|
on Heterodox Microeconomics |
|
Issue of 2018‒07‒16
seventeen papers chosen by Carlo D’Ippoliti Università degli Studi di Roma “La Sapienza” |
| By: | Bruno Tinel (CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | This paper is about inversion of roles and causalities in mainstream labour and employment economics through two examples: one is about the sphere of production and the other is about the labour market. The article puts forth as well the contribution and critical research issues developped by non standard approaches and gives an example through subcontracting relations analysis. |
| Abstract: | Cet article porte sur l'inversion des rôles et des causalités dans l'approche dominante en économie du travail et de l'emploi à travers deux illustrations, l'une portant sur la sphère de la production l'autre sur le marché du travail. Il met également en avant les apports et les problématiques de recherche privilégiés par les approches non standards et donne une illustration à travers le cas des relations de sous-traitance. |
| Keywords: | mainstream economics,heterodox economics,subcontracting relations,inversion,labour economics,approche dominante,hétérodoxie,sous-traitance,économie du travail |
| Date: | 2016–10 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:halshs-01391243&r=hme |
| By: | Ronald Schettkat |
| Abstract: | Behavioral economics, the analysis of economic decisions, has made enormous progress over the last decades and become accepted as a major field in economics. How is behavioral economics to be compared to the neoclassical model? As a revision of the neoclassical model enhancing the set of variables for motivation such as fairness in the utility function which is then to be maximized? Or is behavioral economics a revolution, a departure from the neoclassical axioms, a new model? This paper argues that many of the findings in behavioral economics are incompatible with the neoclassical model and have paved the way for a revolution in economics. |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:bwu:schdps:sdp18005&r=hme |
| By: | Elert, Niklas (Research Institute of Industrial Economics (IFN)); Henrekson, Magnus (Research Institute of Industrial Economics (IFN)) |
| Abstract: | We argue that scholars in the Austrian tradition of economics should incorporate the notion of a collaborative innovation bloc into their study of spontaneous market order. We demonstrate how successful entrepreneurship depends on an innovation bloc of this kind, a system of innovation that evolves and within which activity takes place through time. The innovation bloc consists of five pools of economic skills from which people are drawn or recruited to form part of a collaborative team, which is necessary if innovation-based venturing is to flourish. The five skills are entrepreneurs, early- and later-stage-financiers, key personnel, and customers. Through real-world examples, we show how the application of the collaborative innovation bloc perspective could help make Austrian economics more concrete, relevant and persuasive, especially in regard to policy prescriptions. |
| Keywords: | Austrian Economics; Entrepreneurship; Innovation; Institutions; Schumpeterian entrepreneurship; Spontaneous order |
| JEL: | B53 D20 G32 L23 L26 O33 |
| Date: | 2018–06–20 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:iuiwop:1222&r=hme |
| By: | De Loecker, Jan; Eeckhout, Jan |
| Abstract: | To date, little is known about the evolution of market power for the economies around the world. We extract data from the financial statements of over 70,000 firms in 134 countries, and we analyze and document the evolution of markups over the last four decades. We show that the average global markup has gone up from close to 1.1 in 1980 to around 1.6 in 2016. Markups have risen most in North America and Europe, and least in emerging economies in Latin America and Asia. We discuss the distributional implications of the rise in global market power for the labor share and for the profit share. |
| Date: | 2018–06 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:13009&r=hme |
| By: | Michel De Vroey (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES)); Luca Pensieroso (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES)) |
| Abstract: | Depuis quelques années, un vent de contestation souffle dans les facultés d’économie de nombreuses universités européennes. On y voit des étudiants et des étudiantes se plaindre de ce qu’ils considèrent être une absence de pluralisme dans la discipline économique. La plainte peut se résumer en deux propositions. |
| Date: | 2018–03 |
| URL: | http://d.repec.org/n?u=RePEc:ctl:louvrg:2018137&r=hme |
