as a three-stage process and uses a simulation model calibrated to real-world conditions to analyze devolution in Spain’s Upper Guadiana Basin. The Spanish national government has proposed spending over a billion euros to reverse a 30 year decline in groundwater levels. We investigate how the government can most effectively allocate this money to improve water levels by utilizing its power to set the structure of a local negotiation process. Using a numerical Nash model of local bargaining, we find …

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Managing A Duopolistic Water Market With Confirmed Proposals. An Experiment, Aurora García-Gallego, Nikolaos Georgantzís, Roberto Hérnan-Gonzalez, Praveen Kujal

Economics Faculty Articles and Research

We report results from experimental water markets in which owners of two different sources of water supply water to households and farmers. The final water quality consumed by each type of consumer is determined through mixing of qualities from two different resources. We compare the standard duopolistic market structure with an alternative market clearing mechanism inspired by games with confirmed strategies (which have been shown to yield collusive outcomes). As in the static case, complex dynamic markets operating under a confirmed proposals protocol yield less efficient outcomes because coordination among independent suppliers has the usual effects of restricting output and …

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Imf: Predatory Lender Or Latin America’S Best Chance?, Paul Thomas Smith

Political Science Theses and Capstones

Recently, there has been heated debate as to whether or not assistance from the International Monetary Fund has proven to be a great humanitarian effort or a scheme by Western governments to keep emerging Latin American countries in debt. The IMF partners with numerous governments in order to create a collective monetary community from which all may benefit in times of need. These partnered countries are also able to apply for assistance if they find themselves in monetary hardships. Some studies have shown that the IMF has been too heavy handed, while other studies have shown that recipient governments may …

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The Effects Of Political Institutions On Public Budgeting, Andrew Burnos

Political Science Theses and Capstones

Economics around the globe has been a growing issue of late due to the current economic crisis. This study focuses on political institutional factors that influence spending in a particular country. The variables used in this study include Gross Domestic Product (GDP), Tax Revenue as Percent of GDP, and current account balance to name a few. This research looks at the relationship between proportional representation compared to majoritarian systems as well as presidential compared to parliamentary systems and how these relate to public budgeting. This research updates the analysis of Persson and Tabellini in their book The Economic Effects of …

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For-Profit College Entry And Cost Efficiency: Stochastic Frontier Estimates Vs Two-Year Public And Non-Profit Colleges, G. Thomas Sav

Economics Faculty Publications

This paper provides stochastic frontier cost and (in)efficiency estimates for private for-profit colleges with comparisons to public and private non-private colleges. The focus is on the two-year U.S. higher education sector where there exists the largest and fastest growing entry of for-profit colleges. Unbalanced panel data is employed for four academic years, 2005-2009. Translog cost frontiers are estimated with an inefficiency component that depends upon environmental factors defined by college specific characteristics. More experienced public and private non-profit colleges are found to be more cost efficient relative to the newer entrants. In addition, the newer for-profits exhibit greater efficiency variability …

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Oil Price Pass-Through Into Inflation: Empirical Evidence From Nigeria, Adeniyi O. Adenuga, Margaret J. Hilili, Osaretin O. Evbuomwan

Economic and Financial Review

The objective of the paper is to empirically investigate the oil price pass-through into inflation in Nigeria in order to suggest appropriate domestic policies necessary to control inflation for the policy makers. The study also attempts to answer questions like: What is the causal links between oil price and inflation in Nigeria? Is oil price highly correlated with inflation? What does the result of an estimation of a Phillips curve tell us about the pass-through for oil in Nigeria. The methodology adopted by the paper is a standard pass-through equation in the form of an autoregressive distributed lag (ARDL) model …

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Estimation Of Interest Elasticity Model For Aggregate Commercial Bank Deposits In Nigeria (1986-2008), Matthew .I. Eborieme, Edwin. M. Egboro

Economic and Financial Review

The Nigerian government deregulated the financial market in 1987 in line with the McKinnon-Shaw financial liberalization paradigm. However, the subsequent policy reversal after the introduction of the structural adjustment programme has made the effect of interest rate on aggregate commercial bank deposits (CBD) mobilized unclear. This study is based on the pioneering work of Egboro (2004) who initially examined the appropriateness of these policy summersaults with data ending in 1999. However, in this present study we re-estimated an interest elasticity model of commercial bank deposits in Nigeria by employing more recent data that captured subsequent changes in the nationâ€™s financial …

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Is Monetary Policy Responsive To External Reserves?: Empirical Evidences From Nigeria, Baba N. Yaaba

Economic and Financial Review

The global economy has witnessed extraordinary boost in the accumulation of external reserves, following the Asian financial crisis of the 1990s. External reserves increased sharply from US$1.2 trillion in 1995 to over US$10.0 trillion in January 2012. Developing countries increased their share from 30.0 per cent in 1990 to 67.0 per cent in 2011. Nigeria is not left out in this trend, as external reserves grew from US$5.5 billion in 1999 to US$34.68 billion in March 2012, representing over 530 per cent increase within the period. This placed Nigeria as the 44th largest reserves holder in the world. Reflecting on …

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Ratings Game : A Review, Phebian N. Omanukwe

Economic and Financial Review

Post-2008 global financial crisis placed the search light on the activities of global rating agencies, especially in the United States and Europe. The article discussed the regulatory role played by private credit rating agencies and their impact on the financial system. The author attempts to draw attention to the conflict of interests between the objectives of private credit agencies and the regulatory role they play. A synopsis of the article is presented in section II below, while comments and lessons for Nigeria are discussed in section III.

