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on Heterodox Microeconomics |
| By: | Ferran Sancho |
| Abstract: | Gim & Kim (1998) proposed a generalization of Jeong (1982, 1984) reinterpretation of the Hawkins-Simon condition for macroeconomic stability to off-diagonal matrix elements. This generalization is conceptually relevant for it offers a complementary view of interindustry linkages beyond final or net output influence. The extension is completely similar to the 'total flow' idea introduced by Szyrmer (1992) or the 'output-to-output' multiplier of Miller & Blair (2009). However the practical implementation of Gim & Kim is actually faulty since it confuses the appropriate order of output normalization. We provide a new and elementary solution for the correct formalization using standard interindustry accounting concepts. |
| Keywords: | output multipliers, input multipliers, Leontief multipliers. |
| JEL: | C67 D57 R15 |
| Date: | 2011–10–14 |
| URL: | http://d.repec.org/n?u=RePEc:aub:autbar:887.11&r=hme |
| By: | Lorenzo Giovanni Bellù; Vito Cistulli; Stefano Marta; Francesco Timpano |
| Abstract: | The issue of the measurement and assessment of territorial competitiveness is of increasing importance for the determination of development strategies at all geographical levels: country, regional and cluster level. The proposed approach focuses on regional competitiveness, given the raising influence of regions as key players within the global development process. This paper is based on the analysis and development of models and tools that aims at measuring and assessing territorial competitiveness and in particular territorial assets - both tangible and intangible - responsible for the development of a region. This approach will consider the theoretical models identified by M. Porter, especially the Diamond model, which defines the factors determining regional development and the contributions of R. Martin, A. RodrÃguez-Pose, A. Pike M. Caroli and R. Camagni. Moreover, the paper will take into consideration some well-known competitiveness composite indices for territorial analysis: EU Regional Competitiveness Index by JRC, the Global Competitiveness Index by WEF, the Livelihood Systems by WFP. The conceptual framework of this paper is based on the assumption that economic indicators, such as GDP, are not sufficient to explain why one territory or geographical space performs better than other surrounding territories. Other social, demographic, cultural, natural, and infrastructural factors also influence competitiveness through complex interactions. A basic conceptual objective of the paper is to integrate a synthesis Territorial Competitiveness Index, which focus on territorial assets, with a Social Accounting Matrix (SAM), that measures the economic flows within a given area (Pyatt-Round), in order to define a composite model that combines sectors’ potential resulting from the multipliers based on SAM with the Index. The integration of these “stock and flows†measurement tools will enhance the approach used by enabling assessment of territorial scenarios and identification of territorial potential (both expressed and latent). The expected usefulness of this combined approach is a better understanding of comparative strengths and weaknesses of the territories, which would allow the policy makers at local and central level to better target strategies and policies, and establish a benchmarking system that would allow for comparisons among territories both within and among countries. |
| Date: | 2011–09 |
| URL: | http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa11p765&r=hme |
| By: | Grant Allan (Department of Economics, Fraser of Allander Institute, University of Strathclyde) |
| Abstract: | The regional economic impact of biofuel production depends upon a number of interrelated factors: the specific biofuels feedstock and production technology employed; the sector’s embeddedness to the rest of the economy, through its demand for local resources; the extent to which new activity is created. These issues can be analysed using multisectoral economic models. Some studies have used (fixed price) Input-Output (IO) and Social Accounting Matrix (SAM) modelling frameworks, whilst a nascent Computable General Equilibrium (CGE) literature has also begun to examine the regional (and national) impact of biofuel development. This paper reviews, compares and evaluates these approaches for modelling the regional economic impacts of biofuels. |
| Keywords: | biofuels; economic modelling; input-output; social accounting matrix; computable general equilibrium. |
| JEL: | D57 D58 R13 R11 |
| Date: | 2011–10 |
| URL: | http://d.repec.org/n?u=RePEc:str:wpaper:11-30&r=hme |
| By: | Ben R. Craig; Valeriya Dinger (Universitaet Osnabrueck) |
| Abstract: | We use bank retail interest rates as price examples in a study of the determinants of price durations. The extraordinary richness of the data allows us to address some major open issues from the price rigidity literature, such as the functional form of the hazard of changing a price, the effect of firm and market characteristics on the duration of prices, and asymmetry in the speed of adjustments to positive and negative cost shocks. We find that the probability of a bank changing its retail rate initially (that is, in roughly the first six months of a spell) increases with time. The most important determinants of the duration of retail interest rates are the cumulated change in the money market interest rates and the policy rate since the last retail rate change. Among bank and market characteristics, the size of the bank, its market share in a given local market, and its geographical scope significantly modify retail rate durations. Retail rates adjust asymmetrically to positive and negative wholesale interest rate changes; the asymmetry of the adjustment is reinforced in part by the bank’s market share. This suggests that monopolistic distortions play a vital role in explaining asymmetric price adjustments. |
| Keywords: | price stickiness, interest rate pass-through, duration analysis, hazard rate |
| Date: | 2011–11–07 |
| URL: | http://d.repec.org/n?u=RePEc:iee:wpaper:wp0088&r=hme |