| By: | François Facchini (CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | Deirdre McCloskey a formulé une critique puissante de la rhétorique économique. À l'occasion de la traduction française d'un de ses ouvrages, François Facchini revient sur ses travaux pour éclairer les débats actuels autour de la scientificité de l'économie. La traduction française du petit ouvrage The Secret Sins of Economics, publié en 2002 par Deirdre N. McCloskey, est l'occasion de revenir sur le parcours intellectuel et les positions épistémologiques de cette économiste américaine au savoir éclectique et encyclopédique. Cet ouvrage d'épistémologie économique reprend en effet des thèmes déjà abordés dans des ouvrages précédents (1994a, 1994b) et conduit à s'interroger sur l'apport de l'économétrie au savoir des économistes. Écrit comme une intrigue policière, Les péchés secrets de la science économique participe à la critique des tests de significativité statistique et se propose de remettre à sa juste place une bonne partie de la littérature économique. Le présent article entend ainsi profiter de la parution de ce petit ouvrage pour revenir sur quelques-unes des thèses d'épistémologie économique du Professeur McCloskey et pour proposer à leur lumière une lecture, qui se veut originale, de la controverse suscitée par l'ouvrage de Cahuc et Zylberberg (2016) dans le monde des économistes français. |
| Keywords: | épistémologie, sciences économiques, économétrie, négationnisme en économie |
| Date: | 2017–03–07 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-01484830&r=hme |
| By: | Julia M. Puaschunder (The New School, Department of Economics) |
| Abstract: | Behavioral Economics revolutionized mainstream neo-classical economics. A wide range of psychological, economic and sociological laboratory and field experiments proved human beings deviating from rational choices as standard neo-classical profit maximization axioms failed to explain how human actually behave. Human beings rather use heuristics in their day-to-day decision making. These mental short cuts enable to cope with a complex world yet also often leave individuals biased and falling astray to decision making failures. What followed was the powerful extension of these behavioral insights for public administration and public policy making. Behavioral economists proposed to nudge and wink citizens to make better choices for them and the community. Many different applications of rational coordination followed ranging from improved organ donations, health, wealth and time management, to name a few. Yet completely undescribed remains that the implicit hidden persuasion opens a gate to deception and is an unprecedented social class division means. Social media forces are captures as unfolding a class dividing nudgital society, in which the provider of social communication tools can reap surplus value from the information shared of social media users. The social media provider is outlined as capitalist-industrialist, who benefits from the information shared by social media users, or so-called consumer-workers, who share private information in their wish to interact with friends and communicate to public. |
| Keywords: | Behavioral Economics, Behavioral Political Economy, Democratisation of information, Education, Exchange value, Governance, Libertarian Paternalism, Nudging |
| Date: | 2018–05 |
| URL: | http://d.repec.org/n?u=RePEc:smo:ppaper:006&r=hme |
| By: | Aurélien Dasre (CRESPPA - Centre de recherches sociologiques et politiques de Paris - UP8 - Université Paris 8 Vincennes-Saint-Denis - UPN - Université Paris Nanterre - CNRS - Centre National de la Recherche Scientifique, INED - Institut national d'études démographiques); Angela Greulich (CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, INED - Institut national d'études démographiques); Inan Ceren (SIES - Systèmes d'information et des Etudes Statistiques - French Ministry of Education and Research) |
| Abstract: | This paper identifies motors and barriers for combatting domestic violence against women in Turkey – a country where modernism and conservatism are in constant interplay. We combine information from the Demographic Health Surveys and the Turkish Domestic Violence Survey and distinguish between controlling behavior, physical and sexual violence. Our empirical analysis tests how far a woman's intra-household decision making power (as measured by her education, her activity status, her income etc.) bears the potential to reduce her risk of experiencing domestic violence in Turkey. The analysis takes into account contextual factors as well as partner and household characteristics. We find that women's participation in the labor market does not, on its' own, reduce women's risk of experiencing intimate partner violence, but an egalitarian share of economic resources between spouses in likely to protect women against domestic violence. This finding has two important implications: First, higher education enabling women to access formal wage employment allows women not only to gain economic independence, but also to freely choose their partner. Second, unstable economic conditions that harm earning opportunities for men are an important risk factor for couples to experience conflits that can result in domestic violence against women. Against the background of the recent economic crisis that comes hand in hand with a backlash of gender and family norms in Turkey, our results highlight the need of policy action in this field. |
| Keywords: | economics,Violence against women,gender |
| Date: | 2017–11 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:halshs-01660703&r=hme |
| By: | Nashihah, Faidah |