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The Hausman-Taylor Panel Data Model With Serial Correlation, Badi Baltagi, Long Liu

Center for Policy Research

This paper modifies the Hausman and Taylor (1981) panel data estimator to allow for serial correlation in the remainder disturbances. It demonstrates the gains in efficiency of this estimator versus the standard panel data estimators that ignore serial correlation using Monte Carlo experiments.

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Macroeconomic Shocks And Fiscal Deficit Behaviour In Nigeria: A Vecm Approach., M. O. Abeng, K. S. Alehile

Economic and Financial Review

This paper focuses on establishing the links between fiscal deficit and short-term changes in major macroeconomic variables like real output, interest rate, exchange rate, inflation rate and crude oil price in Nigeria. Empirical results show that the model adequately explains the behaviour of government of fiscal deficit and that while the accumulation of deficit is not at all detrimental to the economy per se, prudence should be exercised in the financing options adopted and more so the appropriate application of such funds to selffinancing projects. It is recommended that government broaden its tax-net to curb the surging borrowing as well …

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Full-Text Articles in Economics

‘They Won't Work!’ - Efficacy Of An Active Labor Market Policy From The Perspective Of Psychology, Marco Meissner

Claremont-UC Undergraduate Research Conference on the European Union

Local Economic Benefits Of Early Childhood Programs: Investing In Kids, Timothy J. Bartik

Presentations

Returns From Self-Employment: Using Human Capital Theory To Compare U.S. Natives And Immigrants, Nikola Popovic

Undergraduate Economic Review

Where Are The Jobs? Employment Stagnation After The Great Recession, Gary Burtless

Brookings Scholar Lecture Series

Universities Should Continue To Bargain, Daniel J. Julius

Journal of Collective Bargaining in the Academy

Markowitz 2.0: Innovations For Asset Allocation, Singapore Management University

Perspectives@SMU

Rhode Island Current Conditions Index — March 2012, Leonard Lardaro

The Rhode Island Current Conditions Index

A Critique Of The Neoclassical And A Revision Of The Keynesian Theories Of Employment, Yang Liu

Electronic Theses and Dissertations

Analysis And Economic Impact Of The Film Industry In Northeast Ohio & Ohio, Candice Clouse

All Maxine Goodman Levin School of Urban Affairs Publications

Kantian Optimization, Social Ethos, And Pareto Efficiency, John E. Roemer

Cowles Foundation Discussion Papers

Does Reducing Spatial Differentiation Increase Product Differentiation? Effects Of Zoning On Retail Entry And Format Variety, Sumon Datta, K. Sudhir

Cowles Foundation Discussion Papers

Getting At Systemic Risk Via An Agent-Based Model Of The Housing Market, John Geanakoplos, Robert Axtell, J. Doyne Farmer, Peter Howitt, Benjamin Conlee, Jonathan Goldstein, Matthew Hendrey

Cowles Foundation Discussion Papers

Bounded Rationality And Limited Datasets: Testable Implications, Identification, And Out-Of-Sample Prediction, Geoffroy De Clippel, Kareen Rozen

Cowles Foundation Discussion Papers

Kantian Optimization: An Approach To Cooperative Behavior, John E. Roemer

Cowles Foundation Discussion Papers

Mandate-Based Health Reform And The Labor Market: Evidence From The Massachusetts Reform, Jonathan T. Kolstad, Amanda E. Kowalski

Cowles Foundation Discussion Papers

Short Run Needs And Long Term Goals: A Dynamic Model Of Thirst Management, Guofang Huang, Ahmed Khwaja, K. Sudhir

Cowles Foundation Discussion Papers

Improved Estimates Of Using Luminosity As A Proxy For Economic Statistics: New Results And Estimates Of Precision, William D. Nordhaus, Xi Chen

Cowles Foundation Discussion Papers

Antitrust Energy, D. Daniel Sokol, Barak Orbach

UF Law Faculty Publications

Family Structure, Family Stability And Outcomes Of Five-Year-Old Children, Terry Ann L. Craigie, Jeanne Brooks-Gunn, Jane Waldfogel

Economics: Faculty Publications

Bargaining And Devolution In The Upper Guadiana Basin, Carmen Marchiori, Susan Stratton Sayre, Leo K. Simon

Economics: Faculty Publications

Managing A Duopolistic Water Market With Confirmed Proposals. An Experiment, Aurora García-Gallego, Nikolaos Georgantzís, Roberto Hérnan-Gonzalez, Praveen Kujal

Economics Faculty Articles and Research

Imf: Predatory Lender Or Latin America’S Best Chance?, Paul Thomas Smith

Political Science Theses and Capstones

The Effects Of Political Institutions On Public Budgeting, Andrew Burnos

Political Science Theses and Capstones

For-Profit College Entry And Cost Efficiency: Stochastic Frontier Estimates Vs Two-Year Public And Non-Profit Colleges, G. Thomas Sav

Economics Faculty Publications

Oil Price Pass-Through Into Inflation: Empirical Evidence From Nigeria, Adeniyi O. Adenuga, Margaret J. Hilili, Osaretin O. Evbuomwan

Economic and Financial Review

Estimation Of Interest Elasticity Model For Aggregate Commercial Bank Deposits In Nigeria (1986-2008), Matthew .I. Eborieme, Edwin. M. Egboro

Economic and Financial Review

Is Monetary Policy Responsive To External Reserves?: Empirical Evidences From Nigeria, Baba N. Yaaba

Economic and Financial Review

Ratings Game : A Review, Phebian N. Omanukwe

Economic and Financial Review

The Hausman-Taylor Panel Data Model With Serial Correlation, Badi Baltagi, Long Liu

Center for Policy Research

Macroeconomic Shocks And Fiscal Deficit Behaviour In Nigeria: A Vecm Approach., M. O. Abeng, K. S. Alehile

Economic and Financial Review