| Abstract: | The capitalist and socialist economy throughout the history of economic thought can not factually bring about market justice and even tends to be distorted due to the weakening of economic ethics and the absence of the institutions that oversee the market. This article uses the method of content analysis and critical historical method in revealing the history of Islamic economic thought about the issue. The conclusion of this paper asserts that the state, economy, and market are inseparable in creating economic justice, one of which is al-Mawardi's idea of the institution of hisbah which plays a role in controlling and overseeing economic activity. |
| Keywords: | country, market, economy, hisbah, Islamic economy |
| JEL: | B0 B31 D40 P0 |
| Date: | 2018–03–01 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:87412&r=hme |
| By: | Mariolis, Theodore; Leriou, Eirini; Soklis, George |
| Abstract: | Using input-output table data and a system of basic and derivative indices, the analysis in this paper provides a dissection of the Greek economy for the years 2005 and 2010. The findings suggest that: (i) the structural features of the economy have been shaped well before the emergence of the so-called Greek (or PIIGS) crisis; (ii) a well-targeted effective demand management policy could be mainly based on the service and primary production sectors; and (iii) industrial policy would be necessary and could primarily focus on nine highly import-dependent commodities of the industry sector. Therefore, it seems that a change in the intersectoral structure of the Greek economy is necessary. |
| Keywords: | Domestic and foreign value added; Greek economy; Industrial policy; Interindustry linkages and leakages; Management of effective demand; Structural transformation |
| JEL: | C67 D57 E61 F14 O25 |
| Date: | 2018–06–25 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:87578&r=hme |
| By: | Michaelis Nikiforos |
| Abstract: | This paper presents a methodological discussion of two recent "endogeneity" critiques of the Kaleckian model and the concept of distribution-led growth. From a neo-Keynesian perspective, it is criticized because it treats distribution as quasi-exogenous, while in Skott (2017), distribution is viewed as endogenously determined by a series of (exogenous) institutional factors and social norms, and therefore one should focus on these instead of the functional distribution of income per se. The paper discusses how abstraction is used in science and economics, and uses the criteria proposed by Lawson (1989) for what constitutes an appropriate abstraction. Based on this discussion, it concludes that the criticisms are weak, although the issues raised by Skott provide some interesting directions for future work within the Kaleckian framework. |
| Keywords: | Kaleckian model, distribution-led, abstraction, closure |
| JEL: | B22 B41 B50 E11 E12 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:imk:fmmpap:24-2018&r=hme |
| By: | Fatima Zohra Benneghrouzi (Abdelhamid Ibn Badis University, Mostaganem); Mimouna Zitouni (University of Mohamed Ben Ahmed, Oran 2) |
| Abstract: | This paper probes the following questions: 1 to what extent do the conceptualisation and implementation of space/place express and sustain certain hegemonic hierarchies that normalise socio-cultural divisions in Arab Algerian environment of Mostaganem City? 2 What tools are utilised as means of space exclusion? 3 Is there a possibility of recreating new spaces for women, by making them occupy existing men’ spaces or revalorise unexploited spaces? 4 And ultimately, how much disempowering space is for women? In relation to these questions, three postulations are advanced: 1 The Arab Algerian culture is drastically male-oriented and space appropriation only validates such culturally hammered circumstance. 2 Harassment by verbal violence is the main and most forceful tool of space exclusion. 3 Masculine hegemony has it that no possibility of space re valorisation is now opportune. |
| Keywords: | gender, culture, disempowerment, Mostaganem, space/place exclusion, hegemony, harassmen |
| Date: | 2018–05 |
| URL: | http://d.repec.org/n?u=RePEc:smo:ppaper:014&r=hme |
| By: | Naoki TAKAYAMA |
| Abstract: | The decisions to leave home and to marry are critical decisions that are at the foundation of family formation with tradeoffs between the benefits from parental altruism and the advantages of marriage. This research presents a parsimonious heterogeneous agent macroeconomic model and uses large-scale micro data on Japan to study both issues jointly. This paper proposes three possible drivers in the mechanism: (1) the stronger economy of scale in Japan generated by high living cost, (2) the weak bargaining position of women on the living arrangement when they marry, and (3) the gender wage gap and the career interruption cost for women. The results suggest that high living cost discourage people to marry and live without parents and the bargaining structure encourage them to stay single and live with their own parents. The wage structure seems to have relatively weaker effects. In addition, the estimates on the preference suggest that individuals prefer not to live with parents-in-law and desire to leave parents' home, while marrying potential spouse is preferable. |
| Date: | 2017–10 |
| URL: | http://d.repec.org/n?u=RePEc:esj:esridp:340&r=hme |
| By: | Satoshi URASAWA |
| Abstract: | The Japanese economy has experienced massive structural changes since the end of the 1990s, including a decline in the working-age population, along with a decade of deflation, an increase in the number of non-regular workers, which has almost doubled since the early 1990s, contributing to a large reduction in wage costs, and a rapid advance in globalization. What are the implications of such changes for the understanding of Japan’s business cycle dynamics? This paper analyses the stylized facts of Japanese business cycle fluctuations under structural change. The empirical evidence, based on traditional frequency domain analysis using more than 60 quarterly macroeconomic time series, provides robust facts. Among the most interesting findings is that the role of scheduled hours worked as a buffer for labor input has become increasingly important, suggesting that Japanese firms tend to adjust their labor input through hours worked, owing, in part, to the increasing number of non-regular workers, which allows firms to adjust labor input in a relatively flexible manner while keeping the number of employees unchanged. The increased role of hours worked is confirmed by an analysis based on a time-varying parameter structural vector autoregression (TVP-VAR) model taking the time-varying nature of the underlying structure of the economy into account. Meanwhile, in other areas such as private consumption and investment, wages, deflators and prices, and financial market indicators, the basic nature of business cycle fluctuations has remained broadly unchanged, implying that structural change does not necessarily affect the cyclical regularities in all macroeconomic time series. |
| Date: | 2017–10 |
| URL: | http://d.repec.org/n?u=RePEc:esj:esridp:341&r=hme |
| By: | Liudmila Malyshava |
| Abstract: | This inquiry argues that the successful completion of the transition process in the post-Soviet economies is constrained by the prevailing social structure and low levels of technological progress, both of which require institutional reforms aimed at increasing growth in national income, productivity, and the degree of export competitiveness. Domestic policy implementation has not shown significant improvements on these fronts, given its short-term orientation, but instead resulted in stagnating growth rates, continuously accumulating levels of external debt, and decreasing living standards. The key to a successful completion of the transition process is therefore a combination of policies targeted at the dynamic transformation of production structures within an environment of financial stability and favorable macroeconomic conditions. |
| Keywords: | Transition Economies; Soviet Mode of Production; Technological Decay; International Capital Flows; External Instability; Debt Repayment |
| JEL: | B25 F13 F34 G15 P30 |
| Date: | 2018–07 |
| URL: | http://d.repec.org/n?u=RePEc:lev:wrkpap:wp_909&r=hme |
| By: | Durand, Rodolphe; Mani, Dalhia |
| Abstract: | In this paper, we investigate family firms’ position in the intercorporate ownership network. Rooting our predictions in the Behavioral Agency Model and a Network analytical framework, we predict and find that family involvement decreases the likelihood of business group affiliation and of cross-group ties leading to a lower embeddedness within the overall network. We predict and find the opposite effect for community involvement. We use the complete longitudinal dataset of publicly listed firms’ corporate ownership ties in India (2001, 2005, and 2009). Theoretical and substantive contributions are to research on family businesses and to research on interorganizational networks. |
| Keywords: | Family Firms; Community; Embeddedness; Network |
| JEL: | M10 |
| Date: | 2018–04–18 |
| URL: | http://d.repec.org/n?u=RePEc:ebg:heccah:1275&r=hme |
| By: | George McMillan III (Aegis Defense Services) |
| Abstract: | This research design overcomes the three problems of coordinating the micro and macro behavioral sciences of Gintis defined as: (1) the identification of an overarching casual theme, (2) the identification of an integrative methodology, and (3) the identification of a series of a series of compatible frameworks. This is achieved by the comparison of the competing Hume-Smith versus Marx-Engels foundational-political-economic philosophical theories in relation to the outcome of the 20th Century Ideological Experiments. This paper contends that the range of valid foundational-political-economic philosophical theories, and the corresponding series of psychological, political, economic theoretical frameworks in the social sciences, can be reduced considerably across the board considerably, and then integrated laterally. |
| Keywords: | Unification of the behavioral sciences; Unified Theory of the Social Sciences |
| JEL: | F59 A12 B00 |
| Date: | 2017–10 |
| URL: | http://d.repec.org/n?u=RePEc:sek:ilppro:6208314&r=hme |